The Investigation of E-Marketplace Adoption by Small Medium Enterprises Using Individual-Technology- Organization-Environment (ITOE) Framework: A Case Study in Yogyakarta Province Indonesia
{"title":"The Investigation of E-Marketplace Adoption by Small Medium Enterprises Using Individual-Technology- Organization-Environment (ITOE) Framework: A Case Study in Yogyakarta Province Indonesia","authors":"Fahrizal Budiono, S. Lau, W. Tibben","doi":"10.17705/1PAIS.12403","DOIUrl":null,"url":null,"abstract":"Abstract Background: Small and medium enterprises (SMEs) in Indonesia have been encouraged by the Indonesian government to adopt e-marketplace platforms. However, the rate of e-marketplace adoption is shown to be low. In an effort to address the underlying issues this paper reports on the application of a modified form of the Technology-Environment-Organization framework that includes attributes of individual SME owner-managers. The application of the Individual- Technology-Organization-Environment (ITOE) framework is considered necessary given the overwhelming number of micro-SMEs that have one owner-manager and employ less than ten employees. The study takes a case study approach by studying e-marketplace adoption of SMEs in the province of Yogyakarta, a major city of Indonesia. Method: Using a survey instrument, data were collected using randomized sampling from SMEs in Yogyakarta and analyzed using the partial least squares method. Results: The results confirm the validity of the ITOE framework to this study context. The results also indicate that the Individual construct positively affects the organization construct in predicting e-marketplace adoption. The suitability of the ITOE framework for further application to other locations in Indonesia when investigating e-marketplace adoption by SMEs is validated. Conclusion: This study validates use of the ITOE framework in investigating e- marketplace adoption by SMEs in Indonesia. The ITOE framework can be operationalized for e-marketplace adoption, particularly when the research context has relevant factors to the individual context namely, where a predominance of micro-SMEs exists. Future research is to conduct a full-scale study of e- marketplace adoption in Indonesia. Recommended Citation Budiono, Fahrizal; Lau, S.; and Tibben, William J. (2020) \"The Investigation of E-Marketplace Adoption by Small Medium Enterprises Using Individual-Technology- Organization-Environment (ITOE) Framework: A Case Study in Yogyakarta Province Indonesia,\" Pacific Asia Journal of the Association for Information Systems: Vol. 12: Iss. 4, Article 3. DOI: 10.17705/1pais.12403 Available at: https://aisel.aisnet.org/pajais/vol12/iss4/3","PeriodicalId":43480,"journal":{"name":"Pacific Asia Journal of the Association for Information Systems","volume":null,"pages":null},"PeriodicalIF":2.4000,"publicationDate":"2020-06-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"6","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Pacific Asia Journal of the Association for Information Systems","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.17705/1PAIS.12403","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q2","JCRName":"INFORMATION SCIENCE & LIBRARY SCIENCE","Score":null,"Total":0}
引用次数: 6
Abstract
Abstract Background: Small and medium enterprises (SMEs) in Indonesia have been encouraged by the Indonesian government to adopt e-marketplace platforms. However, the rate of e-marketplace adoption is shown to be low. In an effort to address the underlying issues this paper reports on the application of a modified form of the Technology-Environment-Organization framework that includes attributes of individual SME owner-managers. The application of the Individual- Technology-Organization-Environment (ITOE) framework is considered necessary given the overwhelming number of micro-SMEs that have one owner-manager and employ less than ten employees. The study takes a case study approach by studying e-marketplace adoption of SMEs in the province of Yogyakarta, a major city of Indonesia. Method: Using a survey instrument, data were collected using randomized sampling from SMEs in Yogyakarta and analyzed using the partial least squares method. Results: The results confirm the validity of the ITOE framework to this study context. The results also indicate that the Individual construct positively affects the organization construct in predicting e-marketplace adoption. The suitability of the ITOE framework for further application to other locations in Indonesia when investigating e-marketplace adoption by SMEs is validated. Conclusion: This study validates use of the ITOE framework in investigating e- marketplace adoption by SMEs in Indonesia. The ITOE framework can be operationalized for e-marketplace adoption, particularly when the research context has relevant factors to the individual context namely, where a predominance of micro-SMEs exists. Future research is to conduct a full-scale study of e- marketplace adoption in Indonesia. Recommended Citation Budiono, Fahrizal; Lau, S.; and Tibben, William J. (2020) "The Investigation of E-Marketplace Adoption by Small Medium Enterprises Using Individual-Technology- Organization-Environment (ITOE) Framework: A Case Study in Yogyakarta Province Indonesia," Pacific Asia Journal of the Association for Information Systems: Vol. 12: Iss. 4, Article 3. DOI: 10.17705/1pais.12403 Available at: https://aisel.aisnet.org/pajais/vol12/iss4/3