Evaluating the critical determinants for adopting e-market in Australian small-and-medium sized enterprises

Purpose – The purpose of this paper is to present an empirical investigation of the critical determinants for the adoption of e-market in Australian small-and-medium sized enterprises (SMEs) within the technology-organization-environment (TOE) framework. Design/methodology/approach – A conceptual model is proposed for better understanding the adoption of e-market in Australian SMEs. Structural equation modelling is used for testing and validating the proposed conceptual model based on the survey data collected from Australian SMEs. A logistic regression analysis is conducted for identifying the relationship between the critical determinants and the adoption of e-market in Australian SMEs. Findings – A positive relationship is identified between the perceived direct benefit, top management support, external pressure, trust and the adoption of e-market in Australian SMEs. The top management support emerges as the most critical determinant. The perceived indirect benefit, size and organization readiness, however, do not show a significant influence on the adoption of e-market in Australian SMEs. Research limitations/implications – This study focuses on the investigation of the critical determinants in the adoption of e-market in Australian SMEs. In order to gain an holistic understanding of the e-market adoption in Australian SMEs, the impact of adopting e-market on the performance of SMEs should be examined. Furthermore, this study does not distinguish the adoption of e-market in SMEs between Australian metropolitan and rural areas. SMEs located in rural areas by the nature and location own specific characteristics such as a limited access to resources and less influenced by external pressure. The issues of their concern in the adoption of e-market might be different from those located in metropolitan areas. Originality/value – This study contributes to the e-market adoption research in proposing and validating a research model for the e-market adoption within the TOE framework, and by highlighting the criticality of the determinants of adopting e-market in Australian SMEs.