When and Why Does a Firm Choose a Certain Type of Internet Channel?

When and Why Does a Firm Choose a Certain Type of Internet Channel?

  This study explores the choice of Internet channels in the trucking industry. Two of the main Internet channels are considered: electronic transportation exchanges and company Websites. Six case studies are conducted in order to identify the key factors that influence a firm’s choice concerning the adoption of Internet channels. Based on these case studies, we generate a set of testable propositions that can be used as a foundation for future theoretical and empirical research. The case analyses highlight five main factors that influence the adoption of the Internet channels: size of the firm, percentage of business on the ongoing relationships, degree of fragmentation of the industry, transaction size, and size of the network.