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Application capability of e-business and enterprise competitiveness: A case study of the iron and steel industry in China

Author

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  • Wu, Jin-Nan
  • Zhong, Wei-Jun

Abstract

With the aim of identifying a mechanism that enables e-business technology to improve enterprise competitiveness, the authors conducted a case study of three large iron and steel manufacturing enterprises in China. This paper proposes the concept of application capability of e-business from a process-oriented perspective, and investigates the impact of the application capability of e-business on the relationship between e-business resources and enterprise competitiveness. The results show that e-business resources are necessary, rather than sufficient, to enhance enterprise competitiveness. We also found that an enterprise can use e-business technology to significantly enhance its competitiveness only when its e-business resources and application capability of e-business (particularly the core application capability) are efficiently and effectively synthesized. We conclude that differences in the enterprise application capability of an e-business eventually determine the effectiveness of an e-business technology.

Suggested Citation

  • Wu, Jin-Nan & Zhong, Wei-Jun, 2009. "Application capability of e-business and enterprise competitiveness: A case study of the iron and steel industry in China," Technology in Society, Elsevier, vol. 31(3), pages 198-206.
    • Handle: RePEc:eee:teinso:v:31:y:2009:i:3:p:198-206
    DOI: 10.1016/j.techsoc.2009.06.004
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    References listed on IDEAS

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    1. Kevin Zhu & Kenneth L. Kraemer, 2005. "Post-Adoption Variations in Usage and Value of E-Business by Organizations: Cross-Country Evidence from the Retail Industry," Information Systems Research, INFORMS, vol. 16(1), pages 61-84, March.
    2. Bradley C. Wheeler, 2002. "NEBIC: A Dynamic Capabilities Theory for Assessing Net-Enablement," Information Systems Research, INFORMS, vol. 13(2), pages 125-146, June.
    3. Sarv Devaraj & Rajiv Kohli, 2003. "Performance Impacts of Information Technology: Is Actual Usage the Missing Link?," Management Science, INFORMS, vol. 49(3), pages 273-289, March.
    4. Kevin Zhu & Kenneth L. Kraemer & Sean Xu, 2006. "The Process of Innovation Assimilation by Firms in Different Countries: A Technology Diffusion Perspective on E-Business," Management Science, INFORMS, vol. 52(10), pages 1557-1576, October.
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