A strategic analysis of electronic marketplaces
MIS Quarterly - Special issue on the strategic use of information systems
Toward a unified view of electronic commerce
Communications of the ACM
ICIS '97 Proceedings of the eighteenth international conference on Information systems
Information Technology and Management
A Case for Using Real Options Pricing Analysis to Evaluate Information Technology Project Investment
Information Systems Research
Research Report. Can Edi Benefit Adopters?
Information Systems Research
Research Report: Empirical Test of an EDI Adoption Model
Information Systems Research
The Value of Information Sharing in a Two-Level Supply Chain
Management Science
Strategic payoff from EDI as a function of EDI embeddedness
Journal of Management Information Systems - Special issue: Impacts of information technology investment on organizational performance
Overcoming EDI adoption and implementation risks
International Journal of Electronic Commerce - Special issue: Electronic commerce and market transformation
Developing the learning network using extranets
International Journal of Electronic Commerce
Journal of Management Information Systems
Business Models for Internet-Based B2B Electronic Markets
International Journal of Electronic Commerce
Should We Wait? Network Externalities, Compatibility, and Electronic Billing Adoption
Journal of Management Information Systems
Information Technology and Management
Journal of Management Information Systems
Information Technology and Management
Design and Ownership of Two-Sided Networks: Implications for Internet Platforms
Journal of Management Information Systems
Journal of Management Information Systems
Developing dynamic capabilities in electronic marketplaces: A cross-case study
The Journal of Strategic Information Systems
International Journal of Business Information Systems
Electronic Commerce Research and Applications
A Study of Sourcing Channels for Electronic Business Transactions
Journal of Management Information Systems
Hi-index | 0.00 |
E-procurement systems are computer systems and communication networks through which firms buy and sell products. We identify two types of e-procurement systems: extranets and e-markets. Extranets connect the buyer and its suppliers with a closed network, while e-markets create open networks for buyer and supplier interactions. The differences between them lie in system implementation costs, marketplace benefits, and the extent of supplier competitive advantage that develops due to information sharing. In this article, we develop a new theoretical model to analyze the adoption of e-procurement systems from the buyer's perspective, to explore the set of conditions under which the buyer will prefer to procure via an electronic market instead of using proprietary extranet connections. The primary finding is that a buyer will adopt an e-market approach when the supplier's competitive advantage derived from access to strategic information is modest compared with the marketplace benefits less the channel costs. In addition, we find that the buyer is likely to have a bigger trading network with an e-market than with an extranet in order to capture the greatest available benefits. Overall, this study offers guidelines for managers to design and select e-procurement channels to fit different procurement needs.