As Internet technology has electronically transformed substantial aspects of today’s business operation, organisations have started to view e-business solutions as possible mean to enable various parts of their business functions. Due its unique characteristic, considerable works have reported possible explanation on factors influencing Small and Medium-sized Enterprises (SMEs) to embrace e-business. While extensive works have examined determinants of e-business usage amongst SMEs, little works have reported on how e-business capabilities support various aspect of firms operations (e-business alignment) and factors that explain varying degree of e-business alignment among firms. In response, this paper reports the current state of e-business alignment as well as the different characteristics of owner/manager and IT sophistication between highly-aligned firms and less-aligned firms. A self-administered survey on 140 firms reveals varying degree of e-business alignment amongst firms across various business functions. A t-test results comparing highly-aligned and less-aligned firms suggest that owner/manager support, owner/manager IT knowledge, and IT sophistication are significantly higher for firms in highly-aligned group in relative to those in low-aligned group.
Keywords: E-business, Alignment, Small-Medium-Enterprises (SMEs)
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