Utilization of New Technology : The Impact of Business Environments and the Consequences
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Over the years, the practice of introducing new technologies into the corporate environment has become a well-accepted principle for sustaining or advancing the competitive advantages of a firm. Nonetheless, while some organizations have significantly benefited from such investments, there is growing evidence to suggest that many others have failed to realize any returns as a result of inadequate utilization of the procured technologies. The literature that addresses the dynamics underlying the highly varied levels in the utilization of technology found across organizations, however, remains rather sparse. In this context, the current study focuses on the causes and the effects associated with the successful utilization of new technologies within a firm. To this end, the suggested framework examines the efforts put forth by the two parties involved (the firm buying and the firm supplying the new technology) that affect the utilization of the technology in the buying firm and, consequently, the relationship-based values of both parties. Using data from business-to-business markets, we find that the two parties involved benefit when both proactively participate in the process of utilizing the technology across the organization.
Abstract
Over the years, the practice of introducing new technologies into the corporate environment has become a well-accepted principle for sustaining or advancing the competitive advantages of a firm. Nonetheless, while some organizations have significantly benefited from such investments, there is growing evidence to suggest that many others have failed to realize any returns as a result of inadequate utilization of the procured technologies. The literature that addresses the dynamics underlying the highly varied levels in the utilization of technology found across organizations, however, remains rather sparse. In this context, the current study focuses on the causes and the effects associated with the successful utilization of new technologies within a firm. To this end, the suggested framework examines the efforts put forth by the two parties involved (the firm buying and the firm supplying the new technology) that affect the utilization of the technology in the buying firm and, consequently, the relationship-based values of both parties. Using data from business-to-business markets, we find that the two parties involved benefit when both proactively participate in the process of utilizing the technology across the organization.
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