Influences of e-Intermediary Use on Transaction Costs in Dependent Exporting Channels
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This study investigates the effects of electronic intermediary (e-Intermediary) use. In specific, this study focuses on transaction costs to examine the effects. E-Intermediaries can help Small and Medium Exporters (SMEs) to decrease the cost of searching for the relevant sources in the “virtual jungle”. Replacing or substituting a foreign partner or distributor may not be difficult for e-Intermediaries. Bargaining power may belong to SMEs using e-Intermediaries. SMEs may decrease bargaining costs. E-Intermediaries may prevent SMEs from opportunistic behaviors of foreign business partners, which can decrease monitoring costs in their exporting channel relationships. Dependence is the most widely studied aspect of the channel working. This study applies dependence to exporting channel relationships in terms of e-Intermediary use.
Abstract
This study investigates the effects of electronic intermediary (e-Intermediary) use. In specific, this study focuses on transaction costs to examine the effects. E-Intermediaries can help Small and Medium Exporters (SMEs) to decrease the cost of searching for the relevant sources in the “virtual jungle”. Replacing or substituting a foreign partner or distributor may not be difficult for e-Intermediaries. Bargaining power may belong to SMEs using e-Intermediaries. SMEs may decrease bargaining costs. E-Intermediaries may prevent SMEs from opportunistic behaviors of foreign business partners, which can decrease monitoring costs in their exporting channel relationships. Dependence is the most widely studied aspect of the channel working. This study applies dependence to exporting channel relationships in terms of e-Intermediary use.
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