Proceedings of the 13th International Interdisciplinary Studies Seminar, IISS 2019, 30-31 October 2019, Malang, Indonesia

Research Article

Decision-making Model for Determinant Factors of Business Digital Platform Adoption by SMEs

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  • @INPROCEEDINGS{10.4108/eai.23-10-2019.2293048,
        author={Debrina Puspita Andriani and Wisnu Wijayanto Putro and Sylvie Indah Kartika Sari and Azizah Putri Nur Aini and Agustinus Alfian Anwar},
        title={Decision-making Model for Determinant Factors of Business Digital Platform Adoption by SMEs},
        proceedings={Proceedings of the 13th International Interdisciplinary Studies Seminar, IISS 2019, 30-31 October 2019, Malang, Indonesia},
        publisher={EAI},
        proceedings_a={IISS},
        year={2020},
        month={3},
        keywords={decision analysis digital platform family business sme technology adoption},
        doi={10.4108/eai.23-10-2019.2293048}
    }
    
  • Debrina Puspita Andriani
    Wisnu Wijayanto Putro
    Sylvie Indah Kartika Sari
    Azizah Putri Nur Aini
    Agustinus Alfian Anwar
    Year: 2020
    Decision-making Model for Determinant Factors of Business Digital Platform Adoption by SMEs
    IISS
    EAI
    DOI: 10.4108/eai.23-10-2019.2293048
Debrina Puspita Andriani1,*, Wisnu Wijayanto Putro1, Sylvie Indah Kartika Sari1, Azizah Putri Nur Aini1, Agustinus Alfian Anwar1
  • 1: Universitas Brawijaya, Indonesia
*Contact email: debrina@ub.ac.id

Abstract

Small and medium enterprise (SMEs) is one of the industries that are currently growing rapidly. Its existence is not only a main pillar of the national economy, but also a pillar of family resilience. Most SMEs are family businesses that are driven, managed, and often employed their own families. The family presence had significant impact on the sustainability of SME businesses. However, empirical studies revealed contrary relationship between family ownership with the internationalization strategy of business, such as the strategy to adopt business digital platform or e-commerce for competing in the digital era. Therefore, this study aimed to assess and classify the determinant factors in business digital platform adoption that affect the SME businesses expansion. The decision making model is built in a decision tree using C4.5 algorithm. The results disclosed that organizational factor was the most significant factor in adopting a digital business platform. The organizational factors comprised enterprise resources, firm size, and management commitment. This study could support the business owners in making optimal and efficient decisions to minimize risk in order to create business and family sustainability and resilience.