Factors Influencing the Adoption of E-Marketplaces by Small Organizations: An Empirical Investigation

The past several years have witnessed the emergence of B2B electronic marketplaces. The expected elimination of market inefficiencies in such setups has driven large corporations to place significant investments on this type of e-commerce initiative. However, many e-marketplaces have encountered tremendous challenges. A frequently quoted explanation for the failure of e-marketplaces is the weak adoption rate among the small business community. Because of this, we intend to examine factors influencing small businesses’ decisions to participate in e-marketplaces. Based on an extensive literature review, we have developed a model describing three categories of factors (information systems, organizational, and environmental) impacting a small firm’s decision to join an e-marketplace. To refine the model and assess its applicability, a series of case studies will be conducted.

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