The effects of infrastructure and policy on e-business in Latin America and Sub-Saharan Africa

Abstract

This study investigates experts' assessments of the pertinent factors affecting e-business in developing countries from a theory-based national infrastructure perspective. We surveyed experts (business people, academicians, and officials of governmental and non-governmental organizations) in e-business in Latin America (LA) and Sub-Saharan Africa (SSA). Our partial least squares analysis shows that experts believed that policies targeted specifically toward e-business are important in affecting e-business capabilities and in obtaining value from e-business, more so than non-specific general information and communication technologies (ICT) policies, which are not significantly influential. ICT infrastructure generally affects e-business capabilities, though this was not found to be the case in Brazil. Experts believed that national government institutions positively affect e-business value in SSA, but not in LA. Experts did not believe that commercial infrastructure significantly affects e-business value. This study theoretically and empirically distinguishes between two different dimensions of e-business outcomes: specific capabilities and value derived from e-business. It operationalizes the effects of national government institutions and commercial infrastructure on e-business outcomes and empirically tests for their effects. The study provides empirical support for conceptual arguments for the need of ICT policies specific to the needs of e-business.

Keywords:

• e-business
• e-commerce
• ICT infrastructure
• ICT policy
• Latin America
• Sub-Saharan Africa

Additional information

Notes on contributors

Chitu Okoli

About the authors

Chitu Okoli is an assistant professor in Management Information Systems at the John Molson School of Business of Concordia University, Montreal, Canada. His primary areas of research are open content, open source software, and Internet applications in developing countries, including e-business and telemedicine.

Victor W A Mbarika

Victor W. Mbarika (Ph.D.) is a faculty at Southern University and A&M College and is the founding executive director of the International Center for Information Technology and Development. Dr. Mbarika has authored over 125 articles and books in ICTs (telemedicine, e-commerce, cybercrimes, e-government) for developing economies and multimedia instructional technologies.

Scott McCoy

Scott McCoy is an associate professor of Management Information Systems in the Mason School of Business at the College of William & Mary. His research in cross-cultural issues in IS, human computer interaction (HCI), and telecommunications policy has been presented or published.