The primary objective of the study was to establish the role that e-commerce can play in improving some Small and Medium Enterprises (SMEs) business processes and transactions. This was undertaken by investigating how SMEs in the Eastern Cape can be empowered to use e-commerce and overcome barriers in the adoption of e-commerce. The study was modelled on the concept that there are four key factors that influence the adoption of e-commerce, namely: level of e-commerce awareness, level of computer literacy, availability of Information Technology and telecommunication infrastructure, as well as trust and security of e-commerce applications. The literature study revealed that SMEs play a vital role in the development and growth of a country’s economy. The literature review also identified a wide-range of barriers hindering e-commerce development and adoption by SMEs, namely: lack of computer skills, low level of e-commerce awareness, lack of Information Technology and telecommunication infrastructure, as well as lack of e-commerce trust and security. Further, the literature study showed that Internet availability and affordability is key to e-commerce growth and development, as in developing countries Internet is not yet universally accessible. This is due to a lack of necessary policies and infrastructure enabling wide-spread Internet use. The empirical study consisted of a structured questionnaire distributed to a population of executive management, middle management, operational employees and directors/owners in various SMEs in the Eastern Cape. The structured questionnaire was aimed at gathering views about e-commerce development and adoption by SMEs in the Eastern Cape with a special focus on barriers to the adoption of e-commerce by SMEs. The results of the empirical study revealed that: E-commerce awareness needs to be created among SMEs. Awareness needs to be created among SMEs about all aspects surrounding the use of e-commerce. Improvements in the telecommunications infrastructure could reduce the unreliable connections experienced by SMEs. Skills development strategies could assist in equipping SMEs with skills required in the e-commerce environment. Non-governmental organizations, government and companies assisting SMEs could provide free Internet access to SMEs. Alternatively, Internet cafes could be placed at different places and charge reasonable fees. NGO’s and higher education institutions could help in developing electronic literacy skills among SMEs. Companies assisting SMEs with funding could provide more funds to allow SMEs interested in e-commerce to start e-commerce systems.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nmmu/vital:8900 |
| Date | January 2013 |
| Creators | Siwundla, Sabelo Emmanuel |
| Publisher | Nelson Mandela Metropolitan University, Faculty of Business and Economic Sciences |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Thesis, Masters, MBA |
| Format | x, 101 leaves, pdf |
| Rights | Nelson Mandela Metropolitan University |
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