Building Infrastructure for SME Adoption of E-Business: The Canadian Experience

Abstract

Challenged to increase the country’s productivity, the Canadian government issued a 10-year innovation strategy agenda in January 2001. Canada’s innovation strategy identifies goals, targets, and government priorities in four key areas: knowledge performance, skills, innovation environment, and community clusters. Complementing the government’s agenda, Porter (2002) similarly recommends that businesses in Canada: “(1) collaborate with competitors/government to create specialized infrastructure and education, (2) invest in cluster development, (3) serve sophisticated and global markets with demanding customers, and create unique products/services, and (4) encourage local suppliers to meet global standards.” The Canadian government has explicitly stated that e-business is part of its innovation strategy (Innovation, 2001). Here we describe a model to guide governments in building infrastructure for a knowledge-based economy. Using specific Canadian initiatives, we will make an empirical case to illustrate the model that countries around the world can use to facilitate SME e-business adoption.