Factors affecting the utilization of the internet by internationalizing firms in transition markets: evidence from Vietnam

Abstract

Purpose - This study investigates key factors that influence the utilization of the internet by internationalizing firms in one transition market, Vietnam. Design/methodology/approach - A systematic sample of 306 internationalizing firms in Ho Chi Minh City was surveyed to test the theoretical model. Structural equation modelling was used to analyze the data. Findings - This study finds that the two key concepts in the technology acceptance model (TAM), perceived usefulness and perceived ease of use of the internet, can be used to predict internet utilization by organizations. Market orientation is also a predictor of internet utilization. Learning orientation facilitates perceived usefulness and perceived ease of use of the internet by internationalizing firms, and hence its utilization. Research limitations/implications - Further research is needed to investigate other antecedents as well as outcomes of internet utilization by internationalizing firms. Practical implications - This study suggests that programmes for the assistance and training of internationalizing firms should promote the usefulness and ease of use of the internet, and foster market orientation and learning orientation, in order to stimulate them to use the Internet effectively in the pursuit of marketing success in international markets. Originality/value - This study expands the explanatory power of the TAM in predicting the utilization of the Internet by internationalizing firms.