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Exploring SME Internet Adoption: Towards a Contingent Model 

Authors: Margi Levy a; Philip Powell b
Affiliations:   a (orsml@wbs.warwick.ac.uk) Warwick Business School.
b (mnspp@management.bath.ac.uk) The School of Management at the University of Bath.
DOI: 10.1080/1019678032000067163
Publication Frequency: 4 issues per year
Published in: journal Electronic Markets, Volume 13, Issue 2 June 2003 , pages 173 - 181
Formats available: PDF (English)

The circumstances under which this title is published have changed:

Reason for change: Change of Publisher
Now published by: Springer
Date of change: 2009

View Article: View Article (PDF) View Article (PDF)


Abstract

Internet adoption, in both large and small firms (SMEs), is promoted as a means to improve competitiveness. The European Union and various national governments encourage Internet adoption predicated upon an 'adoption ladder' or stages model. This model only requires that the business starts on the bottom rung of the ladder for upward progression to then begin. There is, however, little research that supports such a stages model. Therefore, this paper questions current thinking that small firms progress through a 'stages of growth' model in their use of the Internet. Twelve SME cases are investigated. Outcomes suggest that the majority only perceive value in email and possibly a marketing website. However, some SMEs see strategic potential and will invest in e-business. The paper suggests that owners' recognition of the business value of the Internet combined with their attitude to business growth are key factors in determining Internet adoption strategies. Thus, SMEs will aim for specific adoption strategies to satisfy these requirements rather than follow a stages model. A 'transporter' model is developed to reflect the drivers identified and its implications discussed.
Keywords: Internet; Sme; Models
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