Generally, this study was conducted to investigate the impacts of information technology\ncapabilities (ITCs) on small and medium enterprises (SMEs) and large enterprises in Malaysia\nby measuring their competitiveness. A new empirical framework was designed to assist\ndomestic companies to determine appropriate ITCs such as dynamic, integrating, and utility\ncapabilities to attain competitive advantage (CA). A questionnaire is developed, tested in a\npilot study, and finally distributed to a sample of 500 domestic companies in Malaysia. A total\nof 295 respondents have provided their answers to the questionnaire. The dynamic,\nintegrating and utility capabilities account for 60.9% of the variance in the competitive\nadvantage of SMEs and the dynamic and integrating capabilities account for 67.8% of the\nvariance in the CA of large enterprises in Malaysia. This study proposes an empirical research\nframework that is important for SMEs and large enterprises to reap competitive advantage.\nApart from contributing to the literature of knowledge management, this study would assist\nin developing appropriate recommendations to adopt ITC for domestic companies. This\nresearch is one of the limited studies in Asia and Malaysia that examines how to adopt ITC to\nreap CA in SMEs and large enterprises in Malaysia.
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