Redressing the Lack of Trust within SMEs Engaging in E-Commerce Activities in Developing Countries: A Nigerian Case Study

Abstract

E-Commerce activities amongst small and medium sized enterprises (SMEs) in the developed economies of North America, Europe and some Asian countries like China, Singapore and India have increased exponentially since the inception of the Internet. Even as the global economy is experiencing a down-turn, research evidence shows that e-Commerce activities have not fared too badly compared to other economic activities.

However, SMEs in developing economies, particularly those in sub-Saharan Africa are still not much in e-Commerce activity. One of the main problems for this form of digital divide has been attributed to the issue of TRUST.

This paper, explores how TRUST contributes to the lower level of e-Commerce activities amongst SMEs in Nigeria. It also explores some solutions on how the situation can be rectified to enable SMEs in both Nigeria and some other countries in the sub-Sahara African region enjoy the benefits which e-Commerce technologies provide for those adopting them.