Factors Influencing Adoption of E-Commerce in Retail Sector in Bangladesh

Abstract

This research looks into the factors that are influencing the adoption of ecommerce among SMEs in Bangladesh’s retail sector. It has focused on constructs such as customer demand along with technology costs. Security confidence, supply chain adaptation along with market competition and government support have also been looked into. Using a quantitative approach a survey was conducted to collect primary data from 139 SMEs. They have been empirically analysed through regression to test six hypotheses. The findings reveal that customer demand as well as supply chain adaptation are significant predictors of ecommerce adoption. On the other hand, technology costs, security confidence, market competition and government support were not found significant. These results mention the critical role of customer expectations as well as operational readiness in driving adoption. External factors like policy support as well as market dynamics appear less influential in this context. Limitations of this research include a focus on urban SMEs and reliance on cross sectional data. Future research should explore rural adoption along with post adoption dynamics. Sector specific differences can be looked into as well for providing a detailed understanding of ecommerce adoption in developing nations like Bangladesh.