Electronic commerce contribution to the SME performance in manufacturing firms: A structural equation model

Resumen

The role Information and Communication Technologies (ICT) play in achieving a better organizational performance still needs further analysis among small and medium sized enterprises (SME) from developing countries. This study aims to extend the empirical literature on the relationship between ICT, electronic commerce and SME performance in developing countries. To achieve this goal, we employ a sample of 87 manufacturing firms from the city of Bahía Blanca, Argentina in the year 2015. By estimating a structural equation model, we obtain that electronic commerce adoption has a positive and significant influence on SME sales which is reinforced by the level of ICT use. Other organizational factors such as firm size and public programs explain performance, but are not significant predictors of the electronic commerce adoption.