The adoption of online food delivery in facing COVID-19 among the Indonesian food MSMEs

Abstract

This study investigates the factors influencing the Indonesian food micro, small, and medium enterprises (MSMEs) in adopting online food delivery (OFD) during the corona virus disease-2019 (COVID-19) pandemic, by employing the technology-organization-environment (TOE) framework. Through a quantitative approach involving 378 respondents, this research explores the multi-dimensional factors affecting OFD service adoption, there are innovation compatibility, innovation complexity (IC), innovation cost, owner’s self-efficacy, owner’s commitment, customer pressure (CSP), competitive pressure (CMP), government support (GS), and health protocol guarantee. Employing covariance-based structural equation modeling (CBSEM), the study reveals interesting relationships among the proposed factors. The findings underscore the role of GS and health protocol guarantees in enhancing owner's self-efficacy and commitment towards OFD adoption. Moreover, it challenges the presumed barriers of IC, suggesting a nuanced understanding of adoption process amid a crisis. This study not only enriches the theoretical discourse on technology adoption in the context of a pandemic but also provides practical implications for stakeholders in navigating the post-pandemic business landscape. Future research directions are proposed to explore the continuous intention of food MSMEs towards OFD services postpandemic, highlighting the evolving nature of the global business environment and the enduring impact of the COVID-19 pandemic on food industries.