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					 Providing Insight into Ways
Development is Brought about
        through ICTs
           Sajda Qureshi
     squreshi@mail.unomaha.edu
            Alanah Davis
   alanahdavis@mail.unomaha.edu
                 Agenda
•   Background
•   Motivation & Research Goal
•   Information Technology for Development
•   E-commerce Effects on Development
•   Findings
•   Future Research
                                             2
                     E-commerce
• Growth of the Internet is opening up new opportunities for
  businesses worldwide
• E-commerce is to the Information Revolution what the railroad was
  to the Industrial Revolution
• E-commerce has to ability to eliminate distance in one’s mental
  geography
   – One economy & one market
• Global society suggests that governments can no longer control
  economic life
   – Globalization is a political, social, cultural, & economic phenomenon that
     is revolutionizing the way in which we live


                                                                              3
             Digital Divide
• Keeps the poorest nations from reaping the
  benefits of e-commerce
• The magnitude of the global digital divide is
  considerable but the gap is narrowing
• IT has both benefited & hindered the progress of
  social & economic development

                                                 4
   Digital Divide Dimensions
• Global divide
   – Divergence of Internet access between industrialized &
     developing societies
• Social divide
   – The gap between the information rich & information poor in each
     nation
• Democratic divide
   – Signifies the difference between those who do & those who do
     not use digital resources to engage, mobilize, & participate in
     public life

                                                                       5
                ICT Benefits
• Alters commerce, education, government, &
  communications
• ICTs can bring:
  –   Education to people
  –   Healthcare to disadvantaged communities
  –   Promote civic engagement
  –   Better management of natural resources
                                                6
           ICT Drawbacks
• ICTs affect the construction of & response to
  social problems such as poverty & inequality
• The lack of access to ICT among certain
  segments of the population (otherwise referred
  to as the “digital divide”) exacerbates
  inequalities among populations

                                                   7
         Micro-enterprises
• Enterprises from the informal sector
• Unregistered, rural, & micro (i.e. less than
  10 employees) in size
• The majority of organizations in
  developing countries are micro-enterprises

                                             8
                 Agenda
•   Background
•   Motivation & Research Goal
•   Information Technology for Development
•   E-commerce Effects on Development
•   Findings
•   Future Research
                                             9
              Motivation
• E-commerce activities may enable people
  who do not have access to the Internet to
  reap some of the benefits arising from
  access to digital technologies…thus
  enable development


                                          10
           Research Goal
• To understand the extent in which e-commerce
  brings about development
• To analyze how e-commerce benefits &
  technologies may enable micro-enterprises in
  countries to bridge the digital divide
• How can e-commerce enable the disparities
  between people who have access to digital
  services & those who do not?

                                                 11
                 Agenda
•   Background
•   Motivation & Research Goal
•   Information Technology for Development
•   E-commerce Effects on Development
•   Findings
•   Future Research
                                             12
         IT for Development
•   Access to Information & expertise
•   Competitiveness & access to markets
•   Administrative efficiencies
•   Learning & labor productivity
•   Poverty reduction

                                          13
   Model of Information
Technology for Development
       Social Development            ICT Effects

                                      Access to
   Government        Environment    Information &
                                      expertise          Human
                                                       development
   Education         Healthcare    Competitiveness
                                     & access to
                                      markets
                                                          Gross
               Financing                                Domestic
                                    Administrative
                                                         Product
                                     efficiencies
               Innovation

                                   Learning & labor
               Sourcing              productivity       Per capita
                                                         income
     Economic Development
                                   Poverty reduction



                                                                     14
                 Agenda
•   Background
•   Motivation & Research Goal
•   Information Technology for Development
•   E-commerce Effects on Development
•   Findings
•   Future Research
                                             15
      E-commerce Effects on
          Development
• Reduced costs
• Reduced or transformed use of
  intermediaries
• Price transparency & formation
• Negotiation

                                   16
    Possible Tools & Techniques
          For E-commerce
•   Communities     • Online catalogs
•   Auctions        • Search & retrieval
•   Portals           capabilities
•   E-markets       • Electronic payments
•   Web retailing   • E-collaboration
                    • Cyber cafés

                                            17
       E-Commerce Capabilities for
             Development
                                                         Effects of IT on Development
Benefits of E-      Access to            Competitiveness       Administrative           Learning & labor     Poverty
commerce            Information &        & access to           efficiencies             productivity         reduction
                    expertise            markets
Reduced costs       Communities,         Communities,          Web retailing,           Web retailing,       Auctions,
                    Auctions, Portals,   Auctions, Portals,    Online catalogs          Search & retrieval   Portals, E-
                    E-markets            E-markets                                      capabilities         markets
Reduced or          Portals, Search &    Search & retrieval    Portals, Search &        Search & retrieval   Web retailing
transformed use     retrieval            capabilities          retrieval capabilities   capabilities
of intermediaries   capabilities

Price               Electronic           Electronic            Electronic               Online catalogs,     Web retailing
transparency &      payments             payments, Online      payments                 Search & retrieval
formation                                catalogs                                       capabilities


Negotiation         Communities, E-      Cyber Café,           Cyber Café,              Communities          Communities
                    collaboration        Communities           Communities

                                                                                                                           18
                 Agenda
•   Background
•   Motivation & Research Goal
•   Information Technology for Development
•   E-commerce Effects on Development
•   Findings
•   Future Research
                                             19
   Case Selection Process
• The studies were selected based on the
  following criteria:
  – 1) case studies that were informed by real
    need
  – 2) they had rich empirical findings
  – 3) explored pragmatic, practical organizational
    applications
                                                 20
          Grameenphone.com
• E-commerce is most effective
  when carried out through
  mobile technologies in
  developing countries
• Grameen Phone Company in
  Bangladesh provides low cost
  access to phones & credit for
  the purchase of good &
  services



                                  21
         Grameenphone.com
• A poor man in rural Bangladesh can’t afford
  telecommunications technology for his small business,
  but desperately wants to be connected to the urban
  areas around him & even foreign countries to help
  increase his business
• Right from his home Grameen Phone can connect him to
  the areas he has been trying to reach for a very low price
• This access has helped him to increase the income of
  his small developing company
                                                          22
                     UNDP.org
• E-commerce is most effective
  when developing countries can
  gain access to the tools &
  technologies that enable it
• UNDP, which is the United
  Nation’s global development
  network, advocates for change
  & connects countries to
  knowledge & resources in
  order to help them build a
  better life

                                  23
                   UNDP.org
• A fisherman in Sri Lanka has not been able to meet with
  the local Fisheries Cooperative Societies because they
  have no where to go
• Assistance from the UNDP has allowed the community
  to build a Community Centre which can be utilized for
  the groups meetings as well as other socioeconomic
  activities
• This meeting hall will not only help them meet their
  objectives, but thousands of other community members
  will benefit from this central meeting location
                                                        24
             WorldVision.org
• While online payments
  appear to be a challenge,
  e-commerce services
  provided by World Vision
  allow for gifts, such as
  goats, to be made to
  people in developing
  countries

                               25
             WorldVision.org
• A young child in Kenya desperately wants to attend
  school but does not have the funds necessary for tuition,
  supplies, & a uniform
• A woman from the United States logs onto the Internet &
  pays only $75 to make the wish of that child come true
  for one year
• A year of school for that young child increases their
  knowledge & aids in breaking the cycle of poverty that
  could have continue
                                                          26
 Relationship between E-
Commerce & Development
 Effects of IT on                                         Benefits of E-
 Development                                              commerce
 1 Access to Information &                                1 Reduced costs
 expertise                                                2 Reduced or
 2 Competitiveness & access                               transformed use of
 to markets                                               intermediaries
 3 Administrative efficiencies                            3 Price transparency &
 4 Learning & labor                                       formation
 productivity                                             4 Negotiation
 5 Poverty reduction

           E-commerce Technologies & Tools
           Communities, Auctions, Portals, E-Markets, Web Retailing, Online
           Catalogues, Search & Retrieval Capabilities, Electronic Payments,
           Cyber Cafes, E-Collaboration

                                                                                   27
   Implications for Practice
• Small businesses can sell their products directly
  to consumers in different parts of the world
  through web retailing
  – Online payments remain to be a challenge
• Auctions & electronic markets can
  – Support small businesses (e.g. farmers)
  – Reduced the use of intermediaries
  – Increased incomes

                                                  28
  Implications for Research
• ICTs may
  –   Reduce costs
  –   Enable access to information & expertise
  –   Competitiveness & access to markets
  –   Administrative efficiencies
  –   Learning & labor
  –   Poverty reduction
                                                 29
                 Agenda
•   Background
•   Motivation & Research Goal
•   Information Technology for Development
•   E-commerce Effects on Development
•   Findings
•   Future Research
                                             30
         Future Research
• Future case studies of e-commerce are
  required to assess:
  – Implementation
  – Use
  – Value


                                          31
Questions? Feedback?
    Suggestions?
        Sajda Qureshi
  squreshi@mail.unomaha.edu
         Alanah Davis
alanahdavis@mail.unomaha.edu

				
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posted:10/17/2011
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