The impact of social media use on firm performance: a study of Egyptian micro, small and medium enterprises

Abstract

Even though numerous studies have examined the effect of information technology on business operations, a few have addressed the effect caused by social media on micro, small and medium enterprises (MSMEs). This research attempts to fill this gap by focusing on the impact of social media use on the performance of MSMEs in Egypt, an emerging market in the Middle East, by adopting the technology acceptance model (TAM) and the task technology fit (TTF) framework. Data is collected through self-assessment questionnaires conducted with a sample of 383 MSMEs in Cairo. The structural equation modelling technique is employed to analyse the data collected. The findings suggest that social media is crucial to the development of MSMEs due to its positive effect on their performance. This suggests that the ecosystem in countries like Egypt should be supportive of all measures that enhance the effective use of social media by small firms.