AN EMPIRICAL STUDY ON ENCOURAGING E-COMMERCE ADOPTION IN THAI AGRICULTURAL PRODUCTS: A CASE STUDY OF RICE FARMERS

Abstract

The rice supply chain in Thailand is sophisticated with rice passing through many activities from the paddy processing level through to reaching consumers’ hands. The key players in these midstream activities are rice millers, traders, wholesalers, retailers, etc. This study investigated the factors that influence e-commerce adoption for rice selling by Thai rice farmers. The study proposed a modification and extension of the unified theory of acceptance and use of technology (UTAUT) model to provide a solid base for explaining why Thai rice farmers accept or reject e-commerce adoption from a specific perspective, as well as allowing significant potential for an enhanced understanding of the acceptance of e-commerce adoption. The study’s conceptual model was based on four main constructs of the unified theory of acceptance and use of technology (UTAUT) model (i.e., performance expectancy, effort expectancy, social influence, and facilitating conditions). It included four additional constructs (perceived implementation cost, perceived risk, sufficient IT knowledge and skills, and government support); together, these constructs were used to test Thai rice farmers’ behavioral intention and their acceptance and adoption of e-commerce for rice selling.

To explore these influencing factors, a mixed research methodology, using both qualitative and quantitative approaches, was applied. In the qualitative approach, in-depth interviews were conducted with 15 rice stakeholders in Thailand, with these stakeholders from five different groups: (1) rice farmers, (2) rice consumers, (3) agricultural cooperatives, (4) rice middlemen, and (5) rice industry-related government officer. The findings of the qualitative data analysis were coded into five categories and 11 themes which were then integrated and conceptualized into the study’s conceptual model and hypotheses. In the quantitative approach, a questionnaire-based survey was then conducted to explore the perceptions of Thai rice farmers who had already adopted e-commerce for rice selling. The statistical data were gathered from 405 Thai rice farmers, and then analyzed by using exploratory factor analysis (EFA), confirmatory factor analysis (CFA), correlation analysis, regression analysis, and structural equation modeling analysis (SEM). In the context of Thai rice farmers’ e-commerce adoption for rice selling in Thailand, the study found that behavioral intention tends to have a significant relationship with acceptance and adoption of e-commerce for rice selling. The statistical supporting evidence demonstrated that performance expectancy, sufficient IT knowledge and skills, and government support (independent variables) had a positive influence on the behavioral intention to adopt e-commerce for rice selling, while effort expectancy had a negative influence. No statistical evidence was found to support the impact of social influence and e-commerce implementation cost on behavioral intention, nor of the impact of facilitating conditions on the acceptance and adoption of e-commerce for rice selling. These findings were interpreted in relation to previous studies to which the current study could add both theoretical and practical contributions in the context of e-commerce adoption for rice selling in Thailand. Consequently, this study’s results are expected to provide initial guidance for Thai rice farmers in the further adoption of e-commerce for rice selling. The study’s results are also expected to guide relevant government agencies in adjusting their corporate strategies and plans to not only encourage a greater focus by Thai rice farmers on e-commerce adoption for rice selling, but also to assist them in achieving success in their adoption of e-commerce.