E-commerce Adoption by Micro and Small Agribusiness Enterprises in Jepara, Indonesia: An Analysis Using the Technology Organisation Environment Framework

Background: E-commerce offers micro and small enterprises the opportunity to expand their market reach and increase profitability. However, the adoption among agribusinesses in Jepara Regency remains limited due to technological constraints and a lack of knowledge. Objectives: This study aims to analyse the influence of technology, organisation, external environment (TOE), and trust on e-commerce adoption among micro and small agribusiness enterprises in Jepara Regency. Methodology: This research was conducted in Jepara Regency, Indonesia. This study involved a sample of 100 participants, with data collected using a questionnaire. Data were analysed using SEM-PLS, applying a second-order reflective–formative model using SmartPLS 4 software. Data analysis includes instrument testing, evaluation of both measurement and structural models, and hypothesis testing. Results: The findings of this study indicate that technological, organisational, and environmental factors have a positive impact on the adoption of e-commerce, whereas trust does not have a significant impact. Although micro and small entrepreneurs generally have a positive perception of technology, they still have concerns regarding transaction security and the reliability of digital trading partners. Conclusion: Top management support and competitive pressure are key drivers in promoting the adoption of e-commerce. This research also reveals a new perspective, where the influence of trust may be highly contextualised, depending on the type of technology used and the user's experience with it. The TOE framework remains relevant in explaining the adoption of technologies. Unique contribution: This study offers insight into the factors that influence e-commerce adoption among micro and small enterprises, particularly in Jepara Regency. This research information can serve as a guideline for the government in making policies to support digital business.