Legal framework
• Create trust in the mechanics of e-trade (electronic signatures, copyrights, consumer protection, consumer privacy, dispute resolution).
• Reinforce international competitiveness (tax laws).
• Don’t overregulate: overregulation creates technological bias and unforeseen barriers.
• Work internationally: e-commerce is by nature without borders and harmonizing national laws is critical.

The conclusions drawn from the Executive Forum helped ITC to crystallize its thinking on how to assist its clients to understand, develop and apply the new information and communication technologies and associated business practices to international trade. The following are key elements from ITC’s strategy.

Services exporting, software development and hardware represent three major market opportunities for firms in developing and transition economies. Traditional exporters can also harness new technologies to cut costs and reposition themselves in the international marketplace. But are the firms most likely to benefit ready to take the plunge?

What are business executives in developing countries and trade development officials saying about e-trade? Below is a “sampler” – a taste of the individual views expressed during the Executive Forum process. For more views, see the Executive Forum web site, which contains e-discussions, e-briefs, interviews and an online version of the book emanating from the Executive Forum 2000.

ITC, in cooperation with Switzerland’s State Secretariat for Economic Affairs (seco), hosted its second Executive Forum on National Export Strategies in Montreux in September 2000. Over 20 national teams participated in the debate, which concentrated on the theme, Export Development in the Digital Economy. Each team was asked to analyse the implications of e-trade for international competitiveness and to determine what, in its opinion, would be the most suitable national response.

Too few firms in developing countries are taking advantage of new technologies which can help them export better. In this article, ITC focuses on what developing countries can do to shift their attention from the “Digital Divide” to the “Digital Dividend”.

Once again, ITC presents trade development perspectives shaped by the impact of information and communication technology. This issue reports conclusions from “Executive Forum 2000: Export Development in the Digital Economy”, the resulting ITC e-trade strategy and how ITC is putting it into practice.

For the second time, ITC organized an Executive Forum event, in order to assess the implications of cutting-edge trade development trends for export strategy-makers (Montreux, Switzerland, 27-30 September 2000). This year’s topic was “Export Development in the Digital Economy”. Supported by the Swiss secretariat of economic affairs (seco), the event gathered export strategy-makers and business leaders from 24 developing and transition economies, along with e-commerce experts and international organizations.

A real revolution is happening in nearly every market in which you export that will change the way that trade support institutions (TSIs) operate.
The seat of this revolution is business-to-business (B2B) marketplaces. They bring together in one place all of the participants and associated services for international trade: suppliers, buyers, shippers, logistics, finance, inspection services, marketing news and software applications that facilitate digital catalogue production, purchasing and sales.

Networking for trade development is the common thread of this issue. Shaped by technology, networking is taking on a new importance, and new forms. The articles showcase some trade promotion organizations, their networking tools, and how they are used to promote trade. The aim is to provide insights that readers can apply to their own business needs, and to encourage links with existing trade development networks.

A network of Peruvian housewives is using the Internet to bake cakes ordered by Peruvian expatriates and deliver them locally. The start-up e-business, Tortasperú, came into being with the assistance of Red Científica Peruana (RCP) and E-connexions, two Peruvian NGOs. RCP is based in Peru; E-connexions is based in the United States, but is composed of expatriate Peruvians who work entirely via the Internet. This case provides a practical example of how organizations can work together to foster e-trade for small businesses in developing countries.

The case of Malta shows how a national trade promotion organization can help SMEs take advantage of the Internet to boost exports.

In Malta, trade promotion necessarily starts with creating visibility for the country. Due to its small size, foreign investors and potential commercial partners do not see or hear enough about Malta to appreciate its potential as a supplier of goods and services. Few people know that Malta manufactures and exports a broad spectrum of products ranging from sophisticated industrial equipment and semi-conductors to general consumer goods such as giftware and furniture, to management and financial services. Few know that Malta’s export-per-capita ratio exceeds that of some of the most developed economies.

ITC's Approach

Raise awareness

ITC builds awareness of e-trade issues through online services, practical guides for small and medium-sized enterprises, and projects such as its Executive Forum on National Export Strategies, for which the theme this year is “Export Development in the Digital Economy”.

Old business in new ways, but also new business opportunities: this is what e-trade is all about.

ITC frequently receives this question from firms and trade development institutions around the world.

From the Trade Secrets generic version, below are web sites of selected international and regional organizations that promote trade.

Electronic commerce, one of the newest and most rapidly evolving areas of international trade, is one of the six new areas currently discussed and analysed in fora of the World Trade Organization (WTO).

What is the perspective of business executives in developing countries on e-commerce? To explore this question, ITC organized a “Virtual Conference” using the Internet. Are there examples of real commercial benefit? What are the risks for developing country firms? Do practical constraints outweigh regulatory constraints such as intellectual property rights, tax and cultural protection? What actions should be taken to promote e-commerce in developing countries?

Internet-related issues are incorporated throughout ITC’s work, and reported regularly in Forum. The articles ahead complement the previous issue of Forum, which presented a review of Internet trends, tips, cases, references and expert opinions targeted to exporters and importers in developing countries. This issue features practitioners’ views on e-commerce (Exporting Better and Partners News and Views sections), an overview of ITC’s latest work on the Internet (Close Up section), as well as feedback from a recent Internet Café in Senegal (ITC and the Internet section).

ITC interviews Joel Maloff, an international Internet consultant who writes frequently on executive issues.

Views from Arnaud Dufour, author of a French best-seller about the Internet, Que Sais-Je, which has been translated in five languages.

Most organizations do not use the Internet to buy goods and services—yet. ITC’s trend-trackers in international purchasing and supply management expect this to change, however, as Internet use becomes more widespread. Companies and governments in developing countries and economies in transition should take a second look at using the Internet to save time and money on purchases, and build better relations with suppliers.

To reach global markets through Internet, businesses need to adopt a sound business strategy, coupled with flexibility to question traditional practices. This is the real challenge for businesses using the Internet, no matter where they are located.

Are you looking for timely business information at a relatively low cost? Many companies and trade support institutions (trade promotion organizations, professional associations, consultants) are adopting the Internet to improve their access to information sources, expand their scope of data collection and to bridge information gaps for specific international markets.

How can importers and exporters in developing countries best take advantage of the Internet? A wealth of information exists on the rapid evolution and the benefits of the Internet. Less exists on how to sift through this information for the practical lessons and tips for exporting and importing firms, as well as trade support institutions.