E-Business_Adoption_in_Marketing_and_its_Relationship_with_Factors_in_SWOT

E-Business_Adoption_in_Marketing_and_its_Relationship_with_Factors_in_SWOT

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E-Business Adoption in Marketing and its Relationship with Factors in SWOT Analysis: an Empirical Investigation of Small Software Businesses Edward W.N. Bernroider 1 , Alexander Hampel 2 1 Department of Information Business, Vienna University of Economics and B.A., Austria [email protected] 2 Department of Computer Science and Business Informatics, University of Vienna, Austria [email protected] ABSTRACT This research gives empirically grounded insights into e-business adoption in conjunction with factors usually considered in SWOT (S trengths, W eaknesses, O pportunities, and T hreats) analysis in Austrian micro and small to medium sized software enterprises. The study evaluates the degree in which the Internet is used in supporting the firm’s primary activities in marketing and sales based on primary data collected from 141 Austrian software firms. The results show that internet usage in this area is dependent on the size of the company. While almost all small to medium sized enterprises apply e-business to some degree, many micro enterprises do not seek to utilise possible potentials. The study reveals that firms perceiving their relative strengths on branding, pricing, product diversity, internationalisation, and access to new technologies have adopted more advanced e-business support. From the external perspective, organisations more intensively relying on e-business tend to experience less competitive pressure, have lower capital resources, and consider international markets more often as business opportunities than their competitors. Keywords : software industry, e-business, e-marketing, SMEs, success factors 1. INTRODUCTION Small businesses worldwide occupy an important economic position since they constitute key drivers of innovation, economic stabilisation, and employment [1- 4]. This also seems to be the case for the Austrian computer software industry [5]. The software business itself is highly competitive, complex, knowledge- intensive, and characterised by a highly globalised as well as dynamic business environment. Software enterprises are therefore increasingly reliant on utilising new strategies to remain competitive. The Internet provides managers with opportunities to fortify and strengthen their competitive advantages [6, 7]. Recently published academic findings show a wide spectrum of possible effects of e-business on organisational performance [8]. The potential of e-business is believed to be a precondition for the success of future business organisations [6]. E-business is seen as a means to strengthen the competitiveness of firms [9]. Small software businesses tend to offer selective products and services connected with limited buying mobility of potential customers, instead of mass products where infinite multiplication of choices exist. It is believed that selective brands drive e-business as an strategic opportunity [10].
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This note was uploaded on 05/22/2011 for the course BU 36101 taught by Professor John during the Spring '11 term at University of Liverpool.

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E-Business_Adoption_in_Marketing_and_its_Relationship_with_Factors_in_SWOT

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