An Integrated Model of Information Systems Adoption in Small Businesses

Journal of Management Information Systems, Vol. 15, No. 4, pp. 187-214, Spring 1999

28 Pages Posted: 25 Mar 2012 Last revised: 12 Jun 2014

Date Written: January 1, 1999

Abstract

Based on theories from the technological innovation literature, this study develops an integrated model of information systems (IS) adoption in small businesses. The model specifies contextual variables such as decision-maker characteristics, IS characteristics, organizational characteristics, and environmental characteristics as primary determinants of IS adoption in small businesses. A questionnaire survey was conducted in 166 small businesses. Data analysis shows that small businesses with certain CEO characteristics (innovativeness and level of IS knowledge), innovation characteristics (relative advantage, compatibility, and complexity of IS), and organizational characteristics (business size and level of employees' IS knowledge) are more likely to adopt IS. While CEO and innovation characteristics are important determinants of the decision to adopt, they do not affect the extent of IS adoption. The extent of IS adoption is mainly determined by organizational characteristics. Finally, the environmental characteristic of competition has no direct effect on small business adoption of IS.

Keywords: information systems, innovation theories, small business, technological innovation, technology adoption, CEO innovativeness

Suggested Citation

Thong, James Y.L., An Integrated Model of Information Systems Adoption in Small Businesses (January 1, 1999). Journal of Management Information Systems, Vol. 15, No. 4, pp. 187-214, Spring 1999, Available at SSRN: https://ssrn.com/abstract=1977980

James Y.L. Thong (Contact Author)

HKUST Business School ( email )

Clear Water Bay
Kowloon
Hong Kong

HOME PAGE: http://jthong.people.ust.hk/

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