Volume 3 number 4 (06)

Original research

CATALYSING DIGITAL TRANSFORMATION FOR SMALL-AND-MEDIUM ENTERPRISES IN HARARE, ZIMBABWE: A STUDY OF ADOPTION DRIVERS

Pages 265-280

DOI 10.61552/JIBI.2025.04.006

ORCID Leo Mataruka, ORCID Joe Muzurura, ORCID Christopher Zishiri, ORCID Cletos Garatsa, Lovemore Mugambiwa, ORCID Gladman Jekese


Abstract: This paper analyses the factors influencing the adoption of digital technologies and ICT among Zimbabwean SMEs, highlighting their potential for growth and innovation in the digital era. It explores the hurdles encountered by some SMEs in Harare, Zimbabwe, while implementing digital and ICT technologies and how these challenges affect their survival, flexibility, and sustainability. The blend of the Technological-Organizational-Environmental paradigm and the Diffusion of Innovation theory forms the theoretical basis for this paper. Data was acquired from 132 Harare SMEs using purposive sampling, while partial least squares structural equation modelling (PLS-SEM) was used to analyse the data. The study reveals that relative advantages and top management support significantly influence ICT adoption in participating SMEs. However, no significant association was found between ICT adoption and variables such as compatibility, complexity, organisational culture, government laws, and competitive pressure. This study contributes to the current understanding of ICT adoption in SMEs, providing significant insights for SMEs in Harare and beyond who are looking to develop effective strategies for embracing digital technology and innovations. Furthermore, the findings could assist policymakers in creating frameworks that promote the adoption of digital technology by SMEs and prospective entrepreneurs to enhance their business operations and long-term viability.

Keywords: Digital technologies, Information and Communication Technology (ICT), SME, ICT adoption, Technological-Organizational-Environmental (TOE) model, Harare.

Recieved: 28.05.2024. Revised: 12.07.2024. Accepted: 30.07.2024.