Document Type : Research Paper

Authors

1 PhD student in economics, Islamic Azad University of Firouzkuh

2 Associate Professor, Department of Economics, Islamic Azad University, Firoozkuh Branch

3 Associate Professor, Department of Economics, Islamic Azad University

Abstract

The purpose of this article is to evaluate factors affecting expansion of e-commerce in Iran in a provincial level using panel-data regression model for period 2013 to 2016 in 30 Iranian provinces. The results show that about 5 percent of gross domestic product (GDP) in Iran has been created by e-commerce. The most important factors affecting expansion of e-commerce include: number of e-commerce businesses, penetration rate of landline phone, penetration rate of mobile phone and internet bandwidth. The estimated coefficient for variables of the number of e-commerce businesses, penetration rate of landline phone, penetration rate of mobile phone and internet penetration rate are 0.045, 0.022, 0.009 and 0.006 respectively and they are statistically significant. The results show the greatest influence on e-commerce is made by "internet penetration rate" that can be used as the driving engine of e-commerce. This means that with increasing internet penetration rate in Iranian provinces, the gap in e-commerce between provinces can be decreased. The second influential variable on expansion of e-commerce is "number of e-commerce businesses". In addition, penetration rates of mobile and landline phone are other variables influencing expansion of e-commerce in Iran.

Keywords

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