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Can an Internet Adoption Framework be Developed for SMEs in South Africa

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  • Regomoditswe Mavimbela
  • Erick Dube

Abstract

Over two billion people across the globe are now connected to the Internet and the numbers are growing at approximately 200 million people per annum, attracting focus by businesses and governments especially pertaining to contributing to economic growth. Small and medium enterprises (SME) as engines of growth for South Africa, given that they have proved to provide over 50 per cent of employment in many economies, cannot be left out of the technology race. An adoption of Internet would leapfrog these SMEs to levels beyond survival but lead to sustainable businesses. This study 1 1 In association with UNISA Graduate School of Business Leadership (UNISA SBL). investigated the viability of the development of an Internet adoption framework that is appropriate to the needs of SMEs in South Africa. SMEs in South Africa have been slow to adopt Internet technologies owing to the development and implementation of an Internet framework could best serve the SME sector needs. In-depth interviews were conducted with SMEs to investigate the levels of adoption by SMEs and an analysis of the current Internet supply ecosystem was conducted. The research results reveal that SME are using what is available but not to full capacity to enable their business to thrive, given the benefits provided by Internet technologies. Their slow adoption is due to; lack of infrastructure and skills, lack of cyber laws, which will provide trust, slow Internet speed and high costs of connection. The results also provided a positive outlook towards ascertaining if an Internet framework can be developed to serve the needs of SMEs in South Africa, if government is to take the lead facilitator role.

Suggested Citation

  • Regomoditswe Mavimbela & Erick Dube, 2016. "Can an Internet Adoption Framework be Developed for SMEs in South Africa," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 2(2), pages 120-135, July.
    • Handle: RePEc:sae:jouent:v:2:y:2016:i:2:p:120-135
    DOI: 10.1177/2393957516647250
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    References listed on IDEAS

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    1. M.R. Narayana, 2011. "Globalization and Urban Economic Growth: Evidence for Bangalore, India," International Journal of Urban and Regional Research, Wiley Blackwell, vol. 35(6), pages 1284-1301, November.
    2. Yongsoo Kim & Tim Kelly & Siddhartha Raja, 2010. "Building Broadband : Strategies and Policies for the Developing World," World Bank Publications - Books, The World Bank Group, number 2469.
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    Cited by:

    1. Kallier Safura Mohamed, 2017. "The focus of marketing communication efforts of smes within south Africa," Management & Marketing, Sciendo, vol. 12(1), pages 140-154, March.
    2. Ali Abbas & Sahadah Hj. Abdullah* & Rosli Mohd Saad, 2018. "Affecting Factors to Intentions to Adoption of E-Commerce Technologies in SMEs of Pakistan," The Journal of Social Sciences Research, Academic Research Publishing Group, pages 147-155:4.

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