fulltext (1)
fulltext (1)
January 2024
Ojobor, Rebecca Chidimma Dr.; Ukwoma, Scholastica C. Dr.; and Okafor, Victoria N. Prof., "E-commerce
and the Digital Economy: The Place of Nigerian Libraries" (2024). Library Philosophy and Practice (e-
journal). 8005.
https://digitalcommons.unl.edu/libphilprac/8005
E-commerce and the Digital Economy: The Place of Nigerian Libraries
Introduction
The Information Technology Revolution, which gave rise to the digital economy, has spurred
advancements in all fields of human endeavour and promoted the use of numerous marketing
strategies around the world. The terms "Web Economy," "Internet Economy," and "Online
Economy" are also used to describe the digital economy. It is an economy where transactions
between people take place over electronic networking and numerous online platforms
(Gazieva et al, 2021). According to the authors’ the digital economy has a similar structure to
the global physical economy but with quite different processes and strategies. The digital
economy includes all components and participants of digital value. This field of economy is
commerce, interactive online marketing, mobile solutions providers, games developers, and
social media providers. In the context of the study, the emphasis will be on e-commerce.
The term "e-commerce" stands for "electronic commerce," and it refers to the process
of buying and selling products and services as well as conducting business over the
"electronic network" (Mentsiev et al., 2019). E-commerce is the term for the digital exchange
of any goods, services, or information with the aid of global networks, enabling parties all
over the world to communicate with one another (Boßerhoff & Decken, 2022). It is a
marketing practice in which two or more individuals from one or more nations exchange
electronic goods and services using internet-connected devices. It is also known as the
promotion and sale of goods and services over the Internet in electronic settings (Khan,
2014).
directly influence the digital economy as the speed of growth and development of the
variables determines growth in the digital economy. Pan, etal, (2021) note that the elements
of the digital economy will be more highlighted in the development of e-commerce, and e-
commerce will become an indispensable part of the development of the digital economy;
As the entire world is becoming more and more dependent on technology making it
more responsive to the growing digital economy, e-commerce becomes a global issue and a
basic standard for marketing organizational products. The origin of e-commerce according to
Zwass (2003) dates back to 1948–1949 when suppliers and their corporate clients used telex
to exchange documents-like orders and invoices. The system was in place for many decades
until the publication of the first general standard in 1975 which resulted in the Electronic
Data Exchange (EDI). The electronic data exchange (EDI) standard was adaptable and
of e-commerce moved online with the widespread adoption of the Internet, the launch of the
World Wide Web in 1991, and the first browser for accessing it in 1993.
From 1995 onward, the growth of the internet rapidly boosted the application of e-
commerce in industrialized nations, whereas developing countries like Nigeria utilized it less
Technology (2012), Nigeria had only 200,000 internet users in 1999. However, the
government created a number of policies in an effort to increase internet usage and promote
e-commerce in the country, including the National Technology Policy in 2000, which had as
its goal "to make Nigeria an IT capable country" and significantly improve areas like
education, wealth creation, poverty eradication, job creation, and global competitiveness.
The National Information Technology Development Agency was also founded by the
government in 2007 with the goal of increasing internet usage across the country and creating
Despite all of the government's efforts, the country still struggles to have a reliable,
internet connection, which is required for conducting e-commerce. Khan (2014) confirmed
that the adoption and practice of e-commerce in Nigeria is still very slow and this has
practices may endanger its significance not only to the information seekers but also to the
educational progress of the country. The sudden outbreak of COVID-19 epidemic badly
industrialized countries the majority of schools and libraries in Nigeria were totally
shutdown. Hence the paper examines the place of Nigerian academic libraries in e-commerce
implementation in the digital economy; with specific reference to determining the limiting
factors to e-commerce practices and x-raying the strategies for improved e-commerce
Concept of E-Commerce
The improvement and growth of Internet technology over several decades have resulted in
what is today known as the web economy and e-commerce has evolved into a vital channel
for many transactions (Turban et al., 2018). According to Ogundele (2018), e-commerce
refers to commercial operations based on the processing and exchange of digital data, such as
text, voice, and visual pictures, which ultimately leads to a value exchange through
merchandise and e-finance. E-finance refers to the use of technology, including the internet,
to conduct a transaction involving banking, insurance, financial service, use of debit cards,
smartcards, telephone and internet, and mortgages. E-merchandise entails the selling of goods
and services using the electronic process and transferring goods through distribution
channels, such as clothes, hardware, travel, book, flower groceries, tickets, music, or gifts.
However, the two categories of e-commerce can occur in a variety of forms, including but not
organizations offer products or services to other companies. For instance, when Microsoft
sells its software to Volkswagen, the transaction is referred to as B2B trade. The author
further explained that B2C commerce happens when "business organizations sell products or
services to individual customers whereas C2C commerce takes place when people trade
goods and services online; this type of online commerce offers a marketplace where anybody
resulting in great changes in the mode of information flow in the knowledge society.
Recently the majority of the information appears in digital form; and is rapidly replacing the
traditional printed form, demanding for reformation in library services and operations. E-
commerce is an ongoing global trend and hence inevitable in library practices. The need for
an increasing preference for online resources. According to Pan et al. (2021) e-commerce is
essential for every existing organization, including the library, in order to maintain its
relevance in the digital era. The library's inclusion in e-commerce applications in the current
digital era is essential to the knowledge growth of its user community because it serves a
organizational products was the online library catalogues that were made accessible via the
Internet in the late 1980s. Since then the number of e-services available for delivering
information over the internet is continuously increasing. By using e-commerce models, for
example, the buying and selling of information, products and services via the internet, and
developing new models, libraries are well placed to promote their own successful futures
(Lothar, 2006). Kumbar and Mulla (2014) outlined e-acquisition, e-vendors, e-learning, e-
help desk, and e-catalogue as some library operations where e-commerce application is
gradually practised. This agrees with the view of Singh (2018) that information dissemination
has presently been fine-tuned in the new environment by the library and information science
(LIS) professionals. Gazieva et al., (2021) emphasize that the use of various social media
platforms such as Facebook, Instagram, WhatsApp, and SnapChat, in library services is other
As patrons grow accustomed to various virtual transactions and the technology for
participation on the internet becomes widely available, the provision of value-added services,
like online reference, e-reserves, and WiFi networking, further contribute to the transactions
and services typically offered by libraries. Such services and transactions according to
Lothar (2006) use an e-commerce model for efficient functioning; therefore, it can be argued
that libraries must keep abreast of new models of e-commerce to provide relevant services
and develop input where necessary, so as to predict changes and suitably adapt their way of
interacting and transacting online, whether it is free fee service or cost-recovery. Such is the
competitive nature of the World Wide Web that libraries are being challenged to demonstrate
their value.
The advent of information and computer technology and the adoption of e-commerce
techniques have to a great extent improved information service delivery and enhanced the
organizational practices outweigh the disadvantages (Okolie & Ojomo, 2020). It enables the
dissemination of library resources without physical opening and closing hour’s limits, making
consumers to access library materials at their convenience, Singh (2018) acknowledged that
information dissemination has currently been improved in the new environment. Utilization
of social media in library functions is a great opportunity for the library to lessen the complex
audience (Huang & Chang, 2019). Additionally, the ease of transactions made possible by e-
commerce via the e-payment platform has made it easier for libraries to subscribe to
databases and reduced the risk of carrying cash when purchasing library resources. With e-
commerce acting as the driving force, the creation of library websites becomes another
paradigm in the digital economy. Using the library's Universal Resource Locator (URL)
address, the library website offers online users both within and outside the building broad
According to Umar and Yakubu (2018), e-commerce applications have made it simpler to
adopt and implement IR, an institution's digital system for organizing and storing digital
content. IR enables present and future academics to access the intellectual resources created
commerce in libraries is extremely slow in a developing nation like Nigeria (Khan, 2014).
Challenges to E-Commerce Implementation in Nigerian Libraries
is relatively slow for a variety of reasons. Lawrence and Tar (2010) identified four categories
include but are not limited to infrastructural limitations, socio-cultural hurdles, socio-
economic barriers, and lack of government policy and support. These four categories of
This category according to Lawrence and Tar (2010), include access to technology
(computers, connectivity, and Internet gateways), constrained bandwidth, which reduces the
ability to handle audio and graphic data, inadequate telecommunication facilities (the
majority of which are still analogue and can only transmit voice), and unstable electricity
supply. These barriers are prominent in Nigeria because of the lack of appropriate IT
education (in schools and organizational sectors), perceived to be a reason why the potential
appreciated. A good number of library patrons in the nation lack the basic ICT skills to
operate the computer and access the internet. Poor ICT skill consequently precludes
customers from navigating freely and exchanging transactions in the digital environment.
Nwachukwu and Asom (2015) posit that a low level of ICT skill among patrons of Nigerian
available. In addition, the high cost of computer equipment is seen as one of the barriers to
the wide use of computers. Without computers, one cannot talk about Internet access. The
lack of computers at the individual as well as at the organizational level, therefore, becomes a
major barrier to accessing the Internet and participating in e-commerce (Lawrence and Tar
(2010). The potential benefits of using electronic commerce may become disadvantages in
the absence of sufficient fundamental infrastructure and required skills. Besides, limited
broadband penetration was disclosed by the 2019 Global Connection Index (GCI) ranking.
Nigeria was below the world average in the exercise, which gave the nation a 75th-place
ranking. In view of this, Zubairu et al., (2020) argued that the broadband penetration of
Nigeria is not comparable to that of other industrialized countries. The narrow bandwidths
given by many internet service providers (ISPs) in most developing nations like Nigeria as a
result of outdated and unstable telephone lines or intermittent power supply lead to low
connections. Folorunso et al (2006) confirmed that few Internet Service Providers exist, and
those offering Internet services often offer subpar services , causing most users to spend the
majority of their time accessing the Internet without signals. A survey conducted by John
and James (2017) revealed that only about one-third of libraries have broadband services that
factors that influence feelings, attitudes, values, thoughts, beliefs, interactions, and behaviors
of individual groups. According to (Lawrence & Tar, 2010) the social and cultural
characteristics of most developing countries and the concepts associated with online
transactions pose a much greater challenge and act as a major barrier to the adoption and
diffusion of e-commerce. The authors identified the level of trust in institutions, shopping as
a social place, limitation on personal contact and language/content as the most pressing socio-
enterprises in Nigeria occasionally lacked the necessary understanding, making it even more
phases -unawareness, building trust, confirming trust, and maintaining trust all of which are
Unfortunately, Nigeria faces difficulties in each of the four phases of e-commerce awareness
(Boßerhoff & Decken, 2022). Yeboah et al, (2020) stress that since online transactions are
carried out via a mobile network and involve electronic payment systems, and may happen
between anonymous parties, trust is a crucial adoption enabler in the context of e-commerce
deployment and requires careful consideration. However, the problem of trust gets difficult
in Nigeria where many people act confident rather than being confident. The issues brought
on by a lack of trust have kept many people and organizations away from Internet
transactions. The majority of libraries have been reluctant to adopt e-commerce because they
would insist on getting and inspecting the resources before making a payment out of concern
that certain vendors would deceive them into providing inferior goods. As a result,
subscriptions to databases and the acquisition of online resources are occasionally hampered
attract more customers, many vendors and organizations in Nigeria only offer attractive
websites while producing low-quality items and rendering low-quality services. Although
vendors do in fact provide essential infrastructural items and electronic resources that assist
libraries in serving their patrons, at what cost is it to users’ privacy? Owing to the openness
and accessibility of the Internet, the protection of personal data has been a constant source of
concern for Internet users and consequently has remained a threat to e-commerce
participation (Rachna & Singh, 2013). The ease with which consumers' private information,
their online browsing and transaction details can be collected online and the possibility of
such information being misused makes many organizations in the country reluctant to divulge
their personal information (Leo, 2004). To this end, Davi (2021) affirms that lack of trust is
include but not limited to poor economic condition, poor educational system, poor payment
systems and poor distribution systems. The library is not an exception to how these issues
affect her citizens and companies in embracing and implementing e-commerce. The fiscal
commerce. The library operates on a 10% funding allocation from the government and is a
non-profit making institution. Khan (2014) maintained that the library as a non-profit
making organization could not afford to put up an enabling environment that is flexible
enough to accommodate electronic services. Due to their financial hardships, many libraries
across the nation are unlikely to participate fully in e-commerce because it depends on certain
technological infrastructures that they cannot afford. Despite recent reductions in the upfront
and continuing costs of Internet connectivity, finance remains a significant barrier to the
setting that supports the establishment of transactional integrity as regards payment systems
(Oxley & Yeung, 2001). Reliable and secured payment channels such as credit, debit, or
smart cards as well as e-currencies will promote the growth of e-commerce in a nation. A
dependable and safe means of payment will enhance the distribution and delivery of goods
ordered online to the customer, whether they are delivered digitally or physically. However,
Nigeria's poor payment system consistently makes it challenging for the country to conduct
online business. Recently, Nigeria embarked on a redesigning of the Naira notes. This was
not only badly timed but it also entailed that most individuals had to adopt electronic
payments ultimately resulting in horrendous experiences for the public. Currently, the nation
high youth unemployment, and a slowing GDP (Ndukwe, 2023). The problems associated
with Internet payment are in relation to the inability of the Internet to guarantee the safety of
such payments and the possibility of duplicating payments since a computer could potentially
become a forger of digital banknotes (Rachna & Singh, 2013). These obstacles restrict e-
The last but the least among the detrimental factors to e-commerce transactions in
Nigerian libraries is the lack of government policy and support. The government's dedication
to and involvement in the provision of Internet services, together with the elimination of
import duties, would lower costs, making equipment more accessible and promoting Internet
usage and hence give room for e-commerce practices. Lawrence and Tar (2010) support the
view that the development of an environment for the widespread use of the Internet in many
information policy nor a government strategy for Internet access or e-commerce is in place.
Ogundele (2018) confirmed that there are currently no specific laws on e-commerce in
Nigeria, however, there exist some scanty provisions of the law, but they have not addressed
The study concludes that e-commerce is a necessary component of the digital economy. It
has altered many organizations' strategies and priorities, including libraries. E-commerce has
changed how people traditionally view librarianship by making it more engaging, alluring,
and motivating. Libraries are now more innovative in their practices thanks to e-commerce's
implementation are still limited in Nigeria libraries. Hence, the study offers the following
• Improved library funding: Improved funding is the key to success in all organizations
e-commerce.
facilities will address the issue of low broadband connectivity and improve e-
• Organizing training to ensure that library patrons are acquainted with the basic skills
Boßerhoff and Decken, (2022) are essential for a sustainable e-commerce structure in
a nation
• Young librarians should also seek and search for free online training to equip them with
• There is a need for the government to have policy and support for e-commerce in
Nigeria by reducing taxes for internet providers so that they can provide adequate free
Ajao, B. F., Oyebisi, T. O., & Aderemi, H. O. (2018). Factors influencing the implementation
of e-commerce innovations: The case of the Nigerian informal sector. African Journal
of Science, Technology, Innovation and Development, 10(4), 473-481.
https://doi.org/10.1080/20421338.2018.1475541
Boßerhoff, T.A. & Decken, J.V (2022). E-commerce in Nigeria - A qualitative study on
challenges in the Nigerian e-commerce landscape and solution approaches. Master
Thesis in Business Administration. Jönköping University of International Business
School, Gjuterigatan, Sweden
Davi, D. (2021). The impact of lack of trust in organizations. https://www.danieledavi.com
Folorunso, O., Awe, O.G., Sharma, S.K. & Jeff, Z. (2006). Factors affecting the adoption of
e-commerce: A study in Nigeria. Journal of Applied Sciences 6: 2224-2230.
https://scialert.net/abstract/?dio=jas.2006.2224.2230
Gazieva, L.R., Magomaev, T.R. & Magomaeva, L.R. (2021). The Impact of e-commerce on
the digital economy. European Proceedings of Social and Behavioural Sciences
(EpSBS). https://www.europeanproceeding.com
Huang, S. L., & Chang, Ya-C. (2019). Cross-border e-commerce: consumers' intention to
shop on foreign websites. Internet Research, 29(6), 1256-1279.
https://doi.org/10.1108/INTR-11-2017-0428
.
Ibanga, I. (2017, May 10). Problem and prospect of e-commerce in Nigeria nature of e-
commerce in Nigeria. https://infoguidenigeria.com/problem-prospect-e-commerce-
nigeria .
John, S. & James, L. (2017). Connecting libraries to the future https://www.ctcnet.us/wp-
content/uploads/2018/06/Bandwidth-for-the-Library-of-the-Future-FINAL-
20171025.pdf
Leo, R.V.(2004). Predicting consumers intention to use online shopping: The case for an
augmented technology acceptance model. Information. Management.41(6) 747-762.
https://doi.org/10.1016/j.im.2003.08.011
Lothar V. R. (2006) E-commerce for library promotion and sustainability: How library
technicians can market themselves and their library’s services online. The Australian
Library Journal, 55(2) 102-130. https://doi.org/10.1080/00049670.2006.10721831
Mentsiev, A. U., Anzorova, A. I., Abubakarov, M. V., Cheldieva, Z. K., & Sugarova, V. B.
(2019). E-commerce in the chechen republic: current state, problems and solutions.
Proceedings of the International Session on Factors of Regional Extensive
Development (FRED 2019), 113, 261-266. https://www.atlantis-
press.com/proceedings/fred-19/125931833#:~:text=https%3A//doi.org/10.2991/fred%2D19.2020.53
Ndukwe, J (2023, March 5). Naira redesign and cashless policy in Nigeria.
https://www.researchgate.net/publication/369013173_NAIRA_REDESIGN_AND_C
ASHLESS_POLICY_IN_NIGERIA
Nwachukwu, N.V & Asom, F. (2015). Utilization of computer technology for academic work
by lecturers of university of Jos-Nigeria. International Journal of Library and
Information Science Studies 1(2) 14-22. www.eajournals.org
Ogundele, G.P. (2018). Developing legal framework for electronic commerce in Nigeria:
some lessons from U.K and Singapore. https://ssrn.com/abstract=3182325
Okolie, U. C., & Ojomo, A. H. (2020). E-commerce in Nigeria: Benefits and challenges.
https://doi.org/10.22364/hssl.28.2.05
Oxley, J. E., & Yeung, B., (2001), E-commerce readiness: institutional environment and
international competitiveness, Journal of International Business Studies, 32 (4):705-
723. https://www.jstor.org/stable/3069473
Pan, C.L Yu,Y. Zhou, W. Zheng, W. Ou, C & Xu, H. (2021). Research on digitizing and e-
commerce in the era of the digital economy. A paper presented at the 2nd
International Conference on E-Commerce and Internet Technology(ECIT)
https://www.researchgate.net/publication/351655501
Rachna, M. and Singh, P. (2013). Issues and challenges of electronic payment systems.
international Journal for Research in Management and Pharmacy 2(9).
www.raijmr.com
Smith, B. C. (2003) Understanding third world politics (2nd Ed.) Basingstoke: Palgrave
Turban, E. Outland, J. and King, D. (2018), “Electronic commerce 2018: A managerial and
social networks perspective. Springer: Switzerland
Umar, L. & Yakubu, F. (2018). Enhancing scholarly communication through institutional
digital repository technology. https://www.researchgate.net/publication/324542725
Yeboah, E., Boateng, R., Owusu, A., Afful-Dadzie, E. & Ofori-Amanfo, J. (2020). Assessing
the role of trust in merchant adoption of mobile payments in Ghana. Pub Med,12066:
204–215. https://link.springer.com/chapter/10.1007/978-3-030-44999-5_17
Zubairu, H. A., Oyefolahan, I. O., Babakano, F. J., Etuk, S. O., & Mohammed. I. (2020).
Assessing the e-readiness of Nigeria for the digital economy. American Journal of
Computer Science and Information Technology.8 (2):50.
https://www.imedup.com/computer-science-and-information-technology