E-COMMERCE ADOPTION AND INDEPENDENT RESTAURANTS 1

A Case Study: Independent Restaurant Managers’ Perceptions of Factors That Influence

the Adoption of E-commerce Technology in the Wake of the COVID-19 Pandemic

by

Craig Weaver

Master of Business Administration, West Virginia University, 2014

Bachelor of Science in Computer Science, Fairmont State University, 2008

Bachelor of Science in Business Administration, Fairmont State University, 2008

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Submitted to the Graduate Facility of the School of Informatics, Humanities, and Social Sciences

in partial fulfillment of the requirements for the degree of

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DOCTOR OF PHILOSOPHY

in

INFORMATION SYSTEMS AND COMMUNICATIONS

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Advisor: Paul Kovacs, Ph.D.

Committee Member: Jamie Pinchot, D.Sc.

Committee Member: Wenli Wang, Ph.D.

Peer Reader: Michal Cieslak

Robert Morris University

May 2023
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Abstract

The COVID-19 pandemic has brought about a significant shift in the restaurant industry, leading

many business owners to adopt innovative e-commerce technologies, such as web-integrated

point-of-sale (POS) systems, online ordering, third-party delivery, digital gift cards, QR-code

menus, and social media to improve their operations, customer experience, and adapt to the

rapidly changing landscape. Implementing e-commerce technologies has become a standard that

customers expect as they become more accustomed to its conveniences. This study explored the

factors that drove the adoption of e-commerce technology in full-service independent restaurants

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in West Virginia, highlighting the importance of technology in ensuring business resilience and

long-term sustainability. Through interviews with fifteen restaurant owners and managers, this
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study uncovered their perceptions of e-commerce technologies and how they have used them to
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overcome the challenges posed by the pandemic. The findings shed light on the potential benefits

of e-commerce adoption for independent restaurants and serve as a wake-up call for small

business owners to consider the role of technology in their operations and prepare for future
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crises.

Keywords: e-commerce, independent restaurants, technology, crisis

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Dedication

I dedicate this dissertation to my family for their unwavering support, encouragement,

and patience throughout this academic journey. Without the support and understanding from my

wife, Melissa, I would not have been able to pursue this degree.

I would like to express my gratitude to the professors at RMU whom I have had the

pleasure of meeting and learning from, especially my dissertation advisor and committee

members: Dr. Diane Igoche, Dr. Paul Kovacs, Dr. Jamie Pinchot, and Dr. Wenli Wang. Their

invaluable guidance, feedback, and expertise were instrumental throughout the research process.

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I also would like to thank Michelle Yamada for her hard work and dedication to taking care of

our cohort, both in and out of residencies. IE

Finally, to my cohort, thank you for being a source of motivation and camaraderie
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throughout our program. I am grateful for the friendships we have formed. Our shared

experiences and discussions have challenged me to grow as a scholar and person.

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Table of Contents

Abstract ............................................................................................................................... 2

Dedication ........................................................................................................................... 3

List of Tables .................................................................................................................... 11

Table of Figures ................................................................................................................ 12

Chapter 1: Introduction ..................................................................................................... 13

Background ................................................................................................................... 15

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Full-Service Independent Restaurants ...................................................................... 15
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Operating Through a Crisis ....................................................................................... 16

E-commerce Applications for Restaurants ............................................................... 17

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Statement of the Problem .............................................................................................. 18

Purpose of the Study ..................................................................................................... 20

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Research Questions ................................................................................................... 20

Significance of the Study .............................................................................................. 21

Limitations .................................................................................................................... 22

Chapter 1 Summary ...................................................................................................... 23

Chapter 2: Literature Review ............................................................................................ 24

Introduction ................................................................................................................... 24

Independent Restaurants ............................................................................................... 24

Restaurants and Technology ......................................................................................... 25

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E-commerce and Restaurants .................................................................................... 27

Crisis Management in Restaurants & the COVID-19 Pandemic .................................. 29

History of Crises That Impacted Small Businesses .................................................. 31

Government Relief for Small Businesses and Restaurants ....................................... 32

Seeking Ways to Do Business with Less Face-to-Face Interaction .......................... 33

Restaurants, E-commerce, and the Pandemic ............................................................... 34

E-commerce Usage trends before the Pandemic (before March 2020) .................... 34

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E-commerce Usage trends after the Pandemic Outbreak (after March 2020) .......... 36
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Perceptions of E-commerce Since the Pandemic...................................................... 37

Technology Adoption Theories .................................................................................... 38

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The Technology Acceptance Model (TAM)............................................................. 38

The Diffusion of Innovations Theory ....................................................................... 39

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E-commerce Adoption Levels Model ....................................................................... 40

Theories in Perspective ............................................................................................. 41

Chapter 2 Summary ...................................................................................................... 42

Chapter 3: Methodology ................................................................................................... 43

Introduction ................................................................................................................... 43

Purpose Statement ..................................................................................................... 44

Research Questions ................................................................................................... 44

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Research Design........................................................................................................ 44

Population and Sample ................................................................................................. 47

Instrumentation ............................................................................................................. 48

Research Quality ........................................................................................................... 49

Research Ethics ............................................................................................................. 51

Data Collection Procedures........................................................................................... 52

Confidentiality of Participants and Data (IRB Requirements) ..................................... 53

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Data Analysis Plan ........................................................................................................ 54
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Chapter 3 Summary ...................................................................................................... 55

Chapter 4: Data Analysis and Results ............................................................................... 56

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Introduction ................................................................................................................... 56

Research Questions ................................................................................................... 56

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Participant Demographics ............................................................................................. 56

Theme 1: Perceptions of Factors Influencing Adoption ............................................... 59

Knowledge and Understanding of E-commerce Technologies ................................ 60

E-commerce Technologies Knowledge by the Participants ................................. 60

Lack of Trust and the Cost of Third-Party Delivery Services .............................. 62

The Complexity of Setup and Support Availability ............................................. 63

Antiquated Restaurant Concerns........................................................................... 64

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Accepting Change and Business Fit ......................................................................... 65

Already Having a Working System ...................................................................... 65

Change and Acceptance by Owners and Staff ...................................................... 66

Demographic and Customer Acceptance .............................................................. 67

Maintaining That Personal Touch as a Small Business ........................................ 68

Perceived Advantages of Adoption .......................................................................... 70

Support Labor Shortages....................................................................................... 70

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Better Sales Insights .............................................................................................. 71
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Customer Options & Convenience for Ordering and Delivery ............................ 72

Level of Integration With Other Systems ............................................................. 73

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Conclusion of Theme 1 ................................................................................................. 74

Theme 2: Role of the Pandemic on Adoption ............................................................... 74

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Positive Roles............................................................................................................ 75

Served as an Introduction to New Technologies .................................................. 76

Supplemented Staff With E-commerce ................................................................ 78

An Increase in Social Media Use and Websites ................................................... 78

Were Glad They Implemented it or Wished They Would Have Sooner .............. 79

Neutral Roles ............................................................................................................ 79

Increased Fears of Not Meeting Customer Expectations ...................................... 79

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Forced Adoption Through Government Restrictions ........................................... 80

The Pandemic Played Little to No Role in the Adoption ..................................... 81

Conclusion of Theme 2 ................................................................................................. 81

Theme 3: The Most Important Factors in Adopting ..................................................... 82

The Uncertainties of E-commerce Technology Adoption ........................................ 83

The Need for a Better Understanding ................................................................... 84

Costs ...................................................................................................................... 84

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Loss in Profits from Third-Party Delivery ............................................................ 85
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Easing into E-commerce to Reduce Risk.............................................................. 85

Having Good Support for New Tech .................................................................... 85

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Maintaining Personability ..................................................................................... 86

The Perceived Benefits of Adoption. ........................................................................ 86

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Conveniences for Customers and Staff ................................................................. 86

Being Able to Analyze Sales Data and See Trends .............................................. 86

Efficiencies Gained in Customer Orders .............................................................. 87

Increased Organization and Pricing Consistency ................................................. 87

Conclusion of Theme 3 ................................................................................................. 88

Chapter 4 Summary ...................................................................................................... 89

Chapter 5: Discussion, Recommendations, and Conclusion.............................................. 90

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Introduction ................................................................................................................... 90

Purpose and Summary of the Study .............................................................................. 90

Discussion of Findings .................................................................................................. 91

Finding 1: Perceptions of Factors Influencing Adoption.......................................... 92

Knowledge and Understanding of E-commerce Technologies ............................ 92

Accepting Change and Business Fit ..................................................................... 94

Perceived Advantages of Adoption ...................................................................... 97

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Summary of Finding 1 ............................................................................................... 99
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Finding 2: Role of the Pandemic on Adoption ......................................................... 99

Positive Roles........................................................................................................ 99
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Neutral Roles ...................................................................................................... 102

Summary of Finding 2 ............................................................................................ 103

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Finding 3: The Most Important Factors in Adopting .............................................. 103

The Uncertainties of E-commerce Technology Adoption .................................. 104

The Perceived Benefits of Adoption ................................................................... 105

Summary of Finding 3 ............................................................................................ 106

Theoretical Application and Implications ................................................................... 106

Implications of the Study............................................................................................. 108

Suggestions for Future Research ................................................................................ 109

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Conclusion .................................................................................................................. 110

References ....................................................................................................................... 112

Appendix A - Letter of Introduction and Request for Participation ............................... 132

Appendix B - Email to Participants ................................................................................ 133

Appendix C - Letter of Consent ...................................................................................... 134

Appendix D - Interview Protocol .................................................................................... 136

Appendix E - IRB Approval Letter ................................................................................. 140

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List of Tables

Table 1 Technologies that Support Restaurants................................................................ 26

Table 2 Timeline of COVID Restrictions on WV Restaurants......................................... 30

Table 3 E-Commerce Adoption Level .............................................................................. 40

Table 4 E-Commerce Adoption Level – Modified for Restaurants .................................. 41

Table 5 Participant Characteristics ................................................................................... 57

Table 6 Chapter Four Themes and Subthemes ................................................................. 58

Table 7 Theme 1 Structure ................................................................................................ 59

Table 8 Theme 2 Structure ................................................................................................ 75

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Table 9 Theme 3 Structure ................................................................................................ 83
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Table of Figures

Figure 1 A COVID-19 Timeline ....................................................................................... 13

Figure 2 Point-of-Sale System Providers Used by Participants........................................ 77

Figure 3 Participant E-commerce Uses and Adoption ...................................................... 82

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Chapter 1: Introduction

The Coronavirus Disease 2019 (COVID-19) significantly impacted businesses globally,

particularly those that depended on in-person sales like brick-and-mortar retail stores, hair

salons, and full-service dining-in restaurants. During the outset of the pandemic in March 2020,

U.S. restaurants faced government restrictions that forced the closure of all indoor dining. At the

end of March, restaurant sales dropped by more than 70%, with more than seven million workers

laid off and employment within the food services sector falling over 45% between March and

May 2020 (Cajner et al., 2020; Price, 2021). Figure 1 depicts a timeline of the first year of the

pandemic.

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Figure 1

A COVID-19 Timeline
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Note. The image was derived from Our Pandemic Year – A COVID-19 Timeline [Graphic], by

Kathy Katella, 2021, Yale Medicine (https://www.yalemedicine.org/news/covid-timeline)

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The effects of the pandemic are looming, and predictions of a full recovery are uncertain

(Morgan Jones et al., 2020; Rayburn et al., 2021; Sirkeci, 2020). As of this writing, most

restrictions have been lifted, and many of us are ready to resume a post-pandemic lifestyle.

Based on a survey released by the National Restaurant Association, deteriorating business

conditions are still in effect, and restaurants have seen recovery prolonged well into 2022

(National Restaurant Association, 2022a). At the time of the survey, most restaurants were

uncertain when they expected to return to regular operation. Twenty-three percent thought it

would be at least a year, 44% more than a year, and 19% felt their business would never return to

normal.

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Adopting technologies during this pivotal time can offer an advantage over competitors.
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It could be the primary means of survival when customers are essentially afraid of walking

through the doors of businesses. A restaurant’s resilience is undergoing unprecedented tests, as

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those willing to embrace the digital revolution are more likely to see their business through these

tough times (McKinsey and Company, 2021).

The restaurant business is challenging for most business owners, with over 61% of new
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restaurants closing within three years of opening under normal conditions (Parsa et al., 2011).

Doing business in a brick-and-mortar store or a sit-down restaurant has changed. These

businesses should prepare for another crisis by adopting technologies that allow them to maintain

operations under restrictions that prevent direct, in-person customer interaction. Adopting

technology-based systems helps ensure a more substantial chance of surviving regular business

trials or a devastating crisis (Doran, 2010; Walker, 2008).

This study uses the Diffusion of Innovations theory and the Technology Acceptance

Model to guide the research design, data collection tools, and the interpretation and analysis of
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the results. In this chapter, the author will present the business problem, elucidate the

significance and objectives of the research with respect to the chosen population and technology

area, and outline the research questions that this study seeks to investigate.

There is a need to explore the role of e-commerce technology adoption on independent

restaurant operations during the COVID-19 pandemic and the disruptions it caused. This

research study identifies the e-commerce technologies adopted by full-service independent

restaurants during the COVID-19 crisis and explores the drivers of adopting these tools.

Background

Full-Service Independent Restaurants

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Restaurants and dining out are vital parts of life for many people. Research has even
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shown that while planning vacations, choosing restaurants are essential for some before

committing to their next getaway (Sparks et al., 2003). Approximately 300,000 full-service
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independent restaurants in the U.S. primarily depend on in-person dining for their revenue (CHD

Expert, 2019; U.S. Bureau of Labor Statistics, 2022). This experience of dining in and the

satisfaction customers get by being waited on separates the takeout boxes from the server, table,
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plates, knife, and fork familiarity that restaurant-goers pay to enjoy every day. In this research,

the definition of a full-service independent restaurant is a non-franchised business not associated

with any corporate chain (i.e., independent). These restaurants are primarily dine-in locations

(i.e., full-service), run by the owner, and located within four neighboring counties in West

Virginia.

Despite the unfortunate economic impact, there is little research on small, independent,

full-service restaurants regarding the COVID-19 pandemic and e-commerce technology

adoption. These local restaurants help bring the community together and allow them to share in
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the sense of pride and support for their local businesses. A political representative from

California, Ro Khanna, who is supporting a future bill that would provide tax credits to small

businesses, said that “Having a vibrant main street and cultural center are essential to a

community’s health … the shutting down of these businesses and restaurants is a harbinger for

the decline of the community itself” (Vesoulis, 2021, para. 23).

Operating Through a Crisis

According to the Organization for Economic Co-operation and Development (OECD),

small businesses, such as independent restaurants, are most vulnerable to recovering from a crisis

since they tend to have lower capital, fewer assets, and lower productivity than their larger

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counterparts (OECD, 2020). According to the U.S. Small Business Association, small businesses
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make up 99.9% of all companies in the United States, and thus the implications of crises to this

business category can significantly affect the broader economy (U.S. SBA, 2020).
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In a study by McKinsey and Company (2021), researchers aimed to study the approaches

to increased resilience for businesses during a crisis. The authors argue that the world is

changing and unpredictable and that focusing only on the near and mid-term is not enough - as
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shown by the COVID-19 pandemic's impact on businesses. Their study finds that business

disruptions are becoming more frequent and severe, further stating that unpredictable threats

should be something that all businesses are prepared for and thus need to be resilient (McKinsey

and Company, 2021). The restaurant industry experienced a $65 billion drop in sales in 2021

compared to pre-pandemic levels (National Restaurant Association, 2022b).

Although the federal government provided financial support with the Coronavirus Aid,

Relief, and Economic Security (CARES) Act to help businesses maintain labor and operations,

many initially found the application process confusing and never took advantage. In a survey of
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8,000 U.S. small business owners by Humphries et al. (2020), the researchers found that by the

time U.S. government aid via the CARES Act passed, 60% of those businesses had already laid

off at least one worker and 46% of those same respondents reported that they did not expect to

recover within two years.

E-commerce Applications for Restaurants

Independent restaurants can access various technology solutions to improve their

business operations. These technologies can help operators perform otherwise complicated,

inefficient, and time-intensive tasks to focus more on the hospitality their customers expect

(Cavusoglu, 2019). According to local independent restaurant experts, a restaurant’s

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infrastructure can be divided into three categories: physical resources that involve substantial
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parts of a business, such as the building, dining room, kitchen, and parking lot; technological

systems that support the business; and the organizational structure of human resources
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(Restauranttopia, 2020). This study focuses on the technological infrastructure, specifically the e-

commerce branch of technology. In this study, e-commerce is defined as any transaction over the

internet, or other computer networks, that involves the transfer of goods, services, information,
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or any related function that helps to enable those transactions (Rahman, 2014; Satterlee, 2001).

E-commerce technologies for restaurants have taken much more of the technology

spotlight since the COVID-19 outbreak (Candra et al., 2021; Yasin Ar, 2020). The pandemic

prompted a new revolution for digital services and restaurants, and having a digital presence

through multiple online ordering apps or a restaurant-owned website is becoming necessary

(Akpan et al., 2020). Examples of e-commerce technologies include digital menus, online

ordering platforms, online delivery services, online reservations, digital gift cards, online
E-COMMERCE ADOPTION AND INDEPENDENT RESTAURANTS 18

catering ordering, contactless payment, web-integrated point-of-sale (POS) systems, and social

media and website development.

Statement of the Problem

At the start of the COVID-19 pandemic, full-service independent restaurants faced

difficulties serving customers due to legally imposed restrictions on the public and their access to

the business. These restaurants had to devise new and innovative strategies to remain competitive

with their larger counterparts’ corporate-backed technological infrastructure.

Since the outset of the pandemic, the fate of independent restaurants has been a topic of

much concern for restaurant owners and the local community alike (Byrd et al., 2021; National

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Restaurant Association, 2022a; Nhamo et al., 2020; Shigihara, 2020). Before the pandemic,
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independent restaurants accounted for approximately 76% of the 658,000 restaurants and bars in

the United States (U.S. Bureau of Labor Statistics, 2022). A National Restaurant Association
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survey from 2021 showed that over 80,000 restaurants have closed since the pandemic began,

from a peak of 110,000 (Vesoulis, 2021).

Labor within the independent restaurant business is also a source of frustration among
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owners and managers and their ability to hire and retain reliable employees (Hartmans, 2022).

Experts claimed that this shortage was initially due to workers with childcare needs or safety

concerns, but others, such as the former U.S. Secretary of Labor, Robert Reich, thought

otherwise (Davis et al., 2021; UC Berkeley Food Labor Research Center, 2021). In an interview

with TIME News magazine in October 2021, Reich stated that the restaurant labor shortage was

more due to the workers’ low wages and instability due to the pandemic (Vesoulis, 2021). Reich

said, “Workers are burned out. They’re fed up. They’re fried. In the wake of so much hardship
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and illness and death during the past year, they’re not going to take it anymore” (Vesoulis, 2021,

para. 4).

Restaurants have a reputation for being persistent and resilient when facing restrictions,

closures, and labor shortages (Pryor, 2022). Even if the pandemic forced closure, preserving the

infrastructure in an establishment, such as specialized kitchen equipment and air ventilation

systems, makes it easier for new operators to take over and open for business (Gagnon &

Gagnon, 2011). These types of physical infrastructure can help incumbents begin operations, but

the technologies that support a business are comprised of the technological infrastructure as it is

understood and implemented by the business owner. Out of the multitude of technologies

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available to restaurants, business owners or managers must decide which technologies will
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impact the business’s bottom line. The abundance of competing technologies makes it difficult to

choose, and a lack of understanding, availability, or geographic constraints can create challenges
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in the selection process.

Following the disruption of conventional business models with the pandemic,

independent restaurants risk losing their business if they do not adequately invest in technologies
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to stay competitive under new conditions. The challenge of most organizations in today’s

competitive environment lies in the ability to innovate in the constantly evolving marketplace,

and this challenge will continue to grow (Stank et al., 2019). Previous studies have attempted to

examine the business value of technology adoption in restaurants, but few studies have framed e-

commerce technology use and applications for full-service independent restaurants (Asrihapsari

& Setiawan, 2020; Baiomy, 2021).

This study contributes to the literature by assisting small businesses in adopting e-

commerce technologies to support their resilience through a crisis and their strategic long-term
E-COMMERCE ADOPTION AND INDEPENDENT RESTAURANTS 20

sustainability planning. An investment in e-commerce technology should be viewed as a

strategic move rather than just an expense because the technology has the potential to result in

savings in operational and labor costs, and it can provide support to the business during times of

crisis (Ingalagi et al., 2021, p. 8). The repercussions of not adopting e-commerce technology in

the future may be detrimental to the survival of independent restaurants within their competitive

landscape. Will the world of independent restaurants need to adapt and adopt these technologies

to stay competitive or even operational if faced with another crisis, and if so, is there a right time

– both in a business’ lifecycle and with the available technology?

Purpose of the Study

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The purpose of this qualitative case study is to assess the factors that small-town, full-
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service independent restaurants in West Virginia perceive to be relevant and important in the

decisions on whether to adopt e-commerce technology. The context of this study focuses on the
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period since the March 2020 restrictions due to the COVID-19 pandemic.

Research Questions

The expectations are that the analysis of this study will provide insight to answer the
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following research questions:

1. What are independent restaurant managers' perceptions of the factors influencing

their decision to adopt e-commerce?

2. What role did the pandemic play in their perspectives regarding e-commerce

adoption?

3. From an independent restaurant manager’s perspective, what factors are most

important in adopting e-commerce technology?

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The overall goal of this study is to provide research-based insights on the adoption of e-

commerce technologies by full-service independent restaurants. This study can also provide

guidance for technology adoption, which could be used by local chamber of commerce entities,

small business development centers, and small business authorities that support technology

enablement and knowledge sharing to independent restaurants (Marion County Chamber of

Commerce, 2022; Morgantown Area Partnership, 2022; WV Chamber of Commerce, 2022).

Significance of the Study

While there has been extensive research conducted on e-commerce options for online

retail settings, there was a lack of research examining independent restaurant manager

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perceptions of e-commerce technologies in the U.S. and even fewer studies that describe the
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relationship of adoption in response to the effects of the COVID-19 pandemic (Harrisson-

Boudreau & Bellemare, 2021; Lawrence, 2012; Nikolaeva, 2006). This study contributes to the
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literature by extending the knowledge of restaurant technology adoption to a more

comprehensive conceptual framework in the independent restaurant e-commerce context. In a

practical sense, incorporating e-commerce in these settings could help restaurant owners
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overcome the impediments of a crisis and enhance restaurant commerce efficiencies, increase the

satisfaction of concerned customers, and allow continued operation through crises.

With a better understanding of the effects of the recent pandemic, strategies can be

formed to minimize the financial impacts on the independent restaurant sector. Therefore, the

analysis sought by this study is critical in supporting business resilience and sustained operations

during and after this crisis. (Kim et al., 2020).

Although other research has studied the implications of technology on large corporate

chains that can support their technology implementation with dedicated teams, this study focuses
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on small business full-service independent restaurants. The research questions in this study

support the exploration of the role of technology adoption on these businesses during the

COVID-19 pandemic and the disruptions it caused.

This study provides a better understanding of how independent restaurants used

technology to support their businesses and how it possibly prevented the detriment of their

business and closing of their doors temporarily or permanently. It also serves as an opportunity

for reflection by business owners who did not survive the pandemic, allowing them to consider

the possibility that adopting technology could have saved their businesses. Lastly, this research

can help businesses new to the topic understand e-commerce applications and the support they

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can provide in preparing for the next crisis.

Limitations
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Common to qualitative research, the generalization of the findings can be a limitation due
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to the relatively small sample size of 15 independent restaurant owners or managers and may not

be generalizable to other types of restaurants or business models. The sampling of participants

for this study was purposively selected to yield the greatest potential insights. However,
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convenience was also a factor of selection. This factor could exclude participants who might

have additional and important insights. The data collection tools consisted of semi-structured

interviews comprising closed and open-ended questions. The open-ended questions can be

argued as a limitation by not allowing the participants any preparatory time for the most

thoughtful responses. However, they were given as much time as they needed to respond. Future

research could focus on a larger sample size or a broader range of locations to address these

limitations and check if the results are consistent. Additionally, the specific technology platforms

and services available during the study could have influenced the participants’ adoption
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decisions and perceptions, and this limitation should be considered when interpreting the

findings.

Chapter 1 Summary

This study is organized into five chapters and aims to assess the factors that small-town

independent restaurants in West Virginia perceive to be relevant and important in deciding

whether to adopt e-commerce technology. Chapter 1 introduces e-commerce in the context of

independent restaurant applications and use. Full-service independent restaurants are given focus

in this research to help these businesses in their decision to adopt e-commerce technologies to

support operations through a crisis and enhance long-term sustainability. Chapter 2 surveys the

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relevant literature and provides the background of e-commerce applications and insights into
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their usage pre-and post-pandemic. Chapter 3 explains the methodology used in this research and

lays the framework for a repeatable related study. Chapter 4 presents the culmination of findings
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corresponding to each research question. Chapter 5 summarizes the study and outlines the

practical applications and significance of the findings for academics and professionals, along

with suggestions for further research.

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Chapter 2: Literature Review

Introduction

This literature review frames the research problem, sets the stage for answering the

research questions, and provides further detail on technologies focusing on the use of e-

commerce by full-service independent restaurants. This chapter first provides an overview of

independent restaurants within the food sector industry and conveys the importance of their role

within a community. The following sections present the relevant research that connects

technologies and crises to understand this study better.

The use of e-commerce can create a more efficient environment that, if appropriately

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implemented, balances attention given to the customer’s needs and other administrative business
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processes, ultimately increasing the competitive edge. This research argues that independent

restaurants should understand how e-commerce applications can help them through crises such
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as the Coronavirus Disease 2019 (COVID-19) pandemic and increase their efficiencies of normal

day-to-day operations. This literature review then delves into the theories involving the

readiness, acceptance, and adoption of any new technology.

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Independent Restaurants

Independent restaurants are typically small, family-owned businesses that provide food

services to patrons seeking an eat-in dining experience and pay after eating (IBISWorld, 2021).

These restaurants are either full-service restaurants (FSR) or limited-service restaurants (LSR),

sometimes referred to as quick-service restaurants (QSR). FSRs mainly provide food services to

customers who place orders, are served while seated, and then pay after eating (Jay, 2023). LSRs

offer food services to customers who pay and order at a counter before receiving their food

(CHD Expert, 2019).

Reproduced with permission of copyright owner. Further reproduction prohibited without permission.