 Adoption of digital technologies for micro and small business in IndonesiaIrwan Trinugroho, Putra Pamungkas, Jamal Wiwoho, Sylviana Maya Damayanti and Teddie Pramono Finance Research Letters, 2022, vol. 45, issue C Abstract: A substantial proportion of Indonesian households in Indonesia depend on micro and small enterprises for their income. Mobile phone and internet penetration is expected to substantially drive micro and small enterprises to use technological-based innovation which eventually will improve the productivity and efficiency of those firms. In this paper, using a survey of 2,222 micro and small enterprises in Indonesia, we estimate an empirical model on the determinants of the use of technological-based innovation including digital finance technologies and online sales for micro and small enterprises. By doing so, we are able to improve understanding of the barriers to micro and small business use of digital technologies in Indonesia. Our results reveal that some business factors as well as firm and owner characteristics play significant role in explaining the barriers of adopting digital innovation. We also find that firms with higher income and selling during Covid-19 pandemic mostly adopt digital technologies in their business activity. Keywords: Digital technologies; Adoption; Micro and small enterprises; Covid-19; Indonesia (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:finlet:v:45:y:2022:i:c:s154461232100235x DOI: 10.1016/j.frl.2021.102156 Access Statistics for this article Finance Research Letters is currently edited by R. Gençay More articles in Finance Research Letters from Elsevier |
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