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BSMH
3143 RESEAR
CH
METHODOL
OGY

GROUP N

SECOND
SEMESTER
SESSION
2017/2018
(A172)

FACTORS
THAT LEAD
THE
INVOLVEMEN
T OF SMES IN
ONLINE
BUSINESS:THE
EFFECTS OF
EXTERNAL
AND
INTERNAL
FACTORS ON
THE
ONLINEBUSIN
ESS.
PREPARED
FOR:PROF.
MADYA DR.
HARTINI
BINTI AHMA
D

PREPARED
BY

NO.

MATRIC NO.

NAME

1
238529 NUR SY
AHIRAH BINTI
PANUT
2
238704 NURUL
SHAZALIANA B
INTI ADNAN
3
239093 NURUL
NADIAH BINTI
MUHAMMAD Y
USOFF KHIRI
4
243275 MUHAM
MAD IZZAT BIN
MOHD ZABIDI
Submission
date:

20
th
MAY 2018

SCHOOL OF
BUSINESS M
ANAGEMEN
T

COLLEGE
OF BUSINESS

UNIVERSITI
UTARA
MALAYSIA

BPMN 3143
RESEARCH
METHODOLOG
Y1
Table of
Contents
Abstract
3Chapter 1: Introd
uction 41.1 Backg
round of the study
41.2 Problem Stat
ement 71.3 Resear
ch Question and R
esearch Objective
s 81.4 Scope of th
e study 91.5 Relev
ance of the study
9Chapter 2: Litera
ture Review 112.1
Concept and meas
urement of investi
gated variables 11
2.1.1 Technologic
al factor 112.1.2
Organizational Fa
ctor 132.1.3 Envir
onment factors 16
2.2 Theoretical ba
ckground 192.3 T
heoretical framew
ork 202.4 Develop
ment of research 2
02.4.1 Relationshi
p between technol
ogical factor and o
nline business 212
.4.2 Relationship
between environm
ent and online bus
iness 212.4.3 Rela
tionship between
organizational and
online business 21
2.5 Operationalizi
ng of variables 21
2.5.1 Online busin
ess 212.5.2 Techn
ological 212.5.3 O
rganizational 222.
5.4 Environmental
22Chapter 3: Met
hodology 233.1 R
esearch design 23
3.2 Population, sa
mple, and unit of
analysis 23

BPMN 3143
RESEARCH
METHODOLOG
Y23.3 Sampling d
esign 233.4 Data s
ources 243.5 Data
collection method
s 243.6 Data analy
sis 24Chapter 4: D
ata Analysis and F
inding 264.1 Dem
ographic Backgro
und (Descriptive
Analysis) 264.2 G
oodness of measur
es (reliability anal
ysis) 274.3 Interpr
etation of results f
rom data analysis
(hypothesis testin
g results) 284.4 S
ummary of Hypot
hesis Results 304.
5 Correlations bet
ween IV and DV
30Chapter 5: Disc
ussions, Conclusi
ons and Recomme
ndations 325.1 Di
scussions 325.2 D
iscussions on Res
earch Objectives 3
45.3 Conclusions
355.4 Research im
plications / contri
butions 355.5 Rec
ommendations 36
6.0 Reference 387
.0 Appendices 40
Part A- Questionn
aire 40Part B-
Case Study
Error!
Bookmark not
defined.
Part C- SPSS
data
Error!
Bookmark not
defined.

BPMN 3143
RESEARCH
METHODOLOG
Y3
Abstract
Nowadays, many
small and
medium enterprise
s (SMEs)
are using
online business
toolsin order to
compete in an
extremely hostile
market and gain
global access. The
importance
ofSMEs
involvement in
online business is
for the economic
success and to
ensure SMEs
beingable to
continue survive
in their industries.
Therefore, the
study is conducted
in order to
explorefactors that
lead SMEs
involvement in
online business. It
was hypothesized
that
technological,orga
nizational and
environmental
factors do
influence the
involvement of
SMEs in
online business. P
earson correlation
was used to identi
fy the relationship
between technolo
gical,organization
al, environmental
factors and online
business. In this
study, quantitative
methodwhich is
descriptive studies
being used. There
were 100
questionnaire
surveys is being
given
to SMEs. ‘The
Statistical
Package for
the Social
Sciences’
(SPSS, version
25.0) was used
for
the statistical
analysis. SPSS
Statistics is a
software package
used to measure
the
reliabilityanalysis,
descriptive
analysis and
regression
analysis. Results
not supported the
hypothesis becaus
e the involvement
of SMEs in online
business does not
have relationship
withtechnological,
organizational and
environmental
factors.
Limitations of the
study are
discussedand
recommendations
were made for the
future study.

BPMN 3143
RESEARCH
METHODOLOG
Y4
Chapter 1:
Introduction1.1
Background of
the study
The change of
conducting
business has been
evolving from the
face-to-
facehuman
interactions
towards the
virtual business
environment. E-
business
hascompletely
transform
business models,
structures and
process (Kirs and
Bagchi, 2012;Zhu
et al., 2006). This
new way of
operating
businesses is call
e-business. E-
businessis defined
as the conduct of
automated
business
transactions by
means of
electroniccommun
ications networks
via the internet
and possibly
private networks
end-to-
end(Papazoglou
and Ribbers,
2006).These
technologies assist
organizations in
understanding
customer
needs,customising
products, adopting
effective market
solutions and
receiving orders
fromcustomers.
The information
and
communication
technologies
(ICTs),
particularly theuse
of internet to
conduct e-
business is
quickly changing
the conventional
way
of doing business
among
all categories of b
usinesses. The con
tinuous
and growing
interest inICT
adoption is
attributed to the
exponential
growth in the
number of internet
usersworldwide,
with a bigger
increase reported
from users in
developing
countries(Internati
onal
Telecommunicati
on Union,
http://itu.int/ITU-
D/ict/statistics).
With thestrong
waves of
globalization and
liberalization
across the world,
ICT is believed to
bethe most cost-
efficient tool to
help
small businesses
gain bigger
markets and the
abilityto compete
with larger
organizations in
attracting
customers to their
products,
servicesand
information (Tan
et al., 2009). This
is in light with the
advantages
inherent ininternet
such as speed,
user-friendliness,
low cost and wide
accessibility
which hasallowed
electronic
business (e-
business) to be
increasingly
diffused globally,
bringingcountries
together into a
global networked
economy (Gibbs
and
Kraemer,2004). You're Reading a Preview
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BPMN 3143
RESEARCH
METHODOLOG
Y5E-business is
involves in every
business
transaction from
the supplier until
tothe customer.
The uses of e-
business give a
huge
impact on
company’s
performance
in
term of the supply
chain of the
organization
(Koellinger, 2008;
Lopez-Nicolas
andMerono-
Cerdan, 2011). E-
business in supply
chain have
improve in speed
knowledgesharing
, reducing in
inventory and
make the process
runs efficiently
(Zeng and
Pathak,2003; Ho,
2009).Both buyers
and sellers can
significantly
benefit from
implementation
and usageof e-
business (Zhu,
2004). Those
benefits can also
be materialized
for SMEs (Al-
Qirim,2007). This
paper aims to
identify the
factors
influencing
adoption of e-
businesstechnolog
ies among SMEs.
This study
essentially aims at
reviewing the e-
businessusage
profile of small
and medium-sized
enterprises
(SMEs) as well as
the
factorsaffecting
their willingness
to e-business
usage. The study
also analyses both
the benefitsand
limitations
associated with
the use of e-
business in
SMEs.Small and
medium sized
enterprises or
known as SME is
one of the
maincontributors
to economic,
employment
growth and
development. It
acts like a
backboneof local
and world
economy
including
Malaysia because
it plays an
important role
inthe economy of
any country.
Small and
Medium
Industries
Development
Corporation(SMI
DEC) is a
specialized
agency which
they provide
financial
assistance,
marketaccess,
infrastructure
facilities, advisory
services and other
support programs
toincrease the
development of
small and medium
enterprises
(SMEs). In
Malaysia,
thisspecialized
agency was
established on 2
nd
May 1996. The
aim for this
agency is
todevelop
Malaysian SMEs
to be competitive
in the global
market. In order
to
formulatestrategie
s for SMEs
development
across economic
sectors and related
Ministries
andAgencies and
to ensure effective
implementation of
the overall SMEs
development prog
rams in Malaysia,
National
SME Developmen
t Council (NSDC)
was established You're Reading a Preview
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