Factors influencing adoption of Information and Communication Technology in Real Estate firms in Kenya

Abstract

ICT has become an integral part of daily human activities with a significant impact on the way we live, work and play. ICT has evolved into becoming a multipurpose technology given the critical spillover to the other economic sectors and its role as a cross-industry enabling infrastructure. Access, adoption and usage of ICT have become a key enabler of overall technological readiness for any country. The purpose of this study was to investigate factors influencing the adoption of information and communication technology in Kenya's real estate firms. The study specifically aimed to examine how ICT complexity, ICT user skill, perceived benefit and availability of ICT equipment influenced the adoption of ICT in real estate firms. The study was anchored in four theories, namely resource-based view theory, dynamic capabilities theory, open systems theory and technology acceptance theory. The study adopted a descriptive research design. The total targeted population of professional real estate firms were 83, while real estate agents were 42, which were operating within Nairobi County. Besides, the study sample was 63 that entailed 50% of professional real estate firms and real estate agents. The unit of observation were managers and supervisors. The study used a purposively sampling technique to select one manager and one supervisor from each of the real estate firms in Nairobi County, giving a sample size of 126 of the respondents (managers and supervisors). Primary data was gathered using self- administered questionnaires. The pilot study was conducted to determine the validity and reliability. The research was analyzed using descriptive and inferential statistics. The descriptive statistics involved frequencies, mean and standard deviation, while the inferential statistics entailed correlation analysis and regression analysis. The study found that ICT user skills, perceived benefits and availability of ICT equipment influenced the adoption of ICT positively while complexity influenced the adoption of ICT negatively. The correlation results established that a positive and significant association existed between ICT user skills, perceived benefits, availability of ICT equipment and adoption of ICT while complexity was negatively associated. The regression results revealed that complexity was negatively and significantly related to ICT adoption (β=-.066, p=0.015). User skills and ICT adoption were positively and significantly related (β=.323, p=0.000). Furthermore, perceived benefits from ICT were positively and significantly related to ICT adoption (β=.399, p=0.000). Similarly, the availability of the ICT equipment and ICT adoption was positively and significantly related (β=.203, p=0.001). The study recommended that real estate firms employ experts with ICT experience to deal with the hardware and software compatibility issues when it occurs in an institution. The installation of an ICT system should be done by skilled personnel. The real estate agencies should use websites and social media to increase their visibility. Furthermore, well-trained personnel should be involved in the coordination of the activities between the firm and clients. Lastly, a comprehensive automated database should be constructed which would avail property and land information on demand.