Case Studies of E-commerce Adoption in Indonesian SMEs: The Evaluation of Strategic Use

Abstract

The use of e-commerce in small medium-sized enterprises (SMEs) has become an important topic in information systems research. At present, there is a large number of well-documented benefits derived from e-commerce for small-medium enterprises (SMEs) both in theoretical and practical literature. Despite the enormous attention given to encourage SMEs to adopt e-commerce both by academics as well as governments, little research has been carried out in identifying strategies of e-commerce adoption for SMEs in developing countries, especially Indonesia. It is, therefore, the aim of this paper to understand the factors and combinations of factors that SMEs need to be considered before embracing e-commerce into their business by providing a closer look at actual experience of Indonesian SMEs. Case study research was carried out to analyse and explain the underlying factors that are likely to determine the varying extent of e-commerce adoption in SMEs, especially the service sector. The findings of the case studies have further extended into the development of proposed practical framework to illustrate how e-commerce adoption should be carried out from a strategic perspective.