FACTORS THAT DRIVE INTERNET USAGE AMONG SMALL AND MEDIUM SCALE ENTERPRISES: EVIDENCE FROM GHANA

Kwabena Obiri-Yeboah, Wilberforce Owusu-Ansah and Eliezer Ofori Odei-Lartey

International Journal of Management and Marketing Research, 2013, vol. 6, issue 2, 21-37

Abstract: The internet continues to significantly affect the way business is carried out globally. As businesses of all sizes align information communication technology to its processes to achieve operational excellence while reducing cost, using the internet has become even more critical than ever. This study uses both quantitative and qualitative approaches to assess factors that drive the usage of internet as part of the business operations of small and medium-scale enterprises. The analysis compares internet usage with the use of mobile phones and televisions. From the results, service-related businesses are more likely to use the internet for business operations than other business typologies. However, the length of experience in internet usage is strongly associated with business operators that use the internet. Results also indicated that the small and medium-scale enterprises are gradually adopting more sophisticated internet technologies in business. Although respondents assert to the benefits derived from the use of the internet in business, replacing conventional media with internet services is unlikely. Issues about cost, slow access speed and customer communication preferences are major internet usage challenges. We propose that further studies should adopt extensive statistics financial indices to measure internet usage against perceived outputs and benefits in these enterprises.

Keywords: Small and Medium-Scale Enterprises; Information and Communication Technology; Internet Adoption; Business Operations (search for similar items in EconPapers)
JEL-codes: M15 O33 (search for similar items in EconPapers)
Date: 2013
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