A study of determinants influencing the adoption of computerized accounting system among small and medium enterprises located in Bacoor City, Cavite

SMEs in the Philippines are one of the main contributors to the economic growth of the country. The adoption of computerized accounting systems serve as a decisive factor to help them survive in the competitive business environment. This paper aims to contribute to the limited research done in the country regarding the different determinants influencing the decisions of SMEs to adopt CAS. The research model used in this study was based on the framework developed by Ramdani (2009) which incorporates the factors under technological, organizational and environmental framework and diffusion of innovation. This research was conducted in Bacoor City, Cavite. Survey forms were sent to 140 randomly selected SMEs located in the area. Only 77 respondents were able to respond back. Univariate logistic regression was performed to identify the significance of the variables used in this study. The findings of the study show that the determinants that were found to have significant influence to the SMEs\u27 decision to adopt CAS are relative advantage, compatibility, complexity, trial ability, observability, top management, organizational readiness, industry, market scope, customers, competitors and external support. In contrast, this study did not find enough evidence that the size of the business was a significant determinant of CAS adoption. The results of this study have great implications and value to the SMEs, the government, developers of CAS and future researchers. This study could help them formulate better strategies for CAS adoption and understand the different benefits associated with using it