ICT Adoption in Small and Medium Enterprises: an Empirical Evidence of Service Sectors in Malaysia (original) (raw)

Internet-based ICT adoption: evidence from Malaysian SMEs

Industrial Management & …, 2009

Purpose -The purpose of this paper is to investigate the innovative characteristics, benefits, and barriers influencing internet-based information and communications technology (ICT) adoption among the small and medium enterprises (SMEs). Design/methodology/approach -A questionnaire-based survey was used to collect data from 406 managers or owners of SMEs in the southern region of Malaysia. Findings -The results suggest that internet-based ICT adoption provides a low cost yet effective communication tool for customers. However, security continues to be a major barrier. Finding on cost as a barrier is mixed. The inferential statistics reveal that relative advantage, compatibility, complexity, observability, and security are significant factors influencing internet-based ICT adoption.

Factors impacting the adoption and use of ICT in the Malaysian SME sector

2009

A review of extant literature reveals that little attention has been given to research into the level of ICT infrastructure among SMEs, as well as examining the factors that limit the use of ICT in these organizations. Earlier studies have mainly focused on the services sector. Hence, there is a need to conduct further empirical research across area range of industry sectors to better understand the challenges confronting SMEs that hinder the adoption and use of ICT. The aim of this paper is to conduct an empirical investigation to identify the barriers that limit the adoption of Information and Communication technology (ICT) among (SMEs), in Malaysia This investigation is conducted using a sample of 100 Malaysian firms. Despite the current government effort in regard to ICT incentives and grants, results reveal that the major hindrance for using ICT among Malaysian SME businesses include finance, employee education including ICT skills, high cost of ICT infrastructure and shortage of skilled human capital. This paper suggests, based on the empirical results that more work needs to be undertaken by government and policy makers to encourage ICT adoption among SMEs as competition from other countries, especially China and India is rising and this could be seen as a threat to Malaysian SMEs.

ICT Adoption in Malaysian SMEs ICT Adoption in Malaysian SMEs

Many studies show that SMEs are the driving engine of growth, job creation, income generation and competitiveness in domestic and global markets. They also play a pivotal role in innovation and productivity growth. ICT is important tool and regarded as enabler to bring up the competitive level of SMEs in business arena. This paper, therefore, examines the factors that may affect the adoption of internet-based information and communication technologies (ICT) among SMEs in Malaysia as well as the factors affecting their willingness to adopt ICT usage.

ICT Adoption in Malaysian SMEs

Many studies show that SMEs are the driving engine of growth, job creation, income generation and competitiveness in domestic and global markets. They also play a pivotal role in innovation and productivity growth. ICT is important tool and regarded as enabler to bring up the competitive level of SMEs in business arena. This paper, therefore, examines the factors that may affect the adoption of internet-based information and communication technologies (ICT) among SMEs in Malaysia as well as the factors affecting their willingness to adopt ICT usage.

An empirical study of internet-based ICT adoption among Malaysian SMEs

Communications of the IBIMA, 2008

In Malaysia, SMEs operate in almost every major industry from manufacturing to manufacturing-related services to agriculture and the services sectors. This study examines the gap between the importance perception and implementation of Web Presence as a critical success factor among small and medium enterprises (SMEs) in Malaysia. Data was obtained from 158 entrepreneurs involved in the Malaysian SMEs. Interviews were also carried out with five SMEs to supplement the statistical findings. Paired t-test results revealed significant differences between web site adoption patterns between SMEs in the manufacturing and the service sector. The findings offer useful insights on how a web presence can contribute towards value creation for SMEs.

Information Communication Technology (ICT) Adoption Among SME Owners in Malaysia

This paper examines the extent of information communication technology (ICT) skills, use, and adoption among owners of small and medium enterprises (SMEs) in Malaysia; identifies innovation characteristics and adopter categories among the owners; and establishes the relationship among these various constructs. The authors surveyed 383 SME owners, using a survey instrument developed from the constructs used in the diffusion of innovation theory. The findings show that the level of ICT skills possessed by SME owners in Malaysia is poor, that their use of ICT is low, and that their adoption of ICT is slow and late, primarily because they find that ICT adoption is difficult. The authors discuss the implications of their study and present their suggestions for future research direction.

Model for ICT Adoption among the Malay Based SMEs

2016

Information and communication technology (ICT) plays very crucial role to enhance sales, expand business, reduce operating cost, reduce operating procedure, improve product or company image and easy access for product information in today’s competitive world. Although, the intention to use ICT is significantly depends on the attitude and social norms of executives towards ICT, especially in SME level. The main objective of the present article is to examine the determinants of ICT adoption among Malay based SMEs in Malaysia. Theory of Reasoned Action (TRA) has been employed to measure main factors that have effect on ICT adoption. The paper is based on review of literature and primary data. Data were gathered through questionnaire survey of 199 SMES in Malaysia. Hypothetical relationships were identified using multiple regression analysis in this research. The findings of this study are discussed and

An Empirical Study of Factors Affecting Electronic Commerce Adoption among SMEs in Malaysia

Journal of Business Economics and Management, 2011

This study empirically examines determinants of E-commerce adoption by Malaysian Small and Medium-sized Enterprises. Research model for this study was drawn on the literature on information and communication technology, Information system, and electronic data interchange. This study tested seven hypotheses on factors that infl uence e-commerce adoption with empirical data from a sample of 200 SMEs in Malaysia. The fi ndings show that relative advantage, compatibility, organizational readiness, manager's characteristics, and security have signifi cant impact on e-commerce adoption. The study provides a clear understanding of manager's perception about e-commerce adoption in their businesses. This study is important in a global context, as SMEs in Malaysia are going for exporting their product in the global marketplace.

Determinants for ICT Adoption and Problems: Evidence from Rural Based Small and Medium Enterprises in Malaysia

2018

The purpose of this study is to investigate the information and communication technology adoption among rural based SMEs in Malaysia and identify the problems facing these SMEs in the implementation and usage of ICT. In addition, the study also attempts to determine whether significant relationships exist between owners’ attitude, knowledge and innovativeness, and the ICT adoption. Questionnaire survey was used to obtain data from rural based SMEs in Malaysia. A total of 1000 questionnaires were distributed and 167 usable responses were received. The findings reveal a relatively high adoption of ICT among rural based SMEs while lack of funds and financing were the main problems to the success of its adoption and implementation. It was also found that only attitude had significant positive relationship with the ICT adoption. The findings of this study assist to owner/managers of rural based SMEs and also policy makers in Malaysia in finding strategies to cultivate culture of adopting...

EMPIRICAL STUDY OF INTERNET ADOPTION AMONG SMALL AND MEDIUM ENTREPRENEURS (SMES) IN MALAYSIA (A STRUCTURAL EQUATION …

internationalconference.com.my

This paper seeks to examine empirically the antecedents of internet intention and adoption of small and medium scale enterprises (SME) by applying the conceptual theory of technology acceptance model (TAM). The respondents comprise of 237 owners of food related SMEs in an eastern state of Malaysia. A questionnaire was designed to tap into the owner's perception on perceived usefulness of the internet, perceived ease of use of the internet, and perceived credibility on technology, intention to use the technology and adoption of the internet itself. Seven hypothesized relationships were tested in the structural model. The data was analyzed using structural equation modeling (SEM) to test the causal and mediating effects amongst latent variables. From the analysis, the hypothesized model fit fails to be supported (p<.05). The findings support the TAM theory extremely well whereby, all the hypothesized paths were asserted. The generated model found three significant direct paths between perceived usefulness, perceived credibility and intention as well as between intention and adoption. The re-specified model produces two significant direct paths (perceived usefulness to intention and intention to adoption) and also introduces three new paths (direct paths from perceived usefulness, perceived ease of use and perceived credibility to adoption). The models also manage to establish partial mediating effects of intention on the said relationships between exogenous and internet adoption. The finding is discussed in the context of SME intention and adoption of the internet in East Malaysia.