4. Paradigm of E-Commerce Services in Developed and Emerging Economies

Electronic commerce has opened the world as a market to the local business and vice versa. The Internet has brought a fundamental shift in which businesses are moving away from a world in which national economies were isolated from each other by barriers to cross-border trade and investment; isolated by distance, time zones, languages, government regulations, culture and business systems. With the enormous success of internet-based transactions in developed economy, developing economies, especially the emerging ones are also adopting the way business happens in their developed counterpart. In this chapter we investigate antecedents and consequences that influence growth of electronic commerce in emerging market. We illustrate the factors that influence both consumer level as well as organizational level, synthesize the same from multi-theoretical framework, and then develop propositions from the said framework to infer about the managerial implications. The lines between local and global businesses are thinning every day as e‐commerce has created a paradigm shift in the way business is conducted in emerging economies like Brazil, Russia, India, and China. . We will discuss the specialty of doing business over e-commerce in emerging markets and if implemented properly, how e-commerce provides value to emerging market companies.