Academy of Marketing Studies Journal (Print ISSN: 1095-6298; Online ISSN: 1528-2678)

Research Article: 2021 Vol: 25 Issue: 3

A Two-Decade Literature Review on Challenges Faced by Smes In Technology Adoption

Asmat Ara Shaikh, Bharati Vidyapeeth’s Institute of Management Studies and Research, Navi Mumbai, Mumbai University

Anuj Kumar, Research Scholar (GL-2789), Aligarh Muslim University

Asif Ali Syed, Department of Business Administration, Aligarh Muslim University

Mohammed Zafar Shaikh, Shri Bhagubhai Mafatlal Polytechnic, Mumbai


The purpose of this study is to discuss the importance of technology for SMEs. The world is moving towards technology 5.0, SMEs have not able to adopt technology 2.0 effectively. COVID-19 pandemic has taught the world about the importance of technology in effective working from remote places. In the first section of this study, the authors will discuss the importance of technology adoption; later, the second section will focus on the various challenges in the adoption of technology. The research methodology is based on a systematic literature review. The authors have reviewed the literature of the last twenty years to judge the challenges pertaining to technology adoption. The literature has been reviewed in a longitudinal manner. The findings of this study suggest that the significant challenges in technology adoption are the cost of technology and infrastructure, technical skills and efficiency, adoption challenges, lack of organizational support, and governmental support.

  1. Al-Fawaz, K., & Naseer, A., (2010). Challenges and influential factors in ERP adoption and implementation.. s.l., s.n.
  2. Ali, Qalati. (2021). Examining the Factors Affecting SME Performance: The Mediating Role of Social Media Adoption. Sustainability,. 13(1), p. 75.
  3. AlSharji, A., Ahmad, S. & Bakar, A., 2018. Understanding social media adoption in SMEs. Journal of Entrepreneurship in Emerging Economies., 10(2), pp. 302-328.
  4. Arendt, L., 2008. Barriers to ICT adoption in SMEs: how to bridge the digital divide?.. Journal of Systems and Information Technology., 10(2), p. 93.
  5. Awa, H., Eze, S., Urieto, J. & Inyang, B., (2011). Upper echelon theory (UET): A major determinant of information technology (IT) adoption by SMEs in Nigeria. Journal of Systems and Information Technology., 13(2), pp. 1328-7265.
  6. Awa, H., Ojiabo, O. & Emecheta, B., (2015). Integrating TAM, TPB and TOE frameworks and expanding their characteristic constructs for e-commerce adoption by SMEs. Journal of Science & Technology Policy Management, 6(1), pp. 76-94.
  7. Ayedee, N. & Kumar, A., (2020). Indian Education System and growing number of online Conferences: Scenario under COVID-19. Asian Journal of Management, 11(4), pp. 395-401.
  8. Bharathi, S. & Mandal, T., (2015). Prioritising and ranking critical factors for sustainable cloud ERP adoption in SMEs.. International Journal of Automation and Logistics,, 1(3), pp. 294-316.
  9. Chang, S.C.H. a. L.M., (2021). Evaluating Industry 4.0 Technology Application in SMEs:. Using a Hybrid MCDM Approach. Mathematics, 9(4), p.414., 9(4), p. 414.
  10. Chatzoglou, P. & Chatzoudes, D., (2016). Factors affecting e-business adoption in SMEs: an empirical research. Journal of Enterprise Information Management., 29(3).
  11. Coleman, S. et al., (2016). How can SMEs benefit from big data? Challenges and a path forward. Quality and Reliability Engineering International, , 32(6), pp. 2151-2164..
  12. Dahnil, M., Marzuki, K., Langgat, J. & Fabeil, N., (2014). Factors influencing SMEs adoption of social media marketing.. s.l., s.n., pp. 119-126..
  13. Drew, S., (2003). Strategic Uses of E-Commerce by SMEs in the East of England. European Management Journal, 21(1), pp. 79-88.
  14. Dutra, I., Findlay, C., McGregor, M. & McEwan, T., (2006). E-procurement & the SME: challenges for Scotland. s.l., s.n.
  15. Effendi, M., Sugandini, D. & Istanto, Y., (2020). Social Media Adoption in SMEs Impacted by COVID-19: The TOE Model.. The Journal of Asian Finance, Economics, and Business, , 7(11), pp. 915-925..
  16. Frankovský, M. et al., (2019). Social intelligence in the Cultural Context: Comparison of Indian and Slovak Managers. Organizational Psychology, 9(3), pp. 8-19.
  17. FRANKOVSKÝ, M. et al., (2019). Social intelligence in the Cultural Context: Comparison of Indian and Slovak Managers. Organizational Psychology, 9(3), pp. 8-19.
  18. Grama, A. & Fotache, D., (2007). ICT and ERP applications challenges in Romanian SMEs.. Analele Stiintifice ale Universitatii Alexandru Ioan Cuza Iasi, 14., s.n.
  19. Guo, H., Yang, Z., Huang, R. & Guo, A., (2020). The digitalization and public crisis responses of small and medium enterprises: Implications from a COVID-19 survey. Frontiers of Business Research in China 14, Volume 19.
  20. Hamisi, S., (2011). Challenges and opportunities of Tanzanian SMEs in adapting supply chain management. African Journal of Business Management, 5(4) 1266-1276..
  21. Harker, D. & Akkeren, J.V., (2002). Mobile Data Technology for Small Businesses: needs, uses and adoption. Australasian Journal of Information Systems, 9(2).
  22. Hsiao, R., (2001). Technology Fears: Barriers to the Adoption of Business-to-Business E-Commerce. Singapore, ICIS 2001 Proceedings.
  23. Imanipour, N., Talebi, K. & Rezazadeh, S., (2012). Obstacles in business process management (BPM) implementation and adoption in SMEs.. SSRN Electronic Journal.
  24. Kabanda, S. & Brown, I., (2017). A structuration analysis of Small and Medium Enterprise (SME) adoption of E-Commerce: The case of Tanzania. Telematics and Informatics, 34(4) 118-132.
  25. Kumar, A. & Aggarwal, R., (2018). Sustainable development through social media tools. Journal of Management, 5(5), pp. 47-51.
  26. Kumar, A. & Ayedee, N., (2018). Social Media tools for business growth of SMEs. Journal of Management, 5(3), 137-142.
  27. Kumar, A. & Ayedee, N., (2019). Strategic HRM Practices to Deal with Gender Diversity Problems in Organizations. Journal of Strategic Human Resource Management, 8(3).
  28. Kumar, A. & Ayedee, N., (2019). Strategic HRM Practices to Deal with Gender Diversity Problems in Organizations. Journal of Strategic Human Resource Management, 8(3).
  29. Kumar, A. & Ayedee, N., (2019). Sustainable development in SMEs through social media channels. International Journal of Management, Technology and Engineering, 9(6), pp. 1066-1075.
  30. Kumar, A. & Ayedee, N., (2021). Technology Adoption: A Solution for SMEs to overcome problems during COVID-19. Academy of Marketing Studies Journal, 25(1), pp. 1-16.
  31. Kumar, A. & Kalse, A., (2021). Usage and adoption of artificial intelligence in SMEs. Materials Today: Proceedings.
  32. Kumar, A., Syed, D.A.A. & Pandey, D.A., (2020). How Adoption of Online Resources Can Help Indian SMEs in Improving Performance during COVID-19 Pandemic. Test Engineering and Management, Volume 83, pp. 3394-3400.
  33. Kumar, R., Singh, R. & Dwivedi, Y., (2020). Application of industry 4.0 technologies in SMEs for ethical and sustainable operations: Analysis of challenges. Journal of cleaner production, 275, p.124063., p. 275.
  34. Lewandowski, J., Salako, A. & Garcia-Perez, A., (2013). SaaS enterprise resource planning systems: challenges of their adoption in SMEs. s.l., s.n.
  35. Maisiri, (2021). Factors that Inhibit Sustainable Adoption of Industry 4.0 in the South African Manufacturing Industry. Sustainability,. 3 13, pp. 13(3), p.1013..
  36. Mba, O. & Cletus, I., (2014). Issues, challenges and prospects of small and medium scale enterprises (SMEs) in port-Harcourt city, Nigeria. European journal of sustainable development, , 3(1), pp. 101-114..
  37. McCole, P. & Ramsey, E., (2005). A Profile of Adopters and Non-adopters of eCommerce in SME Professional Service Firms. Australasian Marketing Journal, 13(1), pp. 36-48.
  38. McCole, P. & Ramsey, E., (2006). A profile of adopters and non-adopters of eCommerce in SME professional service firms.. Australasian Marketing Journal (AMJ), pp.36-48(1), p. 13.
  39. Moghavvemi, S., Hakimian, F. & Tengk Feissal, T., 2012. Competitive advantages through IT innovation adoption by SMEs. Socialines technologijos/Social Technologies,. Socialines Technologies, social technologies, 2(1), pp. 24-39.
  40. Nasution, M.R. (2021). Entrepreneurial orientation, knowledge management, dynamic capabilities towards e-commerce adoption of SMEs in Indonesia.. Journal of Science and Technology Policy Management.
  41. Nguyen, T., Sherif, J. & Newby, M., (2007). Strategies for successful CRM implementation.. Information Management & Computer Security., 15(2), 102-115.
  42. Papadopoulos, T., Baltas, K.N. & Balta, M.E., (2020). The use of digital technologies by small and medium enterprises during COVID-19: Implications for theory and practice. International Journal of Information Management, Volume 55.
  43. Paul, J. & Criado, R.A., n.d. The art of writing literature review: What do we know and what do we need to know?. International Business Review.
  44. Pease, W. & Rowe, M., (2005). Diffusion of innovation-The Adoption of electronic commerce by small and medium enterprises (SMES)-A comparative analysis. Australasian Journal of Information Systems, Volume I, p. 13.
  45. Prause, M., (2019). Challenges of industry 4.0 technology adoption for SMEs: the case of Japan. s.l., s.n.
  46. Priyono, A., Moin, A. & Putri, V.N.A.O., (2020). Identifying Digital Transformation Paths in the Business Model of SMEs during the COVID-19 Pandemic. Journal of Open Innovation: Technology, Market and Complexity, 6(104), pp. 1-22.
  47. Salleh, N., Hussin, H., Suhaimi, M. & Ali, A., 2018. A systematic literature review of cloud computing adoption and impacts among small medium enterprises (SMEs). s.l., s.n.
  48. Santinha, G. & Soares, A., 2004. SMEs and ICTs adoption : a new challenge to Regional Policies. s.l., ERSA conference papers.
  49. Scholz, P. et al., (2010). Benefits and challenges of business intelligence adoption in small and medium-sized enterprises.. s.l., s.n.
  50. Seyal, A. & Rahman, M., (2003). A Preliminary Investigation of ECommerce Adoption in Small & Medium Enterprises in Brunei. Journal of Global Information Technology Management, , 6(2), pp. 6-26..
  51. Shah, S., Soriano, C. & Coutroubis, A., (2017). s big data for everyone? the challenges of big data adoption in SMEs. s.l., s.n.
  52. Shemi, A. & Procter, C., 2013. Challenges of e-commerce adoption in SMEs: An interpretive case study of Botswana.. Botswana Journal of Business, 6(1).
  53. Singh, R., Luthra, S., Mangla, S. & Uniyal, S., 2019. Applications of information and communication technology for sustainable growth of SMEs in India food industry.. s.l., s.n., pp. 10-18.
  54. Snider, B., da Silveira, G. & Balakrishnan, J., (2009). ERP implementation at SMEs: analysis of five Canadian cases.. International Journal of Operations & Production Management..
  55. Snyder, H., (2019). Literature review as a research methodology: An overview and guidelines. Journal of Business Research, pp. 333-339.
  56. Stockdale, R. & Standing, C., (2004). Benefits and barriers of electronic marketplace participation: an SME perspective. Journal of Enterprise Information Management, 17(4), pp. 301-311.
  57. Tetteh, E. & Burn, J., (2001). Global strategies for SMe-business: applying the SMALL framework. Logistics Information Management, 14(1/2), pp. 171-180.
  58. Turkyilmaz, A.D.D.S.Z.S.S. a.S.E., 2021. Industry 4.0: Challenges and opportunities for Kazakhstan SMEs. s.l., s.n.
  59. Viswanathan, R. a. T.A., (2021). A systems dynamics approach to SME digitalization.. Procedia Computer Science,, pp. 816-824.
  60. V, V.d. V., JP, D.J., Vanhaverbeke, W. & De Rochemont, M., 2009. Open innovation in SMEs: Trends, motives and management challenges. Technovation: The International journal of Technovation, Enterpreneurship and Technology Management, 29(6-7), pp. 423-37.
  61. Windrum, P. & De Berranger, P., (2002). The adoption of e-business technology by SMEs.. s.l., s.n.
  62. Wolcott, P., Kamal, M. & Qureshi, S., (2008). Meeting the challenges of ICT adoption by micro-enterprises.. Journal of Enterprise Information Management., 21(6), pp. 616-632.
Get the App