A strategic orientation for e-commerce investments: A customer equity approach

Abstract

In spite of major setbacks for most pure e-commerce initiatives, the business landscape continues to change as a result of the impact of the Internet. Consumers' expectations and behaviours are shifting and smart firms are finding ways to respond to their new requirements to create significant competitive advantages. Run-of-the-mill companies whose 'strategies' are founded upon maintaining competitive parity will find the new environment increasingly treacherous. Each firm's long-term prosperity depends on its ability to meet profitably the new consumer requirements. Three inter-related questions are addressed in the paper: first, why have prior Internet marketing efforts been so unsuccessful? Secondly, what is the new reality and what are its implications? Thirdly, how can firms pursue a customer equity approach to reduce threats and seize on the emerging opportunities to meet their long-term financial goals? [ABSTRACT FROM AUTHOR]