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The Impact of E-Commerce on Taiwanese SMEs: Marketing and Operations Effects

Presenter: Tim ChengInstructor: Dr. Teresa HsuDate: November 24, 2014

Definition of term

SMEs: small and medium-size enterprises

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Citation

Ramanathan, R., Ramanathan, U., & Hsiao, H.-L. (2012). The impact of e-commerce on Taiwanese SMEs: Marketing and operations effects. International Journal of Production Economics, 140(2), 934-943.

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Introduction Literature Review Methodology Result Conclusion Reflection

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Content

Background

Purpose of this study

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Introduction

Background

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Introduction

SMEs play an important role in economic development of many countries around the world.

Given the enormous benefits of e-commerce, many business are attempting to harness the benefits of e-commerce.

Purpose of this study

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Introduction

To distinguish the impacts of e-commerce on marketing and operations functions

To investigate how these impacts have effected performance of Taiwanese SMEs

Love and Irani (2004) have found that e-commerce helps SMEs realize benefits in term of various operations functions, thereby helping to improve overall performance.

Hypothesis 1. Operations effect of e-commerce have a positive impact on the performance of Taiwanese SMEs

Hypothesis 1. Operations effect of e-commerce have a positive impact on the performance of Taiwanese SMEs

Hypothesis 2. Marketing effects of e-commerce have a positive impact on the performance of Taiwanese SMEs

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Literature Review

The impact of e-commerce adoption in SMEs could vary depending on other characteristics of the firm.

Hypothesis 3a. The longer the e-commerce adoption, the stronger the impacts of operations effects on overall performance of Taiwanese SMEs.

Hypothesis 3a. The longer the e-commerce adoption, the stronger the impacts of operations effects on overall performance of Taiwanese SMEs.

Hypothesis 3.b The longer the e-commerce adoption, the stronger the impacts of marketing effects on overall performance of Taiwanese SMEs.

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Literature Review

Wang and Ahmed(2009) have identified that firm size is a factor on the adoption of e-commerce by UK SMEs.

Hypothesis 4.a The larger the size of the Taiwanese SMEs in terms of the number of employees, the stronger the impacts of operations effects on overall performance of Taiwanese SMEs.

Hypothesis 4.a The larger the size of the Taiwanese SMEs in terms of the number of employees, the stronger the impacts of operations effects on overall performance of Taiwanese SMEs.

Hypothesis 4.b The larger the size of the Taiwanese SMEs in terms of the number of employees, the stronger the impacts of marketing effects on overall performance of Taiwanese SMEs.

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Literature Review

Participant

Instrument

Data analysis

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Methodology

size:

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Participant

Target population: Taiwanese SMEs(firms with less than 200 employees)

Respondents: 6 main industries with high SMEs population

Sample : 110 usable

Confirmatory factor analysis To check the marketing and operation effects

Moderated regression analysis To verify the roles of size and e-commerce

experience

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Statistical analysis

Data analysis

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Data analysis

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The result of regression analysis indicate the significant positive impact of operations and marketing effects of e-commerce on the overall performance of firms.

Result

Data analysis

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The result indicate that impacts of e-commerce on the performance of Taiwanese SMEs are not significant influence by e-commerce adoption experience of SMEs.

Result

Data analysis

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The result of moderated regression result show significant moderating influence of firm size on the relationships between e-commerce impacts and performance.

Result

Data analysis

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The result indicates that firm size moderates marketing effects in a negative direction.

Result

A major key finding is that e-commerce adoption has helped Taiwanese SMEs to improve their overall performance by helping their operations and marketing functions more efficient.

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Conclusion

No matter small firms or big firms both are influenced by the internet from so far. There still have many issues in e-commerce for us to investigate.

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Reflection