The major objective of the study was to investigate leT utilization level of selected mediumrnsized business organizations located in Addis Ababa. Specifically, the study attempted to analyzernhow the se lected organi zations use leT in their core business activities and identify thernopportunities and challenges of incorporating leT in business activities. The study appli edrnqualitative method whereby semi structured in-depth interview and text analysis were used asrndata collection instruments. The study applied tluÂ·ee models: the adoption ladder model, thernNolan's 6th stage of IT/IS and the transporter model as a theoretical framework that depicts thernutilization level of the businessorgani zations. The organizations were selected tluÂ·ough purposivernsampling method, that was based the definition of medium sized businesses formulated by anrninternational information technology research company named Gartner. The data obtained fromrnthe in-depth interview were analyzed qualitatively, in an approach that begins with a profile ofrntheselected organization and continues with the analysis of the data gathered about the specificrnorganization. In the study, the data which were gathered through document analysis were used asrna describing feature of the major appl ications used by the selected organizations. By applying thernabove methods of data collection and organi zation the research answered four basic researchrnquestions. The findings of the study revealed that medium-sized business organizations strugglernwith various problems of adopting leT opportunities as a result of the lack of skill and training,rninternet service provider and leT appl ications. The findings of the study showed that except onernorganization the medium-sized businesses do not apply any aspect of e-commerce. In add ition,rnthe study has also revealed that the selected businesses internal and external communication flowrntakes place through the faci lities of leT. The study concludes that medium-sized organizationsrnutilize different information exchange and business activity enhancer software, but facesrnproblems such as employees' lack of the appropriate culture and knowledge of le T as a barrierrnto effecti ve ly utili zing le T in the work activity of business organizations. Based on the findingsrnof the study, the researcher has forwarded recommendations on how busihess organizations canrnbetter utilize leT to improve their performance.