Swipe to navigate through the articles of this issue
This study is examining the challenges involved in the effective diffusion of innovation technologies among Small and Medium Size Enterprises (SMEs). Having broadband Internet as the technology in focus we report that broadband adoption by SMEs was initially particularly slow while there has been little research on the reasons behind this phenomenon. This study provides an in-depth view of the broadband diffusion process to SMEs in south east UK by examining the views and activities of the various groups involved in the process. Innovation diffusion and social construction of technology theory are applied in order to construct a framework that addresses some of the issues not covered in previous literature. Our results show that even though several SMEs have adopted broadband, they are not making full use of the technology, while using broadband has not changed significantly the way they operate their businesses. The point we are raising with this study is that the SMEs’ lack of understanding on the effective application of the technology is the main impediment for effective adoption. We believe that our results are useful to providers looking to diffuse broadband to SMEs as well as other IT innovations.
Please log in to get access to this content
To get access to this content you need the following product:
Agarwal, R., & Prasad, J. (1998). A conceptual and operational definition of personal innovativeness in the domain of information technology. Information Systems Research, 9(2), 204–215. CrossRef
Ajzen, I. (1991). The theory of planned behaviour. Organisational Behaviour and Human Decision Process, 50, 179–211.
Arbore, A., & Ordanini, A. (2006). Broadband divide among SMEs: the role of size, location and outsourcing strategies. International Small Business Journal, 24(1), 83–99. CrossRef
Arnott, S. (2005). UK climbs world table in broadband uptake, Computing 26 Oct 2005.
Aronsson, M., Tholen, D., Josephson, P., Li, H., & Kong, S. (2003). Broadband services for residential and commercial tenants: a categorisation of current and future services and a survey on tenants needs in Sweden. Building and Environment, 38(2), 347–358. CrossRef
Basaglia, S., Caporarello, L., Magni, M., & Pennarola, F. (2009). Environmental and organisational drivers influencing the adoption of VoIP. Information Systems and E-Business Management, 7(1), 103–118. CrossRef
Beckinsale, M., & Levy, M. (2004) SMEs and internet adoption strategy: who do SMEs listen to? In Proceedings of the Twelfth European Conference on Information Systems. Turku, Finland: Turku School of Economics and Business Administration.
Beynon-Davies, P., & Williams, M. D. (2003). The diffusion of information systems development methods. The Journal of Strategic Information Systems, 12(1), 29–46. CrossRef
Biggs, P., & Kelly, T. (2006). Broadband pricing strategies. Info, 8(6), 3–14. CrossRef
Bijker, W., Hughes, T., & Pinch, T. (1987). The social construction of technological systems. Cambridge: The MIT Press.
Brown, L. (1981). Innovation diffusion: A new perspective. London: Methuen &co.
BSG (2004). Third Annual Report and Strategic Recommendations. [Online]Available: http://www.intellectuk.org/publications/reports/BSG_3rd_annual_report.pdf [Accessed 09/12/ 2008].
BTOpenworld (2002). BT Openworld shows businesses the route to high-speed cost savings [Online] Available: http://www.cisilion.com/bnews_benefits.htm [Accessed 17/10/ 2005].
BTPlc (2005). Broadband boost for small and medium business [Online] Available: http://www.btplc.com/Innovation/Strategy/boost/ [Accessed 7/11/ 2005].
Burke, K. (2005). The impact of firm size on internet use in small businesses. Electronic Markets, 15(2), 79–93.
Cava-Ferreruela, I., & Alabau-Munoz, A. (2006). Broadband policy assessment: a cross-national empirical analysis. Telecommunications Policy, 30(8–9), 445–463. CrossRef
Chappell, C., Feindt, S., & Jeffcoate, J. (2002). Best practice in SME adoption of ecommerce. Benchmarking: An International Journal, 9(2), 122–132. CrossRef
Chau, P. Y. K., & Hu, P. J. -H. (2001). Information technology acceptance by individual professionals: A model comparison approach. Decision Sciences, 32, 699–719.
Choudrie, J., & Dwivedi, Y. K. (2006). Investigating factors influencing adoption of broadband in the household. The Journal of Computer Information Systems, 47(4), 25–34.
Choudrie, J., & Papazafeiropoulou, A. (2007). Assessing the UK policies for broadband adoption. Information Systems Frontiers, 9(2–3), 297–308. CrossRef
Choudrie, J., Papazafeiropoulou, A., & Lee, H. (2003). A web of stakeholders and strategies: a case of broadband diffusion in South Korea. Journal of Information Technology, 18(4), 281–291. CrossRef
Cisilion (2002). Small to medium businesses can’t see broadband benefits [Online] Available: http://www.cisilion.com/bnews_intellect.htm [Accessed 18/11/2004]
Cooper, R. B., & Zmud, R. W. (1990). Information technology implementation research: a technological diffusion approach. Management Science, 36(2), 123. CrossRef
Crum, M. R., Premkumar, G., & Ramamurthy, K. (1996). An assessment of motor carrier adoption, use, and satisfaction with EDI. Transportation Journal, 35(4), 44.
Damsgaard, J., & Lyytinen, K. (2001). The role of intermediating institutions in the diffusion of electronic data interchange (EDI): how industry associations intervened in Denmark, Finland, and Hong Kong. The Information Society, 17(3), 195. CrossRef
Daniel, E., Wilson, H., & Myers, A. (2002). Adoption of ECommerce by SMEs i + n the UK. International Small Business Journal, 20(3), 253–270. CrossRef
Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS quarterly, 13(3), 319–339.
Dierckx, M. A. F., & Stroeken, J. H. M. (1999). Information technology and innovation in small and medium-sized enterprises. Technological Forecasting and Social Change, 60(2), 149–166. CrossRef
Dobers, P. (2002). Broadband-boom and bust in the new economy. In I. Holmberg, M. Salzer-Mörling, & L. Strannegård (Eds.), Managing and organizing in the new economy. Stockholm: Book House.
DTI (2003). The small business service: National statistics, Department of trade and Industry [Online] Available: www.sbs.gov.uk/ [Accessed 03/05/2005].
DTI (2004). Broadband- FAQs. [Online] Available: http://www.dti.gov.uk/Files/file13254.pdfppubpdfdlead=04%2F2304 09/12/2008].
Dutta, A., & Roy, R. (2003). Anticipating internet diffusion. Communications of the ACM, 46(2), 66–71. CrossRef
Dutton, W. H., Gillet, S. E., McKnight, L. W., & Peltu, M. (2004). Bridging broadband internet divides: reconfiguring access to enhance communicative power. Journal of Information Technology, 19(1), 28–38. CrossRef
Dwivedi, Y., & Irani, Z. (2009). Understanding the adopters and nonadopters of broadband. Communications of the ACM, 52(1), 122–12. CrossRef
European Commision (2009). Report on Implementation of the definition [Online] Available: http://ec.europa.eu/enterprise/policies/sme/files/sme_definition/sme_report_2009_en.pdf [Accessed 7/07/2010].
European Commission (2007). Putting SMEs first: Europe is good for SMEs, SMEs are good for Europe [Online] Available: http://ec.europa.eu/enterprise/entrepreneurship/docs/sme_pack_en.pdf [Accessed 24/10/2007].
Firth, L., & Kelly, T. (2001). Broadband briefing paper, ITU, Geneva [Online] Available: http://www.itu.int/osg/spu/ni/broadband/workshop/briefingpaperfinal.doc [Accessed 14/04/2011].
Firth, L., & Mellor, D. (2005). Broadband: benefits and problems. Telecommunications Policy, 29(2–3), 223–236. CrossRef
Gholami, R., Koh, E., & Lim, J. (2010). The post adoption phase of broadband in small businesses. Information Resources Management Journal, 23(1), 35–52. CrossRef
Hemming, M., Davenport, C. (2010). Broadband: Steps for an incoming Government. Federation of Small Business.
Hitt, L., & Tambe, P. (2007). Broadband adoption and content consumption. Information Economics and Policy, 19(3–4), 362–378. CrossRef
Holt, L., & Jamison, M. (2009). Broadband and contributions to economic growth: lessons from the US experience. Telecommunications Policy, 33(10/11), 575–581. CrossRef
Humphreys, L. (2005). Refraining social groups, closure, and stabilization in the social construction of technology. Social Epistemology, 19(2/3), 231–253. CrossRef
Intellect (2003). The benefits of broadband to SMEs in the ICT sector interim conclusions from intellect member research [Online] Available: http://www.intellectuk.org/campaigns/broadband/benefits/Exec_summary_Intellect.pdf [Accessed 09/12/2008].
Intellect (2005). SMEs need guidance in adapting to Broadband [Online] Available: http://www.intellectuk.org/press/news/news_170505_SMEbroadband.asp 31/10/ 2005].
ITU (2003). Promoting broadband: Background paper. International Telecommunication Union.
Jayakar, K., & Park, E. A. (2012). Funding public computing centers: balancing broadband availability and expected demand. Government Information Quarterly, 29(1), 50–59. CrossRef
Kalakota, R., & Robinson, M. (2001). E-Business 2.0: Road-map for Success. Addison-Wesley, Harlow.
Kautz, K., & Pries-Heje, J. (1996). Diffusion and adoption of information technology. London: Chapman & Hall. CrossRef
Klein, K. K., & Myers, M. D. (1999). A set of principles for conducting and evaluating interpretive field studies in information systems. MIS Quarterly, 23(1), 67–94. CrossRef
Lacity, M. C., & Janson, M. A. (1994). Understanding qualitative data: a framework of text analysis methods. Journal of Management Information Systems, 11(2), 137–156.
Law, J. (1987). Technology and heterogeneous engineering: the case of Portuguese expansion. In W. Bijker, T. Hughes, & T. Pinch (Eds.), The social construction of technological systems (pp. 111–134). Cambridge: MIT Press.
Lawson, R., Alcock, C., Cooper, J., & Burgess, L. (2003). Factors affecting adoption of electronic commerce technologies by SMEs: an Australian Study. Journal of Small Business and Enterprise Development, 10(3), 265–276. CrossRef
Lefebvre, L., Harvey, J., & Lefebvre, E. (1991). Technology experience and thetechnology adoption decisions in small manufacturing firms. R & D Management, 21(3), 241–249. CrossRef
Levenburg, N. M. (2005). Does size matter? Small firms’ use of e-business tools in the supply chain. Electronic Markets, 15(2), 94–105. CrossRef
Levy, M., Powell, P., & Yetton, P. (2001). SMEs: aligning IS and the strategic context. Journal of Information Technology, 16(3), 133. CrossRef
Levy, M., Powel, P., & Yetton, P. (2002). The dynamics of SME Information system. Small Business Economics, 19, 341–352.
Lou, H., Luo, W., & Strong, D. (2000). Perceived critical mass effect on groupware acceptance. European Journal of Information Systems, 9(2), 91–103. CrossRef
MacKenzie, D., & Wajcman, J. (Eds.). (1999). The social shaping of technology. Buckingham: Open University Press.
NTL (2005). How can broadband benefit your business [Online] Available: http://business.ntl.com/internet_products/business_broadband/business_benefits.php [Accessed 08/11/ 2005].
OECD (2003). Broadband driving growth: Policy responses [Online] Available: http://www.oecd.org/dataoecd/18/3/16234106.pdf [Accessed 07/07/ 2010].
OECD (2005) ICT, E-business and SMEs [Online] Available: http://www.oecd.org/dataoecd/32/28/34228733.pdf [Accessed 07/07/ 2010].
OECD (2007). OECD Communications Outlook 2007 [Online] Available: http://184.108.40.206/oecd/pdfs/browseit/9307021E.PDF [Accessed 20/09/2007].
Ofcom (2005). The communications market 2005.
Ofcom (2006). The communications market 2006.
Ofcom (2007). The communications market 2007.
Ofcom (2009). The communications market 2009.
Ofcom (2010). The communications market 2010.
Office of the e-Envoy (2001) UK Online: The Broadband Future
Papazafeiropoulou, A. (2002). A stakeholder approach to electronic commerce diffusion. PhD Thesis. Uxbridge, England: Brunel University.
Papazafeiropoulou, A.,Gandecha, R., Stergioulas, L. (2005) Interpretive flexibility along the innovation decision process of the UK NHS care records service (NCRS). Insights from a local implementation case study In Proceedings of the Thirteenth European Conference on Information Systems. Regensburg, Germany.
Parker, C. M., & Castleman, T. (2007). New directions for research on SME-eBusiness: insights from an analysis of journal articles from 2003 to 2006. Journal of Information Systems and Small Business, 1(1–2), 21–40.
Pavic, S., Koh, S. C. L., Simpson, M., & Pardmore, J. (2003). Could e-business create a competitive advantage in UK SMEs? Benchmarking: An International Journal, 14(3), 320–351. CrossRef
Philpott, M. (2004). Ovum white paper: DSL services for small enterprises.
Pinch, T. J., & Bijker, W. E. (1987). The social construction of facts and artefacts: Or how the sociology of science and the sociology of technology might benefit each other. In W. E. Bijker, T. P. Hughes, & T. J. Pinch (Eds.), The social construction of technological systems (pp. 18–50). Cambridge: MIT Press, Massachusetts Institute of Technology.
Pontikakis, D., & Collins, P. (2010). Exploring geographic variation in corporate broadband adoption; evidence from Irish small- and medium-sized enterprises (SMEs). Telecommunications Policy, 34(3), 144–161. CrossRef
Pouloudi, A., & Whitley, E. A. (1997). Stakeholder identification in inter-organizational systems: gaining insights for drug use management systems. European Journal of Information Systems, 6(1), 1–14. CrossRef
Premkumar, G., Ramamurthy, K., & Crum, M. (1997). Determinants of EDI adoption in the transportation industry. European Journal of Information Systems, 6(2), 107–121. CrossRef
Rajagopal, P. (2002). An innovation-diffusion view of implementation of enterprise resource planning (ERP) systems and development of a research model. Information Management, 40(5), 87. CrossRef
Rogers, E. M. (2003). Diffusion of innovations. New York: Free Press.
Sanders, P. (1982). Phenomenology: a new way of viewing organizational research. Academy of Management Review, 7(3), 353–360.
Seemann, M. (2010). UK Broadband for SMEs: Not fit for purpose, Business Computing World, 22 June 2010.
Shao, Y. P. (1999). Expert systems diffusion in British banking: diffusion models and media factor. Information Management, 35(1), 1–8. CrossRef
Spurge, V., & Roberts, C. (2005). Broadband technology: an appraisal of government policy and use by small- and medium-sized enterprises. Journal of Property Investment and Finance, 23(6), 516–524. CrossRef
Strader, T. J., Ramaswami, S. N., & Houle, P. A. (2007). Perceived network externalities and communication technology acceptance. European Journal of Information Systems, 16, 54–65. CrossRef
Taylor, S., & Todd, P. A. (1995). Understanding information technology usage: A test of competing models. Information Systems Research, 6(2), 144–176.
Taylor, M., & Murphy, A. (2004). SMEs and e-business. Journal of Small Business and Enterprise Development, 11(3), 280–289. CrossRef
Tornatzky, L. G., & Klein, K. J. (1982). Innovation characteristics and innovation adoption-implementation: a meta analysis of findings. IEEE Transactions on Engineering Management, 29(11), 28–45. CrossRef
Viatel (2005). Viatel broadband for business [Online] Available: http://www.viatel.com/uplds/NetServ_Broadband.pdf [Accessed 7/11/2005].
Walsham, G. (1995). The emergence of interpretivism in IS research. Information Systems Research, 6(4), 376–394. CrossRef
Woolgar, S. (1996). Technologies as cultural artifacts. In W. H. Dutton & W. H. Dutton (Eds.), Information and communication technologies: Visions and realities (pp. 87–102). Oxford: Oxford University Press.
- Diverse views on IT innovation diffusion among SMEs: Influencing factors of broadband adoption
- Publication date
- Springer US
Neuer Inhalt/© ITandMEDIA