Barriers to E-Commerce Adoption and Implementation Strategy: Empirical Review of Small and Medium-Sized Enterprises in Ghana
Modzi Socrates Kwadwo *
School of Management and Economics, University of Electronic Science and Technology of China, No. 2006, Xiyuan Ave, West Hi-Tech Zone, 611731, Chengdu, Sichuan, People’s Republic of China and Department of Statistics, University for Development Studies, P.O.Box TL 1350, Tamale, Ghana
Ankrah Twumasi Martinson
School of Management and Economics, University of Electronic Science and Technology of China, No. 2006, Xiyuan Ave, West Hi-Tech Zone, 611731, Chengdu, Sichuan, People’s Republic of China
Twum Teddy Evans
School of Management and Economics, University of Electronic Science and Technology of China, No. 2006, Xiyuan Ave, West Hi-Tech Zone, 611731, Chengdu, Sichuan, People’s Republic of China
Asamoah Esther
School of Management and Economics, University of Electronic Science and Technology of China, No. 2006, Xiyuan Ave, West Hi-Tech Zone, 611731, Chengdu, Sichuan, People’s Republic of China
*Author to whom correspondence should be addressed.
Abstract
Most of the Small and Medium-sized Enterprises (SMEs) in the developing countries are yet to espouse and witness the full potential of electronic commerce (e-commerce) in their business operations despite its popularity in the developed countries. SMEs indispensable role in economic growth regarding employment creation and their contribution to GDP is globally acknowledged. A successful adoption and implementation of e-commerce may be the catalyst for the economic growth of Ghana and many developing countries. Unfortunately, the application of e-commerce by the SME sector in Ghana lacks depth and has been scrimpy. Numerous reasons and factors account for the low adoption rate of e-commerce by Ghanaian SMEs. This study aspires to address this scantiness by investigating e-commerce adoption models to overcome the barriers that confront the SME sector in their quest to adopt and implement e-commerce. Unstructured and face-to-face interviews, web-site and document analysis were the methods of data collection. Quantitative approaches using questionnaires with 120 respondents were used for the data analysis. To determine these factors, both adopters and non-adopters of e-commerce in the SME sector were tasked to select and discuss their major inhibiting factors in their adoption and implementation of e-commerce. Financial barrier was the most relevant among the six group of barriers. However, technical and Internet security prove to impede the adoption too. Thus to stimulate the adoption of e-commerce to increase productivity and enhance global competiveness, stakeholders and the government should invest in e-commerce and its components.
Keywords: Barrier, E-commerce, SME, adoption, implementation