A01 chaf6542 06 se fm indd

Factor influencing adoption

A

B

C

 1

Internet target segment

 3

 2

 1

 2

Internet strategy

 1

 1

 6

 3

Internet marketplace

 4

 5

 2

 4

Infrastructure and development capability

 2

 3

 5

 5

Internet communications

 5

 6

 4

 6

Cost of Internet trading

 8

 9

10

 7

Internet cost opportunity

 6

 8

 7

 8

Market development opportunity

 7

 4

 3

 9

Concerns

 9

10

 9

10

Consumer preferences

10

 7

 8

A = Internet adoption (static website), B = active website, C = online sales (transactional site)

Based on a compilation from separate tables in Doherty et al. (2003)

Table 1.3

Summary of factors most important in encouraging Internet adoption 

amongst e‑retailers

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32

Part 1  Introduction

  Risks and barriers to digital business adoption 

 Opportunities have to be balanced against the risks of introducing digital business services, 

which include strategic and practical risks. One of the main strategic risks is making the wrong 

decision about digital business investments. In every business sector, some companies have 

taken advantage of digital business and gained a competitive advantage. But others have 

invested in digital business without achieving the  hoped-  for returns, either because the execu-

tion of the plan was flawed, or simply because the approaches were inappropriate. The impact 

of the Internet and technology varies by industry. Andy Grove, Chairman of Intel, one of the 

early adopters of digital business, noted that every organisation needs to ask whether, for them: