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Strategic Implications of eCommerce for Papermakers

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  • M. Obersteiner
  • S. Nilsson
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    Abstract

    It is expected that the paper and office products supply chain will move online in the very near future. The hubris of new eBusiness models has ended in a fragmented picture of a multitude of personal views relating to future developments on the eEconomy, eIndustry and eEnterprise levels. This paper endeavors to compile the currently existing knowledge in this field and to identify the basic drivers and inhibitors of the new economy that are of relevance to the forest industry. On the eEconomy level, acceleration in macro-economic growth can be expected due to efficiency and productivity improvements that are triggered by the elimination of information barriers thereby creating more efficient markets. On the eIndustry level, globally operating and more adaptive industry networks will improve economic performance by reaping economies of scale. Less volatile markets will result from improved planning and coordination thereby eliminating redundant capacities. An overly horizontally concentrated market structure might bear the danger of locking the paper industry in an underdevelopment trap of innovation exhaustion and organizational inertia. Business entities on the eEnterprise level will have to adopt the principles of openness, connectivity and strategic integration to fully benefit from networking and integration effects along the entire value chain. However a number of issues, such as sharing critical data in a networked economy, will increase demands for newly adapted business culture and management models.

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    File URL: http://www.iiasa.ac.at/Publications/Documents/IR-00-016.pdf
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    File URL: http://www.iiasa.ac.at/Publications/Documents/IR-00-016.ps
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    Bibliographic Info

    Paper provided by International Institute for Applied Systems Analysis in its series Working Papers with number ir00016.

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    Date of creation: Mar 2000
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    Handle: RePEc:wop:iasawp:ir00016

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    1. Charles I. Jones, 1999. "Growth: With or Without Scale Effects?," American Economic Review, American Economic Association, vol. 89(2), pages 139-144, May.
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    Cited by:
    1. S. Nilsson & M. Gluck, 2000. "Sustainability and the Canadian Forest Sector," Working Papers ir00050, International Institute for Applied Systems Analysis.
    2. Viitamo, Esa, 2003. "Knowledge-intensive Services and Competitiveness of the Forest Cluster," Discussion Papers 845, The Research Institute of the Finnish Economy.

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