| Electronic commerce is a dynamically evolving business methodology that is changing the context and boundaries of markets and technology. As its use increases, however, questions arise as to how companies are measuring the success of this new market medium, and if the appropriate strategy is driving the growth. Research in this area can help determine whether Internet commerce represents incremental competitive advantage, an extension of traditional business processes, or a paradigm shift in the structure of electronic markets and the use of information technology.;This research employed the case study methodology to examine the issues, challenges, and project lessons learned for a large firm engaged in electronic commerce on the Internet. Organizational drivers, the role of technology, strategy employed, and critical success factors were explored. Additionally, customer impact and satisfaction with electronic commerce transactions were measured. Evidence was gathered using multiple sources and methods including a pre-interview questionnaire and structured interviews with the firm's project team and management and a web-based customer survey linked from the firm's electronic commerce web site.;The study revealed that for this firm, electronic commerce over the Internet is an appropriate and successful tactic in support of the firm's business strategy and low-cost provider competitive positioning. Evidence supported the synergistic relationship between business strategy and strategic fit for this successful electronic commerce project. The study also determined that depending upon the EC strategy, business processes may be minimally effected, rather than dramatically changed as often predicted in electronic markets.;Additionally, the historical use of technology is not necessarily a predictor of success or failure in electronic commerce. This very conservative user of technology was successful in a new and innovative area that supported its overall business strategy and focused on its core competence. The resulting research model and twenty working propositions provide a basis for further research in other firms and across industry boundaries. |
