Measuring the performance of electronic marketplaces: An external goal approach study

Electronic Marketplaces (EMPs) are virtual intermediaries that facilitate exchanges of products between buying and selling organizations. Prior research has examined factors that explain the establishment of EMPs, but scant knowledge exists on how to determine their performance. This study draws on organizational theory to measure EMP performance, thereby utilizing the concept of goals and goal achievement as criteria for success or failure. In this empirical work, we classify EMP as successful or unsuccessful and compare this classification with data collected eight years later. Our research identifies critical EMP goals and promotes the use of goals to determine performance.