The Effects of Infrastructure and Policy on E-Business in Latin America and Sub-Saharan Africa

This study investigates experts’ assessments of the pertinent factors affecting e-business in developing countries from a theory-based national infrastructure perspective. We surveyed experts (business people, academicians, and officials of governmental and nongovernmental organizations) in e-business in Latin America and Sub-Saharan Africa (SSA). Our PLS analysis shows that experts believed that policies targeted specifically towards e-business are important in affecting e-business capabilities and in obtaining value from e-business, more so than non-specific general ICT policies, which are not significantly influential. ICT infrastructure generally affects e-business capabilities, though this was not found to be the case in Brazil. Experts believed that national government institutions positively affect e-business value in SSA, but not in Latin America. Experts did not believe that commercial infrastructure significantly affects e-business value.

This study theoretically and empirically distinguishes between two different dimensions of e-business outcomes: specific capabilities and value derived from e-business. It operationalizes the effects of national government institutions and commercial infrastructure on e-business outcomes and empirically tests for their effects. The study provides empirical support for conceptual arguments for the need of ICT policies specific to the needs of e-business.

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Okoli, C., Mbarika, V., & McCoy, S. (Forthcoming) The Effects of Infrastructure and Policy on E-Business in Latin America and Sub-Saharan Africa.  European Journal of Information Systems.

 

A Framework Assessing E-Commerce in Sub-Saharan Africa

Over the past three decades, much of the continent of Africa has been viewed as the “forgotten continent”. With her many problems of hunger, epidemics, war, and other related socio-economic problems, the diffusion of the Internet and related technologies might be the last thing to be associated with Africa. However, we are experiencing the contrary. These countries are experiencing tremendous growth in Internet connectivity, the use of computers, and in the diffusion of wireless communications. Although still at its starting stages, electronic commerce is one of the growth areas for ICTs in Africa. This paper presents a framework for assessing electronic commerce in Sub-Saharan Africa. It describes the nature of the digital divide, and explains the need for the commercial applications of the Internet in developing countries in general. It presents literature on e-commerce frameworks, ICT diffusion, and ICTs in developing countries that shed light on different aspects of e-commerce in Sub-Saharan Africa. It then presents a consolidating framework that synthesizes these various literature streams, that lays groundwork for a focused body of research in this area.

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Okoli, C. and Mbarika, V. (2003). A Framework Assessing E-Commerce in Sub-Saharan Africa. Journal of Global Information Technology Management, Special Issue on E-Commerce and Economic and Social Development, Vol. 6, #3.

E-business Financing: Preliminary Insights from a Developing Economy Context

Purpose – The deployment and strategic use of e-business, from basic e-mail utilization to total enterprise integration, involves the commitment of financial and technical resources. The resources have to be financed. The purpose of this paper is to ascertain the views of trade promotion organizations, donors, export associations and banks on e-business financing in Ghana’s non-traditional export (NTE) sector, with the view to making policy contributions to the e-business financing phenomenon in a developing economy (DE) context.

Design/methodology/approach – The research design is qualitative since this is an exploratory study and deep preliminary insights were sought about a hitherto under-researched information systems topic from a developing country perspective. Officials from the trade promotion; export association, donor and financial communities were interviewed to generate insights to help understand the phenomenon under investigation.

Findings – Some banks find it difficult financing e-business in NTE firms because it is considered a new area with relatively higher risks and uncertainties. Banks would rather grant small loans to a few select small and medium enterprise exporters in an attempt to limit their default risk. The trade promotion organization is helping (albeit in a moderate manner) with up-skilling for the improvement in e-competencies in Ghana’s NTE sector. The export product association in collaboration with the donor interviewed is in the throes of designing e-business interventions in Ghana’s NTE sector after recently completing an e-readiness survey in the same sector.

Originality/value – This paper presents a modest contribution to the export firm-electronic business literature from a resource-centered perspective, in a DE context. Studies on e-business financing in DEs are virtually non-existent and the policy prescriptions could apply with minor modifications to other related contexts in respect of e-business financing.

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Hinson R. Boateng R. and SØrensen O. (2008) “E-business Financing: Preliminary Insights from a Developing Economy Context” Journal of Information, Communication & Ethics in Society Vol. 6 Issue 3 pp 196-215.