BENEFITS AND BARRIERS TO THE ADOPTION OF E-COMMERCE BY SMES IN UGANDA

Electronic Commerce (E-Commerce) adoption is known to significantly influence the growth of Small and Medium-sized Enterprises (SMEs). It offers feasible and practical solutions for organizations to meet the challenges of a predominantly dynamic environment. However, available studies related to SMEs in developing countries, including Uganda, reveal that SMEs are slow in adopting e-commerce. Against that backdrop, this study set out with the following study aims: to identify the potential benefits of e-commerce to confectionery stores in Kampala City; to identify barriers to the adoption of e-commerce by confectionery stores in Kampala City; and to make recommendations on how best the barriers affecting the adoption of e-commerce by confectionery stores can be solved. The study employed a qualitative approach and a multiple case studies model, collecting empirical data through semi-structured interviews. Findings reveal that there are multiple potential benefits of e-commerce to SMEs in the Ugandan context, but these are eclipsed by a good number of mostly systemic impediments. By describing the situation surrounding the adoption of e-commerce in the case of confectionery stores in Kampala, this article might generate ideas necessary for the improvement of the e-trade environment not only in Uganda but also in some other developing countries.