Emergent Strategies for E-Business Processes, Services and Implications: Advancing Corporate Frameworks

Emergent Strategies for E-Business Processes, Services and Implications: Advancing Corporate Frameworks

In Lee (Western Illinois University, USA)
Release Date: December, 2008|Copyright: © 2009 |Pages: 424|DOI: 10.4018/978-1-60566-154-4
ISBN13: 9781605661544|ISBN10: 1605661546|EISBN13: 9781605661551|ISBN13 Softcover: 9781616926199
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Recently, e-business applications have evolved beyond business transactions and services to include customer relationship management (CRM), mobile computing, Web mining, e-healthcare, social networking, and Web 2.0. As e-business continues to create new business models and technologies, researchers, higher education faculty, and practitioners are in great need of appropriate reference resources to enhance their understanding of all aspects of e-business technologies and management.

Emergent Strategies for E-Business Processes, Services and Implications: Advancing Corporate Frameworks is an authoritative collection of original, in-depth, and innovative research articles on e-business concepts, models, processes, services, and applications. This book presents an integrated view of emerging issues and technologies addressed by renowned scholars, providing researchers and practitioners with the state-of the-art reference for future research and practices on a wide range of topics including e-CRM, e-business model, multi-channel management, e-health, m-commerce adoption, offshore outsourcing, and e-business innovation.

Topics Covered

The many academic areas covered in this publication include, but are not limited to:

  • B2C service markets
  • Business Model Development
  • Convergent interviewing
  • Customer characteristics
  • E-Business Management
  • E-Business Models
  • E-consumer relationship management
  • E-CRM analysis
  • E-Health Systems
  • E-supply chain management perspective
  • Emergent e-business innovations
  • Intellectual Property Rights
  • Intelligent contracting
  • Managerial discretion and e-CRM performance
  • Multi-channel retailing
  • Network effect theory
  • Offshore outsourcing of information technology
  • Online consumer behavior
  • Reverse auction-based e-business model
  • Theory development

Reviews and Testimonials

"Emergent Strategies for E-Business Processes, Services and Implications: Advancing Corporate Frameworks (Advances in E-Business Research, Vol. 3) provides researchers, professionals, and educators with the newest research on e-business trends, strategies, applications, and practices. "

– In Lee, Western Illinois University, USA

This book discusses the latest frameworks and software that drives this new economy," and explores how innovations and social networking haven taken the virtual market place in unexpected directions."

– Book News Inc. (March 2009)

Table of Contents and List of Contributors

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In the early 1990s, e-business heralded what is being called the Internet-driven "new economy." It revolutionized the process of buying, selling, and exchanging products and services and spawned a host of business and technology innovations. As globalization and e-business pose new opportunities and challenges, firms face increased pressures from stakeholders to create e-business values. Firms are constantly experimenting with new business models to provide the most value-added, innovative, convenient services for their customers. They also attempt to find which e-business applications will contribute effectively to their sustainability and growth. In the early 2000s, the development of wireless technologies and mobile computing extended the reach of e-business to mobile business environments. Virtual communities became prominent business model structured around user interests and needs. Recently, the impact of Web 2.0 on the web users and the society is noteworthy. Many new technologies are emerging under the Web 2.0 umbrella including really simple syndication (RSS), wikis, weblogs, Web personalization, photo sharing (Flickr, Zooomr), social networking applications, AJAX and API programming, streaming media, podcasting and MP3 files, and social bookmarking. According to O'Reilly and Battelle, Web 2.0 is the architecture of participation where users can contribute to website content, creating network effects. This architecture is based on social software with which users generate content, and on the programming interfaces that allow developers to add to a web service or access data.

As e-business technologies advance, an in-depth understanding of e-business models, applications, strategies, and consumer behavior proves to be more valuable than ever before for the successful e-business development and management. In light of the current lack of comprehensive studies in e-business planning and management, an overarching framework development is in urgent need to assist e-business managers in assessing enabling technologies and the success factors when developing e-business plans. Emergent Strategies for E-Business Processes, Services and Implications: Advancing Corporate Frameworks (Advances in E-Business Research, Vol. 3) provides researchers, professionals, and educators with the newest research on e-business trends, strategies, applications, and practices. Forty two renowned researchers from nine countries have conferred their expertise to this publication. The book consists of nineteen chapters and is divided into four segments: Section I discusses various electronic consumer relationship management frameworks and applications; Section II addresses e-business models and strategies; Section III explores various e-business management practices and issues; and Section IV investigates online consumer behavior.

Section I: E-Consumer Relationship Management (e-CRM) consists of six chapters. Chapter I, “Managing the Customer Relationship: A Framework for e-CRM Analysis” by Keith F. Ward, St. Edward’s University (USA); Erik Rolland, University of California Riverside (USA); and Raymond A. Patterson, The University of Alberta (Canada), examines how – by using an analytical framework – a healthcare provider can develop competitive advantage through implementing e-CRM systems that create perceived customer value for its patients. This framework allows the firm to systematically look at points where the customer interacts with specific organizational assets.

Chapter II, “A New Conceptual Framework for Greater Success with Integration of e-CRM” by Soumaya Ben Letaifa and Jean Perrien, Université du Québec à Montréal (Canada), examines how e-CRM has affected both organizational and individual behavior in a leading Canadian bank. The findings emphasize the role played by many strategic and organizational dimensions in the success of e-CRM implementation. Nevertheless, the employee reward and evaluation system, which should have been changed to leverage CRM impact, has surprisingly been forgotten. This deficiency is addressed by proposing a new framework for enhancing e-CRM effectiveness.

Chapter III, “Managerial Discretion and eCRM Performance” by Tim Coltman and Sara Dolnicar, University of Wollongong (Australia), builds on a surprisingly sparse literature regarding the importance of managerial discretion, to show that the heterogeneity of beliefs held by managers about e-CRM execution matter when explaining e-CRM success. Drawing on a data sample comprising 50 interviews and 293 survey responses this article utilizes segmentation techniques to identify significant differences in managerial beliefs and then associate these belief segments with e-CRM performance. Results indicate that three distinct types of managers can be identified based on the heterogeneity of their e-CRM beliefs: (1) mindfully optimistic, (2) mindfully realistic, and (3) mindfully pessimistic.

Chapter IV, “Multi-Channel Retailing and Customer Satisfaction: Implications for eCRM” by Patricia T. Warrington, Texas Christian University (USA); Elizabeth Gangstad and Richard Feinberg, Purdue University (USA); and Ko de Ruyter, University of Maastricht (The Netherlands), examines the influence of shopping experience on customers’ future purchase intentions, both for the retailer and for the channel. Using a controlled experimental design, U.S. and European subjects responded to a series of questions regarding the likelihood making a future purchase following either a positive or negative shopping encounter. Results suggest that shopping intentions vary based on the shopping channel as well as cultural differences.

Chapter V, “Do Mobile CRM Services Appeal to Loyalty Program Customers?” by Veronica Liljander and Pia Polsa, Swedish School of Economics and Business Administration, (Finland); Kim Forsberg, Intrum Justitia Finland (Finland), investigates the appeal of new mobile CRM services to airline customers. An empirical study was conducted among loyalty program customers (frequent flyers) of an airline that was considering using MIDlet applications in order to add new mobile services to enhance customer relationships. The results suggest that the success of mobile CRM seems closely linked with customers’ readiness to use existing mobile services. The study recommends that before engaging in costly new investments, companies take this factor into serious consideration.

Chapter VI, “Developing a Global CRM Strategy” by Michael Shumanov and Michael Ewing, Monash University (Australia), examines the complexities of global CRM strategy using the case of a leading financial services company. Interviews are conducted in 20 countries. Global Head Office and external IT consultant perspectives are also considered. The findings confirm that a hybrid approach has wide practical appeal and that subsidiary orientation towards centralisation/decentralisation is moderated by firm/market size and sophistication.

Section II: E-Business Models and Strategies consists of five chapters. Chapter VII, “Strategic Positioning and Resource-Based Thinking: Cutting Through the Haze of Punditry to Understand Factors Behind Sustainable, Successful Internet Business” by John Gallaugher, Boston College (USA), synthesizes and leverages two strategic frameworks when analyzing the true nature of strategy and the Internet: 1) the concept of strategic positioning and 2) the resource-based view of the firm. When considered together, these approaches create a powerful tool for understanding the factors determining the winners and losers among Internet businesses. Several examples of the applied framework are demonstrated.

Chapter VIII, “A Tale of E-Business Models: From the Music to the Television Industry” by Savvas Papagiannidis, Joanna Berry, and Theodoulos Theodoulou, Newcastle upon Tyne (UK), presents the concept of e-business models and how they relate to the music video and TV environments. After identifying the value creation chain of music and video broadcasting to provide a context for the chapter, this article assesses independent producers and aggregators of content, important new factors in the value chain of entertainment, as well as the many and various mechanisms through which content is reproduced. Following a comparison of the music and video/TV business models, a case study is presented which exemplifies the reconfigured value chain presented herein. The background, development and outputs of Current TV are presented in order to highlight the ultimate issue clarified in this chapter.

Chapter IX, “Strategic Maneuvering in Healthcare Technology Markets: The Case of Emdeon Corporation” by Kirill M. Yurov, Yuliya V. Yurova, and Richard E. Potter, University of Illinois at Chicago (USA), investigates the strategies of Emdeon Corporation, a healthcare technology firm whose e-business model provides clues for achieving a sustained revenue growth and profitability. This study traces the current sustainability of Emdeon’s e-business model to a related diversification strategy that the firm’s upper management has pursued via mergers and acquisitions (M&As).

Chapter X, “Complementary Role of Website in Business Model Development” by Olli Kuivalainen, Hanna-Kaisa Ellonen, and Liisa-Maija Sainio, Lappeenranta University of Technology (Finland), examines the role of a magazine website in the publisher’s business model, and depicts the strategic changes in that role. The aim is to provide a holistic exploration of the motives behind the development of the model, and of the subsequent success factors of the website. The discussion is based on an explorative case study of a successful Finnish magazine website. The results show that the website now complements rather than substitutes the print magazine as it enhances the customer experience and adds new dimensions to the magazine’s business model.

Chapter XI, “A Reverse Auction-based E-Business Model for B2C Service Markets” by Tobias Kollmann & Matthias Häsel, University of Duisburg-Essen (Germany), examines the electronic business model and competitive strategy of a German B2C reverse auction platform for service and handcraft orders. The case widely confirms existing theories on e-marketplaces and suggests, moreover, that it may be feasible to primarily align competitive strategy with the demand side in order to achieve a significant number of successful, high-quality auctions.

Section III: E-Business Management consists of five chapters. Chapter XII, “Evolving e-Health Systems: Symbiotic Constructs between Corporate and e- Health Care Worlds in International Space” by Denis Caro, University of Ottawa (Canada), explores the strategic perceptions of corporate ICT and health care executives in Canada and Sweden. Extending Zhu’s WSR-Li framework into the Realpolitik of e-health systems internationally, this chapter exposes the unique transgenic dimensions of evolving e-health systems. The findings and implications of the study underscore the need for further international e-business research on the socio-cultural domains in which inter-organizational systems evolve.

Chapter XIII “Socio-economic Impacts of Offshore Outsourcing of Information Technology” by Karl Knapp, University of Indianapolis (USA); Sushil K. Sharma, Ball State University (USA); and Kevin King, Clarian Health (USA), investigates the socio-economic impacts of offshore IT outsourcing in the United States using a system dynamics model. Offshore information technology (IT) outsourcing has been becoming mainstream alternative to in-house operations. The skeptics believe that outsourcing may weaken the local business competitiveness of the region, investors’ confidence in investing in local businesses and may create a spiral effect on economic indicators such as; unemployment, enrollment in schools, living styles, housing and construction, etc. The results of this study show that there are significant negative socio-economic impacts to the individuals and local economies as a result of offshore IS outsourcing.

Chapter XIV, “Towards Theory Development for Emergent E-Business Innovations: Using Convergent Interviewing to Explore the Adoption of XBRL in Australia” by Indrit Troshani and Sally Rao Hill, The University of Adelaide (Australia), contributes to theory development by presenting an argument for using convergent interviews as an appropriate and efficient method for modeling factors that impact on the adoption of emerging and under-researched innovations, such as XBRL. Using this method, this study identifies environmental, organizational and innovation-related factors as they apply to XBRL adoption and diffusion. Contentious factors, such as the role of government organizations, XBRL education and training, and the readiness of XBRL as an innovation and its supporting software solutions are also examined in detail.

Chapter XV, “An Introduction to the Management and Protection of Intellectual Property Rights” by Bill Vassiliadis and Vassilis Fotopoulos, Hellenic Open University (Greece), gives a review of the most important Intellectual Property Right protection methods. It also analyzes their potential use in Digital Rights Management systems. There is a special focus on the watermarking technique and more particularly the potential of using multiple watermarks with parallel linking of content to metadata. Furthermore, the problem of DRM systems’ interoperability is considered and a solution in the form of metadata repositories enabling multi-party DRM eco-systems is proposed.

Chapter XVI, “Intelligent Contracting: an E-supply Chain Management Perspective” by Tagelsir Mohamed Gasmelseid, King Faisal University (Kingdom of Saudi Arabia), discusses the context of electronic contracting and proposes a multiagent framework to address the process of electronic contracts formulation within the context of supply chain management processes. Recognizing the variety of e-business models and the growing importance of improving relationships (downstream and upstream), the multiagent framework aims at improving the capacity of e-business models and strategies and competitive advantages of enterprises. The framework incorporates a new domain-based mechanism to supplement the current phases of status analysis and objectives setting of a typical electronic contract.

Section IV: Online Consumer Behavior consists of three chapters. Chapter XVII, “The Applicability of Network Effect Theory to Low-Cost Adoption Decisions: An Investigation of Peer-To-Peer File Sharing Technologies” by Jaeki Song and Eric A. Walden, Texas Tech University (USA), examines the boundary of the applicability of network effects theory. This study theorizes that when adoption is cheap, the cognitive demands of estimating network effects outweigh the benefit of making optimal adoption decisions. Thus, even in contexts where network effects do exist, the study predicts that adopters will use simple heuristics to make adoption decisions, if adoption is cheap. The results of experiments suggest that there is a boundary on the applicability of the network effects theory to internet adoption behavior.

Chapter XVIII, “An Empirical Analysis of Cellular Phone Users’ Convenience Perception and Its Impact on Shopping Intention in Mobile Commerce” by Wen-Jang Jih, Middle Tennessee State University (USA), presents a study that was conducted to examine the effect of convenience on customers’ intention of shopping via their mobile communication devices. Three research hypotheses were formulated to test the claims derived from the literature. Primary data collected from college students in Taiwan were analyzed to examine the relationship between perceived convenience and shopping intention. The result shows a significant relationship between the two variables, and a positive effect of convenience perception on shopping intention. The findings have practical implications for mobile commerce strategists by providing more understanding of the mobile commerce success factors from a consumer behavior point of view.

Chapter XIX, “The Effects of System Features, Perceived Risk and Benefit, and Customer Characteristics on Online Bill Paying” by Fang He and Peter P. Mykytyn, Southern Illinois University at Carbondale (USA), presents the effect of a series of possible decision factors, including vendor’s system features, perceived risk and benefits, and customers’ characteristics, on the intention to use an online payment system by customers. Compared with traditional payment methods such as pay-by-check, pay-by-phone or wire transfer, online payment is considered more time- and cost-efficient, convenient, and flexible for customers and businesses. However, customers can differ and web-based systems can vary in terms of services and features offered, perhaps leading to a significant level of variation in the intention to use online payment systems.

E-business has become an essential component for any organization interested in achieving competitive advantage. The growth of e-business is phenomenal in terms of sheer sales volume and the number of corporate and individual adopters. Many new ideas and applications are constantly emerging and provide potential opportunities and challenges for further research and implementation. A successful adoption of any e-business business models and applications requires contextualizing e-business and designing a solution derived from multi-layered perspectives of concepts, methodologies, tools, and applications. Emergent Strategies for E-Business Processes, Services and Implications: Advancing Corporate Frameworks (Advances in E-Business Research, Vol. 3)is a unique collection of the latest research associated with the emerging e-business technologies and applications. This book attempts to stimulate the advancement of various e-business frameworks and applications, and to provide future research directions. As leading experts in the e-business area, the contributors did an excellent job of providing our readers with timely, critical, and thought-provoking knowledge. We expect this book to shed new insights for researchers, educators, and practitioners to better understand the important issues and future trends of e-business research and technologies. I would like to express my gratitude to the authors and reviewers for their invaluable contribution and collaboration. Finally, I sincerely thank Ms. Deborah Yahnke, Assistant Development Editor, and other members of the IGI Global for their help with this book project.

Author(s)/Editor(s) Biography

In Lee is a professor in the School of Computer Sciences at the College of Business and Technology at Western Illinois University in the US. He is a two-time winner of the Research Excellence Award in the College of Business and Technology at WIU and is the founding Editor-in-Chief of the International Journal of E-Business Research. He has published his research in such journals as Communications of the ACM, IEEE Transactions on Systems, Man and Cybernetics, IEEE Transactions on Engineering Management, International Journal of Production Research, Decision Support Systems, Computers and Operations Research, International Journal of Production Economics, Business Horizons, Knowledge and Process Management, Journal of Small Business Management, Management Decision, Computers and Education, International Small Business Journal, Computers in Human Behavior, Business Process Management Journal, Computers and Industrial Engineering, and others. Prior to his academic career, he worked for a number of multinational corporations, as well as serving as a consultant for various government agencies and private organizations. His current research interests include web technology development and management, investment strategies for computing technologies, and mobile services. He received his PhD in Business Administration from the University of Illinois at Urbana-Champaign.


Editorial Board

International Advisory Board
  • Soon Ang, Nanyang Technological University, Singapore
  • Amit Basu, Southern Methodist University, USA
  • Hemant Bhargava, University of California, Davis,USA
  • Soumitra Dutta, INSEAD, France
  • Varun Grover, Clemson University, USA
  • Sid Huff, Victoria University of Wellington, New Zealand
  • Blake Ives, University of Houston, USA
  • Varghese Jacob, The University of Texas at Dallas, USA
  • Steve Muylle, Vlerick Leuven Gent Management School, Belgium
  • Sudha Ram, University of Arizona, USA

    Associate Editors

  • JoongHo Ahn, Seoul National University, South Korea
  • Ye-Sho Chen, Louisiana State University, USA
  • Dilip Chhajed, University of Illinois at Urbana-Champaign, USA
  • Neil F. Doherty, Loughborough University, UK
  • Marijn Janssen, Delft University of Technology, The Netherlands
  • Tej Kaul, Western Illinois University, USA
  • Albert L. Lederer, University of Kentucky, USA
  • San Murugesan, Southern Cross University, Australia
  • Peter Mykytyn, Southern Illinois University Carbondale, USA
  • Aris M. Ouksel, The University of Illinois at Chicago, USA
  • Il-Yeol Song, Drexel University, USA
  • Troy Strader, Drake University, USA

    International Editorial Review Board

  • Praveen Aggarwal, University of Minnesota Duluth, USA
  • Jae-Hyeon Ahn, KAIST, South Korea
  • Fahim Akhter, Zayed University, UAE
  • Rebecca Angeles, University of New Brunswick Fredericton, Canada
  • Pratyush Bharati, University of Massachusetts, Boston, USA
  • Amit Bhatnagar, University of Wisconsin-Milwaukee, USA
  • M. Brian Blake, Georgetown University, USA
  • Wojciech Cellary, The Poznan University of Economics, Poland
  • Chuleeporn Changchit, Texas A&M University – Corpus Christi, USA
  • Guoqing Chen, Tsinghua University, China
  • Tim Coltman, University of Wollongong, Australia
  • Prithviraj Dasgupta, University of Nebraska at Omaha, USA
  • Terry Daugherty, The University of Texas Austin, USA
  • Jasbir Dhaliwal, University of Memphis, USA
  • Asuman Dogac, Middle East Technical University, Turkey
  • Kutsal Dogan, University of Texas at Dallas, USA
  • Riyad Eid, University of Wolverhampton, UK
  • Eduardo B. Fernandez, Florida Atlantic University, USA
  • Guisseppi Forgionne, University of Maryland Baltimore County, USA
  • Tagelsir Gasmelseid, University of Medical Sciences and Technology, Khartoum, Sudan
  • Chanan Glezer, Ben-Gurion University of the Negev, Israel
  • Jairo Gutierrez, University of Auckland, New Zealand
  • Matthew Hinton, Open University Business School, UK
  • Gary Hunter, Illinois State University, USA
  • Minh Q. Huynh, Southeastern Louisiana University, USA
  • Pingjun (June) Jiang, La Salle University, USA
  • Wen-Jang (Kenny) Jih, Middle Tennessee State University, USA
  • James Joshi, University of Pittsburgh, USA
  • Sherif Kamel, The American University in Cairo, Egypt
  • Ben B. Kim, Seattle University, USA
  • Chang E. Koh, University of North Texas, USA
  • Jinyoul Lee, State University of New York at Binghamton, USA
  • Ron Lee, Florida International University, USA
  • Feng Li, University of Newcastle upon Tyne, UK
  • Haifei Li, Union University, USA
  • Zakaria Maamar, Zayed University, UAE
  • István Mezgár, Hungarian Academy of Sciences, Hungary
  • Ravi Nath, Creighton University, USA
  • Sungjune Park, University of North Carolina-Charlotte, USA
  • Oscar Pastor, Valencia University of Technology, Spain
  • Jiayin Qi, Beijing University of Posts and Telecommunications, China
  • Werner Retschitzegger, Johannes Kepler University Linz, Austria
  • Sunil Sahadev, University of Sheffield, UK
  • Jaeki Song, Texas Tech University, USA
  • Robert Steele, University of Technology, Sydney, Australia
  • Judith Anne Symonds, Auckland University of Technology, New Zealand
  • Ching-I Teng, Chang Gung University, Taiwan
  • Stephanie Teufel, Universite de Fribourg, Switzerland
  • Indrit Troshani, University of Adelaide, Australia
  • Bill Vassiliadis, Hellenic Open University, Greece
  • Leo Vijayasarathy, Colorado State University, USA
  • Wenli Wang, Touro University International, USA
  • Michael Weiss, Carleton University, Canada
  • Mark Xu, University of Portsmouth, UK
  • Hongji Yang, De Montfort University, UK
  • Oliver Yao, Lehigh University, USA
  • George Yee, National Research Council, Canada
  • Soe-Tsyr Yuan, National Chengchi University, Taiwan
  • Michal Zemlicka, Charles University, Czech Republic
  • Peter Zhang, Georgia State University, USA
  • Fang Zhao, RMIT University, Australia
  • Youlong Zhuang, Columbia College, USA