Abstract:
The adoption of e-commerce in the travel sector has become one of the main business
improvement areas in the travel industry that seems unavoidable in competing and even
surviving in a highly competitive industry. This study focuses on the impact of ecommerce usage on business performance of travel agencies in Sri Lanka. It was found
that many firms attempted to adopt e-commerce to upgrade their competitive
capabilities, but it seems e-commerce related businesses performance has not improved
significantly over the years. In order to review this problem in the Sri Lankan travel
agencies. Data were collected through the structured questionnaire and the results were
analyzed by the SPSS software. According to the results 40% of travel agencies were
in 1-3 years of services and 38% of them are the lesser than one year. Top management
shows the higher interest to implement the strategy related to E- commerce and the
results show that 20 respondents agree and 11 respondents strongly agree for above
statement. Around 50% of them agree that e- commerce support for dynamic business
demand. Finally, 68.5 % of them are agree that e-commerce increase the business
performance.