The purpose of this study is to gain a deep understanding of the factors which influence the adoption and usage of ICT by
SMEs in Malaysia. This study examines the relationship between ICT adoption and its five factors which are perceived
benefits, perceived cost, ICT knowledge, external pressure and government support. The results of this study show that
three factors examined are significantly important to the adoption of ICT where as perceived cost and external pressure
are found to be insignificant in determining its adoption. This study provides a greater understanding of SME’s perception
about ICT adoption in their service business. Those SMEs who are interested in promoting their business on online may
find these results helpful in guiding their efforts.
Keywords: ICT, SMEs, Melaka, Johor, Malaysia