Conclusion

Not all companies are ready to board the e-train. While the technology is changing every six months, and with the future of that technology still uncertain, companies in Asia find it futile to try and grasp the mercurial e-business. They propose to wait for a few years to see what actually works, rather than start the IT projects that require constant capital investments to maintain. These companies are now starting to feel the crunch from their lack of judgment. An internet year is equivalent to around two weeks, such that waiting for an extended period to join the trend can be fatal. The internet wave is moving into its second phase after the first euphoric explosion. The new e-business companies come armed with solid business plans, proven industry professionals, and pose a real threat to the industry's established companies. As these new competitors develop their e-business processes, customers are being trained away from traditional business practices, essentially phasing laggards out of their markets. While many of these companies fail, they are pushing technological thresholds, antiquating traditional companies' business models in the process. Benefits of e-business are rarely in the form of additional revenues. The capacity for originality on the internet should be exercised. Without developing something new, companies risk copying existing material, thereby limiting the appeal of their effort. Expectations are difficult to quantify, and are often too impatient. Seeking immediate benefits, companies adopt e-business in areas outside of core competencies, hoping either to boost revenues or to sell off the successful entity for millions of dollars. E-business is not a silver bullet; it takes time to realize the benefits, just like any new business practice.

The challenges the automotive industry in Asia faces with regard to the e-business age are enormous. Adequate moves have not been made in the right direction in Asian auto-industry. The industry's characteristic lack of flexibility makes implementing the fast decision-making processes needed for e-business difficult. The trial and error approaches are in stark contrast to the long-term strategic planning to which car makers are accustomed. It seems that the apparent answer is not to build the e-business from within, but from outside the organization. Those companies that become stuck in internal politics and develop risk-minimization strategies will miss the e-train entirely. Therefore, car manufacturers are being forced to form flexible decision-making structures as quickly as possible.

The reality is that there are many challenges and obstacles for e-business in the Asian auto industry and many losers in this trend are still to come. The biggest winner in the Asian auto industry's eventual transition to e-business practices will be the customer, who will enjoy greater convenience, less sales pressure, more choices, increased visibility, more information and lower prices.