Perceived network externalities and communication technology acceptance

Abstract

Electronic mail (e-mail) and instant messaging (IM) systems represent two communication technologies that are potentially substitutable. A unique feature of e-mail and IM is that their value to an individual user increases as the number of other people adopting the system grows. This is referred to as a positive network externality. This externality makes it difficult for consumers to switch to other systems because of the potential loss of connectivity with network members. Further, as this externality grows, it has unintended negative consequences in the form of spim and spam. Including these three network externality effects – positive, cross-impact, and negative – the present study investigates the determinants of electronic communication system use based on an extended Technology Acceptance Model. The study findings suggest that user perceptions regarding network externalities have a positive impact on use of electronic communication systems while perceptions of problems associated with unsolicited messages and perceived usefulness of alternative systems do not significantly affect system use. This study contributes to our understanding of the factors that affect use of existing and newer alternative communication technologies.

Keywords:

• electronic mail
• instant messaging
• information technology acceptance
• technology acceptance model
• network externality
• spam

Additional information

Notes on contributors

Troy J Strader

About the authors

Troy J. Strader is Associate Professor of Information Systems at the Drake University College of Business & Public Administration. He received his Ph.D. in Information Systems from the University of Illinois at Urbana-Champaign. His research interests include communication technology adoption, online financial services, online consumer behavior, and mobile commerce.

Sridhar N Ramaswami

Sridhar N. Ramaswami is Professor of Marketing in the College of Business at Iowa State University. Dr. Ramaswami received his Ph.D. in Marketing from the University of Texas, Austin. His research focuses on consumer behavior in online markets, marketing of financial services, sales management, and brand equity management.

Philip A Houle

Philip A. Houle is Associate Professor of Information Systems in the College of Business & Public Administration at Drake University. He received his Ph.D. in Computer and Information Control Sciences from the University of Minnesota. He served as the top Information Technology Administrator at Drake University from 1999 to 2001.