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An Empirical Study of the Impact of IT Intensity and Organizational Absorptive Capacity on Customer Relationship Management Performance

In recent years, e-Business has emerged as a mainstream business practice. Engaged in highly competitive Internet -enabled markets, many business organizations have turned to customer relationship management (CRM), a computer -based information system that allows them to gain greater insight into their customers’ needs, to gain a competitive advantage. Consequently, CRM has risen to become a key ebusiness issue. Yet, many critical organizational factors underlie the success and performance of CRM. This study examines the impact of information technology (IT) intensity and organizational absorptive cap acity on CRM practices and performance, and presents a research model. Data collected through a survey of Taiwan financial service institutions suggest that CRM practices mediate the effects of IT intensity and organizational absorptive capacity on CRM performance.