Factors Determining Social Media Marketing Adoption of Micro, Small and Medium Enterprises (MSMEs) in the Northern Province, Sri Lanka

K Shanmuganathan,S Shanmugathas

doi:10.4038/wjm.v12i1.7518

Abstract

MSMEs are the backbone of any nation. After the end of the civil war in 2009, people from the Northern Province of Sri Lanka started MSMEs, and that should be run on the virtual market and the physical market for business survival. This study explores the factors determining social media marketing adoption by MSMEs in the Northern Province of Sri Lanka. In this study, data were collected from 10 owners or managers of MSMEs in the research area using multiple case study-based qualitative methods of indepth interviews. The research samples were selected using the purposive sampling technique. There were 12 factors explored such as perceived ease of use, internal and external influencers, technological factors, external institutional pressures, business sustenance, usage of smartphones, observability of market happenings, links among social media platforms, unique features, two-sided benefits, two-way cost reduction and new normal context as findings of the study.

Highlights

In today’s business world, Micro, Small and Medium Enterprises (MSMEs) have become more vital than large scale enterprises in both developed and developing countries. Gamage (2003) stated that the developing countries are promoted due to the SME sector’s contributions such as the contributions to employment generation, domestic saving mobilization, poverty alleviation, income distribution, regional development and stimulation of other economic activities.Organizations in almost all sectors have started to explore digital technologies and enjoy their advantages
In Sri Lanka, the SME sector includes Micro, (MSMEs) and it is estimated that more than 90% of businesses fall under the SME Sector, which contributes 52% to the GDP and provides 45%
In the light of the research problem identified by the researcher and through the pilot study, this study aims at answering the research question “What are the factors determining social media marketing adoption of MSMEs in the Northern Province of Sri Lanka?”

Summary

Introduction

In today’s business world, Micro, Small and Medium Enterprises (MSMEs) have become more vital than large scale enterprises in both developed and developing countries. Gamage (2003) stated that the developing countries are promoted due to the SME sector’s contributions such as the contributions to employment generation, domestic saving mobilization, poverty alleviation, income distribution, regional development and stimulation of other economic activities.Organizations in almost all sectors have started to explore digital technologies and enjoy their advantages. In today’s business world, Micro, Small and Medium Enterprises (MSMEs) have become more vital than large scale enterprises in both developed and developing countries. After the end of a 30-year civil war, Sri Lanka is on the path to revitalizing its economy. In this endeavour, the SME sector has been playing a crucial role in contributing to the country’s economic development After that prevailed a pathetic situation which had come to end in 2009, and vulnerable people who were in the North part of Sri Lanka, started micro, small and medium scale businesses mainly for their daily livelihood. MSMEs in the Northern Province have been progressively developing their businesses gradually, due to the COVID-19 outbreak, they have become vulnerable

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Discussion

Conclusion