The McGill International Entrepreneurship series
Edited by Marian V. Jones and Pavlos Dimitratos
Chapter 8: Determinants of Internet Export Performance: A Conceptual Framework for Small and Medium-sized Firms
8. Determinants of Internet export performance: a conceptual framework for small and medium-sized ﬁrms Ioannis Georganas* INTRODUCTION Benjamin and Wigand (1995), based on economic theories, suggest that there will be an evolution from single-source sales channels to electronic markets. The reasoning behind their views is based on the fact that organizations coordinate their activities electronically which in turn allows consumers to have access to a vast selection of goods (Benjamin and Wigand, 1995). Along the same line of argument, Malone et al. (1989) assert that the development from single-source sales channels to electronic markets will evolve because cheap coordinative transactions and interconnected networks favour electronic markets. To expand on that argument, electronic markets may lower the physical distribution costs resulting in the partial or entire elimination of retailers and wholesalers (Narasimhan and Chatterjee, 1997). Thus it is argued that developing electronic marketplaces will transform today’s business, as direct producer–consumer interactions become the dominant structure in electronic commerce (Sarkar et al., 1998; Narasimhan and Chatterjee, 1997; Hoffman and Novak, 1996; Benjamin and Wigand, 1995; Ofﬁce of Technology Assessment, 1994). Hoffman and Novak (1996), based on behavioural theories, argue along the same lines that: ‘marketing activities are difﬁcult to implement in their present form and must be reconstructed into a paradigm more compatible with the new media environments like the Web’. To expand on that argument, Hoffman and Novak suggest that the role of marketing is to identify and satisfy customer needs at a proﬁt. However, only a...
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