Barriers To Effective E-Business In Developing Countries

Abstract

The Internet has changed the way many firms do business in the U.S. and throughout the world.  Practicing e-business in developing countries is particularly challenging for a number of reasons.  In this paper we present a taxonomy of barriers facing e-businesses pursuing markets in developing countries.  The major barriers center around culture, economic dimensions, infrastructure, and the political/regulatory environment.  We identify key components of each barrier type.  For example, cultural barriers include language, shopping habits, and use of credit, among others.  Country specific examples are presented with management implications and possible solutions.