Journal of Systems and Information Technology

Lukasz Arendt

2008 Journal of Systems and Information Technology

doi: 10.1108/13287260810897738

Purpose – The purpose of this paper is to report findings of a study conducted on micro and small enterprises (SMEs) from selected regions of Spain, Portugal and Poland, and to compare them with the results of a similar survey carried out in California (USA). The European and US research studies focus on issues regarding the use of information and communication technology (ICT) solutions by SMEs and digital divide phenomena which exist between SMEs and large corporations. Design/methodology/approach – The data collected during face‐to‐face interviews with SMEs' owner–managers and employees from Spain, Portugal, Poland and the USA were used for making a comparative analysis based on descriptive statistical methods. Analyzing the barriers that discourage SMEs from using information and communication technology (ICT) and e‐Business solutions in their business processes made it possible to identify the reasons for SMEs being on the “wrong side” of the digital divide. Findings – The paper argues that the main barrier to better utilization of ICT and e‐Business, and thus the main reason why SMEs face a digital divide, is not so much the lack of access to information technology (“material access” barrier) as the lack of proper knowledge, education and skilled owner‐managers and employees within the enterprise (“skills access” barrier). As long as European SMEs do not realize this fact, so long will the scale of the digital divide in Europe continue to grow. Research limitations/implications – The main limitation of the approach presented in this paper is related to the sample differences between Spain, Portugal, Poland and the USA. This made it impossible to carry out precise comparative statistical analysis of the results. Despite these methodological imperfections, it was possible to put forward certain recommendations on the directions of activities focusing on enhancing e‐Business adoption in SMEs. The main conclusion is that the actions aimed at bridging the digital divide in SMEs should concentrate on overcoming the “skills access” and “usage access” barriers within SMEs, not the material ones. Originality/value – The comparison of the way these problems are perceived by European and US owner‐managers is an added value of the paper, which brings new content to the existing discussion on barriers to the implementation of ICTs in SMEs. This approach is a step forward in analyzing the determinants and the mechanism of the digital divide within SMEs and has the potential to diminish the scale of this problem.

Dezon Finch; Donald J. Berndt

2008 Journal of Systems and Information Technology

doi: 10.1108/13287260810897747

Purpose – The purpose of this paper is to contribute to the growing body of research in prediction markets by using trading data as a means of characterizing trader behavior in these markets. Traders are placed in homogenous groups based on common Trading habits using clustering algorithms. Several behavioral themes are used to guide the analyses. Design/methodology/approach – Several market experiments were run to collect trading data, which was then exported into a data warehouse. A secondary data analysis is performed on variables derived from the original trade data. In particular, k‐means clustering is used to form groups of traders that share common characteristics. Findings – Participants can be classified into homogenous groups based on their trading behavior. Groups tend to differ based on the overall level of participation, how much of their trading activity is spent buying or selling, and how early they enter the market. Research limitations/implications – More research should be done using a variety of variables to further determine the impact of various types of trader behavior on prediction markets. Practical implications – Using insights gained from work like this, the design of prediction markets can be fine tuned to encourage behavior that contributes to trader participation and the overall accuracy of the market predictions. Originality/value – Little research has been done to evaluate the impact of trader behavior on the accuracy of prediction markets. The authors used a new prediction market implementation to collect detailed trading data. This data was then used to derive higher level trading attributes that can he used to characterize traders. The k‐means clustering algorithm was shown to be an effective means of defining groups of traders who share common market behaviors.

Luis V. Casaló; Carlos Flavián; Miguel Guinalíu

2008 Journal of Systems and Information Technology

doi: 10.1108/13287260810897756

Purpose – The purpose of this paper is to put forward a descriptive model that characterizes customer loyalty in the context of electronic banking. Owing to the high costs involved in increasing the current client base, one of the main goals of banks and other financial services providers that operate through the internet should be to develop customer loyalty in order to improve their results. Design/methodology/approach – The paper analyzes the loyalty development process in the e‐banking context. The data were collected through a web survey using Spanish‐speaking subjects. The contrasts of the research model and measurement validation were based on exploratory analyses and structural equations models. Findings – The findings showed that web site perceived reputation and satisfaction have a direct and significant effect on consumer loyalty to a financial services web site. In addition, the analyses have shown that perceived reputation is particularly influenced by the satisfaction with previous interactions with the web site. Practical implications – The paper suggests that the proper management of both customer needs and corporate reputation will help to increase customer loyalty and, as a consequence, the retention‐rate and profits in the e‐banking business. Originality/value – This study presents three main contributions: the role of satisfaction is looked at as an antecedent of loyalty in e‐banking; the satisfaction‐reputation relationship is analyzed in the online context (this relationship has received very little attention so far); and there is an analysis of the effect of reputation on the long‐term orientation of the relationship.

Mark Chun; Gwendolyn Whitfield

2008 Journal of Systems and Information Technology

doi: 10.1108/13287260810897765

Purpose – The purpose of this paper is to contribute to a better understanding of how socially‐embedded information systems (IS), knowledge, and firm capabilities can impact the post‐merger integration efforts of a firm. In particular, this research seeks to identify, describe, and analyze how socially‐embedded resources hindered the integration of the procurement function following the merger of two telecommunications firms. Design/methodology/approach – This research was designed as a longitudinal exploratory study of a single case. The design involved multiple interviews, participant observation, and an evaluation of multiple data sources. Data were collected to develop a comprehensive and reliable understanding of events and outcomes related to the systems integration effort. Process models are used to show the development of phenomena over time. Findings – The findings of the research are twofold. First, in line with previous findings on socially‐embedded resources, the research shows that socially‐embedded resources hindered the ability of a merged firm to integrate some resources. Previous research argued that social constraints can prevent a firm from changing the way it uses resources to establish a competitive advantage, and this research confirms those findings. Second, this research is an important contribution because it identifies two social constraints in particular – cognitive sunk costs and the reluctance to defy social traditions – that contributed to the inability of the merged firm to successfully integrate the procurement function following a merger. Research limitations/implications – The findings of this study provide empirical evidence to support the theoretical argument that the socially embedded resources involved in the IS, knowledge, and firm capabilities of each of the firms prior to the merger enabled them to establish a competitive advantage in their respective market environments. Further, the data provide validation for the idea that the social context in which firms compete does, in fact, contribute to the development of competitive advantages. The RBV is also extended by showing that the same social contexts can also prevent firms from integrating important resources following a corporate merger. Originality/value – One of the main objectives of executive management following a corporate merger is to lead the organization in skillfully integrating key resources of the merged organization. However, most firms cannot successfully engage in post‐merger integration efforts unless they fully understand how resources such as IS, knowledge, and firm capabilities can help or hinder their integration efforts. By highlighting one firm's efforts to integrate resources following a merger, the paper provides concrete examples of potential problems that can arise. Potential problems and hindrances are presented in a strategic checklist for managerial consideration.

María Laura Ponisio; Klaas Sikkel; Lourens Riemens; Pascal van Eck

2008 Journal of Systems and Information Technology

doi: 10.1108/13287260810897774

Purpose – The purpose of this paper is to present an approach to support understanding of inter‐organisational systems. Design/methodology/approach – The approach combines two types of graphical snapshots of relevant properties of each organisation, based on concrete data. The first type of snapshot provides a bird's eye view of the network that enables matching partners to form groups based on similarity. The second type of snapshot can be used to compare and contrast the information technology (IT) portfolio of partners to assess the extent to which each portfolio is ready to meet the needs of the inter‐organisational system. The approach has been applied in a case study that analysed E‐CUSTOMS, a large distributed system that connects the customs organisations of a number of member states of the European Union. The approach has been validated by showing the results to experts in the E‐CUSTOMS project, who confirmed the findings. Findings – An approach based on quantifiable and non‐quantifiable data that combines two visualisation techniques was used. The graphical snapshots obtained by applying this approach showed similarities and differences between countries that indicate opportunities and challenges in IT integration. Practical implications – The approach provides a semi‐automatic method to understand inter‐organisational systems. If in need of successful co‐operation in groups within an inter‐organisational network, this approach will help the expert to ask the right questions. Originality/value – An understanding of inter‐organisational systems is necessary, as co‐operation in inter‐organisational networks usually requires considerable up‐front investments in IT specific for this co‐operation.