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Drivers and inhibitors of SaaS adoption in Korea

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  • Lee, Sang-Gun
  • Chae, Seung Hoon
  • Cho, Kyung Min

Abstract

The concept of software as a service (SaaS) has received considerable attention in recent years, and an increasing number of countries have consequently promoted the SaaS market. However, those countries without mature SaaS markets have experienced many SaaS-related problems. To facilitate SaaS adoption, we first analyzed Korea's newly established SaaS market. We then employed a method based on the two-factor theory in order to classify the SaaS market into adoption-driving and adoption-inhibiting areas. From the adoption-driving area perspective, the results of the method demonstrate the validity of the consumerization phenomenon and the PEST analysis. Customer factors in the consumerization phenomenon and economic factors in the PEST analysis were the most important drivers of SaaS adoption. From the adoption-inhibiting area perspective, customer factors as well as supplier and environment factors inhibited SaaS adoption; according to the PEST analysis, social, economic and political factors inhibited SaaS adoption. These results have important implications for Asian countries with newly established SaaS markets, including Australia, China and Singapore.

Suggested Citation

  • Lee, Sang-Gun & Chae, Seung Hoon & Cho, Kyung Min, 2013. "Drivers and inhibitors of SaaS adoption in Korea," International Journal of Information Management, Elsevier, vol. 33(3), pages 429-440.
    • Handle: RePEc:eee:ininma:v:33:y:2013:i:3:p:429-440
    DOI: 10.1016/j.ijinfomgt.2013.01.006
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    7. Perdana, Arif & Lee, Hwee Hoon & Koh, SzeKee & Arisandi, Desi, 2022. "Data analytics in small and mid-size enterprises: Enablers and inhibitors for business value and firm performance," International Journal of Accounting Information Systems, Elsevier, vol. 44(C).

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