An investigation of the barriers to e-business implementation in small and medium-sized enterprises

—E-business technologies, whereby business
transactions are conducted remotely using the Internet, present
unique opportunities and challenges for business. E-business
technologies are applicable to a wide range of organizations and
small and medium-sized enterprises (SMEs) are no exception. There
is an established body of literature about e-business, looking at
definitions, concepts, benefits and challenges. In general, however,
the research focus has been on larger organizations, not SMEs. In an
attempt to redress the balance of research, this paper looks at ebusiness
technologies specifically from a small business perspective.
It seeks to identify the possible barriers that SMEs might face when
considering adoption of the e-business concept and practice as part of
their business process change initiatives and implementation. To
facilitate analysis of these barriers a conceptual framework has been
developed which outlines the key conceptual and practical challenges
of e-business implementation in SMEs. This is developed following a
literature survey comprised of three categories: characteristics of
SMEs, issues of IS/IT use in SMEs and general e-business adoption
and implementation issues. The framework is then empirically
assessed against 7 SMEs who have yet to implement e-business or
whose e-business efforts have been unsatisfactory. Conclusions from
the case studies can be used to verify the framework, and set
parameters for further larger scale empirical investigation.