An integrated solution to the adoption of electronic market in Australian small-and-medium sized enterprises
Creators: name: Duan, Sophia
Publisher: name: RMIT University
Year: 2024

description: An electronic market (e-Market) is an internet-based information system that allows buyers and sellers to exchange goods, services or information online. It has been becoming increasingly popular due to its potential benefits to business, especially to small-and-medium sized enterprises (SMEs), including strengthened customer relationships, ease of reaching targeted markets, improved efficiency, reduced costs, and greater competitive advantages. The potential of e-Market for Australian SMEs, however, has not been fully utilized. A majority of Australian SMEs have not made use of an e-Market, and those who have adopted e-Market have not moved beyond the entry-level adoption. <br><br>This study aims to provide Australian SMEs with an integrated solution for successfully conducting their electronic business. Such a solution includes (a) the identification of the emerging patterns and the critical determinants for the adoption of e-Market in Australian SMEs and (b) the development of an effective approach for the evaluation and selection of the most appropriate e-Market for electronic business in a given situation. <br><br>To adequately achieve the objectives above, this study adopts a two-stage approach. In the first stage, a mixed-method approach is used for investigating the emerging patterns and the critical determinants for the adoption of e-Market in Australian SMEs. Through using survey and interview, a proposed model is tested and validated for the adoption of e-Market in Australian SMEs within the technology-organization-environment framework using structural equation modelling and logistic regression analysis. In the second stage, an effective approach is developed by integrating data envelopment analysis, multi-criteria analysis, and fuzzy logic for effectively assisting SMEs in their evaluation and selection of the most appropriate e-Market for electronic business. <br><br>The study shows a positive relationship between the perceived direct benefit, top management support, external pressure, perceived trust and the adoption of e-Market in Australian SMEs. Furthermore it also shows that the perceived indirect benefit and the organization readiness are insignificant to the adoption of e-Market. This leads to the development of an alternative model for better understanding the underlying reasons for such insignificant relationships by considering the indirect influence of the determinants on the adoption of e-Market. Such a model confirms that the perceived direct benefit, perceived trust and external pressure are critical for affecting the top management’s decision in e-Market adoption in Australian SMEs. <br><br>This study makes a major contribution to the e-Market research from both theoretical and practical perspectives. Theoretically the study develops a validated model for better understanding the adoption of e-Market in Australian SMEs and provides SMEs with an effective approach for their selection of the most appropriate e-Market for electronic business. Practically, the study leads to several major findings which are valuable to various stakeholders in electronic business. Specifically those findings can (a) help government departments formulate specific policies and strategies in electronic business for SMEs, (b) provide SMEs with useful information and guidelines for assisting the development of doable strategies for successfully participating in e-Market, and (c) offer e-Market operators useful information for developing sustainable e-Market in an increasingly competitive online environment.<br>