The Assimilation of RFID Technology by Chinese Companies: A Technology Diffusion Perspective

Abstract

RFID (Radio frequency identification) is an emerging technology that attracts attention of supply chain participants. However, most Chinese firms just adopt this innovation without fully utilizing its benefits. Extant IS research also only focuses on factors that impact its adoption rather than its post adoption. Assimilation theories suggest that most information technologies exhibit an “assimilation gap” which means the widespread usage tends to lag behind their adoption. Drawing upon the TOE framework, we investigate antecedents that influence RFID assimilation into these Chinese companies. Empirical results indicate factors including IT infrastructure, managerial capability, absorptive capacity and environmental uncertainty all have significant influence on RFID assimilation.

Keywords: Innovation assimilation, RFID technology, TOE framework, DOI theory