Determinants of information technology adoption: an extension of existing models to firms in a developing country

Abstract

Advances in new information technology and changes in the global environment have made it increasingly difficult for organizations to make decisions regarding information technology adoption. Moreover, information systems in a global environment are influenced by different cultures, laws, information technology infrastructure, and the availability and role of skilled personnel. Information systems research has traditionally focused on organizations in US and UK without considering how these frameworks and models can be applied and extended to developing countries. In this study of 46 firms we examine the determinants of process-based information technology adoption in the Indian manufacturing sector. Although there are many differences like the type of organizations, and the technology available, between developing and developed countries, we found that factors that influence information technology adoption are similar. Our results showed that organizational factors like a firm’s culture and size, and environmental factors like competition faced by firms, government policies, and market forces like exchange rates and computer prices, have a significant impact on information technology adoption decisions made by firms. We also found that the role of management information systems personnel has a negative impact on adoption.