Review Journals about E-trade
I have taken the journal to review, first journal from “ The Evolution of Electronic Trade Facilitation: Towards a Global Single Window Trade Portal” by Jim McMaster, University of the South Pacific and for the second journal from “ Is global e-trade really workable?: The mediation effect of the e-marketplace on business performance in China” by Yongrok Choi, Department of International Trade and Logistics, Inha University.
The first journal is about explore the nature, goal, functions and benefits of electronic trade facilitation and propose a model describing the evolution of various trade portals at the national, regional and global levels. Which is can facilitate and linking the global trade transaction into single window trade portal. In other hand, from the second journal is about to test empirically the success factors of this type of business performance in electronic-based export intermediary firms (e-EIFs) in China, based on a total systematic structural equation model (SEM). SEM has advantages in examining the causal relationship between mediation variables such as trust or e-MP services and business performance.
From the first journal, there’s important information about goals, functions and benefits of electronic trade facilitation such as automation of customs clearance, Minimisation of commercial information required, Simplification of approval procedures, Facilitation of quick response (QR) and just-in-time (JIT) strategies, Elimination of multiple document submissions, Reduced risk of error , Longer service hours and faster response time to market needs etc. From all of those, we know that electronic transaction especially in this case is trading transaction gives a lot of benefit before that, the benefit is can’t reach the goal if the functions require of the goal isn’t full fill.
We can combine the model of first journal with the second journal that is highlight about hypotheses trust, business performance, and Structural Equation Model (SEM). E-EIFs (Electronic-based Export Intermediary Firms) are chosen by exporting firms because they can reduce transaction costs associated with searching for customers, negotiating trade contracts, and enforcing those contracts (Williamson, 1985). Requirement of trust and reliance on web-based business protocols, necessitates easy and efficient transaction procedures is a must. And also the characteristics of e-EIF websites are crucial when manufacturers choose e-MPs as a professional network mediation platform (Bagozzi and Yi, 1988) and the promotion or institutional supporting policies by the government, in addition to the strategic mind of the CEO of a manufacturing company, are key factors considered by the manufacturers in their decision to enter into a global e-business via professional partnership with a global e-MP.
The characteristics of a successful e-EIF website could be defined as follows: first, it must efface or eliminate psychological barriers to e-business entry; and second, it must abolish or diminish the practical barriers to the use of one-stop services via the e-MP’s platform. The former characteristic depends on trust and the latter comes from a higher e-MP use rate (Permkumar et al., 1994).
If we can combine those model business strategy of using e-trade from the first journal and use the hypotheses structural equation modeling approach and evaluates the website characteristics of e-EIFs, promoting policies instituted by the government as well as the strategic support of a CEO both were shown to positively affect trust-building as well as the level of use of e-MP services. This implies that the professional support provided by e-EIFs could serve to diminish the psychological and practical barriers experienced by most firms wishing to enter into the global market. This will get the competitive strategy.