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problems that require total cooperations between government, E-Commerce developers,
businessmen, and consumers. The advantages of the technology applied in the form of
innovation in small medium enterprises are its flexibility, dynamic and responsive. But there
are also disadvantages related to cost and the source of its own technology. This condition is
the cause of problems within the company. But the problems arouse depend on the level of the
company Thomas , Miller, Murphy (2011 ). Currently, the government appealed that
technology is used as a way to deliver the company on a higher level of competition,
especially when it can be implemented on small enterprises (Thomas, Miller and Murphy,
2011). Small business because of their lack resource and crucially the time and expertise
available to larger business. According to Thomas, Miler and Murphy (2011:6) the adoption
of more basic technological innovation are used to improved existing business practise.
Critical to whether small business technology adoption is evolutionary or revolutionary will
be down to how they manage inward technology transfer.By using the technology,
information can spread very fast. The implementation varies depend on the type of industry.
After realizing that the technology is very important, especially in small and medium
enterprises, the consequence is using the technology as a base in every operation. So the
socialization of technology for small and medium enterprises must be very intense, given that
initially the company may be very simple and not using advanced technology. Technology-
based small medium enterprises will condition suppliers and consumers to use the technology,
too. Currently, technology can make the transfer process with various parties easier, especially
in communication with various parties. Besides, it is easier to control the process undertaken
by the company (Thomas et. al, 2011 ). The good implementation of technology by company
that is used for communication can be done formally or informally, depending on the
relationship among parties. The better technology means the better relationship among parties
particularly suppliers, distributors, and consumers.The study conducted by Waczuch, Braven
and Lundgreen, (2000) on small enterprises in the Netherlands reveals that small enterprises
adopting the internet, have different access speed comparing to other parties, particularly
bigger companies. Sometimes, the differences of technology basis used by these enterprises
and their partners cause difficulties. A number of small companies in the Netherlands feels
that they are greatly helped in various things by internet. For example, they are able to
perform benchmarking by viewing the performance of their competitors, exchange inter office
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