The impact of e-commerce adoption on business strategy in Saudi Arabian small and medium enterprises (SMEs)

Joman Alzahrani

Review of Economics and Political Science, 2018, vol. 4, issue 1, 73-88

Abstract: Purpose - This paper aims to examine the impact of e-commerce on business strategy, especially on small and medium enterprises (SMEs) in Saudi Arabia. It also investigates the relationship between e-commerce and business strategy and how the e-commerce niche changes SMEs’ strategic management approach. Additionally, this paper identifies the factors that moderate this relationship. Design/methodology/approach - To evaluate and examines the impact of e-commerce on business strategy, the study used a quantitative method by conducting a questionnaire survey in Saudi Arabian SMEs. Findings - The analysis of collected data confirms that e-commerce adoption has an impact on SMEs strategies. Many participants asserted that the introduction of e-commerce in Saudi market has changed their businesses’ plans and strategies. The findings identify the major factors that moderate and predict the relationship between e-commerce and business strategy. Originality/value - This study contributes to the literature by discussing and examining the impact of e-commerce adoption on SMEs strategies in the context of Saudi Arabian SMEs. It provides a comprehensive understanding of the relationship between e-commerce and business strategies. The findings of this study can benefit SMEs’ owners, managers and employees to understand and acknowledge the impact of e-commerce on their plans and strategies. It also can assist policymakers and governments to develop suitable policies and initiatives.

Keywords: Strategic management; E-commerce; Saudi Arabia; Small and medium enterprises (SMEs) (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:eme:repspp:reps-10-2018-013

DOI: 10.1108/REPS-10-2018-013

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