Perceived barriers towards the use of e‐trade processes by Korean SMEs

Ka-Young Oh · Alistair R. Anderson · Doug Cruickshank

14 citations0/0 files storedBusiness Process Management Journal

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Technology Adoption and User Behaviour ERP Systems Implementation and Impact E-commerce and Technology Innovations

Abstract

Purpose E‐trade (or electronic trading) appears to offer increased efficiency in business processes, but only a limited number of small firms in Korea have adopted the new processes. The purpose of this paper is to try to establish the obstacles and the perceived barriers to the continuing use of e‐trade technologies by small Korean firms. Design/methodology/approach The literature was employed to develop a theoretical model that includes perceived risk and the environment. The model was operationalised in a questionnaire completed by 164 respondents. LISREL validated the instrument and the model. The data were analysed using structural equation modelling. Findings The authors found that information risk and business risk negatively affect adoption and use. The authors also tested the relationship between the environment of the organisation and adoption of e‐trade. The results show that the maturity of information technology and the innovation characteristics of the firm have positive influences on the adoption of e‐trade. Research limitations/implications This study uses data from existing users, so the findings extend the existing literature about decisions to adopt and use new processes. The data are, however, limited to the Korean context. Practical implications The study demonstrates the negative influence of perceptions about risk associated with innovative processes. Thus, this awareness and understanding of how barriers are perceived should help to increase the diffusion of e‐trade systems. The authors' findings indicate what has to be done for developing and extending the use of e‐trade. Originality/value The study is novel and contributes to the understanding of the adoption and use of new processes.

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References

1981Evaluating Structural Equation Models with Unobservable Variables and Measurement Error 2007A trust-based consumer decision-making model in electronic commerce: The role of trust, perceived risk, and their antecedents 1981Organizational Innovation: The Influence of Individual, Organizational, and Contextual Factors on Hospital Adoption of Technological and Administrative Innovations 1999An Integrated Model of Information Systems Adoption in Small Businesses 2004Electronic commerce adoption: an empirical study of small and medium US businesses 2003Electronic business adoption by European firms: a cross-country assessment of the facilitators and inhibitors 1995The Role of Interorganizational and Organizational Factors on the Decision Mode for Adoption of Interorganizational Systems*1965The process of technological innovation

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2013Perceived Barriers to E-commerce: Empirical Evidence from EU Countries

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