Abstract
Global organizations can go on the information highway and dramatically improve the way business interactions by using E-commerce. This situation and demands force each organization to change, to abridge the gap in environmental changes that take place. One of those who get the full benefits of E-commerce is the hotel industry. The full potential of values brought about by E-commerce in Malaysia is unable to realize. This paper shows the role of organizational culture among E-commerce adoption and hotel performance in Malaysia, from a survey of 111 hotels, four (4) stars above, and 146 hotels three (3) stars below as a sample. Based on the conceptual framework, it can be hypothesized that Organizational culture positively mediates the effect of E-commerce adoption on hotel performance. A statistical Package for Social Science (SPSS) Version 20 was used to examine the data. Pearson correlation analysis and descriptive statistics were performed to determine the collinearity problem, and to analyze the relationship between the variables. Lastly, multiple regression analysis was recommended to assess the mediating variable in the relationship between independent variable and dependent variable (Baron and Kenny, 1986). The final results of Pearson correlation and multiple regression analysis showed important finding. The relationship between organizational culture and E-commerce adoption significantly correlated with hotel performance. Meanwhile based on mediating model testing, the mediating effect of organizational culture in the hypothesized model exists. The findings of this study may be used to improve the method and management in Malaysia hotel industry environment and employees should be exposed to the requirement in the work culture towards globalization. Therefore, practice within the E-commerce adoption needs to consider the organizational culture as a key element in the hotel performance. DOI: 10.5901/mjss.2015.v6n2p61
Highlights
The environment is getting more complex, business systems need to be more creative in order to identify new opportunities for sustained high performance
Based on model testing, three conditions should be meet by the hypothesized model to enable mediating effect of organizational culture exist: firstly, 1) the predictor variables are significantly correlated with the hypothesized mediator, second, 2) the predictor variables must affect the dependant variables in the second equation, and third, 3) a previously significant effect of predictor variables is reduced to non-significance or reduced in terms of effect size after the inclusions of mediator variables into the analysis
The previous significant effect of E-commerce adoption was reduced in terms of effect size after the inclusion of organizational culture into the analysis and this resullt is consistent with Baron and Kenny’s (1986) mediating model testing condition
Summary
The environment is getting more complex, business systems need to be more creative in order to identify new opportunities for sustained high performance. Organizations that run out to observe the tide of change will be left behind in many matters.This situation and demands force each organization to change, to abridge the gap in environmental changes that take place. At the close of the 20th century, E-commerce becomes more significant. In the 21st century, a market system that employs an electronic infrastructure has been supporting the world marketplace. Common Knowledge of information technology has no limits and anyone accessing the internet can make it (Laudon, 2009). There is consensus that, the full potential of values brought about by E-commerce in Malaysia are unable to recognize
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