Doing Business on the Internet Opportunities and Pitfalls

FAY SUDWEEKS AND CELIA ROMM At the tum of the twenty-fIrst century, global communication is changing the fabric of society at a rate never experienced before. The Internet, in particular, has redrawn the map of global economy. To be competitive in today's marketplace, companies need to expand commercial activities beyond national borders. The global network of electronic infrastructure has played a signifIcant role in this expansion but the technology itself is not the factor driving the business revolution. The changes are driven by the interaction of information technology and customer demand. Customers are not only adapting to new technologies, they are demanding more and more global competition. Electronic commerce, therefore, is arguably the most important economic trend of our time. Its presence on the Internet, in particular, is becoming crucial to the effective functioning of organisations, especially in a world where companies need to deal with suppliers, customers, partners and their own units distributed across the world. A global business industry created by the Internet is no longer a projected vision of technocrats; it is a reality. The Internet is already playing a signifIcant role in determining corporate strategy and in creating values.