Jo Rhodes-Lok, University of Cape Town
South African rural economic development, especially for women, has in the main failed to substantially eradicate poverty. At the macro level it is posited that the most effective poverty alleviation policies are those that achieve equity through redistribution whilst simultaneously enhancing the efficiency of the markets used by poor people. Worldbank research suggests that investment in infrastructure and ITCs may catalyze the break down of some of the existing market barriers many poor people experience. This assertion is strengthened by a number of micro levels studies pointing out that marketing is a crucial, yet largely ignored and or misunderstood component in rural economic development.
This paper discusses the application of E-commerce models to improve marketing in women's co-operative trading activities. The investigation area is complex (it involves people and systems) and very little is known about the use of IT to develop local South African rural economies. Further, E-commerce is still in the process of diffusion and the phenomena is highly unstable. This scenario strongly suggests that it is necessary to undertake exploratory research to develop a new body of empirical knowledge from which theories might be postulated at a later stage. Building on the base of prior research exposing the women's co-operative to technology through a local telecentre this paper identifies the women's understanding and current use of marketing principles and makes recommendations for choosing research methodology that will: -