The Moderating Role of Government Support on The Relationship between Owner Characteristic and E-Commerce Adoption by Micro Enterprises

Abstract

Electronic commerce (e-commerce) is one of the ways for micro enterprises to compete in promoting and selling products. But, the use of internet to sell products online by micro enterprises is still low. This study aims to investigate those factors that influence micro enterprises in adopting e-commerce from owner characteristics and the moderating role of government support on the relationship between owner characteristics and e-commerce adoption. Data were obtained from 100 respondents in Jabodetabek Region which are taken by purposive sampling method. Data were analyzed using Partial Least Square (PLS). Based on the results, it was found that owner characteristics have positive effect to e-commerce adoption. The interaction between government support and owner characteristics has no significant effect on the e-commerce adoption. Thus it can be concluded that there is no moderating role of goverment support on the relationship between owner characteristics and e-commerce adoption.