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The issue of identifying and explaining factors for evaluating the readiness of small and medium-sized companies in using the electronic market

Number of pages: 150 File Format: word File Code: 30770
Year: 2013 University Degree: Master's degree Category: Management
Tags/Keywords: Electronic market - Interorganizational factors - Medium companies - Organizational factors - Small companies - Technical factors
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  • Summary of The issue of identifying and explaining factors for evaluating the readiness of small and medium-sized companies in using the electronic market

    Dissertation for Master's Degree in Business Administration

    (International Marketing Orientation)

    Research Abstract

    Electronic market is an inter-organizational information system that allows buyers and sellers participating in some markets, independently of third parties, to provide information and offers about prices and products. The use of this new innovation by both small and large companies has created many benefits and these benefits have strengthened the motivation of small and medium companies to this phenomenon. Due to their important role in the economy of Iran, small and medium companies can improve the productivity and efficiency of the entire economic system if they use the electronic market. But if these companies are not sufficiently prepared to enter electronic markets, they will face failure and will cause problems in the economic system. Therefore, evaluating their readiness is of particular importance. Therefore, in this research, an attempt is made to identify the factors for evaluating the readiness of small and medium-sized companies in using the electronic market. For this purpose, based on previous research and the study of literature related to the subject, technical, organizational and interpersonal factors have been identified as key factors and the components and indicators related to each of them have been presented. A 41-question questionnaire was designed with a seven-point Likert scale. The overall reliability coefficient of the questionnaire was calculated using Cronbach's alpha method equal to 0.76. The sample size in this research is 52. T-test confirmation showed that technical, organizational and inter-organizational factors (3 main hypotheses) along with all related sub-factors (13 sub-hypotheses) were all confirmed. Friedman's test also indicates the importance of technical factors more than organizational and inter-organizational factors. At the end of the preparation, 5 small and medium-sized companies active in the carpet industry were evaluated.

    Key words: technical factors, organizational factors, inter-organizational factors, electronic market, small and medium-sized companies

    Introduction

    Man lives in an era where there is a great demand for information and this has been significantly facilitated by the Internet. Strong communication power through the Internet, the possibility of coordination, control, better operations and It has provided appropriate information and created opportunities for organizations that rely on electronic markets [1] and on the other hand, it has created threats such as the possibility of losing market share, the entry of new competitors and the introduction of various substitute products for organizations that have been hesitant to use these technologies (Farzamnia, 2017).  

    Many businesses went bankrupt because they did not know how to use the Internet and could not adapt to the new environment. Some organizations have also turned to using electronic markets without preparing the necessary prerequisites, which has caused many problems for them. In the case of small businesses, if they have problems using electronic markets, the impact of these problems will be greater. Based on this, it is necessary to first measure the level of readiness of companies to participate in electronic markets in different dimensions and if they have the necessary preparation to use these markets, they should create grounds for presence in electronic markets and if the necessary preparation is not available in some dimensions, improve and prepare the necessary prerequisites (Fawzy and Dworski, 2010).  

    Electronic market is an inter-organizational information system that allows buyers and sellers participating in some markets, independent of third parties, to provide information and offers about prices and products (Gottschalk and Abrahamsen, 2002). The electronic market provides the possibility of conducting related transactions in interactive and networked digital environments. These markets create an infrastructure to allow suppliers and buyers to interact in an online environment (Warkentin, 2002).                       

    Electronic markets are mainly used by large companies and organizations, but in recent years, the attention of some smaller scale companies has also been drawn to these types of markets and exchanges through them. Small and medium enterprises [2] play a significant role in the international economy.Small and medium-sized enterprises play an effective role in establishing a dynamic and healthy economy with industrialized nations and introducing innovations and innovations (Al-Qirim, 2004). For this reason, the issues and phenomena that affect the performance of these types of organizations have a great impact on the business situation in countries and create changes in the economic factors of the global environment. Based on this, it is necessary for such organizations to examine their conditions and the level of preparation of the necessary prerequisites in this field in order to use them effectively. The importance of this issue is more important in industries such as the carpet industry, where small and medium-sized companies are very important and have a significant share in non-oil exports.

    1-2. Statement of the problem

    Small and medium enterprises are recognized as important elements in economic-social developments in most countries. These companies are especially important in creating job opportunities with low investments, regional development, organizational development of companies based on technology principles, product innovation and creation of new methods. A look at the economic-social system in many advanced and newly developed countries of the world shows that the creation and support of small and medium-sized enterprises is one of the basic priorities in the economic development programs of these countries (Tolaei and Alirezaei, 2017).

    Despite the fact that they require less investment, these economic enterprises are more productive and play an important role in creating employment, creating a suitable platform for innovation and inventions, and increasing the exports of these countries. In many countries, these companies have been the main providers of new employment, the cradle of transformation and innovation, and the pioneers in inventing new technologies. On the other hand, these industries can have many attractions for the private sector due to their unique characteristics, which has been introduced as a successful model for scientific and industrial empowerment depending on the internal economic conditions of countries, laws and supporting policies in different countries (Tolaei and Alirezaei, 2017). The Internet helps companies to create and attract profits in new ways such as adding added value to products and services. They offer a new product or service to the customer, provide additional information or services along with traditional products or services, and provide a product or service at a lower cost than the traditional model. Online business is gradually replacing conventional businesses. More information is exchanged over the Internet, especially when using electronic markets. The process of matching supply and demand has become complicated and difficult in the last 20 years, so the electronic market plays a vital role in business management. Electronic markets promise to improve market efficiency, reduce transaction costs and create new income (Zolatan alpar, 2010).

    Using the electronic market requires the preparation of necessary infrastructure. The preparation of necessary infrastructures, in turn, requires making software and hardware changes in the organization. Among the software changes, we can mention the change of attitude of managers and employees towards technology and e-commerce, acquisition of managerial and practical and entrepreneurial skills, risk taking, change in work processes, change in organizational structure, etc. Hardware changes include things like: buying a computer and creating a network, financing, and so on. pointed out (Mehrtens et al., 2001).

    Considering that the carpet industry has occupied many people, it can be an important factor in creating permanent and seasonal jobs for people in the society. Also, this product has long been considered as the main export product of Iran. In other words, the most important economic aspects of hand-woven carpets can be seen as job creation, foreign exchange acquisition, and helping to improve the economy (Sabouri Khosrowshahi, 2012).

  • Contents & References of The issue of identifying and explaining factors for evaluating the readiness of small and medium-sized companies in using the electronic market

    List:

    Title: Table of Contents Page number: First chapter: 1 1-1. Introduction. 2

    1-2. State the problem. 3

    1-3. The importance and necessity of research. 4

    1-4. Research objectives. 6

    1-4-1. The main goal. 6

    1-4-2. Sub-goals. 6

    1-5. Research questions. 6

    1-5-1. Main questions and assumptions. 6

    1-5-2. Questions and sub-hypotheses. 7

    1-6. Conceptual model of research. 9

    1-7. The temporal and spatial scope of research. 10

    1-7-1. Subject area. 10

    1-7-2. spatial territory. 10

    1-7-3. temporal realm. 10

    1-8. Definitions of research terms and variables. 10

    The second chapter: 12

    2-1. Introduction. 13

    2-2. Electronic commerce. 14

    2-2-1. Benefits of e-commerce. 15

    2-3.  Electronic market. 18

    2-3-1.  Electronic market components. 20

    2-3-2. Types of electronic market. 20

    2-4.  Electronic readiness. 21

    2-4-1. The need for electronic preparation. 23

    2-4-2. E-readiness goals. 24

    2-4-3. Electronic Readiness Assessment. 25

    2-5. Small and medium enterprises. 29

    2-6.  Application of electronic market by small and medium enterprises. 32

    2-6-1. Small businesses. 32

    2-6-2.  Medium businesses. 32

    2-7. carpet industry 34

    2-7-1. Carpet and electronic market. 36

    2-8. An example of public electronic markets. 37

    2-8-1. ebay. 37

    2-8-2. Alibaba 38

    2-8-3. Iran electronic market. 39

    2-9. Summary of thematic literature. 40

    2-10. Previous researches. 42

    2-10-1. Internal investigation. 42

    2-10-2.  Foreign research. 45

    The third chapter: 54

    3-1. Introduction. 55

    3-2. The research method used in the research. 55

    3-2-1.  Research method from the perspective of research objective. 55

    3-2-2.  Research method from the point of view of process and data collection method. 57

    3-3. Research variables. 58

    3-3-1. Division of variables based on relationship. 58

    3-3-2. Classification of variables based on value. 59

    3-3-3. Definition of variables 60

    3-4. Population and statistical sample. 65

    3-4-1. Statistical population. 65

    3-4-2. Statistical sample. 66

    3-4-3. Sampling. 66

    3-4-4. Estimation of sample size. 66

    3-5. Method of collecting information. 67

    3-5-1.  Scaling of answers to questionnaire questions. 68

    3-5-2. Questionnaire distribution method. 69

    3-5-3. Validity and reliability of research tools. 69

    3-6. Data analysis and hypothesis testing. 72

    3-6-1. Data analysis 72

    Chapter four: 75

    4-1. Introduction. 76

    4-2. Descriptive statistics. 76

    4-2-1. education 77

    4-2-2. field of study 78

    4-2-3. Work experience 79

    4-2-4. Organizational position. 80

    4-3. Inferential statistics. 81

    4-3-1. Hypothesis testing. 82

    4-3-2. Ranking factors. 96

    4-4. Evaluation of the readiness of 5 companies active in the carpet industry. 101

    The fifth chapter: 106

    5-1. Introduction. 107

    5-2. Analysis of demographic results. 108

    5-3. Comparison of research results with previous research results. 108

    5-4. Submission of suggestions 119

    5-5.  Research limitations. 121

    5-6.  Suggestions for future research. 122

    Resources. 124

    Appendix No. 1. 129

    Appendix No. 2. 132

    Appendix No. 3. 136

    Title of Tables List of Tables Page Number

    Table 2-1. Titles of indicators of electronic readiness assessment models. 27

    Table 2-2.  Comparison of the indicators of the mentioned models with the model investigated in this research. 28

    Table 2-3. Summary of related researches and their findings 49

    Table 1-3. Operational definition. 61

    Table 3-2 Likert scale. 69

    Table 3-3. Questions related to each variable. 69

    Table 3-4. Cronbach's alpha of research variables. 72

    Table 4-1.  Frequency distribution and percentage of respondents according to education.77

    Table 4-2. Frequency distribution and percentage of respondents according to field of study. 78

    Table 4-3.  Frequency distribution and percentage of respondents according to work experience 79

    Table 4-4.  Frequency distribution and percentage of respondents according to organizational position. 80

    Table 4-5. The importance of technical factors for the preparation of small and medium enterprises in the electronic market. 83

    Table 4-6. The importance of the ability to exchange information for the preparation of small and medium-sized companies in the electronic market. 84

    Table 4-7. The importance of the electronic infrastructure dimension for the preparation of small and medium enterprises in the electronic market. 85

    Table 4-8.  The importance of standards for the preparation of small and medium-sized companies in the electronic market. 86

    Table 4-9. The importance of the adaptability dimension for the preparation of small and medium enterprises in the electronic market. 87

    Table 4-10. The importance of organizational factors for the preparation of small and medium-sized companies in the electronic market. 87

    Table 4-11. The importance of the infrastructure dimension of change for the readiness of small and medium enterprises in the electronic market. 88

    Table 4-12. The importance of the dimension of leadership and management for the preparation of small and medium enterprises in the electronic market. 89

    Table 4-13. The importance of the dimension of organizational culture for the preparation of small and medium-sized companies in the electronic market. 90

    Table 4-14. The importance of the financial infrastructure dimension for the preparation of small and medium enterprises in the electronic market. 90

    Table 4-15. The importance of the dimension of organizational structure for the preparation of small and medium-sized companies in the electronic market. 91

    Table 4-16. The importance of the product/service dimension for the readiness of small and medium enterprises in the electronic market. 92

    Table 4-17. The importance of inter-organizational factors for the readiness of small and medium-sized companies in the electronic market. 93

    Table 4-18. The importance of the customers/suppliers dimension for the readiness of small and medium enterprises in the electronic market. 94

    Table 4-19. The importance of the competitor dimension for the preparation of small and medium enterprises in the electronic market. 95

    Table 4-20. The importance of environmental factors for the readiness of small and medium enterprises in the electronic market. 95

    Table 4-21. Significance test of the difference in the average rank of the importance of the dimensions of technical factors in the preparation of organizations for the electronic market 96

    Table 22-4. The average ranked rank of each dimension of technical factors. 97

    Table 4-23.  Significance test of the difference in the mean rank of the importance of the dimensions of organizational factors in the preparation of organizations for the electronic market 97

    Table 24-4. The average ranked rank of each dimension of organizational factors. 98

    Table 4-25. Significance test of the difference in the mean rank of the importance of the dimensions of inter-organizational factors in the preparation of organizations for the electronic market 98

    Table 26-4. The average ranked rank of each of the dimensions of inter-organizational factors. 99

    Table 4-27. The significance test of the difference in the mean rank of the importance of the dimensions in the preparation of organizations for the electronic market. 99

    Table 4-28. The average ranked rank of each dimension. 100

    Table 4-29. The significance test of the difference in the mean rank of the importance of all components in the preparation of organizations for the electronic market. 100

    Table 4-30- The average ranked rank of the components 101

    Source:

    Persian sources

    Aghazadeh, Hashem., Mehrnoosh, Mina. and Stiri, Mehrdad. (1387). Identification of platforms for the use of electronic marketing in Iranian companies from the point of view of experts. Database of information technology management journal, volume 3, number 8.

    Aludari, Hassan. (1384). Marketing of the textile industry in the world: a case study of Japan, Taiwan, Korea, China. Research Institute of Humanities and Cultural Studies.

    Bazargan, Abbas, Sarmad, Zohra. and Hijazi, the goddess. (1385). Research methods in behavioral sciences, 12th edition, Tehran, Aghah Publishing Institute. Tolai, Ruha. and Alirezaei, Abu Torab. (1387). Examining the role of small and medium enterprises in the development of economic activities. Database of scientific management articles.

    Jones, Melanie. and Jones, Ravijin. (2004). Challenges of technology transfer in small and medium enterprises. Translator of the Technology Management Department of the Industrial Management Organization, Scientific Management Articles Database.

    Haj Karimi, Abbas Ali. and Azizi, Shahriar. (1387). Model of the effective factors of using e-commerce in small companies. Business Research Quarterly, No. 48, pp. 191-229. Hosseini, M. and Permeh, Z. (1383). Structure of the global handmade carpet market. Business Journal, pp. 114-132. Khaki, Gholamreza. (1384).

The issue of identifying and explaining factors for evaluating the readiness of small and medium-sized companies in using the electronic market
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