Supply chain finance (SCF) is a promising financing solution for small and medium enterprises (SMEs). The study aims to highlight the determinants of the adoption of SCF and the theoretical implications for SCF in SMEs.
Drawing on the theory of planned behaviour (TPB), the authors develop a model and test hypotheses about the factors (1) SE, (2) attitude toward SCF, (3) social influence (SI), (4) adoption intention (AI) and (5) actual adoption (AA) of SCF. Data collected from a survey of 211 managers in SMEs in China were used to conduct a partial least squares (PLS) estimation.
The empirical results indicate that attitude toward SCF and SI positively affect AI towards SCF, whereas AI positively affects the AA of SCF. Specifically, the authors find that AI plays a mediating role in the relationship between SE and AA of SCF, whereas attitude toward SCF plays a mediating role between SI and AI.
First, the authors use the TPB to study the adoption of SCF in SMEs. Second, the authors apply PLS to clarify the influence mechanism of behavioural factors on the adoption of SCF. The authors provide a useful approach for practitioners in examining the adoption of SCF by SMEs.
