Scholarly record

APPLICATION OF AHP METHOD FOR FACTORS ANALYSIS INFLUENCING E-COMMERCE: CASE OF LATVIA

Inga Jēkabsone, Ina Gudele

Abstract

Several studies have recognized that e-commerce can have a positive impact on business, making enterprises work faster, more efficient and more economical. Taking into account political initiatives by the EU Member States towards digitalization, it is important to analyse the factors contributing to the development of the e-commerce, so decision-makers can develop the scenarios accordingly. Purpose of the study is to analyse the factors contributing to the development of the e-commerce proposing the scenarios towards development of the e-commerce in SME sector in Latvia. The tasks of the study: 1) to review theoretical background of factors contributing to the development of the e-commerce; 2) to analyse the results of conducted expert survey in context of factors contributing to the development of the e-commerce in the SME sector in Latvia; 3) to develop scenarios and recommendations towards development of e-commerce in the SME sector in Latvia. Research methods used in preparation of the paper: scientific publication and previous conducted research results analysis, analysis of the results of the expert survey using AHP method. The AHP analysis showed that the best scenario for e-commerce development in the SME sector in Latvia is following ?The state authorities develop policies and invest in educational activities, educating business leaders and employees about e-commerce opportunities and benefits, technological opportunities and the need for digital transformation?. Following factors such as ?Educational Opportunities?, ?Leadership?, ?Employee Competence? and ?Readiness to Accept Innovation? should be considered the most while implementing this scenario.

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