Firms are undertaking growing numbers of e-commerce initiatives and increasingly making significant investments required to participate in the growing online market. However, empirical support for the benefits to firms from e-commerce is weaker than glowing accounts in the popular press, based on anecdotal evidence, would lead us to believe. In this paper, we explore the following questions: What are the returns to shareholders in firms engaging in e-commerce? How do the returns to conventional, brick and mortar firms from e-commerce initiatives compare with returns to the new breed of net firms? How do returns from businessto-business e-commerce compare with returns from business-to-consumer e-commerce? How do the returns to e-commerce initiatives involving digital goods compare to initiatives involving tangible goods? We examine these issues using event study methodology and assess the cumulative abnormal returns to shareholders (CARs) for 251 e-commerce initiatives announced by firms between October and December 1998. The results suggest that e-commerce initiatives do indeed lead to significant positive CARs for firms ’ shareholders. While the CARs for conventional firms are not significantly different from those for net firms, the CARs for businessto-consumer (B2C) announcements are higher than those for business-to-business (B2B) announcements.

Systems development methodologies have evolved from technical approaches through to a people/organisational focus and more recently an increased emphasis on Business Process Reengineering (BPR) has been witnessed. This evolution reflects both the increasing maturity of information technology and also the business outlook of firms seeking to use IT for competitive advantage. In this paper we argue that system development is now entering a new phase of maturity with the advent of Enterprise Resource Planning (ERP) software packages. ERP systems are integrated, enterprise wide systems which automate core corporate activities such as manufacturing, human resource, finance and supply chain management. From case study research, it is shown that ERP implementations have different types of problems compared with traditional software development methods. These centre on the alignment of business processes with the standard software package and the project management of the implementation process. It is argued that ERP is a departure from traditional approaches to system development. It therefore requires a different approach that places less emphasis on the technical aspects of software development and instead seeks to balance the business process design, software configuration and project management aspects of IT implementation with the overall strategy and structure of the firm. Future research opportunities are outlined. 1.

Research at the University of Texas at Austin for financial support. Prabhudev Konana

The media hype surrounding the growth of electronic commerce has led to considerable firm interest in making the significant investments required to participate in this growing market. However, the evidence on benefits to firms from e-commerce is far from unequivocally positive, as popular accounts would lead us to believe. In this paper we explore the following questions: What are the economic returns to firms from engaging in e-commerce? How do the returns to non-net, brick and mortar firms from e-commerce initiatives compare with returns to the new breed of net firms? How do returns from business-to-business e-commerce compare with returns from business-to-consumer e-commerce? We examine these issues using event study methodology and assess the cumulative abnormal returns (CARs) for 305 e-commerce announcements between October and December 1998. The results suggest that e-commerce initiatives announced in this period do indeed lead to positive CARs for firms. However, the hypothesis drawing on the resource based view of the firm: that the CAR to nonnet firms is significantly more than the CAR to net firms is not supported. Further, the CARs associated with business-to-consumer e-commerce announcements is higher than the CARs for

As electronic commerce becomes increasingly popular, new intermediaries are emerging and transforming marketing and distribution channels. Intermediaries in electronic marketplaces provide the IT and business infrastructure to facilitate the completion of commercial transaction over interorganizational computer networks. If electronic intermediary services are introduced to wholesale markets where qualities vary, the provision of IT alone cannot create reliable electronic marketplaces for traders who have no pre-established relationships. To build trust among market participants, electronic intermediaries should establish policies and processes that regulate responsibilities and duties of market participants and legitimate transactions. Institutional policies and processes reduce risks and help establish trust among market participants. This paper provides empirical evidence that trust building processes by electronic intermediaries can lead to concentration of electronic transactions on high quality products, thus differentiating electronic and traditional markets.

Mobile technology extends computing and the Internet into the wireless medium, and provides greater flexibility in communication, collaboration, and information sharing. In this research, we used the “Value-Focused Thinking ” approach to examine the strategic implications of mobile technology in a leading publishing company. The result is a means-ends objective network that depicts the fundamental objectives of using mobile technology and how the fundamental objectives can be achieved through means objectives. The research findings suggest three main strategic implications of mobile technology: (1) improve working process; (2) increase internal communication and knowledge sharing; and (3) enhance sales and marketing effectiveness.

Interorganizational systems (IOS) can play an important role in stabilising the relationship between firms. More recent evidence suggests that such systems can also facilitate new collaboration between firms in strategic areas. However, successful inter-firm collaboration depends not only on the technological support of IOS, but also a wide range of other, non-technological factors. Using recent evidence gathered from six intensive case studies and the result of a survey in the UK, this paper illustrates some new strategic collaborations between firms, and examines the role of IOS in these processes. In particular, the paper will conceptualise the main technological and non-technological barriers to the success of IOS in a three-layered model, and discuss some key lessons emerging from the study. Three themes for further research will also be highlighted.

Modeling and measurement issues have been considered the heart of information technology (IT) productivity paradox problem. By collecting data from seven mortgage firms, this research attempts to shed light on the causal relationships and complementarity properties among IT and performance variables. The result is a multi-level business value model that connects the use of IT to a firm's profit. It is concluded that although there exists a causal relationship between IT and profit, this relationship is indirect and complex. Due to the complementary nature of the relationships, such a complexity is not reducible. All complementary factors must be in favorable conditions for a positive return of IT investments.

Customization is a critical success factor in current business environment. One of the most important components that make fast and inexpensive customization possible is electronic supply chain design (e-SCD). e-SCD is a supply chain design which integrates and coordinates suppliers, manufacturers, logistic channels, and customers using information technology (IT). In this study, a model that shows the effects of e-SCD on the customization capability of companies is developed. From previous studies, the model identifies three major effects of e-SCD – electronic linkage effect, supply chain coordination effect, and co-engineering effect. The model also shows a process through which an electronic supply chain network is transformed from a simple infrastructure for

Electronic marketplaces (EMs) are virtual marketplaces where buyers and suppliers meet to exchange information about prices and product and service offerings, and to negotiate and carry out business transactions. They are at the centre of the current growth in Internet electronic commerce, both in business-to-business (B2B) and business-to-consumer (B2C) markets, although the value of B2B electronic commerce is proportionately five times B2C and is expected to exceed ten times its value by 2003. In this paper, we trace the evolution of EMs, from their initial beginnings as computer-tocomputer links between corporate trading partners, to their current forms as multi-vendor Webbased catalogs and ordering systems that service B2B customers. We also describe in detail B2B electronic marketplaces, including sell-side, buy-side, and intermediary-supported multi-vendor catalog systems that link customers and suppliers. We discuss the role of management in guiding firms through this difficult ...