The core purpose of this text is to account for the apparent discrepancy between the business benefits frequently attributed to the implementation of Electronic Data Interchange (EDI) and the relatively small number of actual adopters. To solve this problem, the book has been divided into two main parts. The first part examines the theoretical foundations of EDI, contains a descriptive analysis of its various technical and operational prerequisites, and analyzes the extent of the business benefits that may be derived. Furthermore, relevant aspects of innovation diffusion theory are reviewed. The second part reports the findings of a broad empirical investigation in Europe and North America. Statistical hypothesis testing is employed to draw specific conclusions with respect to EDI's implications for user-organizations, telecommunications service providers and public policy.