Factors influencing the implementation of e-commerce innovations: The case of the Nigerian informal sector

Abstract

This paper investigated the factors influencing e-commerce adoption amongst small enterprises in Southwestern Nigeria with a view to contributing to debates on technological adoption in the informal sector.Primary data were collected from 387 enterprises engaged in furniture works, leather products, clothing and textiles through the use of questionnaire that were administered using multistage and simple random sampling technique. Data were analysed using logistic regression.The result showed that the significant technological factors influencing e-commerce adoption were the number of employees with ICT background (r = 0.654; p < 0.05), accessibility to good quality Internet bandwidth (r = 0.826; p < 0.05) and the availability of Internet security technologies (r = 0.809; p < 0.05) amongst others. The significant non-technological factors were basically e-readiness of customer and supplier for e-commerce (r = 0.612; p < 0.05), government policies (r = 0.684; p < 0.05) and the attitude of the owner of the enterprise towards e-commerce adoption (r = 0.598; p < 0.05). In addition, the non- technological factors had different influences on adoption when the enterprises were analysed by sector.The study concluded that factors influencing e-commerce adoption differs across the different categories of business in the informal sector; hence, there is the need for individual reassessment when designing policy towards technological adoption amongst small enterprises.

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