Econometric Simulation for E-Business Strategy Evaluation

Abstract

Effective and efficient e-business strategy development is crucial to achieve a competitive advantage in the electronic marketplace. However, e-business strategy evaluation constitutes complex and dynamic challenges for business management. This article offers assistance for the evaluation process by applying a computer simulation that uses an econometric model delivered through a decision-making support system. The major econometric simulation logic and methodology introduced here covers multidisciplinary areas and is among the first attempts to identify and establish a comprehensive, quantitative tool to support the strategy development processes of e-businesses. The authors hope to shed some lights on e-business strategy research through this article.