E-business and fast growth SMEs

Rui Bi (), Robert M. Davison () and Kosmas X. Smyrnios ()
Additional contact information
Rui Bi: Charles Sturt University
Robert M. Davison: City University of Hong Kong
Kosmas X. Smyrnios: RMIT University

Small Business Economics, 2017, vol. 48, issue 3, No 6, 559-576

Abstract: Abstract This paper tests a theoretical model to evaluate e-business capability and value in the fast growth small-to-medium enterprise (SME) context. We propose that e-business value depends on how fast growth SMEs deploy IT resources, strategic planning, culture, and business partnerships to develop e-business capability and business process competence which help these companies to achieve outstanding business performance. Structural equation modelling is employed to test our theoretical conceptualization on a cohort of 310 Australian fast growth SMEs across different industrial sectors. The results show that IT resources, strategic IT alignment, market orientation, and business partnerships do contribute significantly and indirectly to SME performance through the development of e-business capability and business process competence. Our study provides an initial empirical evidence to understand the relationship between IT and entrepreneurial SME performance. These findings have important implications for research and business practices.

Keywords: E-business capability; E-business value; Business process competence; Resource-based view of the firms theory; Fast growth SMEs; M15; O33; L26 (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (15)

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DOI: 10.1007/s11187-016-9788-8

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