THE INFLUENCE OF E-BUSINESS ADOPTION ONBUSINESS PERFORMANCE OF MICROENTREPRENEURS

In the recent years, electronic business plays an importance role in increasing the effectiveness and efficiency of a business. However, some entrepreneurs are unwilling to change their conservative mind and accept the challenge in digital business. Hence, this study investigates the use of electronic business in improving business performance among micro-entrepreneurs. The objectives of this study is to investigate the relationship between the e-business and business performance, and to examine the most significant factor that affect such relationship. Quantitative method is used to collect the data among the micro-entrepreneurs in Johor, Malaysia. The questionnaire that consist the questions about the impact of e-business system in business performance is distributed to 248 respondents. The results indicate that there is a significant relationship between independent variable (e-marketing, online customer communication, online order taking system) and dependent variable (business performance). Furthermore, the result of the study shows that e-marketing is the most significant factor that affect business performance. Therefore, e-business adoption plays an important role in improving the business performance in the aspects of market performance, financial performance and customer relationship performance.