Factors affecting Small Business in Business Information Systems in Tshwane of South Africa

Abstract:

The purpose of the study was to identify and quantify socioeconomic factors that affect utilisation of business information systems in well-established information communication and technology (ICT) enterprises that operate in the City of Tshwane, South Africa. The study was conducted by collecting data from a stratified random sample of size 386 ICT companies in the five geographical zones of the City of Tshwane. Data was gathered by use of a structured questionnaire and in-depth interviews. The sample size of the study was equal to n=386. Stratified random sampling was used as a sampling technique. A combination of quantitative and qualitative methods of data collection and analysis were used for conducting the study. As part of the quantitative aspect of study, data analysis was performed by using methods such as cross-tab analysis, binary logistic regression analysis and factor analysis. The study found that 96.89% of the 386 entrepreneurs who took part in the study used business information systems, whereas the remaining 3.11% of entrepreneurs did not utilise business information systems. Results obtained from binary logistic regression analysis and factor analysis showed that the utilisation of business information systems was significantly associated with 3 factors. These 3 factors were: the need to accomplish task quickly, the need to use emails, and past experience of intentional destruction of data, in a decreasing order of strength.Â