A Conceptual Framework of RFID Adoption in Retail Using TOE Framework

Abstract

Motivated by the need to understand the underlying antecedents of RFID adoption in retail, this study proposes and tests a framework predicting RFID adoption intent. Based on the TOE (technology-organization-environment) framework, this research develops and validates the research framework to examine the influence of twelve contextual factors under four broad categories (technological, organizational, environmental, and value-chain) on RFID adoption in retail. A structured study instrument is developed to measure these variables and data are collected from 74 experts spread across different business associations through Delphi technique. Multivariate discriminant analysis (MDA) is used to develop the conceptual framework for RFID adoption. The results indicate that relative advantage, competitive pressure, catalyst agent, and value chain complexity are significant determinants of RFID adoption in retail. It suggests that environmental characteristics are very important to be considered in RFID adoption studies along with technological and value chain characteristics.