American Journal of Economics and Business Administration

Exploratory Study of E-Procurement Adoption in Indian and Chinese Companies: Case Study with Innovation Approach

Vijaykumar R. Salkute and Zonal Manager

DOI : 10.3844/ajebasp.2013.107.115

American Journal of Economics and Business Administration

Volume 5, Issue 3

Pages 107-115


Adoption of an E-procurement system offers a company many benefits in terms of tremendous cost savings and efficiency in procurement process. Therefore, E-procurement is constantly receiving lots of attention from companies in global markets. Although the benefits of e-procurement are plenty, the reality is that it is not being adapted to the much extent in developing countries. However, Indian and Chinese companies are planning to successfully adopt strategic approach for adopting e-procurement systems. Since the compatibility of e-procurement is somewhat barrier for implementation and integration of existing infrastructure, however in reality the cost savings are overpowering the risks. The present study explores how the tangible benefits and risks associated to e-procurement affect the e-procurement adoption and further explores the impact of e-procurement adoption in India and China. By using Indian and Chine firms, the results show that cost benefit is the main driver for companies to adopt e-procurement in India.


© 2013 Vijaykumar R. Salkute and Zonal Manager. This is an open access article distributed under the terms of the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original author and source are credited.