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Smaller companies lag behindl the Fortune 1,000 in e-commerce, according to a new study by the Yankee Group, a technology research firm based in Boston. The study found that 23% of middle market companies have an e-commerce Web site as opposed to 38% for large companies.
While some of these e-commerceventures have succeeded, 45% of surveyed smaller companies say their e-commerce efforts are unsuccessful and they need a third-party help turn their Web efforts around. The study also reveals that the penetration of basic technology such as local and wide-area data network among middle market companies is high, with 80% reporting close to 100% penetration, however, their adoption of advanced technology that leverages the Internet and voice/data convergence is not widespread.
"The middle market is using the Internet as a 'getting connected' tool," says Michael Speyer, associate director for the Yankee Group. "The vast majority of companies reported that giving employees Internet access and using it to connect remote workers to the corporate network are their top priorities for 2000."
The Yankee Group surveyed 300 middle market companies for the survey and defines them as companies with more than 500 employees and annual revenues between $100 million and $1 billion.