DefinePK

Abstract

The adoption of social media (SM) has become a primary tool for increasing employee production and communication in small and medium-sized enterprises (SMEs). This paper examines the technological factors influencing SM adoption in SMEs: perceived benefits, compatibility, and cost. Using a positivist paradigm and a quantitative research approach, data were collected from 431 SME owners/managers spanning central locations in Pakistan. The proposed model was validated using structural equation modeling (SEM), and hypotheses were tested. Technical components influence SM adoption, increasing staff productivity and communication effectiveness and improving SME performance. These results provide a fascinating study of the strategic purpose of SM adoption in enhancing SME performance and guiding SMEs wishing to employ digital technologies for sustainable development.