Antecedents of e-business adoption level in the manufacturing sector
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Date
2006
Authors
Tan, Hua Chiang
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Abstract
The objective of this study is to analyze the relationship between key drivers and E-business adoption level in the manufacturing sector in Malaysia. This study was based on the Technological Innovation Model, which was developed by Tornatzky & Fleischer (1990, cited from Cata, 2003). Technological, organizational and environmental context are the main independent variables, while E-business adoption level is the dependent variable. Security, IT infrastructure and technical expertise are elements of the technological context in this study. Organizational context consists of top management support, strategic planning for E-business, organizational support and knowledge level of staff. Environmental context include customer pressure, competitor pressure, and regulatory. This is a descriptive study. A total of 350 sets of questionnaires were distributed to respondents via postal mail and electronic mail. From the discriminant analysis result, only five variables showed relationship with E-business adoption level. They are technical expertise, top management support, knowledge level, strategic plan for E-business and competitor pressure. The strongest significant effects on E-business adoption level are technical expertise and top management support. The findings of this study will let us understand the key driving factors that motivate decision makers on the adoption level of E-business. Under this condition, the management will ensure that they allocate their resources effectively either to adopt the E-business system or to upgrade their E-business system. Besides the manufacturing sector, the results of this research can also provide a guide for the organization to adopt at a desired level of E-business.
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Keywords
E-Business , Business Administration