The Influence of Technological Factors on Adoption E-Commerce in SME: The Role of Trust

Abstract

ABSTRACT Electronic commerce (e-commerce) plays an essential role in developing and growing small and medium-sized enterprises (SMEs). However, prior studies found inconsistent results, particularly in developing countries. Therefore, it is necessary to conduct more research to gain insight into this research field. Thus, this study aims to identify the impact of technological factors in the adoption of e-commerce based on the technology-organization-environment (TOE) framework, Diffusion of Innovation theory (DOI) theory, and the role of Trust (TR) in the relationship between technological factors and e-commerce adoption. A survey of 378 Iraqi SMEs was validated and tested using PLS-SEM. The findings of the study indicate that Relative Advantage (RA), Compatibility (COM), Social Media Networks (SMNs), and E-Payment Systems (EPs) significantly influence e-commerce adoption. Trust also plays a moderation effect with relative advantage, social media networks, and e-payment systems. This study contributes to identifying the technological factors affecting ensuring a correct path for adopting e-commerce in Iraqi SMEs and filling the gap by contributing to the e-commerce literature.