Abstract

Before committing resources to developing electronic commerce (e-commerce) applications, organizations need to assess the bottom-line business benefits that e-commerce can deliver and compare them to the costs of the associated investments. However, the intangible nature of most e-commerce benefits may render the development of a business case very difficult in practice. In this paper we argue that computer-based simulation can assist companies in gaining insight on the real benefits and dangers associated with the adoption of e-commerce. Drawing on the results of a real-life case study, we discuss the potential of simulation modelling to support assessment of e-commerce business value.

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