RFID technology: a retrospective look at firm adoption with a view towards the future

This study examines the earliest stage of RFID technology development and the factors that led firms to adopt RFID technology, so as to establish a baseline to examine the present adoption of the technology. We looked for differences between voluntary and required adoption of RFID, and factors that increased the likelihood of voluntary RFID adoption. It was found that firms required to adopt RFID technology did so with a limited number of customers, while those that voluntarily adopted RFID technology did so with more customers. Firms voluntarily choose to adopt RFID technology due to external pressure, a weak power position in the supply chain and a history of prior technology adoption. Positive perceptions of the usefulness and ease of use of RFID technology increased the likelihood of RFID adoption. Several research questions are posed that when investigated, would provide insights into the changes that have occurred in the industry.