Purpose – The present study aims to investigate the impact of organizational capabilities in the successful implementation of e-business. More specifically, the study proposes a three-dimensional conceptual framework, including “organizational learning capabilities”, “knowledge management capabilities” and “organizational readiness”. Such a multidimensional approach has randomly been explored in the existing literature, making the examination of the proposed conceptual framework an interesting research topic.
Design/methodology/approach – The proposed conceptual framework was tested on a sample of Greek companies with an online involvement. Information System executives were used as key respondents. The final sample consisted of 213 companies. The reliability and the validity of the newly developed questionnaire were thoroughly examined. Empirical data were analyzed using the “structural equation modeling” technique.
Findings – The results of the study reveal that “training availability”, “knowledge level” and “knowledge sharing” are the most significant factors for successfully implementing e-business. Moreover, “firm size” seems to be another important determinant. On the other hand, “technical expertise”, “knowledge accumulation” and “knowledge application” were not found to have a statistically significant impact on the implementation of e-business.
Research limitations/implications – A limitation stemming from the implemented methodology is the use of self-report scales to measure the constructs of the proposed model. Moreover, the present paper lacks a longitudinal approach, as it is cross-sectional and provides a static picture of e-business implementation.
Practical implications – The paper makes an analytical effort to point out areas that companies should emphasize to successfully implement e-business and, therefore, harvest its potential benefits. Certain practical implications are offered in the final part of the paper.
Originality/value – The paper proposes an enhanced conceptual framework that examines vital issues concerning the successful implementation of e-business, thus providing valuable outcomes for decision-makers and academics. Moreover, the results of the study may be generalized in other developed countries whose economy faces similar significant challenges as Greece (e.g. Spain, Italy, Portugal, Ireland, etc.).
The immense development of technology has brought dramatic changes to business structure. More specifically, the Internet has become an important alternative distribution channel for goods and services (Babbar et al., 2008; DeYoung et al., 2007; Mainetti et al., 2012). E-business is defined as the procedure of conducting business through the use of the Internet and computerized technology (Dubelaar et al., 2005; Hertwig, 2012). It is an online activity that brings together employees, collaborators, suppliers and customers, whilst having the creation of value as its primary goal (DuPlessis and Boon, 2004; Lai et al., 2012). Moreover, e-business improves operation efficiency and increases the reach of organizations (Ash and Burn, 2003; Bordonaba-Juste et al., 2012a).