Diffusion and utilization of Information and Communication Technologies by Micro and Small Entrepreneurs in The Tourism Industry in Kenya

Abstract

Using a transformative qualitative research method based on interpretive philosophy, this study employed a conceptual model that integrates diffusion of innovation, change management, information needs, learning and sharing of knowledge theories and models to explore factors that influence diffusion and utilization of ICTs in accessing information by micro and small entrepreneurs in the tourism industry in Kenya. Specifically, it examined the ownership, ICTs application, influence and challenges on enterprises’ access to information, and opportunities of ICT application in strengthening and developing information systems for micro and small-scale entrepreneurs in the tourism industry. Data was collected through semi-structured interview schedules, and supplemented by observation and document reviews. For qualitative data, framework analysis method that constitutes identification, summarization and coding of relevant key issues, concepts and themes to a study was used. The process of mapping and interpretation of the findings was influenced by the research objectives and the themes that emerged from the data. Quantitative data were presented through tables, graphs and charts. Quantitative data were presented through tables, graphs and charts. The result indicates that ICTs have introduced opportunities for improving communication and access to information through quality information systems that are bound to enhance efficiency and effectiveness of most MSEs’ processes and create new business opportunities. Further, it indicates that MSEs use ICTs to access information, for e-mail services, reservations of air flights, hotels and lodges and to market their products and services. Mobile phones are used for communication and money transfer services, computers for word processing and storage of business information, while the World Wide Web to access information and to market products and services. Upgrading and continuous expansion of ICT-based systems was regarded as critical to the future success of businesses. It was revealed, however, that most MSEs had applied and adapted such systems largely on an ad hoc basis. They lacked prerequisite knowledge and skills, security and trust, financial resources and support to derive full benefits of these technologies.The study concludes that information needs and subsequent seeking behaviour influences diffusion and utilization of ICTs by micro and small entrepreneurs in the tourism industry. This is in addition to technological factors, organization factors, and learning and sharing of knowledge among MSEs. In this regard, the study recommends that the Ministry of Tourism through Kenya tourism Development Corporation (KTDC), who are mandated to provide advisory and financial services to investors in tourism, and the tourism stakeholders through Kenya Tourism Federation (KTF), intervenes and develop national capacity for ICT adoption, support online content generation for the tourism industry, develop short ICT courses specific to the industry, and establish policies and legislations that will enable MSEs to effectively adopt and utilize ICTs to meet their information needs. The ministry should also strive to identify business information needs of MSEs and work towards meeting these needs by developing effective information systems. Finally, the study proposes a model to enhance diffusion and better utilization of ICTs by the micro and small enterprises in the tourism industry to improve access to useful enterprise information and better delivery of business information.