424
SMEs ECT Reality
the same Web directory or ISP, and the companies’
willingness to participate in the study. A series of
questions were prepared, and each manager was
personally interviewed using a semi-structured
interview format. Semi-structured interviews
FDOOIRUDVSHFL¿FOLVWRITXHVWLRQVWREHDVNHGLQ
DVSHFL¿FRUGHUEXWSHUPLWVWKHLQWHUYLHZHUWR
ask optional questions, pass on others, and depart
EULHÀ\WRIROORZXQH[SHFWHGSDWKV/LQGORI
The semi-structured interviews were conducted
in the SME premises with the owner-manager or
a similar decision maker, for example a partner
or marketing director. Each interview lasted an
hour. Interviews were both noted and tape-re-
corded, and then transcribed. Understanding of
the problems and conceptualisation improved as
more companies were interviewed.
The analysis of the semi-structured interviews
took the form of hierarchical coding using template
analysis as described by King (1998). Hierarchi-
cal coding enables the analysis of text at varying
OHYHOV RI VSHFL¿FLW\ 7KHPHV LQ WKH LQWHUYLHZV
were coded and grouped, thus forming groups
of similar codes clustered together to produce a
more general higher order codes. A pragmatic
decision was made to stop the process of develop-
ing and modifying the analytical template, when
there where no relevant sections of transcript
uncoded, and there was a clear understanding

of what each code meant (King, 1998). Broad,
higher codes give an overview of the general
direction of the interview, while detailed lower-
RUGHUFRGHVDOORZIRUWKH¿QHGLVWLQFWLRQVERWK
within cases and between cases, thus enabling a
within and between groups comparison (Miles
& Huberman, 1994).
BACKGROUND OF PARTICIPATING
COMPANIES
SMEs that participated in the semi-structured
interviews were selected from a Web directory,
³MerseyWorld”, that was part of a European
funded project, managed by Connect. Connect
DFWHGERWKDVD³F\EHUPHGLDU\´DQG,63WKURXJK
the MerseyWorld site (Charlton, Gittings, Leng,
Little, & Neilson, 1998), as well as a change agent
(Charlton, Gittings, Leng, Little, & Neilson, 1997).
As a change agent, Connect was responsible for the
diffusion of Internet. The primarily concern was
providing businesses with the necessary Internet
knowhow to effectively exploit the technology
and bring businesses onto the Internet. This
was performed through Awareness Days, Short
Course Programmes, The MerseyWorld Site,
and its Work Experience and Work Placement
SURJUDPPHV$VD³cybermediary” through the
MerseyWorld site, Connect aimed at marketing
the electronic potential of the Merseyside region.
A Web presence was developed for businesses
based on information submitted in any format.

Connect employed programmers, designers and
system specialists to develop the Web sites. Any
company could join MerseyWorld, whether it
KDGDQH[LVWLQJ:HESUHVHQFHRUQRW7KH¿UVW
12 months were free of charge irrespective of
the level of service the company chooses. Start-
ing from the second year charges were incurred
depending on the type of service selected.
At the time of conducting the interviews, all
SMEs hosted their Web presence on MerseyWorld.
All interviewed companies have between two
and four years experience with the Web pres-
ence. The interviewed companies fall within two
groups (Elsammani, Hackney, & Scown, 2004;
(OVDPPDQL  6FRZQ  7KH ¿UVW JURXS
is Need Pull (NP) SMEs that had the initiative
to develop their own Web presence, either in-
house or through a Web design bureau, before
approaching the change agent. NP SMEs were
attracted by the services offered by the change
DJHQW³HVSHFLDOO\VXEPLVVLRQWRVHDUFKHQJLQHV
attractive,” and were encouraged to host their site
in the MerseyWorld directory. The second group
is Technology Push (TP) SMEs. These companies
were pushed into adopting a Web presence, mainly
through the change agent efforts in awareness
425
SMEs ECT Reality
creation and free Web design and hosting. TP
60(VUHSRUWHGWKDW³IUHH:HEGHVLJQZDVWKH

main incentive in adopting a Web presence at
WKHWLPH´DVWKH\GLVFRYHUHG³WKHFRPSOH[LW\RI
Web design and development while attending the
awareness courses.”
The majority of participants were small
companies with up to 25 employees, and only
one company was medium sized (case 11). The
semi-structured interviews were conducted in
the SME premises with the owner-manager or
a similar decision maker, for example, a partner
or marketing director (case 11, case 3, case 7,
case 2). The interviewed owner-mangers where
PRVWO\PDOHVZLWKWKHH[FHSWLRQRIWKUHH¿UPV
where owner-manager was female (case 7, case 8,
FDVH$OO¿UPVZHUHLQGHSHQGHQWO\RZQHGDQG
were not in partnership with larger organisations.
Generally, the interviewed companies are mature
companies established for more than six years,
with the exception of one young company (case
8) established for less than three years. Overall,
the sample is a mixture of business-to-business
(B2B) and business-to-consumer (B2C) compa-
nies. Most companies operate in local and national
markets, with the exception of two companies that
have international clients and customers (case 3
and case 7). Companies come from a diversity of
industry sectors: manufacturing, retail, real estate,
DQG¿QDQFLDOLQWHUPHGLDWLRQ7DEOHSURYLGHVDQ
overall presentation of participants in the semi-
structured interviews.

IMPLEMENTATION HISTORY
NP SMEs and TP SMEs mainly differ by where
the Web presence was initially developed and in
the years of experience with the Web presence
(see Table 1). NP SMEs have been internally
motivated, either by the owner manager or a mem-
ber of staff. Their initial adoption decisions was
LQÀXHQFHGE\WKHLGHQWL¿HGEXVLQHVVQHHGDIWHU
experiencing the advantages of using e-mail for
communication and observing the fast adoption
of the new technology. These companies own a
Web presence between three and four years. They
developed their initial Web site either in-house
or approached a Web design bureau. Contrary,
TP SMEs own a Web presence for two to three
years. They have been externally motivated by
the change agent’s efforts in the diffusion of
ECT. TP SMEs initial Web site was developed
by the change agent, hence their initial adoption
GHFLVLRQ ZDV VWURQJO\ LQÀXHQFHG DQG OLPLWHG
by the services provided by the change agent or
perceived change agent.
Within the two to four years of ECT adop-
tion, most NP SMEs and TP SMEs subsequently
redesigned and developed a number of Web sites
with the exception of three companies. Two TP
SMEs (case 1 and case 2) still use the same site
developed by the change agent, and one NP SMEs
(case 3) where the site was originally developed by
an enthusiastic member of staff, but the company

lost interest in further investment in the Web pres-
HQFHDVLWZDVRIQRVLJQL¿FDQFHWRWKHFRPSDQ\
Web site update and management was either done
in-house by owner-manager and/or members of
staff, or outsourced to a Web designer and/or the
change agent. Reasons for subsequent Web site
redesign and development include: update Web
site functionality (NP case 5, NP case 6, TP case
8), keep customer interest (NP case 4), improve
Web site aesthetics (TP case 7, TP case 1), and
the site developed by change agent was basic
(TP case 9, and TP case 10). Table 2 provides a
summary of SMEs’ Web site implementation and
subsequent redesign.
Although NP and TP SMEs differed in their
initial adoption decision and Web site develop-
ment, evidence shows that overtime, there is an
overlap in their subsequent development and
management practices. A retrospective analysis of
WKHLULPSOHPHQWDWLRQEHKDYLRXUUHÀHFWVDQXPEHU
of patterns in the allocation of resources, devel-
opment process, and strategic planning. These
SDWWHU QVDUHQRWVSHFL¿FWRHLWKHUJURXSDOWKRXJK
426
SMEs ECT Reality
SMEs Managed by
(gender)
Number of
employees
Business

Activity
Industry Market Years of Experience
with Website
First Website
Developed by
NP/TP
Case 11 Partnership (male) Medium
(50 employees +
60 part-time)
B2C
& B2B
Manufacture; Publishing National 3 years In-house by IT Staff NP
Case3 Partnership (male) Small
(25 employees)
B2B Financial Intermediation;
business insurance
International
and national
3 years In-house by owner-
manager
NP
Case5 Owner-manager
(male)
Small
(25 employees)
B2B Real Estate, Renting &
Business; renting out
equipment
National 3 years In-house by owner-
manager

NP
Case6 Owner-manager
(male)
Small
(20 employees)
B2C Other social & personal
services
National 4 years In-house by owner-
manager
NP
Case4 Owner-manager
(male)
Micro
(3 employees)
B2B
& B2C
Manufacture of Textile and
Textile Products
National 3 years ISP
(different than
MerseyWorld)
NP
Case7 Partnership (female) Small
(12 full time +
60 part-time)
B2B Real Estate, Renting &
Business; labour recruitment
International and
national
2 years Change Agent

(Connect)
TP
Case2 Partnership (male) Small
(30 employees)
B2B Financial Intermediation;
business insurance
Local 2 years Change Agent
(Connect)
TP
Case8 Owner-manager
(female)
Micro
(2 employees)
B2C Manufacture of Textile and
Textile Products
National 3 years Change Agent
(different than
Connect)
TP
Case9 Owner-manager
(male)
Micro
(3 employees)
B2C Retail Trade of books National 2 years Change Agent
(Connect)
TP
Case10 Owner-manager
(male)
Micro
(2 employees)

B2C Retail of Music Records National 3 years Change Agent
(Connect)
TP
Case1 Owner-manager
(female)
Micro
(5 employees)
B2C Retail Sale of Clothing National 3 years Change Agent
(Connect)
TP
Table 1. Description of SME participants in semi-structured interviews
427
SMEs ECT Reality
NP/TP
SME
Initial Website
developed
Years of
Experience
History of Websites Adopted Reasons for subsequent
re-design
Update and management
Case11
(NP)
In-house by IT Staff 3 years &XUUHQW¿QDOVLWHGHYHORSHGE\&RQQHFWXQGHUWKH
supervision of Marketing Director (MD)
Lately, management directed
attention towards website
Update by MD or IT staff.
Outsource re-design to Connect

Case3
(NP)
In-house by owner-
manager
3 years Thinking of developing a second site. Will
outsource development to a web designer
1RWVLJQL¿FDQWWRWKHFRPSDQ\ No point in update
Case5
(NP)
In-house by owner-
manager
3 years Two sites are running simultaneously on
MerseyWorld. Each has different functionality. Both
sites designed and developed by owner-manager
Add e-commerce solution,
waiting one year for response
from Connect
Owner-manager IT person and tidies
the site every 3-4 months
Case4
(NP)
ISP (other than
MerseyWorld)
3 years Three times a year the site is re-designed and
updated
Keep customer interest. Need
new domain name
On going update and re-design by
owner-manager
Case6

(NP)
In-house by owner-
manager
4 years Current (second) website developed last year by a
university student. Still not functioning
Add online quoting system,
free service of student scheme
Update yearly by owner-manager
Case7
(TP)
Change Agent
(Connect)
2 years They had a number of false starts with local design
companies. Final site is developed by Web design
bureau but is hosted on MerseyWorld
Change the look and feel of
the site
Day-to-day update by admin staff.
Out-sourced the re-design of website
Case2
(TP)
Change Agent
(Connect)
2 years 6WLOOXVHVWKH¿UVWVLWHGHYHORSHGE\&KDQJH$JHQW No urgent need to re-design Day-to-day update by management
Case8
(TP)
Change Agent
(different than
Connect)
3 years Current (second) website by Change Agent, third

site under construction for the last six months slow
progress due to communication problems with
designer
Add functionality e-commerce
and online diary of events
Out source day-to-day management
and redesign of the site. Owner lacks
skills
Case9
(TP)
Change Agent
(Connect)
2 years Immediately, owner-manger started changing and
re-designing the site developed by Change Agent.
Not happy with site initially
developed by change agent
Update and management by owner-
manager
Case10
(TP)
Change Agent
(Connect)
3 years Developed in-house a new website which is hosted
in three different ISPs with three different domain
names
Site developed by change agent
was too basic
Continuous update and re-design of
website by owner-manager
Case1

(TP)
Change Agent
(Connect)
3 years Current (second) site developed by amateur web
designer but is hosted it at MerseyWorld web
directory
Update products, look and feel Outsource update due lack of skills.
Update yearly.
Table 2. Historical account of initial Web sites implementation and subsequent re-design
428
SMEs ECT Reality
some behaviour might be more dominant in one
group than the other. Some companies, irrespec-
tive of whether they are NP or TP, prefer to be
self-reliant and depend on internal resources,
while other companies prefer to outsource.
Some SMEs (particularly NP SMEs) are active
adopters that dynamically add changes to Web
presence functionality, while other companies
(mostly TP SMEs) take a more passive stance by
limiting Web site changes to update of informa-
WLRQ7KHFKDQJHVPDGHE\DFWLYHPRGL¿HUVDUH
not always driven by strategic planning, but are
based on ad-hoc decisions and choices to gain
WDQJLEOHEHQH¿WVDQGFRPSHWLWLYHDGYDQWDJH
Contrary, passive adopters had limited impact
on the Web presence maintenance and their Web
presence is either updated sporadically mainly to
update content, or the Web presence is in a static
state with minimum or no update. Table 3 gives

a details account of each interviewed company
and the development patterns that inform their
implementation behaviour. The remaining part
of this section discusses these patterns and the
LQÀXHQFLQJIDFWRUV
Outsource vs. In-House
(Self-Reliance)
Web site management can be viewed from two
perspectives: the update and management of day-
to-day information, and the major design changes.
0RVW60(V DFTXLUHG VXI¿FLHQW Web authoring
skills to aid them in managing the Web presence,
either due to owner-manager’s personal interest
in Web authoring or through the change agent
awareness and knowhow training. NP SMEs
updated their site on a daily and monthly basis,
contrary to TP SMEs who update their site on a
quarterly or yearly basis. In most companies, both
TP SMEs and NP SMEs, day-to-day updates are
usually managed in-house whether by own-man-
ager or other in-house staff, with the exception
of two companies (TP case 1, and TP case 8) that
outsource day-to-day updates (see Table 2).
We update if there is something major, if we are
doing a new product. I will change it but in a
general sense I probably tidy it up, make a few
changes to make it look different if nothing else,
probably every two/three months. (NP case 5)
…as far as the majority of the actual text informa-
tion is concerned, we have the ability to change

it from here. As far as any interactive screens are
concerned, we don’t and obviously we’re going
to go back to [Web design Bureau] for that. (NP
case 6)
I think I might have been tempted originally if
,ZDVÀXVKZLWKPRQH\EXW,¶PDOPRVWSOHDVHG
WKDW,ZDVQ¶WÀXVKZLWKPRQH\DWWKHEHJLQQLQJ
because it taught me how to do it myself, I mean
very amateurishly really but the thing is, it is
working and it’s selling books. (TP case 9)
60(VWKDWDUHFRQ¿GHQWZLWKWKHLU:HEDXWKRU-
LQJVNLOOVGRQRW¿QGWKHQHHGWRHPSOR\PRUH
staff to manage the site. For these companies out-
sourcing, Web site maintenance and subsequent
redesign, to external professional Web design
companies is not a solution they have considered.
SMEs’ preference to depend on internal resources,
rather than approach a professional Web design
company, is driven by: fear of high maintenance
FRVWVODFNRIMXVWL¿FDWLRQIRUFRVWVIRUFRQWLQXRXV
update, lack of trust in designers’ capability, fear
of losing control over the Web presence, and lack
of time to liaise and communicate with designer.
These factors are evident from the following
statements.
Basically the cost really, to get a professional
Web design company to do it, doesn’t warrant the
actual expenditure really I don’t think because
what’s there is ok and if we went to a professional
company, all they’d do is, they’d still be asking us

for more photos and more graphics, they wouldn’t
be going out taking pictures of our events, so it’s
429
SMEs ECT Reality
NP/TP
SME
Years of
Experience
Resources Development Process Planning
Outsource In-house Passive Adopter $FWLYH0RGL¿HU No Planning or
Ad-hoc Planning
Tendency for Strategic
Planning
Case11 (NP) 3 years
33 3 3
Case3
(NP)
3 years
33 3
Case5
(NP)
3 years
33 3
Case4
(NP)
3 years
33 3
Case6
(NP)
4 years

33 3 3
Case7
(TP)
2 years
33 3 3
Case2
(TP)
2 years
33 3
Case8
(TP)
3 years
33 3
Case9
(TP)
2 years
333
Case10
(TP)
3 years
333
Case1
(TP)
3 years
33 3
Table 3. Implementation patterns of subsequent Web presence implementation
430
SMEs ECT Reality
just paying them to put it on the screen correctly
and I can do that anyway. (NP case 6)

We’ve got a couple of new pictures to go on it and
we’ve had to change the title on the top of every
page because the designer that did the original site
didn’t use a recognised sponsor, I’ve been through
SKRQHQXPEHUVDQG,FDQ¶W¿QGKHUVKH¶VOHIW
the University, I can’t track her down and I got
to a point where I’d spent a couple of days trying
WR¿QGKHUDQG,MXVWWKRXJKW,¶PZDVWLQJWLPH
here, bugger it, we’ll just change every heading
instead, so we just came back and just changed
every heading. (NP case 4)
Although most NP SMEs are capable of per-
forming major aesthetic design changes internally
within the company, they tend to depend on ex-
ternal expertise as they implement more complex
ECT solution. For example a NP SMEs (case 5)
has two ongoing Web sites, a catalogue site and
an e-commerce site which was developed with
the help of change agent. The e-commerce site is
online for more than a year but is not functioning
effectively. The owner-manager is waiting for the
change agent to resolve the technical problem and
provide adequate EC solution.
We have two Web sites, we have a catalogue, a
magazine if you like … and we have an email,
e-commerce thing …The e-commerce site is SQL
server-based which means that if you actually
click it, you call up a database, a pick list if you
like and it is slow and we are talking just now
to [Consultant at Connect] he can improve po-

tential customer access to it in terms of speed of
delivery. … so we have had business through the
catalogue but not through the e-commerce site …
it is enquiries that lead to business but not directly,
there is always a second stage in it, we are not
directly selling from the e-commerce site at all,
hence our continued discussions with Connect
about its effectiveness. (NP case 5)
In comparison to N P SMES, TP SMEs tend to
depend more on external expertise, e.g., the Web
design bureau as well as designer at the change
agent. Some TP companies (TP case 8 and TP
case 1) have not reached a stage of self-reliance
and depend on the change agent’s services for
d a y - t o - d a y u p d a t e a s w e l l a s s u b s e q u e n t r e d e s i g n .
This can explain why the majority of TP SMEs
XSGDWHWKHLUVLWHTXDUWHUO\RU\HDUO\DQGDVLJQL¿-
cant number of TP SMEs were not aware of how
frequent or when the site will be updated. More-
over, TP SMEs dependence on the change agent
(or perceived change agent) is driven by the cost
for redesign and trust in designer (change agent)
rather than evaluation of possible EC solution or
services provided.
We have just designed another one [site] I’ve
done the pictures and all that stuff… I asked Con-
nect to price this for me and at last the count was
£1,700 and rising… so I went across the road to
a computer place that does computers he’s going
to charge me £300 against £1,700 and rising…

so there’s a big difference. (TP case 1)
Now having done it [site] and having seen that
there are 200,000 people around the world who
now know there’s a company called [name of
business] in the Wirral, I’m quite happy and I’m
prepared to pay for it to be refreshed because
those are the people [Connect] who have helped
us and I trust them, at the end of the day it’s my
company. (TP case 2)
In summary, most NP and TP companies are
capable of conducting day-to-day updates, but
there is a tendency to outsource major Web site
redesign especially with the increase in complexity
of Web site functionality. This pattern is evident
in the more technically capable NP SMEs. The
less capable TP SMEs tend to outsource most
Web site management whether day-to-day or
subsequent redesign of a new site. SME’s choice
RI:HEGHVLJQEXUHDXLVEDVHGRQWKHMXVWL¿FDWLRQ
431
SMEs ECT Reality
of costs and trust (or lack of trust) in external
professional support and services.
3DVVLYH$GRSWHUYV$FWLYH0RGL¿HU
The majority of NP SMEs have developed their
Web presence in-house and have control over their
adoption decisions. These companies are mostly
DFWLYH PRGL¿HUV 7KH\ KDG LQLWLDOO\ GHYHORSHG
their Web site either in-house or approached a
Web design bureau. Most NP SMEs continue to

manage and update their Web presence on a regular
daily or monthly basis depending on their internal
resources. These companies are technologically
self-reliant in Web authoring using Netscape,
HTML, and Dreamweaver. Most redesign and
update, performed in-house, is apparent at the
aesthetic and layout level of design rather than
improving functionality. This behaviour is carried
on to the subsequent development and redesign
phases (see Table 2).
The majority of NP owner-managers took
a pragmatic and short-term approach to Web
site development. Owner-managers update and
redesign the site, on a daily and monthly basis,
as and when they felt the need to add changes.
7KLV IUHTXHQF\ RIXSGDWH LV PRVWO\ LQÀXHQFHG
by owner-manager’s enthusiasm and interest in
Web authoring, as well as, their personal view
on the quality of the Web site after comparison
with competitor’s Web sites. Moreover, in some
F DVH V RZ QHU PDQD JHU V K DYH LGH QWL¿H GDE X VL Q H VV 
need to update the content and the feel of the site.
Thus, the Web presence is not developed at one
stage, but redesigned and updated frequently due
to management enthusiasm, technical self-reli-
ance, perceived knowledge of Web authoring, and
SHUFHLYHGEHQH¿WVJDLQHGIURPDGRSWLRQ
I am the IT man. I have Netscape and Internet
Explorer at home and I check if the colours are
¿QH%HFDXVHDQ\RQHFDQGHVLJQD:HEVLWHDQ\RQH

can sit and use Internet Explorer. Companies are
UH¿QLQJDQGXSGDWLQJDOOWKHWLPH«,WLG\LWXS
every 3-4 months…I’ve got WSFTP at home and
here, so this weekend I’ll pull that down and make
the amendments and then resubmit it. I’ll do that
during the course of the weekend. (NP case 5)
We’d already done one, a very, very crude one
ourselves. When we got an ISP, we got the free
Web space, so we’d done one, a very crude one
[site] that was Merseynet, our ISP which is the
local ISP…it was a mess, it was very crude and
not very well laid out, we didn’t know anything
about it. Then we found out about the Internet
courses at Connect, we went on them and at the
time Connect were actually doing a free design
service which we took up, we got a free Web site
designed by one of their 3
rd
or 4
th
year students
and then we started going on html courses, Java
Script courses and gradually we’ve just changed
it completely. (NP case 4)
It’s as much amusement as anything else but we
advertise the Web site all the time…we’re get-
ting around 3,500 hits a month, something like
that. So even if we don’t get anything back from
it, we’re still advertising in the same sense as a
billboard poster or a newspaper advert, you don’t

necessarily get anything back but you’ve got to
just assume that it’s going somewhere to someone
who’s interested, certainly in the keywords that
are coming up on the searches. The end result is
YHU\GLI¿FXOWWRVHH(NP case 5)
Most TP SMEs can be described as passive
adopter, where the initial Web presence was de-
veloped by change agent and their choice of Web
VLWHZDVVWURQJO\LQÀXHQFHGDQGOLPLWHGE\WKH
offers provided by the change agent (TP case 1,
TP case 2 and TP case 8). Some TP SMEs (case
8 and case 1) continue to be passive adopters and
outsource the update and management as well as
the development of their subsequent Web sites.
Other TP SMEs still use the same Web site devel-
oped initially by the change agent, with minimum
update of Web site content in their three years of
432
SMEs ECT Reality
adoption (TP case 1 and TP case 2). TP SMEs
u p d a t e t h e i r s i t e m o s t l y o n a n a d - h o c m a n n e r b a s e d
on circumstance or resources. These companies
do not see the need to redesign. In particular, one
company (TP case 2) is not thinking of redesign-
ing another site, and in case they did, they will
approach the change agent.
How we came to launch it was, we actually got
contacted by Liverpool University who said that
they had European funding available for com-
panies on the Merseyside area, to help them to

develop Web sites and they have an organisation
called Connect at the University and it’s very good
and the upshot was that we went along one day
and had a long conversation about the Internet
and they would design and launch the Web site
for us which they have done…for the amount of
money that we would pay Connect, it’s not worth
it [in-house management of the site]. It’s some-
thing being better off outsourced and our sense
of design is terrible…I’m quite happy and I’m
prepared to pay for it [Web site] to be refreshed
because those [Connect] are the people who have
helped us and I trust them, at the end of the day
it’s my company. (TP case 2)
Nonetheless, some TP SME (case 9 and case
EHFDPHDFWLYHPRGL¿HUVE\DFTXLULQJ:HE
authoring skills. One owner-manager (TP case
ZDVQRWVDWLV¿HGZLWKWKH:HEVLWHGHYHORSHG
by the change agent and redesigned a new Web
site within a short time from receiving that site.
The Web authoring knowledge and skills, gained
from change agent training and owner-manager
personal efforts, were used in tearing out the
Web presence developed by the change agent and
redesigning a new site.
…I took the course and realised how much there
was to know and I went for the deal of a free Web
site design which I think involved half a day’s
consultation and then a day’s Web site design from
them and wasn’t at all pleased with the job that’s

has been done for me…In a sense I got what I asked
for, on the home page but I got things that I did
not ask for or did not want. On the subordinate
pages I did not get the links I wanted and I got
over fancy designs…so I rewrote the links and
eventually developed the site…from the courses,
we were allowed to develop it ourselves and it’s
grown to about 65 pages now. They don’t offer
help, they will give you help if you ask, but you
need to ask. (TP case 9)
,QVXPPDU\1360(VDUHDFWLYHPRGL¿HUV
who have the technical knowhow, Web authoring
skills, and technological awareness to update and
redesign their Web presence. Contrary, most TP
SMEs can be described as passive adopters with
limited Web authoring knowledge and technical
ability, and who depend mostly on external sources
for management and update. Although, two TP
60(VEHFRPHDFWLYHPRGL¿HUVPDQDJLQJWKHLU
own Web presence, however, most companies
within this group tend to remain passive adopters
(see Table 3).
Ad-Hoc Planning vs. Strategic
Planning
Whether SMEs are passive adopters or active
PRGL¿HUV WKHUH LV DQ LPSOLFLW DVVXPSWLRQ LQ
literature that the effectiveness of a Web site is
dependent on a clear link between objectives,
planning/strategy and Web site design and func-
tionality (McNaughton, 2001; Wen, Chen, &

Hwang, 2001). Strategy entails the deployment of
resources to achieve organisational aims and ob-
jectives (O’Regan & Ghobadian, 2004). Strategic
planning relates the activities of an organisation
to the mission and goals that should guide the
organisation’s activities and provides a basis for
the allocation of resources to a project and for its
evaluation (Clyde, 2000). In the case of Web site
development, strategic planning process provides
DEDVLVIRUWKHLGHQWL¿FDWLRQRIWKHUHVRXUFHVDQG
skills that are needed at each stage of the Web
433
SMEs ECT Reality
presence development and maintenance (Clyde,
2000).
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reached a stage of self-reliance in managing
their Web presence. These companies are more
advantageous in their development and mainte-
nance practices. They are keen on experiment-
ing with different ECT solutions and scenarios.
The Web site is in a continuous state of update
and redesign. The aim is not only the update of
content and product information, changing the
feel and look of the site to attract customers and
increase sales, but also adding new functionalities
to the site (see Table 2). These owner-managers
compare their Web site with competitors’ Web
sites and try to improve their Web presence to
gain competitive advantage. However, in most

cases the choice of changes made to the site and
ECT solution, is not the result of strategic plan-
ning but more of ad-hoc decisions based on peer
views and owner-manager’s Web authoring skills
and resources.
That was something I slipped in because some-
body said to me that if you’re selling stuff on the
Internet you need to have a returns procedure as
well which I didn’t think about to be honest. Yes,
I’ve been told it’s just business etiquette, it’s nice
to have a returns procedure and a policy but I
never really thought about it. (TP case 10)
6RPHDFWLYHPRGL¿HUVKDGWKHLULQLWLDO:HE
presence developed by professional Web design
bureau. These companies depend on in-house
resources for day-to-day update and management
of the Web site content but outsource major rede-
sign to professional Web design companies. These
companies show a clear link between the business
objective to attract customers to the site, and the
maintenance activities that include changes to the
improve Web site aesthetics. However, in most
scenarios, this link indicates a tendency towards
strategic planning but no active steps have been
taken towards incorporating a strategy to their
business activity.
… we add so much in and because it’s constantly
changing, because we react all the time to what
people are asking for, that we’d end up paying
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plus we’re both of the opinion that it needs to be
changed at least three times a year just to keep
people coming back to it. I mean if they keep going
in and it’s the same page and it’s the same this
and it’s the same pictures, it gets boring, you’ve
just got to keep changing it. (NP case 4)
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develop e-business strategy to achieve maximum
EHQH¿WVIURPWKHLU:HESUHVHQFHKRZHYHUWKH\
need the support and consultation of external
expertise to help them develop a strategy.
I think we perhaps need more consultation on
how to develop our company and the model of
ZKDWZHGRWR¿WLQZLWKWKLVQHZWHFKQRORJ\VR
that it’s not just something that we can say, oh
we’ve got a Web site because the whole world’s
got a Web site but it’s something that does actively
work for us and increase the revenue, reduce the
cost, something that has a positive effect for us
rather than just something that sits on a Web page
somewhere. (NP case 7)
Only one NP SME case 11 (a publishing
company) had implemented a brand building
strategy to support the value of the magazine
they publish. The Web site provides information
to the current magazine readers as well as other
potential business advertisers on the magazine.
This enhances the communication between their
customer and potential advertising companies.
The Web site supports the magazine, but does

not replace the magazine published, which is the
company’s main product.