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Electronic Data Interchange In Developing Countries: Lessons From South Africa

Author

Listed:
  • Visvanathan Naicker
  • Rubin Pillay

Abstract

Electronic Data Interchange plays an important role in improving organizational competitiveness. This research uses empirical evidence to evaluate the state of EDI and the willingness of SMEs to connect electronically to a large distribution centre in South Africa. Practitioners of EDI are aware of the necessity for high penetration levels to make EDI successful. Furthermore, it investigates the EDI adoption rate from the viewpoint of a small business. However, penetration might be hindered by the refusal of small firms to accept EDI. Based on prior research this model incorporates four factors that are hypothesized to have an influence on EDI Adoption. This survey was concerned about four potential strategies for achieving business objectives namely: organizational readiness, external pressure, perceived benefits and security. Data was collected from 105 firms who responded to an e-mail survey. The findings reveal that external pressure was the strongest positive factor associated with the intent to adopt EDI. No support was found for security. In addition, it suggests that there is a general need for more managerial support as well as compatibility with systems among small firms. Finally, these findings add support to the importance of diffusion of Innovation theories, Interorganizational Systems and Technology Acceptance Models

Suggested Citation

  • Visvanathan Naicker & Rubin Pillay, 2009. "Electronic Data Interchange In Developing Countries: Lessons From South Africa," International Journal of Management and Marketing Research, The Institute for Business and Finance Research, vol. 2(1), pages 89-101.
    • Handle: RePEc:ibf:ijmmre:v:2:y:2009:i:1:p:89-101
    as

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    References listed on IDEAS

    as
    1. Paul Chwelos & Izak Benbasat & Albert S. Dexter, 2001. "Research Report: Empirical Test of an EDI Adoption Model," Information Systems Research, INFORMS, vol. 12(3), pages 304-321, September.
    2. Gary C. Moore & Izak Benbasat, 1991. "Development of an Instrument to Measure the Perceptions of Adopting an Information Technology Innovation," Information Systems Research, INFORMS, vol. 2(3), pages 192-222, September.
    3. van Heck, E. & Ribbers, P.M.A., 1999. "The adoption and impact of EDI in Dutch SME's," Other publications TiSEM e5bb8114-7a20-4db4-a323-3, Tilburg University, School of Economics and Management.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Electronic data interchange; Inter-organizational systems; diffusion; security;
    All these keywords.

    JEL classification:

    • M15 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - IT Management

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