Stakeholder power in e-business adoption with games theory perspective

Abstract

[Abstract]: The likelihood that one organisation can pressure the e-business adoption practices of other organisations depends on two conditions: there must be sufficient power difference between the organisations; and the e-business process benefit must be sensitive to the number of adopters. Given these two conditions, the powerful organisation can use their power advantage to control adopter numbers through urging or suppressing adoption by others. Examples from practice are provided, a theoretical framework capturing the three dimensions of factors is developed, and games theory is used to explore the range of possible outcomes when pressure to adopt is brought to bear when power between organisations is unequal.