Abstract

ABSTRACT Discontinuance intention has been reported as a major concern in the context of manufacturing SMEs. This study examines why user SMEs decide to discontinue the incumbent technology. The study employed the theoretical lens of diffusion of innovation theory, disenchantment-enchantment model, and technology-organization-environment model to develop an integrated Expectation-Reality gap (E-R gap) framework. The research model was examined using data gathered through a cross-sectional survey of 300 SMEs in the Indian manufacturing industry. We found E-R gap in compatibility, technology cost, government support, and ease of use are key reasons for the post-adoption disenchantment of SMEs. Further, we found that disenchanted SMEs’ discontinuance intentions are quite strong, and they are more likely to quit from adopted technology shortly. Information systems (IS) researchers can extend the E-R gap model to assess the phenomena of discontinuance intentions in other NIE contexts. Implications for research and practice are discussed.

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