Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/18480
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dc.contributor.authorNepelski, Danielen_US
dc.date.accessioned2009-01-28T15:47:25Z-
dc.date.available2009-01-28T15:47:25Z-
dc.date.issued2006en_US
dc.identifier.urihttp://hdl.handle.net/10419/18480-
dc.description.abstractThis paper examines how electronic procurement influences the organization of economic transactions. It seeks evidence for ICT-induced changes in how companies organize their activities and whether ICT lead to more competitive and transparent markets. Testing the relationship between the effect of electronic procurement on procurement cost and sourcing strategy, I provide new evidence that electronic procurement leads to more market transactions. This leads to the conclusion that electronic procurement increases market transparency, lowers search and supplier switching costs and improves the management of supply chain and contradicts the predictions that ICT will lead to a dominance of network-like organizational form and an increasing reliance on hybrid forms of organizing economic transactions. Two implications emerge from these results. The first one is relevant for companies engaging in ICT projects. ICT combined with changes in business strategy leads to a reduction of market transaction costs and, as a result, opens up new possibilities in terms of how business activities can be organized and/or how to structure competition in upstream markets. This effect of new technologies is of clear benefit to companies successfully implementing and using new technologies. The second implication is of great importance for companies whose customers implement ICT to intensify competition among suppliers. Changing environment forces them to adapt to new market conditions and look for new ways of maintaining profitability.en_US
dc.language.isoengen_US
dc.publisher|aDeutsches Institut für Wirtschaftsforschung (DIW) |cBerlinen_US
dc.relation.ispartofseries|aDIW Discussion Papers |x587en_US
dc.subject.jelL22en_US
dc.subject.ddc330en_US
dc.subject.keywordinformation technology and firm boundariesen_US
dc.subject.keywordmarkets vs. hierarchiesen_US
dc.subject.keywordsourcing strategyen_US
dc.subject.keywordelectronic procurementen_US
dc.titleThe Impact of E-Procurement on the Number of Suppliers: Where to Move to?en_US
dc.typeWorking Paperen_US
dc.identifier.ppn512767130en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
dc.identifier.repecRePEc:diw:diwwpp:dp587en_US

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