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The Economic and Social Impact of Electronic Commerce 25<br />

countries. It aims at enabling developing countries to use existing infrastructures and<br />

services to participate in electronic commerce. It also seeks to facilitate the transfer<br />

of electronic commerce technology, increase public awareness and stimulate the<br />

planning and deployment of the telecommunication infrastructure (Ntoko, 2000).<br />

The purpose of this project is to expand electronic commerce in developing<br />

countries and to help in the construction of electronic commerce infrastructure and<br />

implementation of electronic commerce solutions (Goh, 2001). The EC-DC<br />

project will assist the ITU in expanding electronic commerce in the Developing<br />

Countries by using the World Trade Center <strong>net</strong>work and its global resources of<br />

more than 300 centers in more than 100 countries. The International Telecommunication<br />

Union’s web project “Electronic Commerce for Developing Countries” is<br />

being deployed in more than 100 countries. It is a massive project under which<br />

participating countries can benefit from first-class security, trust and services for ebusiness<br />

transactions under affordable conditions.<br />

The EC-DC project addresses some of the challenges and opportunities faced<br />

by developing countries in the application of new technologies. The ITU is assisting<br />

developing countries to acquire and benefit from electronic commerce technologies<br />

through a program focused on concrete deliverables. The EC-DC project has<br />

identified the key benefits of electronic commerce for developing countries:<br />

• Economic Development: “micro and small businesses can begin to trade at<br />

internationally acceptable price levels and bypass the system of exploitation<br />

of their products for minimal return” (Ochienghs, 1998). The companies are<br />

able to trade at internationally acceptable price levels and among and across<br />

many borders. Benefits in the tourism, travel, arts, sale of locally produced<br />

goods, service industry and the banking sector are greatly seen because of the<br />

ability of EC to reduce the cost of processing orders and payments in the<br />

global marketplace. This in turn contributes to an “economic upliftment” (ITU,<br />

2001a).<br />

• Infrastructure Development: EC will stimulate demand for Inter<strong>net</strong> connection<br />

infrastructure and encourage the creation of commerce (Gagné, 2001).<br />

As a result, policies in the banking and information and communication<br />

technology sectors will bring together public and private “communities” to<br />

support infrastructure development. In order to provide immediate benefits<br />

and increase the chances of sustainability of the project, the initial focus of the<br />

EC-DC project has been on businesses that already have an export market.<br />

The project also enables the transfer of electronic commerce technologies<br />

through the development of human resources necessary for providing electronic<br />

commerce services and maintaining the infrastructure (Gagné, 2001).<br />

• Regional and multi-national cooperation: The improvements in the infra-<br />

Copyright © 2003, Idea Group Inc. Copying or distributing in print or electronic forms without written<br />

permission of Idea Group Inc. is prohibited.

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