Determinants of e-communication adoption: The internal push versus external pull factors

Abstract

Firms are engaging in the adoption and implementation of electronic communication tools to facilitate exchange between partners. Although extant studies have argued that market orientation is one of the key forces in driving a firm's adoption of innovation, the current study based on the responses of senior managers in four industries suggests otherwise in the context of e-communication adoption. In particular, we examine a firm's adoption of e-communication based on two forces: (1) internal push factors, namely customer orientation and competitor orientation, and (2) external pull factors, namely customer pressure and normative pressure. Structural equation modeling is used to test the model. Our findings indicate that external factors, particularly customer pressure and normative pressure, are far more critical in driving the intensity of e-communication adoption than internal factors. The results suggest a reactive nature of organizations' behavior towards the adoption of e-communication.

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