Exploring the Mediating Role of E-Commerce Adoption on Halal SMEs' Competitiveness in Malaysia

Abstract

The study examines the influence of e-commerce adoption on the growth and market competitiveness of Halal Small and Medium Enterprises (SMEs). It investigates the relationships between e-commerce adoption and perceived usefulness, perceived ease of use, perceived trust and security, and perceived competitive advantage. Data from 311 Halal SME owners and managers were analyzed using statistical techniques. The findings indicate that perceived usefulness positively influences e-commerce adoption, while the relationship between perceived ease of use and adoption is insignificant. Perceived trust and security are crucial factors driving e-commerce adoption, as Halal SMEs exhibit confidence in online transactions and relationships with e-commerce providers. The study highlights the significant impact of perceived competitive advantage on e-commerce adoption. However, e-commerce adoption does not directly mediate the relationship between these factors and business competitiveness. Future research should explore additional factors, such as the competitiveness of digital marketing strategies, to gain a comprehensive understanding of the complex dynamics between e-commerce adoption and Halal SME competitiveness.