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The Changing Marketplace
© International Trade Centre, International Trade Forum - Issue 3/2003

Small exporters in developing countries can sharpen their competitive edge using information and communications technologies (ICT).

Putting “E” to Work


Traditional Exports in New Ways

New technologies give exporters opportunities to trade goods and services more efficiently, and reach new markets.

Market research

  • Online market analysis
  • Finding buyers and suppliers

Business processes

  • Using ICTs to streamline supply chains
  • Digitizing production processes
  • E-marketing through a variety of channels
  • Online transportation management
  • Online export documentation

Payment/transactions

  • Online sales and payment
  • Credit checks on buyers

Customer relations

  • Online after-sales services
  • Customer management databases

New markets

  • Participate and be visible in B2B and B2C e-marketplaces


Opportunities in New Export

Sectors

Technologies open up

completely new product and service niches for developing countries.

Services

  • Back office operations (business process outsourcing)
  • Medical transcription
  • Geographic information services
  • Content creation
  • Web design
  • Hotline support for personal computers
  • Telecom services
  • Computer systems design
  • Data processing
  • Online information services
  • Data enrichment

Hardware

  • Components
  • Contract manufacturing
  • Assembly

Software

  • E-business applications
  • Multimedia product development
  • Local adaptations of software applications


Creating the E-trade Environment

E-readiness

Being e-ready — in terms of culture, skills and environment — greatly enhances countries’ success with applying ICTs to trade.


E-culture and e-skills

  • E-literacy drives (education and training)

  • E-government services
  • E-awareness and capacity building campaigns
  • Upgrade strategy-makers understanding of e-business

Supportive legal and regulatory framework

  • Laws covering technology use

  • ‘Liberal/open’ customs policies for technology products and services
  • E-security (privacy and data protection)

Basic infrastructure

  • Access to finance

  • Affordable e-access (connectivity, computers)
  • Roads and transport systems
  • Electricity supply


E-trade Strategy

To take advantage of ICT for trade, export development strategy-makers need to formulate specific e-trade strategies.


Build awareness

  • Adopt e-business vision

  • Define e-business strategy objectives (clear,

    quantifiable, executable, business-focused, flexible and adaptable to

    new technology challenges)

  • Advocate at national, regional, multilateral levels

Enhance knowledge

  • Local relevance

  • Technology applications for business
  • Promote e-business networking at regional and global levels (e.g. tap into diasporas)

Create competence

  • Enhance e-business skills

  • Encourage “profitable e-business practices”
  • Deal with “trust” concerns (e-trade legal issues and e-security)
  • Facilitate participation of small firms in B2B e-marketplaces



John Gillies and Nikolai Semine contributed to this article.






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