A firm-level analysis of determinants of ICT adoption in Spain

The purpose of this paper is to analyse the role played by five groups of factors in ICT adoption: environment, firm structural characteristics, human capital, competitive strategy, and internal organization. In order to achieve this goal, the data collected in a survey with a sample of 337 Spanish workplaces are used. The paper overcomes some of the limitations found in the empirical literature since it examines several ICT infrastructure and usage indicators at the same time, using a sample of workplaces of different sizes in all activity sectors in a context of a developed country with a low rate of ICT incidence. Results highlight the need to study the different ICT separately as well as the importance of establishment size, multinational ownership, and high-skilled workforce in ICT adoption. Quality control systems and team-based organization of work also play a relevant role in the diffusion of certain elements of ICT within firms. The need of reviewing the traditional public support for ICT implementation on small workplaces arises, together with the existence of complementarities with policies aimed to attract foreign investments and to increase the workforce education level as a way to spread ICT implementation. Results also show that managers need to align ICT adoption and the strategic focus of the firm more consistently.