1. INTRODUCTION
In any business environment, organizations must be aware of constant changes in the economy, society, and technology, which all societies undergo. Business organizations must adapt themselves in order to survive in the present conditions and to predict changes in the future. This idea is consistent with Sumalee Sangsawang (2008) who points out that the present society is a society of economical, social, and technological change, or the age of globalization, where change takes place in a rapid and intense manner. The use of the internet, by individual consumers and business organizations, continues to thrive. Therefore, the trends in e-commerce implementation have been increasing showing a tendency of business management to reach wider markets faster with their capability to do non-stop business. E-commerce is very important to all types of business in the globalization era, and it acknowledges the importance of online merchants. As can be noted from a survey about internet users' behavior in the year 2008 conducted by the National Electronics and Computer Technology Center (NECTEC) of Thailand, it is found that the internet purchasing order reached 45.9% compared to that of the year 2007 which was only 28.9% (Chailom and Ussahawanitchakit, 2009). The aforementioned data infers that the internet users are likely to increase the amount of time they spend on online shopping websites. This is in consistence with Chang, Joyce and Varun (2003) who state that the rapid change in computer technology, communication, and infrastructure enables the growth of e-commerce, which allows businesses to streamline their business process, enhance customer services, and offer new channels to customers. So, e-commerce is an important concept in the modern economy and is also a driving force to product and service novelty in the new global competition through internet-based trade. In light of this view, some organizations need to use e-commerce to build customer loyalty, ensure repeat purchases and maintain relationships with customers (Cristobal, 2007). In the same vein, Santos (2003) and Yang et al, (2004) propose that internet communication is changing very rapidly and different organizations need to attract customers via e-commerce.
E-commerce is an important factor in the structure of Thailand's tourism industry, and this is consistent with the findings of Active Media Company who conducted a survey of companies who specialized in online business in 1996. They found the trend of using e-commerce to operate business growing rapidly, and 71% of the growth is in the tourism industry (Phuchit Phuripanik, 2002). From the result of the study conducted in 2002 on internet users' behavior in 37 countries, including United States, United Kingdom, and France, it was found that the three top services are related to tour business: hotel booking, tour business, and ticket booking (Siwarit Pongsakornrungsilp and Pimrapat Pongsakornrungsilp, 2005). Additionally, surveys conducted on the statistics of e-commerce, which are used by tour businesses in Thailand from The Thailand Web Directory and Advance Web Statistics, conclude that over 873 websites related to traveling and tour business support e-commerce services including tour booking, package tours, hotel booking, flight booking, train booking, car rental, and visa and passport application services (Thailand Web Directory and Advance Web Statistics, 2009).This is consistent with Watcharapol Yawai (2000) who found that tour businesses are making websites very popular in tourism industry. Therefore, it can be seen that tour businesses in Thailand are encountering high competition in e-commerce business. However, by accessing tour business's websites, it was found that the websites of tour businesses are of both high and low quality. In this respect, some websites are hard to reach, complicated, unsafe and provide incomplete information whereas other websites provide interesting information, quickly respond to customer feedback, and are reliable and safe. Along similar lines, Dararat Kositpipat (2009) suggest that e-commerce is important to tour businesses as e-commerce opens up a market opportunity for companies to compete for business survival. Currently, tour businesses who benefit from running their businesses via e-commerce are few in number. However, the failure of conducting e-commerce is not caused mainly by technology, but is due to entrepreneurs' lack of knowledge and understanding of how to conduct an e-commerce business. As described earlier, tour businesses in Thailand have to offer more efficient e-commerce services to attract customers or tourists to use e-commerce services because e-commerce services help the business increase operating outcome compared to the traditional business transactions. In the same vein, Pitt et al, (2002) have found that e-commerce helps increase the efficiency of business.
Moreover, Rosenzweing and Roth (2007) claim that the capacity of an employee has an effect on e-commerce businesses, and this capacity include the skills and knowledge about their own jobs; for example, researching and preparing information to offer to customers, providing correct information, and offering high quality customer services. In this respect, customer learning is another factor that helps boost the efficiency of e-commerce services in tour businesses in Thailand. That is, if a company can offer online services to its customers in order that the customers can find products and services faster and more efficiently on the website, the company will inherently outperform their competitors. This will give the company a competitive edge as well as successful and efficient services (Gatignon and Xuereb, 1997). Hence, customer learning is another factor that boosts the efficiency of e-commerce services in the sense that a tour business has to provide what customers want. Besides employee potentiality and customer learning, an ability to use technology is another factor affecting the efficiency of e-commerce services because technology is the beginning of e-commerce services. In this regard, every organization has to have hardware, software, system management and system security to build programs and websites that are vital to the organization in making e-commerce services more efficient (Jennex, Amoroso, and Adelakun. 2004; Dararat Kositpipa, 2009; Jantarajaturapath and Ussahawanitchakit, 2009).
In conclusion, tour businesses in Thailand are required to respond to changes in the market and to place an importance on e-commerce. Factors which enhance the efficiency of e-commerce services include employee potentiality, customer learning and information technology capability of a tour business. Tour businesses also have to consider the support from other organizations that may affect these factors. This is because if a tour business supports, motivates, builds employees' skills and knowledge, the employees will have more capacity to drive the business to success. The tour business industry has to consider the needs of customers in terms of products or services they require and to keep up to date with these needs considering that customers need change constantly. When the business understands the needs of customers, they can use the information to improve e-commerce services to become more efficient and to build a good relationship with their customers. Tour businesses should also improve communication technology in order to create an efficient website that is easily accessible and provides convenient services. This is consistent with Schermerhorn, Hunt and Osborn (2008) who claim that the support from an organization is the core to operational success. There are certain aspects that the business should support in order to become successful including manpower, budget, and tools. If a tour business supports and provides information technology, the business will achieve more efficiency in e-commerce services (Saini and Johnson, 2005). Furthermore, the technology uncertainty is another factor that a tour business cannot ignore because the technology uncertainty motivates businesses to adapt themselves in response to changes. Auh and Mengue (2005) state that tour businesses have to know and understand the constant changes in technology as these changes can affect business performance and help businesses to gain a competitive advantage in their businesses.
This research seeks to identify the e-commerce service efficiency (ESE) by integrating two theories to fill a theoretical gap: resource based view of the firm (RVB) and the contingency theory. This research uses two theories to explain the phenomena of e-commerce service efficiency (ESE). The process is to separate the contents of a conceptual model into two groups: the antecedents and consequence of e-commerce service efficiency. For this research, the RVB is applied to explain the antecedents and consequences of e-commerce service efficiency, employee potentiality, customer learning, information technology capability and organizational support because these are important factors that affect business performance. The RVB emphasizes firm-specific resources which are the sources of competitive advantage. Possessing more valuable resources will create a sustainable competitive advantage and bring in improved performance (Wernerfelt, 1984; Barney, 1991; Holcomb and Hitt, 2007). Moreover, this research also employs contingency theory to explain the phenomenon of technology uncertainty and its effects on the relationship between business performance (both non-financial and financial) and e-commerce service efficiency. In addition, the theory is also used to explain the effects of organizational support on the relationship between the antecedents (employee potentiality, customer learning and information technology capability) and e-commerce service efficiency. The contingency theory explains that there is not a single "best way" to manage organizations or that there is no single solution which can be universally applied to every organizational problem (Ginsberg and Venkatraman, 1985).
Therefore, the purposes of this research are: 1) To investigate the association between E-commerce service efficiency and business performance which includes both non-financial and financial performance of tour business in Thailand 2) To examine the effects of employee potentiality, customer learning and information technology capability on E-commerce service efficiency, and 3) to test the influence of moderating effects including: 3.1) the influence of technology uncertainty on the relationships between E-commerce service efficiency and business performance both non-financial and financial performance; 3.2) the influence of organizational support on the relationships between employee potentiality, customer learning, information technology capability and E- commerce service efficiency of tour businesses in Thailand.
The research methodology is outlined as follows: 1) reviewing existing literature in the areas and streams of the various approaches to the constructs and advancing the key research hypotheses; 2) providing research methods including sample and data collection procedures, the statistics, and equations to test the hypotheses; 3) presenting the analysis of the results and corresponding discussions; and 4) summarizing the findings of the current study, discussing theoretical and managerial contributions, offering suggestions for the future directions of research together and presenting the conclusion.
2. RELEVANT LITERATURE REVIEW AND RESEARCH HYPOTHESES
Presently, every business sector is experiencing high competition in both domestic and international arenas. Every business has to adapt itself to frequent changes. Technology becomes a vital factor in business survival. Traditional business operational processes are modified by technology in order to enable the company to compete with its competitors. The service sector has experienced a high level of changes due to the introduction of online services. The internet has become a vital part in allowing customers to have unlimited access to search for and purchase any product or service at any time of the day from anywhere in the world enabling unlimited competition. The use of a website as a medium between business and customers is a way to allow maximum amount of information transaction (Ghosh, Surjadjaja and Antony. 2004). The bases of electronic services are product and service (GrOnroos and others. 2000). However, concentrating only on products or services does not ensure business survival; therefore, service quality has to be of high quality and has to undergo constant changes for more efficiency. This research improves on theory used in previous research to show the relationship between all the variables and the hypothesis as shown in figure 1.
[FIGURE 1 OMITTED]
2.1 E-Commerce Service Efficiency
From previous research, the efficiency of e-commerce services for business is important and vital for business with online services. This is a major method in which a business can utilize in order to reach customers around the world. Internet transactions are becoming an important component of all business transactions. Therefore, there has to be a serious study on the efficiency of e-commerce business. Moreover, e-commerce service efficiency is defined as the benefits from outcomes through the use of e-commerce services of a tour business such as information timeliness, website reliability, ease of communication, responsiveness and supportability. Organizations need to build a competitive edge by having a more efficient e-commerce service in order to create customer trust. In this research, the researcher adapts e-commerce ideas (Dabholkar, 1996; Zeithamal, Parasuraman and Malhotra. 2000; Barnes and Vidgen, 2000; Santos, 2003; Zhang and Tang, 2006) by improving e-commerce services in information timeliness, web site reliability, ease of communication, responsiveness and supportability. By understanding the above literature, it could be concluded that e-commerce service efficiency of tour businesses in Thailand affects the business performance which includes both non-financial and financial performance.
2.2 Business Performance
Business performance of tour businesses in Thailand results from the service efficiency of e-commerce. It can be divided into two groups: 1) non-financial performance is defined as the operational outcome of a tour business that uses e-commerce and can be judged from the quality of products and services, customers' growth, new customers acquisition, and the increase of sales to existing customers which can be done by learning about and adapting new products and services to respond to changes in customers' needs as well as changes in environment; 2) financial performance is defined as the operational outcome of a tour business that uses e-commerce and can be judged from profitability, sales growth, market share, and the reduction of costs for their organizations. In conclusion, if non-financial performance is successful, it will also affect the financial performance. This is because customer satisfaction is the main factor that generates income. Along similar lines, Isabel and Elena (2006) suggest that the non-financial performance such as customer satisfaction affects the financial performance because customer satisfaction is very important in the sense that customers are the main source of income for a company (Prakul Pantapalangkul, 2010) Therefore, the hypotheses are proposed as follows:
Hypothesis 1: E-commerce service efficiency has a positive effect on non-financial performance.
Hypothesis 2: E-commerce service efficiency has a positive influence on financial performance.
Hypothesis 3: Non-financial performance has a positive impact on financial performance.
2.3 Technology Uncertainty
Technology uncertainty is defined as the rate of technology change. So, technology is an important factor in offering e-commerce services on the internet because the internet has become a large part of how people live their lives and it has also changed the way business operates. Businesses that are affected by the technology uncertainty have to tackle this problem by adapting and changing working habits to be able to cope with the constant changes of technology. A researcher once said that technology uncertainty means the businesses' acknowledgement of constant changes in technology that affect business operation. This change in technology is unstable and quick and is causing business to constantly change a production process (Auh and Mengue, 2005). Therefore, the change in technology which suddenly takes place necessitates the need for business to improve products and services in the market in order to keep up with this change. (Glazer and Weiss, 1993) The change in technology is a variable that businesses have to consider as it affects business operations. This is consistent with Duncan's (1972) thoughts about the business performance being a correlation between business and environment, strategies and business structures. Therefore, in developing tour businesses in Thailand to be more efficient in e-commerce services, it has to face the rapid changes in business operations and adapt itself to meet the circumstances, especially the change arising from the progress in technology. A business that can adapt itself rapidly will have a competitive edge over its competitors. Therefore, the hypotheses are proposed as follows:
Hypothesis 4a: Technology uncertainty positively moderates the E-commerce service efficiency-non-financial performance associations.
Hypothesis 4b: Technology uncertainty positively moderates the E-commerce service efficiency-financial performance associations.
2.4 Employee Potentiality
Employee potentiality is defined by the skills, knowledge and attitudes of employees of tour businesses in Thailand who know the functions of e-commerce, advanced information and training, and who know the information for customers. Employees are always trained about e-commerce and continuously aim for self-development. An employee is another resource that can guide the business in the right direction. The employee potentiality can cause both success and failure. It is a job of the manager to train employees to their full capacity and choose employees with knowledge and abilities to complete the job, as well as assign employees to the right jobs by looking at their skills, knowledge and capacity. When an employee is capable of his/her work, the employee can lead the business to success. This idea is consistent with Ley and Albert's (2003) suggestion that the employee potentiality is a vital part of the industry because the capacity of employees would enable the employees to get the jobs completed, corrected and done efficiently. Therefore, the research of employees' capacities and its effects on the efficiency of e-commerce services shows that employees have to be knowledgeable, have necessary skills, and know their jobs as well as how to do it efficiently. Similarly, Rosenzweing and Roth (2007) have found that the capacities of employees in e-commerce businesses include their knowledge, skills (finding information to be posted on the website), knowing how to correct mistakes in information, and customer service. The business will gain a competitive edge if their employees have knowledge and skills on how to operate e-commerce technology (Bharadwaj, 2000). Therefore, the employee potentiality is considered a factor that helps improve the efficiency of e-commerce services in tour business. Employees are considered the driving force of business as it can enhance successful business performance. Moreover, prior research regarding factors leading to the success of an e-commerce business state that the knowledge employees posses is the main factor contributing to success (Jennex, Amoroso and Adelakun, 2004; Dararat Kositpipat, 2009; Jantarajaturapath and Ussahawanitchakit, 2009). Therefore, the hypothesis is proposed as below:
Hypothesis 5: Employee potentiality has a positive effect on e-commerce service efficiency.
2.5 Customer Learning
In periods where the economy is not booming, one thing that all businesses try to do is to understand what customers want in order to be able to present products to satisfy these needs. Therefore, customer learning is defined as the research concerned with customers' needs in terms of products and services and the ability of an organization to improve the quality of its products and services. Therefore, if a business could offer higher quality products and services than its competitors by concentrating on the needs and desire of customers, it will lead the business to have a competitive edge and become successful (Gatignon and Xuereb, 1997). In addition, this applies also to tour businesses in Thailand who have to understand the needs of their customers in order to be able to use the information to improve the quality of e-commerce services and products offered (Jantarajaturapath and Ussahawanitchakit, 2009; Chailom and Ussahawanitchakit, 2009). Moreover, this is consistent with Slater and Narver (1994) and Zhang and Tang (2006) who have found that learning about customers' needs and responding to those needs are to understand what customers want in order to service them in a manner beyond their expectations. The needs of customers change all the time. Thus, it leads to a related hypothesis as follows:
Hypothesis 6: Customer learning has a positive effect on e-commerce service efficiency.
2.6 Information Technology Capability
Information technology is an important factor that gives strength to business by improving production possibility and service quality to be faster and more responsive to the market's demand. Therefore, information technology capability is defined as the abilities of a tour business to: 1) use information technology resources which consist of hardware and software; and 2) develop human resources in the fields of information technology and network system. So, the business can systematically utilize all its resources in order to achieve business goals and successfully drive the business forward. As every business has hardware, programs and software about human resources database which can be transformed into programs and websites essential for e-commerce services, the business has to support information technology (Jennex, Amorosoo and Adelakun, 2004). If business supports information technology, e-commerce services of the business would work well (Zhu and Kraemer, 2004; Saini and Johnson, 2005; Viniphan Khanpraman, 2007; Zhang and Tang, 2006; Jantarajaturapath and Ussahawanitchakit, 2009; Chailom and Ussahawanitchakit, 2009). Therefore, tour businesses in Thailand have to use information technology to help advertize tour products and services, make communication with customers efficient, and improve the efficiency of e-commerce services. The ability to use information technology is an important factor in driving business towards success; information technology capability is a resource that will help improve the efficiency of e-commerce. Therefore, the hypothesis is proposed as follows:
Hypothesis 7: Information technology capability has a positive effect on e-commerce service efficiency.
2.7 Organizational Support
Organizational support is defined as the process that the executive of a tour business offers support such as investments, training, providing information technology, tools, and other factors which facilitate employees in their work efforts including training in related fields and jobs to increase the efficiency of employees. So, in order for a business to become successful, it has to consider factors that will aid the efficiency of employees including investments, training and providing necessary means of support. The efficiency of e-commerce services would be considered as the success of a business in creating a competitive edge by understanding the needs of its customers as well as the capability of its employees because employees are valuable resources which need support from an organization. In this respect, an organization needs to provide information technology support for its employees. This is because employees, customers and information technology are important resources for business which are rare and cannot be copied or replaced. This corresponds with Phan's (2003) suggestion that a competitive edge in e-commerce business is created by the support of business and management crew as well as the support of new knowledge on information technology. In line with this idea, Jantarajaturapath and Ussahawanitchakit (2009) and Dararat Kositpipat (2009) have found that a management support team provides necessary tools for e-commerce services including manpower, budget, and tools, all of which are factors that will affect e-commerce services. Therefore, business has to provide these resources in order to increase efficiency in e-commerce services in places with high competition. Therefore, the hypotheses are proposed below:
Hypothesis 8a: Organizational support positively moderates the employee potentiality--E-commerce service efficiency associations.
Hypothesis 8b: Organizational support positively moderates the customer learning--E-commerce service efficiency associations.
Hypothesis 8c: Organizational support positively moderates the information technology capability--E-commerce service efficiency associations.
RESEARCH METHODS
3.1 Populations Selection and Data Collection Procedure
In this research, 873 tour businesses in Thailand were selected as the population. A mail survey questionnaire was used for data collection. The questionnaire was mailed to 873 tour business managers (as key informants) in Thailand. With regard to the questionnaire mailing, 67 mailings were returned due to incorrect addresses or firms being no longer in business or having moved to unknown locations. Of the 192 responses, 10 firms indicated that they were unable or unwilling to participate, and four surveys were incomplete. Thus, 178 mail responses were useable. The effective response rate was approximately 22.08%. According to Aaker, Kumar and Day (2001), an acceptable response rate for a mail survey, without a follow-up procedure, should be at least 20%. Thus, the response rate of this research is considered acceptable. Moreover, non-response bias was investigated using t-test to compare two groups of respondents who returned the questionnaire by the deadline (Armstrong and Overton, 1977). The result showed non-response bias.
3.2 Variables Measurement
The instrument developed is composed of items that have been used in past research on e-commerce service, business performance, employee potentiality, customer learning, information technology capability, organizational support, and technology uncertainty literature. All variables are measured by a multi-item 5-point Likert scale (strongly agree, agree, neutral, disagree, strongly disagree) except for the online selling which has been in operation. The variable measurements of dependent, independent, antecedents, moderator, and control variables are as described below:
E-commerce Service efficiency is measured by focusing on the benefits from the outcomes using e-commerce services of a tour business such as information timeliness, web site reliability, ease of communication, responsiveness and supportability. This variable is developed in a new scale from the related literature and its definition. It includes eight items which were anchored on a 5-point Likert scale.
Business Performance is measured by using two different variables: non-financial and financial performance.
Non-financial performance is the results of an operational process in tour businesses in Thailand. It is considered from the quality of products and services, customers' growth, new customers acquisition, and the increase of sales to existing customers including learning about and adapting new products and services to respond to changes in customers' needs as well as changes in environment. This variable is developed in a new scale from the related literature and its definition. It includes seven items which were anchored on a 5-point Likert scale.
Financial performance is the results of an operational process in tour businesses in Thailand. It is measured by the profitability, sales growth, market share, and cost reduction of an organization. This variable is developed in a new scale from the related literature and its definition. It includes four items which were anchored on a 5-point Likert scale.
Employee potentiality is the skills, knowledge and attitudes of employees in tour businesses in Thailand who know the functions of e-commerce, advanced information, training and information for customers. The measure reflects that an employee possesses knowledge and competence in e-commerce. Employees are always trained about e-commerce and continuously aim for self-development. This variable is developed in a new scale from the related literature and its definition. It includes four items which were anchored on a 5-point Likert scale.
Customer learning is measured by the ability of the tour business to study customers' needs in terms of products and services and attempt to improve the quality of its products and services in order to create high customer satisfaction. This variable is constructed in a new scale from its definition and literature. It includes four items and is anchored on a 5-point Likert scale.
Information technology capability is measured by focusing on the ability of the tour business to use information technology resources which consist of hardware and software and to develop human resources in the fields of information technology and network system. So, the business can systematically utilize all its resources in order to achieve business goals and successfully drive the business forward. This variable is developed in a new scale from the related literature and its definition. It includes four items which were anchored on a 5-point Likert scale.
Organizational support is measured by focusing on the process that the executive of a tour business offers support such as investment, training, information technology, tools, and other factors that facilitate employees in their work efforts including training in related fields and jobs to increase the efficiency of employees. This variable is developed in a new scale from the related literature and its definition. It includes four items which were anchored on a 5-point Likert scale.
Technology uncertainty is technology change. The measure reflected that quick technological development has taken part in creating and presenting new products and services. Various technological systems provide competitive advantages to business. This variable is developed in a new scale from the related literature and its definition. It includes four items which were anchored on a 5-point Likert scale.
Firm Age is the number of years a tour business has been in operation. The research has divided firm age into four groups: the one with less than 5 years considered a young firm; 5-10 years; 11-15 years; and more than 15 years. In this study, firm age is represented by a dummy variable including 0 = below 10 years old, 1 = between 11-15 years old and 2 = higher than 15 years old.
3.3 Validity and Reliability
In this research, all items in the questionnaire are developed from definitions of constructs and literature reviews and have been pre-tested to assert validity and reliability of the questionnaire. Factor analysis was employed to examine the validity of the instrument in this study. Factor loading of each construct should not be less than 0.4, which represents the appropriateness of construct validity (Hair et al., 2006). The reliability of the measurements was assessed by Cronbach alpha coefficients. One widely accepted standard of reliability to measure Cronbach alpha is 0.7 (Nunally and Berstein, 1994). Table 1 shows factor loadings score and Cronbach alpha of all variables. Each factor loading of variables is statistically significant. Moreover, all of the variables show that Cronbach alpha is greater than 0.7.
3.4 Statistic Test
The multiple regression analysis is used to test all hypotheses following the conceptual model. Because both dependent and independent variables in this research were metric scales, OLS is an appropriate method for investigating the hypothesized association (Hair et al., 2006). In this research, the models of the aforementioned association are as follows:
Equation 1: NFP = [[beta].sub.01] + [[beta].sub.1] ESE+ [[beta].sub.2] FA + [epsilon]
Equation 2: NFP = [[beta].sub.02] + [[beta].sub.3] ESE + [[beta].sub.4]TU + [[beta].sub.5] (ESE*TU) + [[beta].sub.6] FA + [epsilon]
Equation 3: FP = [[beta].sub.03] + [[beta].sub.7] ESE + [[beta].sub.8]NFP + [[beta].sub.9]FA + [epsilon]
Equation 4: FP = [[beta].sub.04] + [[beta].sub.10] ESE + [[beta].sub.11]TU + [[beta].sub.12](ESE*TU) + [[beta].sub.13FA] + [epsilon]
Equation 5: FP = [[beta].sub.05] + [[beta].sub.14]NFP + [[beta].sub.15]FA + [epsilon]
Equation 6: ESE = [[beta].sub.06] + [[beta].sub.16]EP + [[beta].sub.17]CL + [[beta].sub.18]ITC + [[beta].sub.19]FA + [epsilon]
Equation 7: ESE = [[beta].sub.07] + [[beta].sub.20]EP + [[beta].sub.21]CL + [[beta].sub.22]ITC + [[beta].sub.23]OS + [[beta].sub.24](EP*OS) + [[beta].sub.25](CL*OS) + [[beta].sub.26](ITC*OS) + [[beta].sub.27]FA + [epsilon]
3. RESULTS AND DISCUSSION
Table 2 shows the descriptive statistics and correlation matrix for all variables. The verified muliticollinearity problems by intercorrelations among independent variables are not higher than the 0.80 cut-offs (Cooper and Schindler: 2006), and variance inflation factors (VIF) are below the cut-offs of 10 recommended by Lee et al. (2000: 704) who suggests that multicollinerity is not a problem in this study. From tables 3 and 4, the VIF maximum ranging from 1.00-1.67 is well below the cut-off value. Therefore, there are no significant multicollinearity problems in this research. The next step concerning multiple regression analysis is appropriate to test the hypotheses.
Table 3 summarizes the results of the multiple regression analysis based on the first four equations. Models 1 and 3 reveal the relationship between e-commerce service efficiency and business performance which includes both non-financial and financial performance of tour businesses in Thailand. Furthermore, models 2 and 4 reveal the effect of the relationship between e-commerce service efficiency and non-financial performance and that between e-commerce service efficiency and financial performance with technology uncertainty as a moderator variable.
The result in model 1, which predicted the positive effects of e-commerce service efficiency and nonfinancial performance, shows that multiple regression analysis results for the efficiency of e-commerce services have a positive effect on non-financial performance for tour business in Thailand ([[beta].sub.1] = 0.61, p < 0.01). The factors that are important and vital for businesses from customers' points of view include the quality of service that businesses offer, customer satisfaction, customer relations and customer retention. This is consistent with Zhang and Tang (2006), who studied customers' perception toward the quality of online services and have found that the keys to success of online services are designs of websites, responses to customers' needs, reliability, privacy and validity. In this research, it was found that for tour businesses in Thailand, the efficiency of e-commerce is defined by a clear presentation of information at a high quality level as well as a wide variety of information containing pictures which clarify information and provide sufficient, detailed information as agreed with the customers. Being on time with deals, sending emails, downloading information and delivery also enhance customers' satisfaction which can in turn increase business reputation and enable the business to become more well-known. This occurs when business thinks of customers' satisfaction and service quality before profits. This is consistent with Delone and McLean (2004) who have found that business performance for e-commerce business depends on the quality of system, information, service, use and customer satisfaction as well as acknowledging the importance of customers who are regarded as a direct source of income for a business. Therefore, Hypothesis 1 is strongly supported. In addition, Model 3 shows the hypotheses that predict the positive effects of e-commerce service efficiency and financial performance. It has been found that multiple regression analysis results for the efficiency of e-commerce services have positive effects on non-financial performance for tour businesses in Thailand ([[beta].sub.7] = 0.31, p < 0.01). Tour businesses in Thailand have efficiency in e-commerce services including presenting quality information in a wide variety of formats, containing pictures to clarify information, and including sufficient, detailed information as agreed with the customers. Additionally, if a tour business can provide sufficient information as well as prompt product and service delivery such as sending information via email and providing options for downloading, the organization will continuously benefit from its effective operation enabling the organization to gain a higher market share as well as reach higher sales targets. This is consistent with Benjalak Sakunasing (2010) who has found that the increase in total revenue is the driving force of business to move towards success since total revenue indicates an organization's ability to generate income. Therefore, businesses who understand the competitors and market trends, and who can maintain existing customers, increase market shares and create a strategy to tackle the market condition will have an increase in total revenue both in the present time and in the future. Along similar lines, Madeja (2003) suggests that the determinant of business performance for e-commerce businesses is derived from the business's reputation, market share, cost, revenue, profits and customer loyalty. In the same vein, Thanaput Jundachote (2004), who studied the relationship between e-commerce and business performance, has found that e-commerce entrepreneurs place an importance on the effects of e-commerce efficiency on business performance, financial performance in particular by considering the profitability, sales growth, market share, and cost reduction of their organizations. Therefore, Hypothesis 2 is strongly supported.
Models 2 and 4 show the hypotheses that predicted the positive effects of the relationship between e-commerce and non-financial performance ([[beta].sub.3] = 0.02, p < 0.66) and the relationship between e-commerce and financial performance ([[beta].sub.12] = 0.01, p < 0.81) by technology uncertainty as a moderator variable. Therefore, Hypotheses 4a-4b are not supported. In a word, technology uncertainty has no effect on the efficiency of e-commerce services and business performance both in terms of nonfinancial and financial performance of tour businesses in Thailand. This is consistent with Chailom and Ussahawanitchakit (2009) who suggest that the working environment for e-commerce businesses in Thailand with regard to technology uncertainty has no effects on the relationship between operational tactics and business performance. However, prior research shows that business tactics are formed under constraints of technology (Kohli and Jaworski, 1990), so a business has to rely on the technological environment. Therefore, changes in technology require businesses to adapt themselves to the constant changes. However, for tour businesses in Thailand who operate an e-commerce service, it is shown that technology uncertainty has no effects on an operational outcome of the business as a tour business concentrates on meeting customers' needs, offering good services and responding promptly to its customers. However, tour businesses in Thailand should not ignore technological changes as they could ensure business performance success.
Table 4 shows that non-financial performance has significant positive effects on financial performance of tour businesses in Thailand ([[beta].sub.14] = 0.60, p < 0.01). Tour businesses in Thailand have good business performance because the businesses provide good and effective services. In this regard, when customers want good and quality services, they will think of how the business provides services to its customers first, and if the business can quickly respond to customers' needs, the organization will continuously benefit from its effective operation. In addition, the business can gain a higher market share as well as reach higher sales targets. Likewise, Isabel and Elena (2006) have found that nonfinancial performance, namely customer satisfaction is the determinant of how business performance affects financial performance because customer satisfaction is important to the businesses. Also, there is a study conducted by Madeja and Schoder (2003) who have found that the determinants for business performance of an e-commerce business are measured by the firm's reputation, market share, costs, revenue, profits, services that meet customers' demand, and customer loyalty. Moreover, Delone and McLean (2004) have also found that the determinants for business performance of e-commerce business are measured by the quality of the system, information, services, use, profits and customer satisfaction. The above information proves that non-financial performance affects financial performance because customers are the main source of income of the businesses (Prakul Pantapalangkul. 2010). Therefore, Hypothesis 3 is strongly supported.
From table 5, according to the hypothesis which predicted the positive effects of employee potentiality on e-commerce service efficiency, the results of multiple regression analysis show that employee potentiality does not have a positive effect on the efficiency of e-commerce services of tour businesses in Thailand ([[beta].sub.16] = -0.03, p < 0.75). Therefore, Hypothesis 5 is not supported. In previous research, it is found that e-commerce businesses' employees are required to have skills, knowledge, be able to understand and correct informational mistakes, find and present information on websites, and offer services to customers in order to create a competitive edge (Rosenzweing and Roth, 2007). Moreover, from the research of Bharadwaj (2000), it is found that businesses have to utilize employees who possess skills and knowledge of how to operate an e-commerce operating system. Furthermore, the employee potentiality is an important factor that affects the success of an e-commerce business (Jennex, Amoroso and Adelakun. 2004; Dararat Kositpipat, 2009; Jantarajaturapath and Ussahawanitchakit, 2009). On the other hand, the findings of this research revealed that tour businesses in Thailand ignore employees' lack of knowledge on how to operate e-commerce service systems because entrepreneurs of small tour businesses believe that employees do not need to have knowledge on e-commerce compared to large businesses who do require employees to have this knowledge. At the same time, small-sized firms do not acknowledge the importance of having employees who are able to operate e-commerce.
Moreover, based on the hypothesis which predicted the positive effects of customer learning on e-commerce service efficiency, the results from multiple regression analysis show that customer learning has positive effects on the efficiency of e-commerce services of tour businesses in Thailand ([beta] [[beta].sub.17] = 0.43, p < 0.01). In operating a business, if any firm wishes to survive in the current market condition, it cannot deny adapting and learning. This is because every firm has to keep up with its competitors, exceed its competitors' performance and be able to train their employees to move the firm toward its goal. Firms that can train their employees correctly and quickly will gain a competitive edge and will be ready to apply the knowledge of its employees from all levels including both executive and non-executive members. Therefore, human resource management has to move away from the traditional methods. The research shows that the customer learning of tour businesses in Thailand has a positive effect on the efficiency of e-commerce service because a tour business concentrates on satisfying customers' needs that constantly change. This is accomplished by increasing channels of communication and understanding customers' needs that change rapidly so as to improve the services and products to become more efficient and be of high quality. Additionally, some researchers suggest that tour businesses in Thailand have to understand the needs of their customers in order to be able to use that information to improve e-commerce services to become more efficient and better meet customers' needs (Vinipan Khanpramarn, 2007; Jantarajaturapath and Ussahawanitchakit, 2009; Chailom and Ussahawanitchakit, 2009). In line with this idea, Vatcharapol Yawai (2000) suggests that in order for an online business to succeed, an entrepreneur needs to understand the products' unique selling point and make a clear market strategy, understand customers' behaviors in its market segment, improve the products to meet the needs of the market, and offer up-to-date information. Therefore, Hypothesis 6 is strongly supported.
Furthermore, based on the hypothesis, which predicted the positive effects of information technology capability on e-commerce service efficiency, the results from multiple regression analysis show that information technology capability has positive effects on the efficiency of e-commerce services of tour businesses in Thailand ([[beta].sub.18] = 0.17, p < 0.03). Information technology has become an important tool for creating a new way of working together and negotiation. It helps decrease costs, time and complication in working methods. The result of this research shows the ability to use information technology in tour business in Thailand since most businesses are modern and efficient. There are constant training and improvement programs on the internet network in order to ensure an effective operation. This corresponds to the research of Zhu and Kraemer (2004) who have found that the basic structure of information technology and the ability to operate e-commerce services have a positive effect on the operational outcome of e-commerce businesses. Similarly, Yuan and Fesenmaier (2000) state that tour businesses in Thailand have to use the ability in managing information technology to improve their products and services, to have effective communication with customers, and to improve the process of e-commerce services to be more effective. This allows for information technology to be an important part which leads to successful business. Also, this idea is consistent with Jantarajaturapath and Ussahawanitchakit (2009) who have found that technology is a factor that leads to an ability in operating an e-commerce business. Technology is also the driving force of business since change in technology leads to a quality improvement of products and services and a selection of the best network to connect to its customers. Preparing hardware and software for use is a technological preparation procedure in which any organization who offers e-commerce services needs to follow. Therefore, the ability to use information technology is an important determinant for the efficiency of e-commerce services of a tour business. Along similar lines, Yuen Puworawan and Somchai Numpraserd (2004) mention that in e-commerce business, keeping up with technology is an important factor. Therefore, technology is the first step of doing e-commerce business. Therefore, Hypothesis 7 is supported.
Finally, table 5 shows the results from multiple regression analysis which indicate that organizational support have positive effects on the relationship between employee potentiality and e-commerce service efficiency of tour businesses in Thailand ([[beta].sub.24] = 0.04 p < 0.65), which is not statistically significant at 0.01 significance level. Referring to the relationship between customer learning and e-commerce service efficiency, the results show that ([[beta].sub.25] = -0.15 p < 0.14) which is not statistically significant at 0.01 significance level. Therefore, hypotheses 8a-8b are not supported. In order for a business to be successful, one factor that should be taken into consideration is the organizational support provided in order to create an effective working environment as well as to enhance employees' efficiency by providing resources necessary for business operations. However, in this research, it is found that operational support does not affect the relationship between employee potentiality and e-commerce service efficiency, and the relationship between customer learning and e-commerce service efficiency because tour businesses in Thailand who operate e-commerce services are small in number. This has led entrepreneurs, managers or board of directors not to place an importance on supporting employees to improve their knowledge in e-commerce. The result of this research contradicts those of previous studies, which found that organizational support is the most important factor in ensuring the success of finishing the job. Elements of organizational support which need to take into consideration in order for an organization to become successful are manpower, budgets to enhance knowledge of employees, and tools (Sirilak Rodjanaamnuay, 2000; Huang, Zhao and Li, 2007). Likewise, Phan (2003) state that the factors which create a competitive edge for an e-commerce business have to be supported by the organization.
On the contrary, the result of multiple regression analysis on organizational support which has a positive effect on the relationship between information technology capability and the efficiency of e-commerce services for tour businesses in Thailand shows that ([[beta].sub.26] = 0.14, p < 0.07). This research concludes that organizational support has effects on the relationship between information technology capability and the efficiency of e-commerce services. The support from the organization is an important factor necessary for the completion of work (Siwarit Pongsakornrungsilp and Suchart Chansumran, 2003). The factors which organizations should support to ensure the success of the organizations are manpower, budgets, and tools. Moreover, factors which promote the success of e-commerce services also have to be supported by management teams (Huang Zhao. 2007). This corresponds to Sirilak Rodjanaamnuay's (2000) suggestion that the qualifications of e-commerce managers include creative thinking, being fast to respond to change and having initiative thinking. Only those with these qualities can manage an e-commerce business to achieve business success. This also corresponds to prior research which suggest that firms have to support the ability to use information technology in order to have a positive effect on e-commerce services in the business (Zhu and Kraemer, 2004; Saini and Johnson, 2005 Viniphan Khanpraman, 2007; Zhang and Tang, 2006; Jantarajaturapath and Ussahawanitchakit, 2009; Chailom and Ussahawanitchakit, 2009). Therefore, Hypothesis 8c is supported.
5. CONTRIBUTIONS
The research which analyzes the conceptual model can contribute significantly to an understanding of how e-commerce service efficiency of tour business and its antecedents including employee potentiality, customer learning and, information technology capability, all of which contribute to business performance. Considering the contributions of this research, it can be stated that this research provides both theoretical and managerial contributions as discussed below.
5.1 Theoretical Contributions
The purpose of this research is to gain an understanding and knowledge of the relationship between e-commerce service efficiency (through employee potentiality, customer learning, information technology capability) and business performance. Additionally, it also used two principal theoretical frameworks, namely the resource-based view of the firm theory and contingency theory. Applying the resource based view of the firm theory, the e-commerce service efficiency refers to resources and capabilities of the firm. This theory is used to describe the e-commerce service efficiency that affects business performance because the resource-based view of the firm assumes that the resources and capabilities are crucial as they are the source of competitive advantage and eventually contribute to a superior firm performance. Furthermore, the contingency theory is applied to explain the moderator variable, namely technology uncertainty. According to the assumption of the contingency theory, the firm's effectiveness depends upon the firm's ability to adapt itself to the environmental changes, and the firm structure should conform to the demands of their environment. Therefore, the owners, chief executives, and managers of a tour business can benefit from applying the information to improve their own business operation in order to achieve the marketing advantage, customer satisfaction, and market performance of an e-commerce in the tour business in Thailand.
5.2 Managerial Contributions
This research also provides important implications to firms' owners, chief executives, and managers, particularly those who work in a tour business, to understand how their businesses can achieve e-commerce service efficiency and business growth over their competitors. It helps managers identify and justify key components of e-commerce service efficiency. Moreover, this research found that employee potentiality, customer learning, and information technology capability have a direct influence on e-commerce service efficiency. In addition, they should supply organizational support to the three dimensions (employee potentiality, customer learning and information technology capability) of e-commerce service efficiency. For the antecedents of e-commerce service efficiency, customer learning and information technology capability are important factors. Therefore, managers should support their employees to learn about customers' needs, help employees in problem solving, put more emphasis on quick responses and actions to customers when they need help or more information, and provide information technology tools and other materials in order to achieve superior business performance in a high competitive environment.
6. LIMITATIONS AND FUTURE RESEARCH DIRECTIONS
The research explains the efficiency of e-commerce service in tour businesses in Thailand. However, this research has limitations which are discussed below along with suggestions for future research. First, this research focuses only on sample tour businesses; future research should examine other samples for the incremental efficiency of e-commerce service, for example hotel business, airplane business, souvenirs business and accommodation business. Second, the amount of the population who returned the surveys is small in number. This could be due to a flood crisis that was occurring in Thailand at that time. Furthermore, some surveys were undeliverable due to the fact that some businesses were no longer in business while others had moved to unknown locations. These factors affect the completion of the surveys and cause the number of useable surveys to be small. Third, all constructs in the conceptual model are developed from new scales based on the definition of each construct. Accordingly, the results may be influenced by the inappropriate measures using these scales. Therefore, an interpretation of the results should be carefully made. Fourth, the targeted respondents of this research were the entrepreneurs of tour businesses in Thailand who were knowledgeable and able to make decisions about organizational affairs, but in fact, most of the respondents were other members such as marketing managers, sales managers, etc. This situation can possibly affect the results of this research since the obtained information might not be as expected. Finally, the control variable is firm age which has an effect on the efficiency of e-commerce service and business performance. Consequently, future research should consider separating business into groups based on the criteria of firm age.
7. CONCLUSION
This research shows that the e-commerce service efficiency of tour businesses in Thailand has a significant positive effect on business performance. In addition, it provides an executive an awareness of promoting and developing the services of electronic commerce. Ultimately, based on the results of this research, firms' owners, chief executives, and managers of tour businesses as well as governmental organizations need to acknowledge the importance of e-commerce service efficiency because the results of this study indicate the positive relationships and their effects on business performance. Therefore, it is necessary for firms' owners, chief executives, and managers of tour businesses as well as government organizations to improve and increase work performance in order to achieve the goals of business performance efficiently.
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Phatpitta Sreesoompong, Mahasarakham University, Thailand
Nantana Ooncharoen, Mahasarakham University, Thailand
AUTHOR PROFILES:
Phatpitta Sreesoompong earned her MA. at Naresuan University, Thailand in 2004. Currently she is Ph.D. (Candidate) in Tourism and Hotel Management at Faculty of Tourism and Hotel Management, Thailand.
Dr. Nantana Ooncharoen earned her Ph.D. at Mahasarakham University, Thailand in 2009. Currently she is a deputy dean of academic affairs, and a president of graduate studies at Faculty of Tourism and Hotel Management, Mahasarakham University, Thailand.
TABLE 1MEASUREMENT VALIDATION TESTINGVariables Factor Cronbach Loadings Alpha1. E-commerce Service Efficiency (ESE) .595-.747 .8622. Non-financial Performance (NFP) .502-.709 .8163. Financial Performance (FP) .586-.599 .7644. Employee Potentiality (EP) .620-.720 .9255. Customer Learning (CL) .614-.726 .8066. Information Technology Capability (ITC) .667-.748 .8927. Organizational Support (OS) .654-.756 .8548. Technology Uncertainty (TU) .550-.801 .823TABLE 2DESCRIPTIVE STATISTICS AND CORRELATION MATRIXVariables ESE NFP FP EP CL[bar.x] 4.15 4.02 3.52 3.71 3.96S.D. 0.60 0.51 0.70 0.60 0.55ESENFP 0.59 ***FP 0.55 *** 0.59 ***EP 0.32 *** 0.49 *** 0.54 ***CL 0.50 *** 0.61 *** 0.55 *** 0.59 ***ITC 0.37 *** 0.61 *** 0.54 *** 0.58 *** 0.50 ***OS 0.47 *** 0.47 *** 0.56 *** 0.55 *** 0.64 ***TU 0.46 *** 0.52 *** 0.60 *** 0.51 *** 0.55 ***FA -0.06 0.18 ** 0.05 0.78 0.01Variables ITC OS TU FA[bar.x] 3.83 3.83 4.08 2.70S.D. 0.67 0.66 0.60 0.46ESENFPFPEPCLITCOS 0.68 ***TU 0.56 *** 0.67 ***FA -0.02 0.08 -0.05 1.00 ** p< 0.05, *** p< 0.01TABLE 3RESULTS OF MULTIPLE REGRESSION ANALYSES ModelsIndependent Variables NFP NFP FP FP 1 2 3 4E-commerce Service 0.61 *** 0.48 *** 0.31 *** 0.35 *** Efficiency (ESE) (0.06) (0.07) (0.07) (0.07)Non-financial Performance 0.41 *** (NFP) (0.08)Technology Uncertainty 0.29 *** 0.44 *** (TU) (0.06) (0.06)ESE * TU 0.02 0.01 (0.05) (0.05)Firm Age (FA) 0.47 *** 0.49 *** -0.01 0.21 (0.13) (0.12) (0.13) (0.12)Adj[R.sup.2] 0.39 0.46 0.40 0.45Maximum VIF 1.00 1.36 1.67 1.36*** p< 0.01, (a) Beta coefficientswith standard errors in parenthesis.TABLE 4RESULTS OF MULTIPLE REGRESSION ANALYSESIndependent Variables Model Financial Performance (FP)Non-Financial Performance (NFP) 0.60 *** (0.06)Firm Age (FA) -0.13 (0.14)Adj[R.sup.2] 0.34Maximum VIF 1.03*** p< 0.01, (a) Beta coefficientswith standard errors in parenthesis.TABLE 5RESULTS OF MULTIPLE REGRESSION ANALYSESIndependent Variables Models E-commerce Service Efficiency (ESE) 1 2Employee Potentiality (EP) -0.03 -0.03 (0.89) (0.09)Customer Learning (CL) 0.43 *** 0.33 *** (0.83) (0.09)Information Technology Capability (ITC) 0.17** 0.04 (0.82) (0.09)Organizational Support (OS) 0.26 ** (0.10)EP*OS 0.04 (0.09)CL*OS -0.15 (0.10)ITC*OS 0.14 * (0.08)Firm Age (FA) -0.14 -0.12 (0.14) (0.14)Adj[R.sup.2] 0.26 0.29Maximum VIF 1.88 3.48*** p< 0.01, ** p< 0.05,* p< 0.10, (a) Betacoefficients with standard errors in parenthesis.
