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Figure 4: Source: Wang, 1999<br />

Small/Medium Business<br />

each with a different<br />

core competency<br />

The Emerging Need for E-Commerce Accepted Practice (ECAP) 65<br />

Game<br />

Software<br />

• authentication<br />

• quality assurance<br />

• cataloging services<br />

• open standards enforced<br />

• research collaboration<br />

Customized product bundles<br />

Books Clothing Music<br />

Videos<br />

Digital Intermediaries<br />

Customer Customer Customer<br />

The ABCD approach is a simple approach that assists the company in<br />

assessing its social environment.<br />

FURTHER ISSUES TO CONSIDER<br />

E-commerce will only be encouraged if the infrastructure supports the<br />

technology. An online customer may not feel adequately protected, choose to<br />

research a product then buy off-line. There may arise a “digital divide” in the<br />

business world: the larger, well-established companies effectively use the technology<br />

forcing small and medium businesses to adapt or die. Governmental regulation<br />

and legal issues would affect e-commerce, e.g., the question of when is a digital<br />

contact concluded? In June 2000, the President of the United States signed the<br />

Electronic Signatures in Global and National Commerce Act (E-Sign). This<br />

provides equal legal status between electronic and traditional signatures, given<br />

mutual consent between the parties to use E-Sign. Many countries will need to<br />

follow this path awaiting international standards (McNurlin & Spragne, 2002).<br />

Wang (1999) reports that ‘medium and small business often do not fully understand<br />

the concept of information systems and its ability to facilitate electronic commerce.<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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