Factors Affecting Intention Toward ICT Adoption in Rural Entrepreneurship: Understanding the Differences Between Business Types of Organizations and Previous Experience of Entrepreneurs

Abstract

Information and communication technology (ICT) is substantially beneficial for rural entrepreneurship. A better understanding of factors contributing to ICT adoption is needed for wide promotion, yet it remains underexplored This study investigated the factors affecting ICT adoption intention. From the technology, individuals, and environment dimensions, an extended technology acceptance model (TAM) was proposed, and data from 327 rural entrepreneurs and the method of SEM were used to test the hypotheses. The moderating effect of multi-group on each path was discussed, including online and offline organizations and entrepreneurs with and without previous experience. Results show that, except for core variables in the TAM, social influence and relative advantage positively influence ICT adoption intention directly and indirectly. Increasing the relative advantage of ICT among enterprises with offline businesses can significantly improve their ICT adoption intention. For entrepreneurs without previous experience, perceived ease of use significantly and positively affects attitudes toward ICT adoption.

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“…Many studies clearly mentioned the significant impact of ICT on the productivity of business organizations; therefore, many studies considered ICT-based innovations for adoption and diffusion (Geng et al, 2023;Kuan & Chau, 2001;Mohanty & Mishra, 2020). Many models have been recommended in the adoption of ICT research.…”

“…Similarly, any firm's actions are expected to receive reactions from its competitors. While adopting technological interventions, many firms mimic the practices of well performing competitors (Geng et al, 2023;Mohanty & Mishra, 2020;Widmer & Prior, 2019). DiMaggio and Powell (1983) pointed out that one reason for this behaviour is environmental uncertainty, which prompts firms to pursue activities that have worked favourably for comparable counterparts.…”

“…Many studies are based on TOE (Awa et al, 2017;Govindan, 2023;Ullah et al, 2021). There are three main industry associations promoting the usage of technology for better performance of members (Geng et al, 2023;Mohanty & Mishra, 2020;Molinillo & Japutra, 2017).…”

“…Firstly, while there are many similarities between the TOE framework and the diffusion of innovation theory, in the TOE framework, the environmental context has been included, which is not present in the diffusion of innovation theory (Premkumar & Roberts, 1999;Mohanty & Mishra, 2020;Geng et al, 2023) Subsequently, the TOE framework has been supported by reliable empirical studies and has a strong theoretical foundation (Chong et al, 2009;Govindan, 2023;Mohanty & Mishra, 2020). Another reason is that the TOE framework has been able to overcome the dominance of the technical perspective and is useful as an analytical tool to differentiate between the essential abilities of an innovation and the motivations, capabilities as well as it provides a wider environmental perspective for the adopting firm (Mohanty & Mishra, 2020).…”