Factors Affecting Internet Adoption in the Garments Industry in Bangladesh : A Structural Equation Modeling (Sem) Approach

The present study reviews the determinants of internet adoption in the RMG sector discussed in the internet adoption literature. It incorporates the determinants in a model and tests the model in the context of the developing nations. This study is a step forward in the continued evolution of the understanding of factors affecting internet adoption. By developing a structural equation model (SEM), the present study examines the existence of organizational readiness and external pressure constructs and determines the relationships between these two types of constructs with the intent to adopt internet. The results indicate that the readymade garments industry in developing countries should pay attention to the Perceived Benefits, Organizational Capabilities, and Competitive Intensity while making decisions regarding internet adoption. Based on the findings, the present study recommends that investment in infrastructure development by governments and other agencies should go hand-in-hand with schemes for business development and managerial improvement for the RMG sector of Bangladesh