Abstract:
E-business can enhance the performance of tour companies. Hence, this study assessed
the adoption of e-business among Small and Medium Enterprises (SMEs) in the Mjini
District of Zanzibar. As such, the study determined e-business adoption among SMEs
tour operators in Mjini District. Specifically, the study examined the extent of e
business usage in business management among tour operators, identified drivers
stimulating e-business adoption among tour operators in Mjini District and examined
constraints towards e-business adoption among tour operators in Mjini District. The
study applied a quantitative research approach with a descriptive research design. The
study was based on a population of 543 managers of tour operators and a sample size
of 230 respondents, of which 162 were reached. Data was collected using a
questionnaire and observations. Data analysis involved descriptive statistics
comprising frequencies, percentages, mean and standard deviations. The study’s
findings showed that small tour operators mostly use e-business platforms such as e
accounting, e-reservation, social media and TripAdvisor. The study also found that e
business adoption is influenced by perceived usefulness, easiness, customer
preferences, competitive market advantage and government support. The findings also
revealed that the adoption of e-business is constrained by internal and external
challenges, including the high cost of e-business tools, lack of strategic plans, shortage
of ICT infrastructures, lack of strategic alliance, and technological changes. The study
concludes that e-business adoption largely focuses on tools that are geared towards
customer attraction and revenue generation; adoption remains low in operational areas
such as e-recruitment and e-procurement.