E-commerce management in small and medium enterprises in Vietnam: Theory and practice

Abstract

E-commerce management is a strategic solution to help small and medium-sized enterprises (SMEs) improve their digital competitiveness through optimizing business processes and expanding markets at low cost. This study aims to test the integrated theoretical model between the TOE Framework and the IS Success Model to identify factors affecting the level of e-commerce management application (mediating variable) and its impact on digital competitiveness (dependent variable) of SMEs in Dong Nai. Data were collected through a survey of 300 e-commerce Directors/Managers of SMEs in Dong Nai province. PLS-SEM (Partial Least Squares - Structural Equation Modeling) results show that organizational capacity and technology readiness are the factors with the strongest and most positive impact on e-commerce application. More importantly, the level of e-commerce management application plays an important intermediary role, amplifying the impact of input factors on the digital competitiveness of SMEs. The article provides specific management implications for Dong Nai SMEs in building an effective digital transformation roadmap.