A study on the value‐chain strategies of enterprises adopting electronic marketplaces in free and controlled markets

Abstract

Purpose

The purpose of the research is to explore electronic marketplace (EM) strategies adopted by enterprises in free markets and controlled markets. Meanwhile, their differences are compared.

Design/methodology/approach

In the research, the EM strategies adopted by enterprises in free markets from the value‐chain perspective are discussed first. Then, in‐depth interviews with enterprises in controlled markets are followed.

Findings

The effect on corporations' marketing effectiveness is rather limited because fewer competitors resulted in little competition and more monopolization in a controlled market. Also, the buyer focuses on product quality without a high awareness of the concept of cost.

Practical implications

The results indicate that there are differences in EM strategies adopted by enterprises in free and controlled markets from the value‐chain perspective.

Originality/value

Faced with the expanding internationalized markets, companies must carefully consider the operational modes and strategies of EMs.

Citation

Fu, H., Chang, T., Lee, W. and Lu, C. (2006), "A study on the value‐chain strategies of enterprises adopting electronic marketplaces in free and controlled markets", Journal of Manufacturing Technology Management, Vol. 17 No. 5, pp. 621-632. https://doi.org/10.1108/17410380610668559