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Evaluating the Impact of Government Policies and Regulations on M-Commerce in India

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International Journal of Business and Management; Vol. 7, No. 23; 2012 ISSN 1833-3850 E-ISSN 1833-8119 Published by Canadian Center of Science and Education

Evaluating the Impact of Government Policies and Regulations on M-Commerce in India: A System Dynamics Modelling Approach Deepali Sharma1, Diatha Krishna Sundar2 & Rajluxmi V. Murthy3 1 2 3

Deepali Sharma, Broadcasting Corporation of India, India Chairperson-POMA & Chairperson–ERP Center, Indian Institute of Management Bangalore, India Indian Institute of Management Bangalore, India

Correspondence: Diatha Krishna Sundar, Chairperson-POMA & Chairperson-ERP Center, Indian Institute of Management Bangalore, Bannerghatta Road, Bangalore 560076, India. Tel: 91-802-699-3276. E-mail: diatha@iimb.ernet.in Received: July 31, 2012 doi:10.5539/ijbm.v7n23p54 Abstract Mobile Commerce (M-Commerce) is a subset of E-Commerce, which includes all E-Commerce transactions, carried out using mobile (handheld) device(s). With significant uncertainties and complexities due to evolving business and regulatory models, growth of M-Commerce is a function of appropriate and timely policy interventions from the government(s). M-Commerce business growth is further complicated by the involvement of several interrelated stake-holders and various regulatory agencies that are part of the M-Commerce eco-system, which comprises of mobile telecom service providers, banking/financial institutions, content facilitators, retailers, mobile terminal industry, and end users as the major stake-holders. To understand the M-Commerce growth facilitators in India, where M-Commerce is at its infancy, system dynamics simulation models are developed. The simulation models are used to analyze the impact of policy and regulatory interventions on the growth of M-Commerce in India. These models can help policy makers in understanding the inter-play between various independent regulatory/policy approaches and assessing their impact in a holistic manner on...

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