Objectives of knowledge management

Purpose
To examine the degree to which governments and organisations should monitor elec‑
tronic communications.
Activity
Write down the arguments for and against each of these statements, debate individu‑
ally or as a group to come to a consensus:
1 
‘This house believes that organisations have no right to monitor employees’ use 
of email or the web.’ Use Moreover (www.moreover.com) to research recent cases 
where employees have been dismissed for accessing or sending emails or web con‑
tent that is deemed unsuitable. Is this just used as an excuse for dismissing staff?
2 
‘This house believes that governments have no right to monitor all Internet‑ based 
communications passing through ISPs.’ Use Moreover (www.moreover.com) to 
research action taken by the government of your country to monitor and control 
Internet communications.
What action do you think managers should take with regard to monitoring employee 
access? Should laws be set at a national level or should action be taken by individual 
companies?
Answers to activities can be found at
www.pearsoned.co.uk/chaffey
M04_CHAF6542_06_SE_C04.indd 157
7/23/14 12:18 PM

---

158
Part 1
Introduction
The economic health and competitive environment in different countries will determine 
their e-commerce potential. Managers developing e-commerce strategies in multinational 
companies will initially target the countries that are most developed in the use of the technol-
ogy. A comprehensive framework for assessing an ‘
e-economy
’ has been developed by Booz 
Allen Hamilton (2002). The report authors define the e-economy as:
the dynamic system of interactions between a nation’s citizens, the businesses and gov-
ernment that capitalise upon online technology to achieve a social or economic good.
The framework is based upon four layers of environment, readiness, uptake and use, and 
impact, and three major stakeholder groups: citizens, businesses and government, as shown 
in Figure 4.11.
A review of how different governments have tried to improve the health of their e-econo-
mies is presented later in this chapter.
Knowledge of different economic conditions is also part of budgeting for revenue from 
different countries. In China there is regulation of foreign ownership of Internet portals and 
ISPs which could hamper development.
The trend towards globalisation can arguably insulate a company to some extent from 
fluctuations in regional markets, but is, of course, no protection from a global recession.