The promise of e-business for less developed countries (LDCs)

Industrial development options for less developed countries (LDCs) hinge increasingly on leveraging e-business as a means of promoting upgrading within global value chains. E-business represents a major opportunity for third world companies (TWCs) that can access and use it effectively and a threat to those companies that cannot. E-business holds great promise for TWCs in four key areas: leveraging the potential productivity gains from internet-based B2B e-commerce; maximising operating synergies; exploiting systemic efficiencies and connecting and deepening links, to global production and trade networks. By not making the transition to e-business, TWCs may be placing themselves at risk of becoming less competitive in the globally interconnected market, impacting on both their current market positions and long-term viability. The concordant effects of marginalisation and exclusion are likely to be a combination of: deepening poverty; high unemployment; widening inequality; a weak and rapidly eroding export base and low and even negative growth rates.

The promise of e-business for less developed countries (LDCs)

Industrial development options for less developed countries (LDCs) hinge increasingly on leveraging e-business as a means of promoting upgrading within global value chains. E-business represents a major opportunity for third world companies (TWCs) that can access and use it effectively and a threat to those companies that cannot. E-business holds great promise for TWCs in four key areas: leveraging the potential productivity gains from internet-based B2B e-commerce; maximising operating synergies; exploiting systemic efficiencies and connecting and deepening links, to global production and trade networks. By not making the transition to e-business, TWCs may be placing themselves at risk of becoming less competitive in the globally interconnected market, impacting on both their current market positions and long-term viability. The concordant effects of marginalisation and exclusion are likely to be a combination of: deepening poverty; high unemployment; widening inequality; a weak and rapidly eroding export base and low and even negative growth rates.

Internet adoption among small and micro enterprises in the business-services sector.

Thesis (MBA)-University of KwaZulu-Natal, Westville, 2010.SMEs' are important in any economy, because they are the key drivers of innovation, employment and economic growth. Harnessing the Internet for business purposes improves SMEs‟ operational efficiency and competitiveness in an increasingly global economy. While there are many studies which provide insights about factors influencing Internet adoption among SMEs, there is little data about Internet adoption in African countries. Therefore this study highlights a relatively unexplored research context, namely SMEs in the business-services sector in an emerging economy. The aim of the study was to explore the factors that either inhibited or facilitated Internet adoption, and to describe the uses of the Internet by SMEs in the business-services sector. The study provided evidence that SMEs are aware of the advantages provided by the Internet. However, the short-term benefits were not apparent enough to SME owners for them to plan to make any significant investment in adopting Internet technologies. The results also showed that, while the majority of SMEs in the business-services sector are engaging in Internet activities, these activities are mainly e-mail and web browsing. E-commerce (use of the Internet for trading purposes) is limited. Furthermore, this study showed that external pressure, from customers, suppliers and competitors is the most significant driver of Internet adoption among SMEs in the business-services. While most SMEs acknowledged that the Internet is becoming increasingly relevant to their businesses, they identify the main barriers to Internet adoption as concerns about the costs and complexity, and issues around security and lack of support when it comes to using the Internet. The recommendations of the study are that the government should give businesses more incentives to adopt and utilise the Internet and, SME owners/managers need to realise that as businesses increasingly engage in e-commerce, their SMEs will have more opportunities to compete in the global marketplace

The use of information and communication technologies in South African hotels : a self-evaluation by hotel managers.

It is fair to assume that the level of participation in a world economy depends on the capacity of business organisations to use technology efficiently. Conducting business in the world today is driven by information technology. Internet technology has changed various business activities and transactions. In the Internet age, the development of electronic commerce (EC) is considered a major indicator of the overall competitiveness of organisations. An EC marketing channel can bring customers more benefits such as greater shopping convenience and potentially lower prices. Today, most hotels have been forced by the market to consider adopting EC to carry out business processes more efficiently. Hence, the purpose of the study is to determine the determinants of EC adoption by hotels in South Africa. This study is based on Tornatzky and Fleicher’s (1990) technological, organizational and environmental (TOE) model that includes technological context, organisational context and environmental context. The TOE model has been widely used to examine the factors that influence organisational technology adoption. The research model looked at eight determinants, which are (1) relative advantage, (2) compatibility, (3) complexity, (4) organisational size, (5) technology knowledge, (6) managers’ attitudes towards EC, (7) information intensity and (8) competition. A quantitative research design was used and a questionnaire was used to collect data and answer the research questions in the study. Four hundred hotels were randomly selected from the three groups of hotels suggested by the South African Tourism office, i.e. (1) Tourism Grading council hotel listing, (2) Tshwane accommodation listing and (3) AA travel accommodation. A total of 332 questionnaires were collected for data analysis, which represents a 94.9% response rate. Descriptive statistics, correlational statistics, one way analysis of variance, (ANOVA), regression analysis, cross tabulation tests and multivariate analyses of variance (MANOVA) were used to analyse the data. The results indicated that all three contexts (TOE) were important in the decision of EC adoption by the hotels in South Africa. The findings indicated that not all the determinants used had a statistically significant relationship with the extent of EC adoption in the hotel industry. The researcher also found out that hotels were more concerned about the benefits of EC than the organisational ability to adopt EC, the hotels that had sufficient resources were more willing to adopt EC. The findings also indicated that managers’ attitude towards EC adoption is influential on the extent of EC adoption. Finally, findings indicated that there is a lot of pressure from suppliers and customers for the hotels to use EC. Even though the mangers that filled in the questionnaire were computer literate, technology knowledge of EC would help managers to realise which systems are most appropriate.Thesis (Ph.D)-University of KwaZulu-Natal, Pietermaritzburg, 2011

Exploring the Role of Social Networking for Knowledge Acquisition in SME Development: A West African Case Study

The current trend of population growth and economic development in Africa make it necessary to consider the set-up of small and medium size manufacturing enterprises. These enterprises are an important local economic development enabler, creating wealth and alleviating poverty. The transformation of the abundant agricultural resources of the African continent through manufacturing needs to be explored. This thesis addresses the question of how social networking can be used for knowledge acquisition in the set-up and development of manufacturing small and medium size enterprises in West Africa. To this end, the current study has developed a set of frameworks about knowledge acquisition by social networking. These frameworks include an assessment framework and a knowledge gap identification tool, and follow a process that guides the researcher through a step-by-step approach. The research has used the approach of Action Research and has applied the frameworks to an activity-based case study into the set-up and development of a soap manufacturing factory in Guinea. Applying the knowledge assessment framework to the various steps of the case study has led to finding knowledge gap themes that have been addressed via social networking and related tools. They reduce the risks of overlooking some of the associated challenges. This thesis highlights various modes and types of social networking and the challenges related to the African context to inform the choice of the social networking methods and tools utilised at each step of the factory project by the researcher and other key stakeholder