Factors affecting the breadth and depth of e-procurement use in small and medium enterprises

Organizations differ in the range of e-procurement functionalities they use (breadth of use) and in how much they rely on e-procurement (depth of use). Nonetheless, factors affecting the breadth and the depth of e-procurement use have never been studied in a single context. Therefore, it is unclear whether the differences between the effects discovered in past studies are due to the difference between the breadth and the depth of use, or to the difference between contexts. We test the effects of factors potentially affecting the breadth and the depth of e-procurement use in a single context, using data from 151 small and medium enterprises (SMEs) in the manufacturing sector in New Zealand. The results indicate that the breadth and the depth of use of e-procurement in business organizations are influenced by different factors. Perceived relative advantage of using e-procurement, plus external pressure from suppliers and competitors to use e-procurement, result in the use of a broader range of e-procurement functionalities – in a greater breadth of e-procurement use. However, the extent of an organization’s reliance on e-procurement in organizational purchasing (i.e., depth of e-procurement use) is driven by compatibility of e-procurement with organizational values, practices, technology infrastructure, and strategy. Arguing that in order to benefit fully from e-procurement, an organization needs to integrate it deeply into its operations, we conclude that managers evaluating new e-procurement technologies should consider their compatibility with organizational norms and practices.     

The low effect of perceived risk in the relation between hedonic values and purchase intention

ABSTRACT

This research seeks to identify the influence of perceived risk in the purchase intention environment regarding innovative technological products, and also to understand how brand trust reduces the expected impact of this risk due to the hedonic and utilitarian characteristics influencing purchase intention. Quantitative research was carried out and analysed through structural equation modelling, where the influence of perceived risk on utilitarian value and purchase intention was identified, as well as the influence of brand trust in reducing this risk. The conceptual implications of the study describe as the perceived risk moderates hedonic features less compared to utilitarian features regarding purchase intention, thus demonstrating that emotional relationships are less affected by this risk. The managerial implications suggest that devices with utilitarian characteristics should be more carefully planned according to their brand and complexity, while hedonic products do not require brand trust to guarantee consumers’ purchase intention in the current innovative scenario.     

Investigating Antecedents of Behavioral Intentions in Mobile Commerce

ABSTRACT

Despite the importance of mobile commerce (m-commerce) as an emerging channel of communication, marketing, and sales in business, few studies address how consumers decide to use m-commerce. In this study, we develop a conceptual framework for investigating the role of the perceived ease of use, perceived usefulness, and perceived enjoyment in determining consumers' intention to use m-commerce. We also investigate the importance of social influence in determining intention to use m-commerce. We draw on the Technology Acceptance Model (TAM) to develop our theoretical model. The empirical examination of our research model indicates that extrinsic and intrinsic motivations positively impact intention to use m-commerce. The current research model and its results could provide a rigorous basis for understanding consumers' behavior in wireless contexts.     

Factors Affecting the Offshore Deployment of Interorganizational Systems in China: A Case Study Analysis

ABSTRACT

Because of the significant market potential in China, many international enterprises are moving their production line to China. Accompanying production offshoring is the shifting of information systems to ensure that the production processes remain efficient and effective both at home and abroad. However, many enterprises encounter problems while deploying offshore information systems in China, especially when the systems are interorganizational systems (IOS) that span organizational boundaries and involve the management of relationships among participants. Therefore, this paper aims to identify critical success factors of offshore interorganizational systems in China through a case study of a supply chain relationship based on an e-procurement system between a Taiwanese personal computer manufacturer and its Chinese partners. Although this system had been well used by Taiwanese users, the performance of this system in China was relatively unsatisfactory in terms of grant complaints from Chinese users. Based on the relational view of the firm, four IOS-specific relational factors are proposed and examined: (1) IOS-specific assets, (2) IOS knowledge-sharing routines, (3) system complementarity, and (4) IOS governance. The case analysis reveals that effective IOS governance most strongly affects the results of offshoring in China, whereas system complementarity has the least influence.     

The role of perceived value in vertical brand extensions of luxury and premium brands

Abstract

This study examines the role of perceived value in the relationship between brand attitude, perceived fit, extension attitude and consumers’ purchase intention of downscale vertical extensions of luxury and premium brands in two product categories: cars and shoes. Results from 236 individuals with different income levels show that extension attitude is positively related to purchase intention both directly and indirectly, via the perceived value of the extension; the latter is more strongly correlated than extension attitude to consumers’ purchase intention. Brand attitude is also positively associated with perceived value. Overall, perceived value partially mediates the relationships of brand attitude and of extension attitude with purchase intention. The product category affects the strength of some of the relationships in the model, including the role of fit.     

Technological Factors Relevant to Continuity on ERP for E-Business Platform: Integration,Modularity, and Flexibility

ABSTRACT

Most enterprise systems (ES) solutions have evolved with the technological factors of flexibility, modularity and integration embedded to fit both business and information technology (IT) requirements for many organizations. Recently, Enterprise Resource Planning (ERP) and business-to-business electronic business (e-business) have received much attention within both the practitioner and academic communities, especially concerning the technological factors. The purpose of this study is to develop a framework that could be used to investigate a possible relationship between ERP and other ES systems with the factors of flexibility, integration and modularity for e-business.

In the 1990's, ERP systems were introduced to fulfill some of the technological requirements across functional areas within a corporate boundary. Moreover, with the exponential growth of Internet technology and the emergence of e-business, the focus of ERP systems has changed from an integrated functional focus within an organization to one reaching outside the organization throughout the value chain system. It is expected that an ERP system can facilitate an e-business effort of an organization.

In order to serve as a platform for e-business, an ERP system must also be able to be extended to support a range of external constituents for a firm. The process must involve an investigation of ERP technological factors along with any other emerging ES solution of the firm. This study investigates ERP and other ES systems for e-business with a focus on the technological factors of flexibility, integration, and modularity.     

External pressure or internal culture? An innovation diffusion theory account of small retail businesses’ social media use

COVID-19 put unprecedented external pressure on small businesses to adopt or increase use of social media while not all small businesses are internally ready for this rapid change. This study investigated the roles of external pressures and organizational culture of openness and learning in driving small retail business owners'/managers' social media use decisions by impacting their perceived usefulness and barriers, based on the innovation-decision process model from the diffusion of innovations theory and the theory of reasoned action. An online survey with structured measurements was administered to 411 U.S. small retail business owners/managers. Results from structural equation modeling revealed that external pressures positively influenced small business owners'/managers’ perceived usefulness and barriers and social media use intention. In addition, the culture of openness and learning positively influenced the perceived usefulness while mitigating the perceived barriers, thereby directly and indirectly influencing the social media use intention. Theoretical and managerial implications are discussed.     

Convenience,Satisfaction, and Post-Purchase Behavior in India's Health Insurance Market

ABSTRACT

Understanding the antecedents and implications of “service convenience” has acquired added importance with consumers' growing desire for ease during product or service exchange. Although the effects of service convenience, as a first-order construct, on post-purchase behavior have been studied in different business contexts, not much has been done in the case of a second-order construct which has been attempted here. The present study seeks to examine the mediating role of consumers' satisfaction as well as the moderating role of organizational and consumer personal factors that have not been sufficiently explored in the marketing literature. Structural equation analysis is adopted to test the hypothesized relationships using responses from 424 consumers who have purchased health insurance from six leading insurers in India. The findings validated that the service convenience affects consumer satisfaction, which, in turn, plays both a direct and mediating role in influencing consumers' repurchase intention. However, the role of organizational and consumer personal factors as moderators between service convenience and consumers' satisfaction could only be established indirectly through post-hoc analysis, which calls for further research. The results have important implications for planning, designing, and managing the health insurance business.     

E-Commerce Adoption: Perceptions of Managers/Owners of Small- and Medium-Sized Enterprises (SMEs) in Thailand

ABSTRACT

E-commerce can be an important source of competitive advantage for most business organizations, especially small- and medium-sized (SMEs) businesses. Recently, researchers have focused on e-commerce adoption both in the United States and other countries. This study examines the factors that influence e-commerce adoption in Thailand. The results show that the major reason behind e-commerce non-adoption is that the organization is not ready to make that change because of cultural, technological, financial, and/or logistical reasons. Additionally, organizational readiness strongly influences e-commerce implementation, and managerial support and financial, logistical, and technological factors weigh heavily in determining if an SME in Thailand can pursue e-commerce implementation. We believe that the e-commerce adoption model in this study will have both managerial implication for practitioners in Thailand, as well as those in other developing countries, and academic implications for researchers who are interested in e-commerce adoption in developing countries.     

多渠道供应链渠道合作驱动因素分析及其实证研究

基于制造商视角,从外部环境、组织内部以及合作特征三方面对多渠道供应链渠道合作驱动因素进行分析归纳,得到包括竞争压力、消费者需求等八项驱动因素。以合作意向、合作行为作为结果变量构建多渠道供应链渠道合作驱动因素理论模型,利用结构方程模型结合217家多渠道制造商的调查数据对上述模型进行实证检验。结果表明竞争压力、消费者需求、组织资源、渠道互补、感知相对优势和感知复杂性对合作意向有显著影响,且通过合作意向间接影响合作行为,而高层支持和组织相容性对合作意向影响不显著。     

Investigating the Moderating Effects of Perceived Technological Change on Sales Force Acceptance

ABSTRACT

Purpose: Prior literature has shown that the acceptance of new technologies can improve the long-term performance of sales forces and firms. However, new technologies are likely to introduce obstacles to acceptance, especially for those technologies that represent a massive change for the user. Sales force members who drastically change their work processes in order to integrate a technology sacrifice both time and effort and may be distracted from their primary goals (e.g. hitting deadlines or sales goals). Thus, we investigate how perceived technological change can negatively moderate individual motives to accept a new technology. Furthermore, we analyze how managerial support can help overcome the acceptance issues caused by perceived technological change.

Methodology/approach: Data for this study was collected from 163 sales force members via an online survey. Respondent data was collected using a private market research firm that provides access to online panels. We utilize structural equation modeling for factor analysis and ordinary least squares (OLS) regression for testing the hypotheses.

Findings: We find that perceived technological change negatively moderates the influence of individual goal orientation on to acceptance of new technology. We also find that managerial support, as opposed to team goal commitment, will positively moderate an individual’s goal orientation onto acceptance of new technology. This suggests that managerial support is necessary in order to encourage acceptance of technologies that present drastic change for the end user. Post-hoc analysis takes a deeper look into potential curvilinear effects, a three-way interaction, and differences among categories of technologies. This analysis reveals that the negative influence of perceived technological change specifically affects the acceptance of behavioral-based technologies, as opposed to outcome-based technologies, thus necessitating the moderating influence of managerial support.

Contribution: This study demonstrates the acceptance issues presented by technologies associated with drastic perceived technological change. This article identifies and suggests how to more appropriately enhance acceptance of technologies that introduce drastic changes by sales force employees, thus enhancing potential long-term organizational performance.     

Radical Product Innovation in the Dutch Food Industry

Abstract

This paper examines the adoption of radical food production systems in the Dutch food industry. It is argued that radical innovations are of major importance to contribute to the increase of growth and competitiveness. A model was developed to test which factors influence the adoption of radical product innovations, in particular health enhancing food products. It includes organizational and environmental factors derived from literature that influence the adoption of radical innovations. Results indicate that differences in firms' organizational factors determine the adoption of radical product innovations. Implications, limitations and directions for future research are discussed.     

The Impact of a Third-Party Assurance Seal in Customer Purchasing Intention

ABSTRACT

Although e-commerce is evolving at an incredible speed, asymmetric information and opportunism have increased online purchasing risks and market inefficiencies. The lack of face-to-face contact and the inability of the customer to touch and feel tangible products necessitate that online business must provide customers with reliable information and convince customers of their trustworthiness. While the research on Third-Party Assurance Seals (TPAS) is not new, the effectiveness of TPAS has not been persuasively addressed by empirical studies. Our study is different from previous efforts in that it is comprehensive because it combines consumer trust, perceived risk, and influences of TPAS in the B2C e-commerce context. The results of the study show that (1) the effects of TPAS on perceived risk are channeled through perceived trustworthiness, thus demonstrating the mediating role of perceived trustworthiness in B2C e-commerce, (2) perceived risk, perceived usefulness of website, and subjective norm appear to be significant predictors of intention to purchase from the website, (3) a third-party assurance seal strongly affects online shoppers' perceived trustworthiness toward online retailers, while the seal appears to have little effect on perceived risk directly; perceived risk is strongly associated with intention to purchase from the website.     

Exploring the Effectiveness of Business Gifts: Replication and Extension

Abstract

This investigation replicates Beltramini's (1992) study of the effectiveness of business gifts, and extends the research to include actual marketplace sales response. A company's customers'perceived satisfaction and intention to continue repurchasing are surveyed both before and after being sent a more expensive gift, a less expensive gift, or no gift at all, and customers'actual sales are longitudinally tracked. The results indicate business gift-giving represents an effective part of a marketer's overall marketing communications strategy, and both limitations and implications are discussed.     

Does Value for Money Create Advocates? A Study in the International Airline Services Industry

ABSTRACT

New carriers and business models have dramatically transformed the aviation industry. Using feedback ratings from 109 carriers and 36,710 passengers, this study first shows that emerging market airlines typically offer better value-for-money propositions than their established competitors. The study then relates perceived value for money with recommendation intention. The relationship is very strong without significant outliers; true loyalty shown by such customer advocates drives a service firm's profitability. Even the best entrenched airlines should not ignore this change in competitive climate, but respond by focusing on value for money as the standard for their business model's value proposition.     

Antecedents and Consequences of Perceived Importance of Ethics in Marketing Situations: A Study of Thai Businesspeople

Building on an existing framework concerning ethical intention, this research explores how Thai business people perceive the importance of ethics in various scenarios. This study investigates the relative influences of personal characteristics and the organizational environment underlying the Thai business people’s ethical perception. Corporate ethical values and idealism are shown to positively influence a Thai manager’s perceptions about the importance of ethics. While their ability to perceive the existence of an ethical problem is negatively influenced by relativism, it is positively impacted by their existing perceptions about the importance of ethics. Results also suggest positive relationships between perceived importance of ethics and perceived ethical problems with ethical intention. These results extend research in understanding the relationship between the antecedents and consequences of perceived importance of ethics within an economically growing non-Western culture.     

The Impact of Organizational and Environmental Variables on Strategic Market Orientation

Abstract

This paper offers a new look at market orientation by conceptualizing it from a strategic perspective. It differs from the current literature in that it develops a measure that emphasizes managerial attitudes and strategic intent. The new measure is empirically scrutinized by an investigation of its relationship with pertinent organizational and environmental variables, as well as company performance. Based on a survey of nearly 400 companies operating in the U.S., significant relationships emerged between Strategic Market Orientation and three organizational variables, namely strategic priorities, inter-departmental coordination and ownership nationality. Two of the environmental variables, namely intensity of competition and rate of technological change were also significantly related to Strategic Market Orientation. The relationship between Strategic Market Orientation and company performance remained inconclusive.     

Perceived Risks in Supply Chain Management E-Collaboration

ABSTRACT

Supply chain management is an accepted concept involving a process-oriented, integrated approach to procuring, producing, and delivering products and services to customers. The boom in applying Internet-based applications is driven by corporate desires to use wireless access, extranets, Internet-based EDI, e-marketplaces, web services and other remote networks for supply chain activities. This paper reports the findings of a study that aims to examine perceived risks of e-commerce in supply chain activities. The conceptual model developed from previous research identifies four types of risks, namely technological, organizational, implementation, and relational risks. The model is tested via in-depth multiple case studies in seven firms from a cross-section of different industries who applied e-technologies in their supply chain activities. The findings highlight factors that contribute to risks and the related undesirable consequences that the firms experienced.     

Trust,Satisfaction and Loyalty in Customer Relationship Management

SUMMARY

In an attempt to increase customer loyalty amid increasingly competitive business environments, organizations are looking to customer relationship management (CRM) to help provide a solution. In spite of CRM failure rates cited as being as high as 70%, organizations continue to invest hundreds of thousands of dollars on CRM implementations. Attempts of past research to resolve why failure rates are so high have tended to focus on technological factors such as database integration or factors internal to the organization such as system adoption or organizational culture. While these areas are important, reactions of customers may also play a role. This paper uses justice theory to investigate the potential impact that customer involvement in a CRM implementation may have on customer loyalty. Propositions are provided to guide future research.