Factors influencing ICT adoption among incubated small businesses in Sido Mwanza

Abstract

Purpose: This study aimed at gaining a deeper understanding of what influences the adoption and use of Information Communication  Technology (ICT) by incubating small businesses in SIDO (Small Industries Development Organization) Mwanza.

Design/Methodology /Approach: The researchers used a mixed research design (triangulation). The study used questionnaires and Key Informants Interviews  to obtain data from participants in the study. The study used the census to obtain respondents for the questionnaire who are 57 owners of incubated small businesses at SIDO Mwanza and two incubator leaders and purposive sampling to identify KIIs. Multiple linear  regression was utilized to analyze data.

Findings: The study found that there is a positive effect of the perceived usefulness of ICT by incubated SBEs on its adoption and use. Small business enterprises (SBEs) are likely to adopt and use ICT when they can easily quantify  their benefits to their businesses, improve productivity and lower their operation cost. It was also established that perceived ease of use  has a positive influence on ICT adoption and use by incubated SBEs at SIDO Mwanza.

Research Limitation: The participants selected for  the study may not be representative of the population of incubated small businesses in Sido Mwanza. The sample may be biased towards businesses that have already adopted ICT or have a positive attitude towards it, which may not be reflective of the overall population.

Practical implication: When SBEs perceived usefulness increases it will literally increase the benefits and reduce the perceived cost. Also,  the government should provide funding support to the SBEs.

Policy implication: ICT adoption among incubated small businesses  requires a coordinated effort among policymakers, incubators, universities, and other stakeholders to promote the development of  effective strategies that can improve the access and use of ICTs among incubated small businesses and promote their growth and  success.

Originality / Value: The novelty of ICT adoption among incubated small businesses lies in its potential to transform the  traditional model of business incubation by leveraging the power of digital technologies. While business incubation has traditionally  focused on providing physical infrastructure, technical assistance, and access to financing, ICT adoption offers a new dimension of  support that can enhance the competitiveness and sustainability of incubated small businesses.