Small firms & e-business uptake : Embracing an incremental learning approach

To date, most research into the implications of the Internet for small and medium size enterprises (SMEs) has focused on individual business barriers to information and communication technologies (ICT) and e-business adoption. Such research has shown that SMEs tend to be time and resource-poor, with their size being their main disadvantage vis-à-vis ICT adoption. Government intervention designed to overcome such barriers and facilitate adoption of ICT has not markedly increased the uptake of e-business by SMEs. In this discussion paper, the authors posit that the current approach to ICT adoption interventions fail to take into account the incremental nature of the SMEs e-business learning processes. An incremental learning model adapted from Earl (2000) is presented that positions ICT adoption as an evolutionary process and stresses the need for continuous learning and change. To help small business owners articulate, value and meet their evolving e-business needs, the authors suggest that ICT adoption strategies should focus on facilitating not only the acquisition of skills and knowledge, but also the development of e-business networks which underpin the SME ICT adoption process.E