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‘Risky business’: Perceptions of e-business risk by UK small and medium sized enterprises (SMEs)

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  • Grant, Kevin
  • Edgar, David
  • Sukumar, Arun
  • Meyer, Martin

Abstract

This paper explores the risk perceptions of key stakeholders in SMEs when making decisions on technology investments. Current literature focuses on the nature of the technology from a technical perspective and its associated benefits to the SME. We seek to make a contribution that builds on the small but growing work, which views investment technology decisions as the outcome of a process of both objective and subjective risk assessment. Evidence presented in this paper suggests that subjective elements play an important part in assessing technology risks. Our empirical findings are that both e-business experience and the role of the decision-maker within the firm influences risk perception, whereas, sector differences are more modest. One implication of our findings is that policy interventions should be more sensitive and targeted at different types of stakeholders – owners, IT professionals and other individuals rather than on the sector in which the SME operates.

Suggested Citation

  • Grant, Kevin & Edgar, David & Sukumar, Arun & Meyer, Martin, 2014. "‘Risky business’: Perceptions of e-business risk by UK small and medium sized enterprises (SMEs)," International Journal of Information Management, Elsevier, vol. 34(2), pages 99-122.
    • Handle: RePEc:eee:ininma:v:34:y:2014:i:2:p:99-122
    DOI: 10.1016/j.ijinfomgt.2013.11.001
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    References listed on IDEAS

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    Cited by:

    1. Marie-Anne Le-Dain & Lamiae Benhayoun & Judy Matthews & Marine Liard, 2023. "Barriers and opportunities of digital servitization for SMEs: the effect of smart Product-Service System business models," Service Business, Springer;Pan-Pacific Business Association, vol. 17(1), pages 359-393, March.
    2. Henriques de Gusmão, Ana Paula & Mendonça Silva, Maisa & Poleto, Thiago & Camara e Silva, Lúcio & Cabral Seixas Costa, Ana Paula, 2018. "Cybersecurity risk analysis model using fault tree analysis and fuzzy decision theory," International Journal of Information Management, Elsevier, vol. 43(C), pages 248-260.
    3. Alan A. Ahi & Noemi Sinkovics & Rudolf R. Sinkovics, 2023. "E-commerce Policy and the Global Economy: A Path to More Inclusive Development?," Management International Review, Springer, vol. 63(1), pages 27-56, February.
    4. Marcia Mkansi, 2022. "E-business adoption costs and strategies for retail micro businesses," Electronic Commerce Research, Springer, vol. 22(4), pages 1153-1193, December.
    5. de Gusmão, Ana Paula Henriques & e Silva, Lúcio Camara & Silva, Maisa Mendonça & Poleto, Thiago & Costa, Ana Paula Cabral Seixas, 2016. "Information security risk analysis model using fuzzy decision theory," International Journal of Information Management, Elsevier, vol. 36(1), pages 25-34.

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