The Critical Review on the Adoption of ICTs in the Small and Medium Enterprises (SMEs) in the Developing Countries
Keywords:
ICTs Adoption, Critical Success Factors on the ICTs Adoption & SMEs.
Abstract
The Small and Medium Enterprises (SMEs) are considered as the mainstay of the economy, whereas the Information and Communication Technologies (ICTs) is regarded as unitary of the major drivers for SMEs. The function of the ICT is to ensure that as far as the organizations are concerned, their strategy and design, innovation of new products, services, processes, productivity, expansion of market size, improvement of product qualities, enhancement of performance and, development, as well as supporting business competitiveness can be executed accordingly. However, debates about the efficient uses of ICTs by SMEs in developing nations are being discussed and reported widely. Therefore, this study analyzes the critical success factors on the ICTs adoption in the SMEs globally focusing on Oman. Questionnaire survey is conducted among the managers of the SMEs. It is found that the effective adoption of ICTs in the SMEs is caused by a number of success factors including among others limited access to markets and, finance, lack of awareness to global markets, unfriendly business environment, poor management skills and lack of updated technology. complication of the bureaucracy process, as well as lack of training relating to basic business.
References
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Campo, S., Rubio, N., & Yagüe, M. J. (2010). Information technology use and firm's perceived performance in supply chain management. Journal of Business-to-Business Marketing, 17(4), 336-364.
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Díaz-Chao, Á., Sainz-González, J., & Torrent-Sellens, J. (2015). ICT, innovation, and firm productivity: New evidence from small local firms. Journal of Business Research, 68(7), 1439-1444. doi:http://dx.doi.org/10.1016/j.jbusres.2015.01.030
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Hassan, S., Shiratuddin, N., & Ab Salam, S. N. (2015). Social media as persuasive technology for business in Malaysia. International Journal of E-Business Research (IJEBR), 11(2), 18-39.
Higón, D. A. (2012). The impact of ICT on innovation activities: Evidence for UK SMEs. International Small Business Journal, 30(6), 684-699.
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Ollo-López, A., & Aramendía-Muneta, M. E. (2012). ICT impact on competitiveness, innovation and environment. Telematics and Informatics, 29(2), 204-210.
Ongori, H., & Migiro, S. O. (2010). Information and communication technologies adoption in SMEs: literature review. Journal of Chinese Entrepreneurship, 2(1), 93-104.
Pilat, D. (2005). The ICT productivity paradox. OECD economic studies, 2004(1), 37-65.
Rahayu, R., & Day, J. (2015). Determinant factors of e-commerce adoption by SMEs in developing country: evidence from Indonesia. Procedia-social and behavioral sciences, 195, 142-150.
Ramayah, T., Ling, N. S., Taghizadeh, S. K., & Rahman, S. A. (2016). Factors influencing SMEs website continuance intention in Malaysia. Telematics and Informatics, 33(1), 150-164.
Selamat, Z., Jaffar, N., & Kadir, H. A. (2013). Information Technology Adoption in Malaysian SMEs. International Journal of Economic Perspectives, 7(4), 81.
Sila, I. (2013). Factors affecting the adoption of B2B e-commerce technologies. Electronic commerce research, 13(2), 199-236.
Skoko, H., Buerki, L., & Ceric, A. (2007). Empirical evaluation of ICT adoption in Australian SMEs: Systemic approach. IEEE, Harbin, China, January, 15-18.
Stockdale, R., Ahmed, A., & Scheepers, H. (2012). Identifying Business Value From The Use Of Social Media: An Sme Perspective. Paper presented at the PACIS.
Taiminen, H. M., & Karjaluoto, H. (2015). The usage of digital marketing channels in SMEs. Journal of small business and enterprise development, 22(4), 633-651.
Tarutė, A., & Gatautis, R. (2014). ICT impact on SMEs performance. Procedia-social and behavioral sciences, 110, 1218-1225.
Yu, Y., Wang, X., Zhong, R. Y., & Huang, G. Q. (2016). E-commerce logistics in supply chain management: Practice perspective. Procedia CIRP, 52, 179-185.
Yusuf, A. A. (2013). Impact of ICT on SMEs: case Rwanda. Thesis submitted to the department of International Business Management, Turku University of Applied Science, Finland.
Zaidan, E. (2017). Analysis of ICT usage patterns, benefits and barriers in tourism SMEs in the Middle Eastern countries: The case of Dubai in UAE. Journal of Vacation Marketing, 23(3), 248-263.
Al-Jaghoub, S., & Westrup, C. (2003). Jordan and ICT-led development: towards a competition state? Information Technology & People, 16(1), 93-110.
Al-Qirim, N. A. (2004). Electronic commerce in small to medium-sized enterprises: Frameworks, issues, and implications: Igi Global.
Alam, S. S., & Noor, M. K. M. (2009). ICT adoption in small and medium enterprises: An empirical evidence of service sectors in Malaysia. International Journal of Business and Management, 4(2), 112.
Apulu, I., & Ige, E. O. (2011). Are Nigeria SMEs Effectively Utilizing ICT? International Journal of Business and Management, 6(6), 207.
Apulu, I., Latham, A., & Moreton, R. (2011). Factors affecting the effective utilisation and adoption of sophisticated ICT solutions: Case studies of SMEs in Lagos, Nigeria. Journal of Systems and Information Technology, 13(2), 125-143.
Ashrafi, R., & Murtaza, M. (2008). Use and impact of ICT on SMEs in Oman. Electronic Journal of Information Systems Evaluation, 11(3).
Ashrafi, R., & Murtaza, M. (2010). ICT adoption in SME in an Arab GCC Country Oman. E-strategies for resource management systems: Planning and implementation, 371-376.
Ashrafi, R., Sharma, S. K., Al-Badi, A. H., & Al-Gharbi, K. (2014). Achieving business success through information and communication technologies adoption by small and medium enterprises in Oman. Middle-East Journal of Scientific Research, 22(1), 138-146.
Bayo-Moriones, A., Billón, M., & Lera-López, F. (2013). Perceived performance effects of ICT in manufacturing SMEs. Industrial Management & Data Systems, 113(1), 117-135.
Brandwatch. (2018). 121 Amazing Social Media Statistics and Facts. Retrieved from https://www.brandwatch.com/blog/amazing-social-media-statistics-and-facts/
Bunker, D., & MacGregor, R. (2000). Successful generation of information technology (IT) requirements for small/medium enterprises (SME’s)–cases from regional Australia. Paper presented at the Proceedings of SMEs in a Global Economy.
Campo, S., Rubio, N., & Yagüe, M. J. (2010). Information technology use and firm's perceived performance in supply chain management. Journal of Business-to-Business Marketing, 17(4), 336-364.
Consoli, D. (2012). Literature analysis on determinant factors and the impact of ICT in SMEs. Procedia-social and behavioral sciences, 62, 93-97.
Díaz-Chao, Á., Sainz-González, J., & Torrent-Sellens, J. (2015). ICT, innovation, and firm productivity: New evidence from small local firms. Journal of Business Research, 68(7), 1439-1444. doi:http://dx.doi.org/10.1016/j.jbusres.2015.01.030
Eze, N. M., Ayigbe, S. F., Eberechi, O. O., & Jordan, N. (2015). Information and communication technology applications in small and medium scale enterprises (Smes) funding in Nigeria: An impact assessment. International Journal of Finance and Accounting, 4(5), 293-303.
Hak-Su, K. (2007). Small and medium enterprises and ICT.
Hassan, S., Shiratuddin, N., & Ab Salam, S. N. (2015). Social media as persuasive technology for business in Malaysia. International Journal of E-Business Research (IJEBR), 11(2), 18-39.
Higón, D. A. (2012). The impact of ICT on innovation activities: Evidence for UK SMEs. International Small Business Journal, 30(6), 684-699.
Jones, N., Borgman, R., & Ulusoy, E. (2015). Impact of social media on small businesses. Journal of small business and enterprise development, 22(4), 611-632.
Kaplan, A. M., & Haenlein, M. (2010). Users of the world, unite! The challenges and opportunities of Social Media. Business horizons, 53(1), 59-68.
Kapurubandara, M. (2008). A model to eTransform SMEs in Developing Countries. Paper presented at the Information and Automation for Sustainability, 2008. ICIAFS 2008. 4th International Conference on.
Kollberg, M., & Dreyer, H. (2006). Exploring the impact of ICT on integration in supply chain control: a research model. Paper presented at the Proceedings of the 2006 EurOMA Conference in Strathclyde, Scotland.
Kotler, P., & Armstrong, G. (2008). Principles of marketing. 12. painos. New Jersey, Person Education Inc.
Manochehri, N. N., Al‐Esmail, R. A., & Ashrafi, R. (2012). Examining the impact of information and communication technologies (ICT) on enterprise practices: A preliminary perspective from Qatar. The Electronic Journal of Information Systems in Developing Countries, 51(1), 1-16.
McCann, M., & Barlow, A. (2015). Use and measurement of social media for SMEs. Journal of small business and enterprise development, 22(2), 273-287.
Nica, E. (2015). Environmentally sustainable transport and e-commerce logistics. Economics, Management And Financial Markets, 10(1), 86.
Ollo-López, A., & Aramendía-Muneta, M. E. (2012). ICT impact on competitiveness, innovation and environment. Telematics and Informatics, 29(2), 204-210.
Ongori, H., & Migiro, S. O. (2010). Information and communication technologies adoption in SMEs: literature review. Journal of Chinese Entrepreneurship, 2(1), 93-104.
Pilat, D. (2005). The ICT productivity paradox. OECD economic studies, 2004(1), 37-65.
Rahayu, R., & Day, J. (2015). Determinant factors of e-commerce adoption by SMEs in developing country: evidence from Indonesia. Procedia-social and behavioral sciences, 195, 142-150.
Ramayah, T., Ling, N. S., Taghizadeh, S. K., & Rahman, S. A. (2016). Factors influencing SMEs website continuance intention in Malaysia. Telematics and Informatics, 33(1), 150-164.
Selamat, Z., Jaffar, N., & Kadir, H. A. (2013). Information Technology Adoption in Malaysian SMEs. International Journal of Economic Perspectives, 7(4), 81.
Sila, I. (2013). Factors affecting the adoption of B2B e-commerce technologies. Electronic commerce research, 13(2), 199-236.
Skoko, H., Buerki, L., & Ceric, A. (2007). Empirical evaluation of ICT adoption in Australian SMEs: Systemic approach. IEEE, Harbin, China, January, 15-18.
Stockdale, R., Ahmed, A., & Scheepers, H. (2012). Identifying Business Value From The Use Of Social Media: An Sme Perspective. Paper presented at the PACIS.
Taiminen, H. M., & Karjaluoto, H. (2015). The usage of digital marketing channels in SMEs. Journal of small business and enterprise development, 22(4), 633-651.
Tarutė, A., & Gatautis, R. (2014). ICT impact on SMEs performance. Procedia-social and behavioral sciences, 110, 1218-1225.
Yu, Y., Wang, X., Zhong, R. Y., & Huang, G. Q. (2016). E-commerce logistics in supply chain management: Practice perspective. Procedia CIRP, 52, 179-185.
Yusuf, A. A. (2013). Impact of ICT on SMEs: case Rwanda. Thesis submitted to the department of International Business Management, Turku University of Applied Science, Finland.
Zaidan, E. (2017). Analysis of ICT usage patterns, benefits and barriers in tourism SMEs in the Middle Eastern countries: The case of Dubai in UAE. Journal of Vacation Marketing, 23(3), 248-263.
Published
2019-12-15
How to Cite
Busaidi, N. S. A., Bhuiyan, A. B., & Zulkifli, N. (2019). The Critical Review on the Adoption of ICTs in the Small and Medium Enterprises (SMEs) in the Developing Countries. International Journal of Small and Medium Enterprises, 2(2), 33-40. https://doi.org/10.46281/ijsmes.v2i2.437
Section
Original Articles/ Short Communications
Copyright (c) 2019 Nasser Saif Al Busaidi,Abul Bashar Bhuiyan,Norhayah Zulkifli
This work is licensed under a Creative Commons Attribution 4.0 International License.
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