PERSPECTIVE OF TECHNOLOGY, ORGANIZATION, AND ENVIRONMENT (TOE) ON THE ADOPTION OF E-COMMERCE BY SME IN TANGERANG REGENCY
DOI:
https://doi.org/10.31539/costing.v7i6.14172Keywords:
Technological Factors, Organizational Factors, Environmental Factors, Technology, Organization, and Environmental (TOE), Adoption to EcommerceAbstract
This study focuses on analyzing the technology, organization, and environment (TOE) factors that influence the adoption of e-commerce by SMEs in the fashion industry of Tangerang Regency. Utilizing a quantitative approach and structural equation modeling (SEM) analysis through SEM-PLS software, this research aims to investigate how these factors interact and impact the adoption of e-commerce technology. Data for the study were collected via an online questionnaire using Google Forms, distributed to active SMEs that primarily utilize the Shopee platform for their sales channels. A total of 210 responses were successfully gathered, representing the SME population within the fashion industry of Tangerang Regency. The findings indicate that technology factors, including aspects such as relative advantage and compatibility, significantly influence e-commerce adoption. Organizational factors, encompassing organizational readiness and top management support, also have a substantial impact on e-commerce adoption. Environmental factors, which include competitive pressure and vendor support from e-commerce platforms, contribute positively to the adoption of e-commerce. These findings provide a deeper understanding of the key factors affecting SMEs' adoption of e-commerce, particularly in the fashion sector and within the geographic context of Tangerang Regency. The implications of this research highlight the importance for SMEs to leverage TOE factors in strategizing the adoption of e-commerce technology to enhance business performance and capitalize on the vast potential of the digital market.
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Hendricks, S., & Mwapwele, S. D. (2023). A systematic literature review on the factors influencing e-commerce adoption in developing countries. Data and Information Management. https://doi.org/10.1016/j.dim.2023.100045
Hussein, L. A., Kiumarsi, S., Baharudin, A. S., & Hilmi, M. F. (2020). Factors Influencing the Intention to Continue using B2B e-Commerce in Manufacturing SMEs. Engineering, Technology and Applied Science Research, 10(2), 5528–5533. https://doi.org/10.48084/etasr.3373
Kalaitzi, D., & Tsolakis, N. (2022). Supply chain analytics adoption: Determinants and impacts on organisational performance and competitive advantage. International Journal of Production Economics, 248. https://doi.org/10.1016/j.ijpe.2022.108466
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Kim, S. H., Jang, S. Y., & Yang, K. H. (2017). Analysis of the Determinants of Software-as-a-Service Adoption in Small Businesses: Risks, Benefits, and Organizational and Environmental Factors. Journal of Small Business Management, 55(2), 303–325. https://doi.org/10.1111/jsbm.12304
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Purwandari, B., Otmen, B., & Kumaralalita, L. (2019). Adoption factors of e-marketplace and instagram for micro, small, and medium enterprises (MSMEs) in Indonesia. ACM International Conference Proceeding Series, 111–116. https://doi.org/10.1145/3352411.3352453
Qalati, S. A., Ostic, D., Sulaiman, M. A. B. A., Gopang, A. A., & Khan, A. (2022). Social Media and SMEs’ Performance in Developing Countries: Effects of Technological-Organizational-Environmental Factors on the Adoption of Social Media. SAGE Open, 12(2). https://doi.org/10.1177/21582440221094594
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Shim, S., Lee, B., & Kim, S. L. (2018). Rival precedence and open platform adoption: An empirical analysis. International Journal of Information Management, 38(1), 217–231. https://doi.org/10.1016/j.ijinfomgt.2017.10.001
Sila, I. (2019). Antecedents of electronic commerce in developing economies. Journal of Global Information Management, 27(1), 66–92. https://doi.org/10.4018/JGIM.2019010104
Siregar, S. (2017). Metode Penelitian Kuantitatif: dilengkapi dengan perbandingan perhitungan manual dan SPSS. Penerbit Kencana: Jakarta.
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Sutrisno, T. F. C. W. (2019). Relationship between Total Quality Management Element, Operational Performance and Organizational Performance in Food Production SMEs. Universitas Brawijaya Journal of Applied Management (JAM, 17(2), 285–294. https://doi.org/10.21776/ub.jam.2019.017.02.11
Teofilus, T., Sutrisno, T. F. C. W., Hongdiyanto, C., & Wananda, V. (2020). A study of indonesian online marketplace: Information processing theory paradigm. Journal of Distribution Science, 18(8), 75–87. https://doi.org/10.15722/jds.18.8.202008.75
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Abdulkarem, A., & Hou, W. (2021). The impact of organizational context on the levels of cross-border E-commerce adoption in Chinese SMEs: The moderating role of environmental context. Journal of Theoretical and Applied Electronic Commerce Research, 16(7), 2732–2749. https://doi.org/10.3390/jtaer16070150
Abdullahi, I. N., Husin, M. H., Baharudin, A. S., & Abdullah, N. A. (2022). Determinants of Facebook adoption and its impact on service-based small and medium enterprise performance in northwestern Nigeria. Journal of Systems and Information Technology, 24(3), 246–267. https://doi.org/10.1108/JSIT-11-2020-0249
Abed, S. S. (2020). Social commerce adoption using TOE framework: An empirical investigation of Saudi Arabian SMEs. International Journal of Information Management, 53. https://doi.org/10.1016/j.ijinfomgt.2020.102118
Ahani, A., Rahim, N. Z. A., & Nilashi, M. (2017). Forecasting social CRM adoption in SMEs: A combined SEM-neural network method. Computers in Human Behavior, 75, 560–578. https://doi.org/10.1016/j.chb.2017.05.032
Ahi, A. A., Sinkovics, N., & Sinkovics, R. R. (2023). E-commerce Policy and the Global Economy: A Path to More Inclusive Development? Management International Review, 63(1), 27–56. https://doi.org/10.1007/s11575-022-00490-1
Ainin, S., Parveen, F., Moghavvemi, S., Jaafar, N. I., & Shuib, N. L. M. (2015). Factors influencing the use of social media by SMEs and its performance outcomes. Industrial Management and Data Systems, 115(3), 570–588. https://doi.org/10.1108/IMDS-07-2014-0205
Alyoubi, A. A. (2015). E-commerce in Developing Countries and how to Develop them during the Introduction of Modern Systems. Procedia Computer Science, 65, 479–483. https://doi.org/10.1016/j.procs.2015.09.127
Andika, A., & Susanti, F. (2018). Pengaruh Marketing Mix Terhadap Keputusan Pembelian Parfum Di Azzwars Parfum Lubeg Padang. 1–13. https://doi.org/10.31227/osf.io/upgc3
Asanprakit, S., & Kraiwanit, T. (2023). Causal factors influencing the use of social commerce platforms. Journal of Open Innovation: Technology, Market, and Complexity, 9(4). https://doi.org/10.1016/j.joitmc.2023.100172
Awa, H. O., Ukoha, O., & Emecheta, B. C. (2016). Using T-O-E theoretical framework to study the adoption of ERP solution. Cogent Business and Management, 3(1). https://doi.org/10.1080/23311975.2016.1196571
Bening, S. A., Dachyar, M., Pratama, N. R., Park, J., & Chang, Y. (2023). E-Commerce Technologies Adoption Strategy Selection in Indonesian SMEs Using the Decision-Makers, Technological, Organizational and Environmental (DTOE) Framework. Sustainability (Switzerland), 15(12). https://doi.org/10.3390/su15129361
BPS. (2022). statistik-ecommerce-2022-2023.
BPS Kab Tangerang. (2022). PDRB Atas Dasar Harga Konstan 2010 Menurut Kategori Lapangan Usaha di Kabupaten Tangerang. https://tangerangkab.bps.go.id/indicator/52/116/1/pdrb-atas-dasar-harga-konstan-2010-menurut-kategori-lapangan-usaha-di-kabupaten-tangerang.html
Creswell, J. (2014). Research Design: Qualitative, Quantitative and Mixed Method Approaches: fourth edition. Sage Publication Inc.
Daoud, L., & Ibrahim, M. (2019). Daoud 2019. Journal of Advanced Research in Business and Management Studies.
Eze, S. C., Awa, H. O., Chinedu-Eze, V. C., & Eniola, A. (2023). Can location factors moderate the effects of the demographic composition of SME’s owner managers on the rate of mobile marketing technology (MMT) adoption? PLoS ONE, 18(8 August). https://doi.org/10.1371/journal.pone.0289734
Eze, S. C., Olatunji, S., Chinedu-Eze, V. C., Bello, A. O., Ayeni, A., & Peter, F. (2019). Determinants of perceived information need for emerging ICT adoption: A study of UK small service businesses. Bottom Line, 32(2), 158–183. https://doi.org/10.1108/BL-01-2019-0059
Ghobakhloo, M., Arias-Aranda, D., & Benitez-Amado, J. (2011). Adoption of e-commerce applications in SMEs. Industrial Management and Data Systems, 111(8), 1238–1269. https://doi.org/10.1108/02635571111170785
Ghozali, I. (2016). Aplikasi Analisis Multivariete Dengan Program IBM SPSS 23 . Badan Penerbit Universitas Diponegoro, Edisi 8(Semarang).
Google, T. dan B. (2023). Country spotlight: Indonesia.
Gupta, P., Zhang, F., Chauhan, S., Goyal, S., Bhardwaj, A. K., & Gajpal, Y. (2023a). Understanding small and medium enterprises’ behavioral intention to adopt social commerce: a perceived value perspective. Journal of Enterprise Information Management. https://doi.org/10.1108/JEIM-09-2022-0356
Gupta, P., Zhang, F., Chauhan, S., Goyal, S., Bhardwaj, A. K., & Gajpal, Y. (2023b). Understanding small and medium enterprises’ behavioral intention to adopt social commerce: a perceived value perspective. Journal of Enterprise Information Management. https://doi.org/10.1108/JEIM-09-2022-0356
Hair. (2010). Multivariate Data Analysis. In Prentice Hall (Seventh Ed).
Hair, J. F. Jr., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2017). A Primer on Partial Least Squares Structural Equation Modeling (PLS-SEM) Second Edition (Second Edition). SAGE Publications, Inc.
Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. In European Business Review (Vol. 31, Issue 1, pp. 2–24). Emerald Group Publishing Ltd. https://doi.org/10.1108/EBR-11-2018-0203
Heale, R., & Twycross, A. (2015). Validity and reliability in quantitative studies. In Evidence-Based Nursing (Vol. 18, Issue 3, pp. 66–67). BMJ Publishing Group. https://doi.org/10.1136/eb-2015-102129
Hendricks, S., & Mwapwele, S. D. (2023). A systematic literature review on the factors influencing e-commerce adoption in developing countries. Data and Information Management. https://doi.org/10.1016/j.dim.2023.100045
Hussein, L. A., Kiumarsi, S., Baharudin, A. S., & Hilmi, M. F. (2020). Factors Influencing the Intention to Continue using B2B e-Commerce in Manufacturing SMEs. Engineering, Technology and Applied Science Research, 10(2), 5528–5533. https://doi.org/10.48084/etasr.3373
Kalaitzi, D., & Tsolakis, N. (2022). Supply chain analytics adoption: Determinants and impacts on organisational performance and competitive advantage. International Journal of Production Economics, 248. https://doi.org/10.1016/j.ijpe.2022.108466
Katadata. (2024, January 10). 5 E-Commerce dengan Pengunjung Terbanyak Sepanjang 2023. https://databoks.katadata.co.id/datapublish/2024/01/10/5-e-commerce-dengan-pengunjung-terbanyak-sepanjang-2023
Kim, S. H., Jang, S. Y., & Yang, K. H. (2017). Analysis of the Determinants of Software-as-a-Service Adoption in Small Businesses: Risks, Benefits, and Organizational and Environmental Factors. Journal of Small Business Management, 55(2), 303–325. https://doi.org/10.1111/jsbm.12304
Koe, W. L., & Afiqah Sakir, N. (2020). The motivation to adopt e-commerce among Malaysian entrepreneurs. Organizations and Markets in Emerging Economies, 11(1), 189–202. https://doi.org/10.15388/omee.2020.11.30
Kominfo. (2020). Lampiran 2 Rancangan Rencana Strategis Kemenkominfo 2020-2024.
Kulathunga, K. M. M. C. B., Ye, J., Sharma, S., & Weerathunga, P. R. (2020). How does technological and financial literacy influence SME performance: Mediating role of ERM practices. Information (Switzerland), 11(6). https://doi.org/10.3390/INFO11060297
Lekmat, L. (2018). Antecedents of e-commerce adoption in Thai SMEs. In UTCC International Journal of Business and Economics (UTCC IJBE (Vol. 10, Issue 2).
Lim, S. C., Lim, S. P., & Trakulmaykee, N. (2018). An empirical study on factors affecting e-commerce adoption among SMEs in west Malaysia. Management Science Letters, 8(5), 381–392. https://doi.org/10.5267/j.msl.2018.4.008
Maroufkhani, P., Iranmanesh, M., & Ghobakhloo, M. (2022). Determinants of big data analytics adoption in small and medium-sized enterprises (SMEs). Industrial Management and Data Systems. https://doi.org/10.1108/IMDS-11-2021-0695
Matikiti, R., Mpinganjira, M., & Roberts-Lombard, M. (2018). Application of the Technology Acceptance Model and the Technology–Organisation–Environment Model to examine social media marketing use in the South African tourism industry. SA Journal of Information Management, 20(1). https://doi.org/10.4102/sajim.v20i1.790
McKinsey. (2023). McKinsey Explainers.
Oliveira, T., Thomas, M., & Espadanal, M. (2014). Assessing the determinants of cloud computing adoption: An analysis of the manufacturing and services sectors. Information and Management, 51(5), 497–510. https://doi.org/10.1016/j.im.2014.03.006
Purwandari, B., Otmen, B., & Kumaralalita, L. (2019). Adoption factors of e-marketplace and instagram for micro, small, and medium enterprises (MSMEs) in Indonesia. ACM International Conference Proceeding Series, 111–116. https://doi.org/10.1145/3352411.3352453
Qalati, S. A., Ostic, D., Sulaiman, M. A. B. A., Gopang, A. A., & Khan, A. (2022). Social Media and SMEs’ Performance in Developing Countries: Effects of Technological-Organizational-Environmental Factors on the Adoption of Social Media. SAGE Open, 12(2). https://doi.org/10.1177/21582440221094594
Sekaran, U., & Bougie, R. (2016). Reseach Methods For Business: A Skill Building Approach, 7th Edition. New Jersey: Wiley.
Shim, S., Lee, B., & Kim, S. L. (2018). Rival precedence and open platform adoption: An empirical analysis. International Journal of Information Management, 38(1), 217–231. https://doi.org/10.1016/j.ijinfomgt.2017.10.001
Sila, I. (2019). Antecedents of electronic commerce in developing economies. Journal of Global Information Management, 27(1), 66–92. https://doi.org/10.4018/JGIM.2019010104
Siregar, S. (2017). Metode Penelitian Kuantitatif: dilengkapi dengan perbandingan perhitungan manual dan SPSS. Penerbit Kencana: Jakarta.
Soedewa, J. L., Febry, T., & Soetedja, V. (2021). HUBUNGAN TAM FACTORS TERHADAP ATTITUDE TOWARDS MOBILE APP USE. In PERFORMA: Jurnal Manajemen dan Start-Up Bisnis (Vol. 6, Issue 6).
Statista. (2023, December 3). Leading e-commerce segments in Indonesia in 2022, by market share. Statista. https://www.statista.com/statistics/1176778/indonesia-leading-e-commerce-segments-market-share/
Sugiyono. (2013). Metode Penelitian Pendidikan (Pendekatan Kuantitatif, Kualitatif dan R&D). Bandung: Alfabeta.
Sutrisno, T. F. C. W. (2019). Relationship between Total Quality Management Element, Operational Performance and Organizational Performance in Food Production SMEs. Universitas Brawijaya Journal of Applied Management (JAM, 17(2), 285–294. https://doi.org/10.21776/ub.jam.2019.017.02.11
Teofilus, T., Sutrisno, T. F. C. W., Hongdiyanto, C., & Wananda, V. (2020). A study of indonesian online marketplace: Information processing theory paradigm. Journal of Distribution Science, 18(8), 75–87. https://doi.org/10.15722/jds.18.8.202008.75
Tornatzky, L. G., & Fleischer, M. (1990). The Processes of Technological Innovation. Lexington Books.
Triyono. (2018). Teknik Sampling Dalam Penelitian Sosial. Lokakarya Penelitian Sosial Fakultas Adab IAIN Suka Yogyakarta. https://doi.org/https://doi.org/10.13140/RG.2.2.19674.24003
Yadegaridehkordi, E., Nilashi, M., Shuib, L., Hairul Nizam Bin Md Nasir, M., Asadi, S., Samad, S., & Fatimah Awang, N. (2020). The impact of big data on firm performance in hotel industry. Electronic Commerce Research and Applications, 40. https://doi.org/10.1016/j.elerap.2019.100921
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2024-12-31
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