High-tech Potential? An Exploratory Study of Very Small Firms' Usage of the Internet

NANCY M. LEVENBURG AND THOMAS C. Dandridge are both with the Seidman School of Business, Grand Valley State University, Michigan, USA. Research on small business owners' use of the Internet has treated all firms with fewer than 25 employees as a common homogenous group and compared these with larger firms. This study looks in detail at Internet use by 195 US firms with fewer than 25 employees, finding marked differences in frequency and type of use among firms by size gradation. A general profile emerges since more frequent and more sophisticated use of the Internet exists by firms with four or more full-time equivalent (FTE) employees, and firms with intentions for growth in the next six months, including sales change, employment change and export plans. Given these new insights, suggestions for further research are offered.