  This paper explores the issues that influence online retailing in Saudi
Arabia. Retailers in Saudi Arabia have been reserved in their adoption of
electronically delivered aspects of their business. Despite the fact that Saudi
Arabia has the largest and fastest growth of ICT marketplaces in the Arab
region, e-commerce activities are not progressing at the same speed. Only very
few Saudi companies, mostly medium and large companies from the manufacturing
sector, are involved in e-commerce implementation. Based on qualitative data
collected by conducting interviews with 16 retailers and 16 potential customers
in Saudi Arabia, several factors influencing online retailing diffusion in
Saudi Arabia are identified. However, government support comes the highest and
most influencing factor for online retailing growth as identified by both
parties; retailers and potential customers in Saudi Arabia.
