The impact of e-commerce platform usage on the economic benefits of SMEs in Indonesia during the pandemic

Muftia Lesmana

doi:10.55942/pssj.v5i9.660

Authors

Muftia Lesmana Universitas Gadjah Mada

DOI:

https://doi.org/10.55942/pssj.v5i9.660

Keywords:

Digital Transformation, SMEs, Perceived Effectiveness of E-Commerce Platform, Perception of E-Commerce Platform Usage, Pandemic Fear

Abstract

This study examines how the effectiveness of e-commerce platforms influenced the economic benefits of SMEs in Indonesia during the pandemic. This study investigates whether the pandemic, coupled with a higher intensity of e-commerce usage than usual, contributed to economic gains for SMEs. This study proposes a new model developed from Tran (2021) by incorporating additional variables such as perceived benefits, perceived supply chain, perceived organizational resources, e-service quality, and external pressure, while also examining the impact of PEEP on economic benefits and the digital transformation process, especially during the pandemic. The researchers conducted an online survey using Google Forms, targeting SME entrepreneurs who use e-commerce platforms to conduct business. A total of 270 responses were obtained. Hypothesis testing was performed using Partial Least Squares (PLS) analysis with Smart PLS 4.0. The results indicate that pandemic fear during online sales positively moderates the relationship between PEEP and economic benefits, and similarly moderates the relationships between perceived benefits, perceived supply chain, perceived organizational resources, e-service quality, and external pressure and economic benefits.

Author Biography

Muftia Lesmana, Universitas Gadjah Mada

Muftia Ariani Lesmana is a researcher at the University of Gadjah Mada specializing in digital transformation, e-commerce, and small and medium enterprise (SME) development. Her work focuses on the intersection of technology adoption and economic resilience, particularly examining how e-commerce platforms contribute to SME performance in times of disruption, such as during the COVID-19 pandemic. She has applied quantitative approaches, including PLS-SEM, to explore digital platforms’ effectiveness, supply chain integration, and organizational resources in shaping SMEs’ economic benefits

References

Abou-Shouk, M., Lim, W. M., & Megicks, P. (2016). Using competing models to evaluate the role of environmental pressures in e-commerce adoption by small and medium sized travel agents in a developing country. Tourism Management, 52, 327–339. https://doi.org/10.1016/ j.tourman.2015.07.007.

Akbar, R. (2021, 21 Juli). 6,5 juta UMKM masuk e-commerce sejak pandemi COVID-19. Antara News. https://www.antaranews.com

APJII. (2019). Laporan survei penetrasi & perilaku pengguna internet Indonesia 2019. Asosiasi Penyelenggara Jasa Internet Indonesia.

Aruan, D. T. (2019). Digital marketing strategy for SMEs in facing the industrial revolution 4.0. International Journal of Entrepreneurship and Business Development, 2(2), 263–272.

Bank Indonesia. (2020). Laporan perekonomian Indonesia 2020. Bank Indonesia.

Chan, F. T. S., Chong, A. Y. L., & Zhou, L. (2012). An empirical investigation of factors affecting e-collaboration adoption in SMEs. International Journal of Production Economics, 138(2), 329–344. https://doi.org/10.1016/j.ijpe.2012.04.004

Cho, J., Ozment, J., & Sink, H. (2018). Logistics capability, logistics outsourcing and firm performance in an e-commerce market. International Journal of Physical Distribution & Logistics Management, 48(2), 145–165.

Ciabuschi, F., Perna, A., & Snehota, I. (2012). Assembling resources when forming a new business. Journal of Business Research, 65(2), 220–229. https://doi.org/10.1016/j.jbusres.2011.05.017

Davis, F. D. (1989). Perceived usefulness, perceived ease of use, and user acceptance of information technology. MIS Quarterly, 13(3), 319–340. https://doi.org/10.2307/249008

Deloitte Access Economics. (2015). The connected continent II: How digital technology is transforming the Australian economy. Deloitte.

Dilber, A. (2019). The impact of digital transformation on business. Journal of Business Research-Turk, 11(1), 660–670.

Dholakia, R. R. (2004). Introduction to special issue on consumer behavior in digital environments. Journal of Business Research, 57(7), 671–673.

Duan, Y., Deng, H., & Corbitt, B. (2012). Evaluating the critical determinants for adopting e-market in Australian small-and-medium sized enterprises. Management Research Review, 35(3/4), 289–308.

Fida, B. A. (2021). The role of e-commerce in supporting SMEs during COVID-19 pandemic. International Journal of Business and Management, 16(6), 54–63.

Gunawan, A., & Novitasari, D. (2022). The role of digitalization in improving SME performance during the COVID-19 pandemic. Jurnal Manajemen, 26(1), 45–58.

Hussein, A. S. (2015). Penelitian bisnis dan manajemen menggunakan partial least squares (PLS) dengan smartPLS 3.0. Universitas Brawijaya Press.

Hwang, J., Choi, Y., & Lee, J. (2020). The role of e-commerce in the survival of small and medium enterprises during COVID-19. Journal of Retailing and Consumer Services, 62, 102–108. https://doi.org/10.1016/j.jretconser.2020.102–208

International Telecommunication Union. (2018). Measuring the information society report 2018. ITU.

Isoraite, M. (2018). The theoretical aspects of the economic benefit. International Journal of Learning and Development, 8(3), 46–57.

Johnson, S. (2018). Mobile payment security: A study of emerging risks. Journal of Information Security, 9(2), 123–134.

Jogiyanto, H. M. (2011). Metodologi penelitian bisnis: Salah kaprah dan pengalaman-pengalaman. BPFE Yogyakarta.

Kim, H. W., Chan, H. C., & Gupta, S. (2004). Value-based adoption of mobile internet: An empirical investigation. Decision Support Systems, 43(1), 111–126.

Kumar, R. (2021). E-commerce adoption among SMEs: A literature review. Journal of Small Business Strategy, 31(2), 23–37.

Lim, W. M., et al. (2021). Drivers and barriers of e-commerce adoption in SMEs: Evidence from developing countries. Journal of Retailing and Consumer Services, 59, 102–110.

Lin, H. F. (2014). Understanding the determinants of electronic supply chain management system adoption: Using the technology–organization–environment framework. Technological Forecasting and Social Change, 86, 80–92.

Liputan6. (2021, 5 Mei). 82 persen UMKM optimalkan penjualan online selama pandemi COVID-19. Liputan6.com. https://www.liputan6.com

Mandviwalla, M. (2021). Digital transformation and value creation in business. MIS Quarterly Executive, 20(3), 215–227.

Mentzer, J. T., et al. (2001). Defining supply chain management. Journal of Business Logistics, 22(2), 1–25.

Molla, A. (2004). The impact of e-commerce adoption on business process and performance: A study of small and medium-sized enterprises in developing countries. Electronic Commerce Research and Applications, 3(4), 377–396.

Molla, A., & Licker, P. S. (2005). E-commerce adoption in developing countries: A model and instrument. Information & Management, 42(6), 877–899.

Nurlinda, R. (2021). The influence of sales promotion on customer loyalty in SMEs during pandemic. Jurnal Ilmiah Manajemen, 11(1), 35–47.

Oliveira, T., & Martins, M. F. (2011). Literature review of information technology adoption models at firm level. Electronic Journal of Information Systems Evaluation, 14(1), 110–121.

Panca, A. (2020). The impact of e-commerce adoption on SMEs' financial performance. Jurnal Ekonomi dan Bisnis, 23(2), 134–147.

Parasuraman, A., Zeithaml, V. A., & Malhotra, A. (2005). E-S-QUAL: A multiple-item scale for assessing electronic service quality. Journal of Service Research, 7(3), 213–233.

Patma, T. S. (2021). Digital technology adoption by SMEs in Indonesia during the COVID-19 pandemic. Indonesian Journal of Business and Entrepreneurship, 7(2), 123–132.

Pauline, C. (2002). Perceived benefits and barriers to e-commerce adoption in SMEs. International Small Business Journal, 20(3), 253–270.

Porter, M. E. (2001). Strategy and the Internet. Harvard Business Review, 79(3), 63–78.

Rahmawati, R., et al. (2021). Digital transformation strategies for SMEs in Indonesia during the pandemic. Jurnal Administrasi Bisnis, 17(2), 99–110.

Ramdani, B., Kawalek, P., & Lorenzo, O. (2009). Predicting SMEs’ adoption of enterprise systems. Journal of Enterprise Information Management, 22(1/2), 10–24.

Rogers, E. M. (2010). Diffusion of innovations (4th ed.). Free Press.

Saputra, R. (2020). Analisis faktor-faktor yang mempengaruhi minat beli konsumen pada e-commerce X. Jurnal Manajemen dan Bisnis, 7(1), 45–58.

Sari, R., & Indriastuti, M. (2021). Supply chain resilience of SMEs during COVID-19 through digital transformation. Jurnal Supply Chain Management, 5(1), 15–28.

Sukirno, S. (2001). Pengantar teori mikroekonomi. RajaGrafindo Persada.

Tran, L. T. (2020). Perceived effectiveness of e-commerce platforms in SMEs’ business performance. Journal of Retailing and Consumer Services, 54, 102–118.

Tran, L. T. (2021). The COVID-19 pandemic and e-commerce adoption in SMEs: A multi-country study. Journal of Business Research, 135, 492–501.

Valtokina, N. (2020). The effect of customer satisfaction on repeat purchase intention in e-commerce. Journal of Marketing Development and Competitiveness, 14(1), 10–18.

Wu, I. L. (2003). Understanding senior management’s behavior in promoting the strategic role of IT in process reengineering: Use of the theory of reasoned action. Information & Management, 41(1), 1–16.

Yu, W., Wang, X., Zhong, R. Y., & Huang, G. Q. (2017). E-commerce logistics in supply chain management: Practices, barriers, and strategies. International Journal of Production Economics, 205, 259–272.

Zhang, X. (2019). Online security perceptions in e-commerce transactions. Electronic Commerce Research, 19(3), 615–639.

Zeithaml, V. A., Parasuraman, A., & Malhotra, A. (2002). Service quality delivery through web sites: A critical review of extant knowledge. Journal of the Academy of Marketing Science, 30(4), 362–375.