The aim of this study is to investigate those factors that influence SMEs in developing countries in adopting e-commerce. This study is motivated by the fact that the adoption of e-commerce by SMEs, especially in developing countries, is still very far behind the adoption by large companies. Yet to be able to survive in the new economic era, which is the information era; businesses, including SMEs, are forced to adopt e-commerce. Non-adopters will be left behind by the adopters. In addition, studies regarding e-commerce adoption by SMEs are rarely found. Therefore, the results of this study provide a timely understanding of e-commerce adoption by SMEs in developing countries. The model developed in this study is based on the TOE framework. Eleven variables are proposed as the factors that influence SMEs in adopting of e-commerce. These are organized into four groups, namely: technological factors, organizational factors, environmental factors and individual factors. Based on a survey of 292 Indonesian SMEs, it was found that perceived benefits, technology readiness, owners' innovativeness, owners' IT ability and owners' IT experience are the determinant factors that influence Indonesian SMEs in their adopting ecommerce.
This study aims to provide an overview of e-commerce adoption by SMEs in developing countries and, in particular, the extent of the adoption of e-commerce by Indonesian SMEs. It identifies the e-commerce benefits realized by these SMEs and investigates the relationship between the levels of e-commerce adoption and the benefits thus realized. The study was motivated by the limited studies related to e-commerce adoption by SMEs, especially in developing countries. In addition, it seems that most e-commerce studies are focused more on upstream issues: to see the factors that facilitate, or barriers faced regarding e-commerce adoption, rather than downstream issues: to see post-adoption benefits. This certainly limits our understanding about e-commerce adoption by SMEs in developing countries, as well as the post-adoption benefits of e-commerce. Indonesia was chosen as the place in which to conduct the study. A survey of 292 SMEs shows that the majority of them are still at an early stage in their adoption of e-commerce. Their use of e-commerce is dominated by marketing and purchasing and procurement activities. ''Extending market reach'', ''increased sales'', ''improved external communication'', ''improved company image'', ''improved speed of processing'', and ''increased employee productivity'' are reported as the top six e-commerce benefits perceived by these SMEs.
Given the world wide predominance of the small to medium sized enterprise (SME) we should consider whether we need to segment and target our marketing knowledge, practice and attitudes towards this business type. It is argued that we need to be able to develop entrepreneurship within the context of marketing, and marketing within the context of entrepreneurship in order that we are able to understand fully that most common of business forms – the small firm. This implies that we should consider how much of our existing marketing knowledge is appropriate to the SME and how much needs to be rethought and adapted. The body of work by colleagues in what could be described as the “marketing entrepreneurship interface” demonstrates both appropriate concerns and potential solutions. As such it represents a solid start to a debate in which we hope that many of our marketing colleagues will join.
The electric utility business has traditionally been very capital-intensive. In the last 10 years, however, fuel costs have escalated at a faster rate than all other cost components. To minimize its fuel cost expenditures, Southern Company installed a comprehensive operational-planning software package to forecast system loads, optimally schedule thermal and hydro units, and estimate future prices of power transactions. The heart of the package is the Wescouger optimization program, designed by the Advanced System Technology division of ABB Power Systems, Inc. By using state-of-the-art dynamic programming and branch-and-bound techniques, Wescouger has helped Southern Company save over $140 million in fuel costs over the past seven years. Today, this optimization software is one of the key scheduling tools used at the control center in Birmingham to fulfill the pool's most important responsibility—to deliver electricity to customers in the most reliable and least costly manner.
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