Challenges and Opportunities for E-commerce Adoption by SMEs in Egypt: A Comparative Study

Egypt's SME sector is a significant part of its economy, contributing to job creation and economic growth. However, the adoption of e-commerce by these firms has been slower compared to larger enterprises and international counterparts. The study employed a mixed-method approach comprising qualitative interviews with SME owners and managers, and quantitative surveys of a sample size of 150 businesses across Egypt. Data analysis included thematic coding and statistical testing. SMEs in Egypt face significant barriers to e-commerce adoption such as high initial investment costs and cybersecurity concerns. However, they also identify opportunities for cost savings through reduced overheads and increased market reach. Egyptian SMEs are poised for accelerated e-commerce growth with strategic support, particularly in reducing start-up expenses and enhancing digital security measures. Policymakers should prioritise funding initiatives to assist SMEs with e-commerce infrastructures. Additionally, regulatory bodies can collaborate with technology providers to offer affordable cybersecurity solutions.