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Companies slow to use Internet for online business OECD
15 December 2004Companies in the 30 industrialized OECD nations have been slow to use the Internet for online business transactions, relying on it instead for information searches, the OECD said in a report.
The Organization for Economic Cooperation and Development found that only one in five enterprises in OECD member states enabled clients to purchase products online.
"Although the volume of electronic business transactions is rising steadily in the area of business-to-consumer e-commerce where small firms are increasingly active, gaps are visible in other sophisticated uses of information and communications technologies," the OECD said in its Information Technology Outlook.
It found that 24 percent of businesses in Japan, 20 percent in Canada, 17 percent in the United States and South Korea (news - web sites) and 14 percent in Germany and Ireland use information and communication technology in production.
The report argued that at a time when the gap between small and large firms in terms of technology adoption had narowed, the main challenge facing policymakers is "to ensure more generally the effective and productive integration of information and communications technology into business practices".
The report also found:
-- China's imports and exports of information technology have grown seven times as fast as such imports and exports in the OECD countries in recent years.
-- Rather than implementing protectionist measures in response to the "offshoring" of information technology activities, governments should invest in education and training to help companies adjust and employees find new jobs.
-- The likelihood that people will access the Internet at home increases with the level of education of the household head.
-- More than 35 percent of all shopping visits on the Internet in Britain and the United States are to eBay and Amazon.
Source: AFP via Yahoo
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