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Information Need and Its Impact on the Adoption of E-Commerce Tools in the Small Business Sector in Western Australia
Abstract
Despite the demonstrated advantages of Information Technology (IT) and e-commerce, worldwide evidence suggests that the adoption of e-commerce is uneven among businesses. While the varying degrees of adoption of IT and the ensuing digital divide issues generally have been widely debated (Chanda 2000; Hoffman, Novak et al. 2000; NOIE 2000), much less research has been done into the factors that moderate the adoption of these tools by the business sector. For businesses, the assumption appears to be that operational efficiency will mandate the use of computers and business and market forces will dictate the use of the Internet. Broad-based information suggests that adoption of computers and Internet connectivity have been high among Australian businesses but such connectivity has not translated into business transactions (Venkatesan & Fink 2002). Among small businesses, studies show there is still a low level of adoption of e-commerce (Poon & Strom 1997; Akkeren & Cavaye 2000). Like most OECD countries, Australia has a dominant small business sector and this sector is the backbone of its economy in terms of innovation and employment generation (ABS 1997). Thus, the adoption or non-adoption of e-commerce by this sector has the potential to significantly impact on the overall use of e-commerce. Data from Australian business sector suggests a higher rate of computer usage and Internet connectivity compared to UK and Europe (NOIE 2000). However, there is concern within national agencies about the poor uptake of e-commerce and possible loss of business opportunities (CSIRO 1999).
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