A Conceptual Framework on the Social Media Adoption Among Small and Medium Enterprises’ Managers in Indonesia

Abstract

The aim of this conceptual paper is to investigate the social media adoption by Indonesian small and medium enterprises (SME) managers. The proliferation of social media has changed the way enterprises market their products or services. A review of the literature shows there is lack of research investigating the adoption that systematically uses one theoretical model; and later putting the model in the context of the Small and Medium Enterprises in Indonesia. Most research on Social Media adoption by Small and Medium Enterprises used either technological acceptance models, or examined the characteristics of the enterprise. Both UTAUT (The Unified Theory of Acceptance and Use of Technology) and UTAUT2 have shown inconsistent results. This paper proposes a new model by decomposing the social influence with normative, coercive and mimetic pressures. In the proposed model, subjective norm is decomposed into normative pressure of employees, coercive pressure of customers and mimetic pressure of competitors. The framework contributes to the knowledge in the field of consumer behavior and technology acceptance research, by decomposing the construct of social influence. Secondly, and it tested the manager's characteristics of habit, age, gender and also the experience. It not only merely tested as moderators but also as a predictor of behavioral intention. The results of this study are also expected to benefit entrepreneurs and the government of the Republic of Indonesia in terms of assisting entrepreneurs to be more effective.