Development of Electronic Commerce Adoption Model based on Structural Equation Modeling Techniques
Advance Communication Technologies are playing a vital role in business today. In the world currently, many developing nations identified Small and Medium Scale organizations significantly important in counties’ economic development. But the contribution from the SME sector is considerably low. Therefore, addressing this issue is important in business development. Among many reasons identified as barriers for SMEs to perform, studies have identified that low usage or not using technologies like E-commerce effected to this low performance. Therefore, studies are conducted to identify barriers to use technology in SMEs and many frameworks are tested and verified in different domains. In this study mainly tested and varied a framework which is considering Information Technological factors effecting the adoption of E-commerce technology and how it is effected for SME development. In this study framework is developed using literature analysis and hypothesis are developed based on past studies in terms of Information Technology factors as a main consideration. Model testing part is done using Structural Equation Molding using IBM AMOS. At the end of the study proposed framework is modified with statistical results and finally presented a framework which can be considered as a framework to understand the Information Technology factors effecting the E-commerce adoption and SME development.
