Seminar 4 – Part 1 E-Business and E-Commerce Ref: Chapter 6.

Seminar 4 – Part 1Seminar 4 – Part 1

E-Business and E-E-Business and E-CommerceCommerce

Ref: Chapter 6Ref: Chapter 6

Learning ObjectivesLearning Objectives

1. Describe electronic commerce, its scope, benefits, limitations, and types.

2. Explain how online auctions and bartering work.

3. Understand the major applications of business-to-consumer commerce, including service industries and the major issues faced by e-tailers.

4. Describer business-to-business applications.

5. Explain why intrabusiness and B2E are considered e-commerce.

Learning Objectives cont’dLearning Objectives cont’d

6. Describe e-government activities and consumer-to-consumer e-commerce.

7. Identify the e-commerce support services, specifically payments and logistics.

8. Understand the importance and activities of online advertising.

9. Identify and describe ethical and legal issues relating to e-commerce.

Problem – Leader & target for Compaq.Losses exceed $100 million.

Solution – Rapid expansion with selling via online.

Result – Leading systems provider in US; second worldwide. Fortune’s top 5 “Most Admired” companies since 1999.By-product – sell refurbished Dell computers.

Dell’s Vast Customer BaseDell’s Vast Customer Base

Business-to-Business

Dell becomes British Airways' preferred partner

Intel invests $23 million in three Indian firms

Dell’s Vast Customer Base – Dell’s Vast Customer Base – cont’dcont’d

How Dell Does IT: Order Management

Online self-learning about Dell products along with IT & management topics

Training services

E-Business and E-E-Business and E-CommerceCommerce

E-Business(EC) and E-E-Business(EC) and E-commerce (EB)commerce (EB)EC or EBPure vs Partial EC – Degree of

DigitizationEC Organisation

◦Brick-and-Motor Click-and-MotorVirtual

EC Transactions EC Transactions B2BC-COMMERCEB2C (e-tailing)C2CB2B2CC2BINTRABUSINESSG2C, G2G, G2B

Click-&-mortar vs Brick-&-Click-&-mortar vs Brick-&-mortar organizationsmortar organizations

More shoppers proceed to checkout online…………

A General E-Commerce ModelA General E-Commerce Model

Social Commerce – Company-Social Commerce – Company-sponsored Socially Oriented Sites sponsored Socially Oriented Sites to Bring People Together to Bring People Together

Hannah Montana

TheirSpace.com

Application Programming Application Programming Interface - ExamplesInterface - Examples

A framework for E-commerce A framework for E-commerce

E-Market TrendsE-Market Trends

Virtual Greats Profile

Major EC Mechanisms Major EC Mechanisms e-markete-cataloguese-auctions – soliciting bids

from/by buyers and sellers ◦Forward auction – for sale by sellers◦Reverse Auctions – buyer puts

request for quoteE-bartering

Electronic CatalogsElectronic Catalogs

All of Your Suppliers’ Products in One Online Catalog

E-AuctionsE-Auctions

E-ClassifiedsE-Classifieds

stores

business

eBay case study

Bartering & NegotiationsBartering & Negotiations

The New Age of Bartering

B2C Applications B2C Applications E-storefronts – one shop – 1 URLE-malls – collection of shops – 1

URLCyberbankingOnline Securities TradingOnline Job MarketsE-Travel E-Real EstateE-Entertainment

Electronic StorefrontsElectronic Storefronts

Electronic MallsElectronic Malls

shopping

Amazon – King of E-TailingAmazon – King of E-Tailing

Jeff Bezos: The Wizard Of Web Retailing

Last Founder Standing

The Future of Reading

America's Best Leaders: Jeff Bezos, Amazon.com CEOThe founder of the massive online retailer is a true Internet pioneer

Online Job MarketOnline Job Market

Travel ServicesTravel Services

Real Estate OnlineReal Estate Online

Customisation and Customisation and PersonalisationPersonalisationThe key to successful e-trading

Issues in E-TailingIssues in E-TailingResolving channel conflictResolving conflicts within click-

and-motor organisations Organising order fulfillment and

logisticsDetermining the viability and risk

of e-tailersIdentify appropriate revenue

models

B2B Applications B2B Applications Only businesses

◦Sell-side marketplace – buyer is the organisation

◦Buy-side marketplaces – Reverse auctions E-procurement

◦Public exchanges

E-Government to C2CE-Government to C2C

B2E – organizations disseminate information to employees over company intranet.

E2E – employees communicate with each other. I.e.: goods & services bought & sold among fellow employees.

SBU/SBU – company owned dealerships buy goods & services from main company. Improves internal supply chain operations.

E-Collaborative – digital technologies that enable collaboration.

E-Government – delivers information & services to citizens, business partners & suppliers. I.e.: G2C, G2B, G2G.

EC Support ServicesEC Support ServicesMarket Research for ECWeb Advertising E-Payments – Table 6.4

E-commerce support E-commerce support servicesservices

Market Research OnlineMarket Research Online

Credit CardsCredit Cards

How e-credit cards work. (The numbers 1-9 indicate the sequence of activities.) (Source: Drawn by E. Turban.)

E-WalletE-Wallet

The use of a mobile phone as an e-wallet.(Source: Koichi Kamoshida/Getty Images.)

E-Wallets – Apple ipodE-Wallets – Apple ipod

Order fulfillment and the Order fulfillment and the logistics systemlogistics system

Ethical and Legal Issues in Ethical and Legal Issues in EB and ECEB and ECPrivacyWeb tracking - draw back of

extensive profiling and personalisation

Loss of jobsBuyer protection Seller protection

Managerial IssuesManagerial Issues

E-Commerce failures – common. Solid business analyses a must.

Failed initiatives within an organization.Success stories & lessons learned

should be shared.Managing resistance to change.Integration into business overall.Lack of qualified personnel &

outsourcing.Managing impact on organization.Alliances can be very helpful &

productive.Choosing appropriate strategy.

ENDEND