Determinants of B2B e-commerce adoption in Saudi Arabian firms

Sabah A. Al-Somali, Roya Gholami, Ben Clegg

Research output: Contribution to journalArticlepeer-review

Abstract

Business-to-business (B2B) electronic commerce (e-commerce) has become an increasingly important initiative among organisations. The factors affecting the adoption decisions have been well-documented but there is a paucity of empirical studies that examine the adoption of e-commerce in developing economies in the Arab world. The aim of our study is to provide insights into the salient e-commerce adoption issues by focusing on Saudi Arabian businesses. We developed a conceptual model for B2B e-commerce adoption incorporating six factors. Survey data from 450 businesses were used to test the model and hypotheses. The analysis demonstrates that, (1) when e-commerce preliminary adoption is investigated, organizational IT readiness, management support and regulatory environment emerge as the strongest factor, (2) pressure from customers may not have much effect on the preliminary adoption of e-commerce by companies, but does significantly influence on the utilisation of e-commerce by firms, and (3) Saudi Arabia has a strong ICT infrastructure for supporting e-commerce practices. Taken together, these findings on the multi-dimensionality of e-commerce adoption show that preliminary adoption and utilisation of ecommerce are not only different measures of ecommerce adoption, but also have different determinants. The implications of the findings are discussed and suggestions for future inquiry are presented.
Original languageEnglish
Pages (from-to)406-415
Number of pages10
JournalInternational Journal for Digital Society
Volume2
Issue number2
Publication statusPublished - 2011

Keywords

  • e-commerce adoption
  • innovation diffusion
  • developing Arab nations
  • Saudi Arabia

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