E-Commerce in countries

Electronic commerce has the potential to improve efficiency and productivity in many areas and, therefore, has received significant attention in many countries. However, there has been some doubt about the relevance of ecommerce for developing countries. The absence of adequate basic infrastructural, socio-economic and the lack of government national strategies have created a significant barrier in the adoption and growth of e-commerce in developing countries. The study shows that, in order to understand the adoption and diffusion of ecommerce in developing countries, cultural issues need to be considered.

The obstacles to reaping the benefits brought about by e-commerce are often underestimated. Accessing the Web is possible only when telephones and PCs are available, but these technologies are still in very scarce supply. In addition to this problem, Internet access is still very costly – both in absolute terms and relative to per-capita income - in most developing countries. While PC prices have fallen dramatically over the last decade, they remain beyond the reach of most individual users and enterprises in developing countries (Odedra-Straub, 2003). Add to this, the human capital cost of installing, operating, maintaining, training and support, the costs are beyond the means of many enterprises in developing countries. There are significant disparities in the level of Internet penetration across regions, which have profound implications for an individual country's ability to participate in ecommerce. Moreover, skilled personnel are often lacking, the transport facilities are poor, and secure payment facilities non-existent in many countries (Odedra-Straub, 2003). Other than the insufficient physical infrastructures, the electronic transaction facilities are deficient and the legal and regulatory framework inadequate. Most consumer markets face severe limitations in terms of connectivity, ability to pay, deliveries, willingness to make purchases on the Web, ownership of credit cards, and access to other means of payment for online purchases and accessibility in terms of physical deliveries. Moreover, the low level of economic development and small per-capita incomes, the limited skills base with which to build e-commerce services (Odedra-Straub, 2003).

SHOULD SOME DEVELOPING COUNTRIES EVEN TRY TO REAP THE BENEFITS OF E-COMMERCE ???

HOW DOES CULTURES AFFECT THE WAY WE USE DIGITAL PAYMENTS ???