The main objective of the paper is to investigate the factors that influence the perception of the SMEs in Kuching towards the Internet as a business tools. This study was conducted in Kuching city where 50 questionnaires were distributed to identified SMEs currently operated in Kuching. The analysis of all the three identified factors (funds availability, knowledge of the Internet and Internet security factors) shows a significant relationship towards their perception.

Keyword: Internet, SME, Business

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