E-Business, Innovation and SMEs: The Significance of Hosted Services and Firm Aggregations

Abstract

YesAgainst a background of the low engagement of small to medium-sized enterprises (SMEs) in e-business this paper investigates the significance of hosted services and firm aggregations. Based on qualitative case studies of aggregations of SMEs the research shows how e-business based innovation can occur, and identifies the extent to which the aggregation factor contributes to this innovation. The research confirms existing understanding of the importance of network based aggregations but adds to this with further detail and examples, including the `outsourcing¿ of innovation to the application service providers (ASPs)