Many enterprises encounter difficulties during the process of KMS diffusion and thus fail to gain benefits from KMS adoption. This study aims to explain why some enterprises succeed while others fail in KMS diffusion. Based on technology diffusion theory and technology-organization- environment (TOE) framework, we propose an integrated model to examine the influence of factors from the technological, organizational, and environmental aspects on the three-stage KMS diffusion process, i.e., initiation- adoption/adaptation- acceptance /routinization /infusion. In particular, we incorporate social-cultural factors into our model to examine its effect on KMS diffusion, which has not been paid enough attention by prior KMS studies. For the specific research context, we choose China and examine how social-cultural factors influence KMS diffusion process in Chinese enterprises. This study benefits academics by providing a process perspective of KMS diffusion and also provides practical guidance for Chinese enterprises which are engaging in KMS implementation.