Abstracts Business

The adoption of social media for mobile commerce among micro entrepreneurs in Indonesia's retail industry

by Yuniarti Hidayah Suyoso Putra

This research investigated adoption and utilization of social media for business among micro enterprises in Indonesia's retail industry. It aims to provide better understanding on how micro enterprises in Indonesia use social media applications on mobile technological platforms for customer to customer commerce. To achieve this aim, a research model based on the Unified Theory of Acceptance and Use of Technology (UTAUT) has been adopted and extended by the study. Task-technology fit, value, trust dimensions are introduced to the UTAUT model. Online surveys were sent out to micro entrepreneurs in Indonesia's retail industry with 153 valid responses received. Structural Equation Modelling with SmartPLS 3 are used as a technique for analysis. The results show that price value and task-technology fit have significant influence on attitude of micro entrepreneurs in Indonesia, while trust and the original factors of UTAUT (performance expectancy, effort expectancy and social influence) do have significant influence. In addition, attitude has significant influence on behaviour intention. Facilitating conditions and behaviours intention have significant influence on the use of social media. This research contributes to the literature and to practice in many ways. Firstly, it is among the first study to investigate the adoption of social media in the context of micro enterprises, particularly in Indonesia. Secondly, it tested and extended the UTAUT in the Indonesian context. Task-technology fit, perspectives of price and trust are incorporated into the model. Third, it is pioneering in providing better understanding of how and why social media is adopted among micro enterprise business in Indonesia.