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Infrastructure and technology is a basic tool for SMEs to be involved in networked economy.
Without the tool nothing can be done. Based on the case study from Mehrtens, Cragg and
Mills (2001) using four firms in IT industry, the evidence from the study supported the view
that organizations that have high levels of information technology are more likely to adopt
the Internet. Thus, this hypothesis predicts that infrastructure and technology are positively
related to the e-readiness of SMEs.
Infrastructure and technology will be positively related to the e-readiness of
People are assets to an organization. People with the knowledge of Internet, e-commerce and
e-business play a more important role in SMEs which plan to be involved in networked
economy. Kwon and Zmud (1987) asserted that successful information system (IS)
implementation occurs when sufficient organizational resources such as sufficient developer
and sufficient technical skills are available. Therefore, the human capital can have a lot of
impact on the e-readiness of SMEs and this hypothesis predicts that human capital, which is
internal staff’s expertise and skills, is positively related the e-readiness of SMEs.
H 2 :
Human capital (internal staff’s expertise and skills) is positively related to the
e-readiness of SMEs.
Most people have doubt about making monetary transaction or transfer confidential
information through the Internet. To be ready to involve in a networked economy, SMEs
must have installed some hardware or software that can enforce the information security.