Influence of Digital Divide on Procurement Performance of Textiles Manufacturing SMEs in Nairobi County, Kenya
Abstract
Digital technologies have become essential in improving procurement processes, enhancing transparency, and reducing operational costs. However, small and medium-sized textile manufacturers in Nairobi County continue to experience challenges in adopting and effectively utilizing these technologies. This study examined how the digital divide influences procurement performance within the textile manufacturing sector in Nairobi County, Kenya. The study, guided by the Technology Acceptance Model, the Resource-Based View, and Institutional Theory, adopted a descriptive and explanatory research design targeting 312 registered textile manufacturing enterprises in Nairobi County, employing a two-stage sampling approach that utilized simple random sampling to select SMEs and purposive sampling to identify key respondents including owners, managers, and procurement officers. Data were obtained from fifty-nine respondents using structured questionnaires and analyzed through descriptive statistics, correlation analysis, and multiple linear regression using SPSS version 26.0. Findings revealed that while all four digital dimensions had positive correlations with procurement performance, only textile-specific digital applications and digital collaboration tools emerged as statistically significant predictors of performance in the regression model. General digital procurement technologies and digital supply platforms, though beneficial, did not demonstrate significant predictive power when combined with other factors, likely due to implementation challenges, inadequate training, and infrastructure limitations. The study concludes that enhancing digital capacity through sector-specific solutions and collaborative platforms can substantially improve procurement efficiency and competitiveness in the textile sector. It recommends prioritizing investment in industry-tailored digital systems, establishing continuous digital skills development programs for procurement professionals, strengthening ICT infrastructure particularly internet connectivity, and fostering public-private collaborations to provide affordable access to textile-specific technologies. Future research should extend the study to other manufacturing sectors, employ longitudinal or mixed-method approaches to examine how digital procurement capabilities evolve over time, and investigate the moderating effects of organizational factors such as firm size, financial capacity, and leadership support on digital adoption outcomes.
Keywords: Digital divide, Digital tools, Procurement performance, Textile SMEs, Nairobi County.
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