Effects Of E-Commerce On Ethiopian Commodity Exchange Operational Performance

Abstract

The objective of this study was to analyze the effects of electronic commerce on Ethiopian commodity exchange (ECX). This study used case study method due to its convenience and economic of use. The study was included 157 respondents of which composed of 90 Male and 67 Female. Structured self-administered questionnaires used to collect data from participants, Inferential analysis such as Descriptive, Correlation and standard multiple regression analysis were used to analyze data and examine the relationship. The correlation analysis illustrated statistically significant Strong Positive relation between Electronic trade or e-commerce (as measured by the Trust, Attitude, perceived benefit and perceived risk) and ECX perceived operation practice (as measured by constructs of price discovery scale, market expansion scale, access to market scale and ECX Operation scale. Standard multiple regression were carried out to examine the prediction extent of four predictors of the electronic trading Perceived benefit, Trust and Attitude on ECX and the result showed that among the four variables, Perceived Benefit Beta=.256, P<.05, Trust Beta=.298; P<.05 and Attitude (Beta=.252; P<.05) are making statistically significant unique contribution to explaining the ECX perceived operational Performance when the variance explained by all other variables in the model is controlled for. In conclusion, the correlation analysis proved direct strong positive correlation between e-commerce and ECX and the Regression analysis predicted the extent that the adaption of electronic trading has significant effect on ECX operational performance. This study confirmed empirically that the adaption of electronic trade has an effect on ECX operational performance and hence, it is recommended to expand the existing platform to regional level by constructing remote training center that are equipped with electronic trade platform so that all stakeholders can access the platform and as many products as possible to be exchanged via the electronic commerce exchange.