Recognizing micro, small, and medium enterprises (MSME) roles as key growth drivers, the government has been committed to providing the necessary support to MSMEs, including in the area of e-commerce. With the number of online shoppers increasing by 47% year over year and 14.43 million people buying consumer goods online at the beginning of 2022, the online potential for MSMEs is enormous. Amidst this huge potential, MSME’s adoption of e-commerce remains below expectations. Drawing on a refined technology adoption framework, this study employs focus group interviews with MSME owners and managers to explore why MSMEs exhibit reluctance to adopt e-commerce. Using data gathered in June 2022 through focus group discussions with the owner-manager of seven MSMEs in Klang Valley, Malaysia, this study provides some insights into the key factors that hinder MSMEs from embarking on e-commerce. Findings reveal that a lack of dedicated personnel with technical proficiency, unfavorable terms and conditions imposed by third-party e-commerce providers, system inefficiencies, limited financial resources, incompatible products or services, a lack of entrepreneurial commitment, and information-seeking challenges regressed MSMEs away from e-commerce platforms.
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