E-commerce adoption in Malaysian Small and Medium Enterprises Practitioner Firms: A revisit on Rogers' model

Abstract

The current climate of business necessitates competitions that are often tough and unpredictable. All organizations, regardless their size and scope of operation, are facing severe competitive challenges. In order to cope with this phenomenon, managers are turning to e-commerce in their respective organizations. The present study hinges upon exploring and explaining the different dimensions of the adoption of e-commerce among Small and medium enterprises, based on the Five Factors of Diffusion of Innovation Model derived by Rogers. In this study, however, we employed the survey methods. A questionnaire was distributed to 1,200 managers and employees in the manufacturing, service and agricultural sectors by email; with a response rate of 10%. The results gleamed from this study posits that relative advantage is influential vis-à-vis e-commerce adoption. Trialability and Observability factors affect the level of confidence of management, which in turn, influences e-commerce adoption. Meanwhile, the existing culture of a company affects the resistance of employees, which in turn negatively effects the e-commerce adoption, while complexity does not significantly influence the e-commerce adoption.