SMEs and web-based business processes: barriers and solutions

Doug Cruickshank and Damien McLeod

International Journal of Entrepreneurship and Innovation Management, 2004, vol. 4, issue 6, 546-560

Abstract: At present most SMEs make only relatively basic use of the internet. It is recognised that SMEs can gain greater business benefit by undertaking web-based business processes, however there is little use of such applications amongst SMEs. This preliminary investigation explores the factors which help to explain the reticence of SMEs to consider web-based processes delivered by the application service provider model. The paper identifies the key barriers, the greatest of which is seen as "fear". A mechanism is proposed for SMEs to readily assess and overcome the main "fear factor" barrier and thereby commence a more reasoned evaluation of the real business case. The conclusions also provide some guidance to development agencies and the application providers.

Keywords: SMEs; small to medium sized business; business process outsourcing; application service provider; web based applications; e-business; online business process; electronic business; internet; barriers; fear factor. (search for similar items in EconPapers)
Date: 2004
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