Networks and e-commerce in South Africa

In a globalised networked economy, the sufficient utilisation of networks can be an important competitive advantage. Globally, the marketplace is restructuring itself for the new fast, intense unknown. In the past businesses struggled to position a strategy of solving existing problems. In the networked economy the focus is on finding new opportunities. Social capital is the intellectual capital of the networked economy and includes the use of information and the application of specialised skills. In the networked economy the role of and services to the customer are central and important. Networks are a versatile medium and can be used as value chains, information chains and in ecommerce. In order to become more customer-centred, networks are essential in these functions. Networks and e-commerce have a substantial influence on relationships between businesses and customers. Its value is directly connected to the explosion of membership and technology advances. Convergence of technologies like cellular phones and WAP technology has a substantial influence on the speedy and cost-effective delivery of orders and makes the process automated. It even determines organisational structures and control mechanisms. South Africa’s position in the networked economy was researched with regard to e-commerce. A networked economy can promote e-competency in South Africa. Information and communications technology networks can enhance e-literacy and make South Africa more competitive. Comparisons are drawn between South Africa and other developing countries. The finding is, however, that there is much to be done to overcome the obstacles in the way of ecommerce growth. A conclusion is made that mobile e-commerce can be a more effective solution to pending problems in South Africa. Mobile e-commerce can assist in logistical problems and vast diversities in structures in the African continent.