The Impact of the Technological Environment on Information and Communication Technology Adoption among Small and Medium Enterprises

Abstract

"Purpose of the study: To investigate the impact of the technological environment on ICT adoption among SMEs. Design/methodology/approach: Data collection was facilitated through a questionnaire. A quantitative approach was administered to 200 SMEs in the Free State region using quota sampling. The Statistical Package for Social Sciences (SPSS) was used to conduct descriptive and inferential analyses such as factor analysis, correlation and regression analyses. Findings: Through correlation and multiple linear regression analysis, the results showed a positive impact of technological environment factors (relative advantage and compatibility). It was found that there is a moderate positive relationship and that relative advantage and compatibility impact ICT adoption. Recommendations/value: Studying the technological and environmental factors influencing ICT adoption in SMEs can highlight disparities in access and use of ICT within these businesses. Understanding these disparities might lead to developing policies to reduce the digital divide among SMEs. This could promote more equitable access to technology, fostering growth and innovation in smaller enterprises. Implications: This study implies that the technological environment significantly impacts SMEs' adoption of ICT."