Impact of International Networks on Standardization Process in Banking Industry： Example of Secure Electronic Transaction （SET） Initiative

The purpose of this article is to present and interpret the case study of the secure electronic transaction （SET） scheme of Internet security, as an illustration of the necessary construction of interoperability solutions for financial services. The interpretation of case data with actor network theory （ANT） provides an illustration of power coalitions among banks to create a de facto standard for transnational electronic payment security on the Internet. After a step of protecting its political interests and well-known technological solutions, the coalition understands that its mission becomes a matter of life and death for its members： Brand-new currency has been invented on the Web and one could develop business and monetary transactions without the banks. This interpretative stage tells us much about the transnational mechanisms of regulation and standardization as well as the ＂translation＂ steps regarding these transnational organizations. However, an additional step has to be added to this interpretative step, a step of framework construction. The aim is to help managers of the transnational firms involved in regulations and standardization to anticipate the evolutions and make relevant decisions. The framework has three distinctive characteristics： the ability to help conception, the ability to help conceive problems ＂ex ante＂, and the ability to facilitate collective conception of strategic maneuvers.