Taking business further : an investigation into the use of e-commerce by companies in Malta

Abstract

The aim of this study was to explore e-commerce services as a business model innovation in SMEs in Malta. There is a currently a gap in the literature about innovation in SMEs in relation to ecommerce, however research does show that this gap in the uptake and use of e-commerce is narrowing specifically in comparison with larger firms. The research study aims to explore how business model innovation in SMEs in Malta have enabled the development of such services. Data was collected by means of eleven semi-structured interviews with eleven managers of SMEs within three different sectors - real estate, retail, and financial services - and the data was then analysed using thematic analysis. Several themes emerged from the interviews, and the results showed both similarities and differences among the responses related to the impact of e-commerce services as a business model innovation. There was a range of findings however one common trend was the vitality of introducing e-commerce services in order for a greater outreach, more exposure, and increased efficiency. With regards to the adoption of e-commerce services, the different sectors responded differently with some finding the rate to be consistent, others describing the rate as exponential, and others finding it difficult to gauge. The research concludes with a number of recommendations that discuss conducting the study quantitatively and on a wider scale to include more industries, as well as practical recommendations for SMEs and managers on implementing ecommerce services and adapting their business models.