Factors Influencing Information and Communication Technology Adoption in Small and Medium Enterprises in Jijel, Algeria

The adoption of ICT can provide small and medium enterprises (SMEs) with a competitive advantage by enhancing quality, reducing costs, and increasing information flow. This study aims to identify the factors that influence the adoption of various information and communication technologies in Small and Medium Enterprises (SMEs) located in Jijel province in Algeria. A research model based on the Technological-Organizational-Environmental (TOE) framework extended to Individual context was proposed. Seven independent variables were selected (relative advantage, compatibility, top management support, competitive pressure, government support, owner/manager innovativeness and owner/manager ICT knowledge). The dependent variable, adoption of information and communication technology, was measured as the degree of adoption of six information and communication technologies by SMEs. Ordered logistic regression was utilized to analyze the collected data. The results showed that owner/manager ICT knowledge and government support are the primary factors that substantially influence most IC technologies. Relative advantage, compatibility and competitive pressure have all been found to affect one ICT. The remaining two factors, top management support and owner/manager innovativeness had no impact on any ICT. The study has significant consequences for scholars, practitioners and policymakers.

JEL classification: L25, M15, O33