Model for ICT adoption in developing countries : An application to value creation in agribusiness SMEs

Small-to-medium sized agribusiness enterprises (SMAEs) in developing countries have a complicated nature on co-joint business to create a high value of output. Most of the businesses tend to work individually, isolated and uncooperatively. They are not aware that if they do business cooperatively, this will create a higher value of output. Modern sophisticated Information and Communication Technology (ICT) in business can play an important role in enabling cooperation to flourish. In developed countries, ICT adoption in SMAEs has resulted in significant value addition to management improvement and output. In this paper, selected ICT adoption models from SMAEs in developed countries are studied as a benchmark for application to ASEAN developing countries. The aim of this paper is to demonstrate the importance of ICT in SMAEs as a linkage among the agribusiness sub-system in order to reduce both transaction and information cost. A proposed model is developed as an alternative approach for value creation of agribusiness in developing countries.