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Information Resources Management Association
Advancing the Concepts & Practices of Information Resources Management in Modern Organizations

Factors that Influence the SMEs Adoption of Application Service Providers

Factors that Influence the SMEs Adoption of Application Service Providers
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Author(s): George Meletiou (The University of Manchester, UK), Alemayehu Molla (RMIT University, Australia) and Adekunle Okunoye (Xavier University, USA)
Copyright: 2006
Pages: 4
Source title: Emerging Trends and Challenges in Information Technology Management
Source Editor(s): Mehdi Khosrow-Pour, D.B.A. (Information Resources Management Association, USA)
DOI: 10.4018/978-1-59904-019-6.ch170
ISBN13: 9781616921286
EISBN13: 9781466665361


Many business organizations use outsourcing to acquire their information technology (IT) systems. As outsourcing contracts remain expensive, small and medium sized enterprises (SMEs) were unable to benefit from this model and its associated benefits. The emergence of Application Service Providers (ASPs) was heralded as a way to resolve the IT deficiencies of SMEs and enable them to access applications, technology and skills that were previously unaffordable to them. However, the ASP model has not enjoyed as much success as initial predictions and SMEs remained unconvinced of its value. This study explores the issues surrounding SMEs’ adoption of ASPs. The study is based on three case studies conducted in Greece. Using theories relevant to innovation adoption, we identified some of the pertinent factors that can potentially influence SMEs’ ASP adoption.

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