Capitalizing on electronic commerce

Electronic markets are rapidly emerging alongside interorganized systems as a vehicle for electronic commerce. Guidelines are given for managers to evaluate the business potential of electronic markets and the characteristics that make the Internet a highly visible forum for such markets. Principles followed by firms already capitalizing on the Internet's electronic market potential are outlined. Waiting to see how the promise and possibilities of the electronic markets will evolve may appear to be the safest strategy in the short-term, particularly for managers averse to high risk. But, organizations must have ample opportunity to gain insight into the potential of electronic markets and to create the necessary experience and knowledge to capitalize on the opportunities that may emerge.