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This paper developed a dynamic mechanism model of IS growth. Five hypotheses were proposed and were validated based on the data collected from 158 Chinese enterprises. The results indicate that information technology (IT) absorption is a direct impetus that drives IS growth; meanwhile it is impelled by the equilibrium of enterprise demand and technology supply. Trace to the source, it is competition that motivates enterprise demand, and IT advancement guarantees technology supply. Due to the interaction of various forces, IS grows up as a spiral process.
Date of Conference: 20-22 Sept. 2009