The effect of business networks on computer adoption.

This paper looks at the effect of business networks on the computer adoption decision of Small and Medium Enterprises in Pakistan. I design a survey questionnaire that will help capture the information network of a firm within these business networks. Using the survey data, I find that the effect of the number of computer users known is strong and significant in each of the networks defined: those of clients and suppliers, competitors and family members. Comparing differences in the results between the three networks provides insight into the information and usage externalities that arise differently from each network.