helpful slides for electronic commerce

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    E-commerce

    Overview of ElectronicCommerce

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    1. Defne electronic commerce (EC) and

    describe its various categories.2. Describe and discuss the content and

    ramework o EC.

    3. Describe the maor t!"es o EC

    transactions.#. Discuss e$commerce 2.%.

    &. Describe social commerce and socialsotware.

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    '. nderstand the elements o the digital world.

    . Describe the drivers o EC as the! relate tobusiness "ressures and organi*ationalres"onses.

    +. Describe some EC business models.

    ,. Describe the benefts o EC to organi*ations-consumers- and societ!.

    1%.ist and describe the maor limitations o EC.

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    /ocial networking continues to grow

    E0"ansion o social e$commerce "latorm

    obile com"uting begins to rival C

    ocali*ation o e$commerce (rou"on)

    E0"losive growth in online video viewing

    Continued "rivac! and securit! concerns

    E-commerce Trends 2011-2012

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    4irst 1' !ears o e$commerce

    5ust the beginning

    6a"id growth and change

    7echnologies continue to evolve ate0"onential rates

    Disru"tive business change

    8ew o""ortunities

    The First 30 Seconds

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    se o 9nternet and :eb to transact business

    7he "rocess o bu!ing- selling- or e0changing"roducts- services- or inormation via com"uternetworks

    ore ormall!;

    Digitall! enabled commercial transactionsbetween and among organi*ations andindividuals

    What is E-commerce?

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    E$business;

    < broader defnition o EC that includes not ustthe bu!ing and selling o goods and services-but also servicing customers- collaborating withbusiness "artners- and conducting electronictransactions within an organi*ation

    Digital enablement o transactions and"rocesses within a frm- involving inormations!stems under frm=s control

    Does not include commercial transactions

    involving an e0change o value acrossor ani*ational boundaries

    E-commerce vs. E-business

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    E$commerce technolog! is di>erent- more

    "owerul than "revious technologiesE$commerce bringing undamental changes to

    commerce

    7raditional commerce;assive consumer

    /ales$orce driven

    4i0ed "rices

    9normation as!mmetr!

    Why Study E-commerce?

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    Pure versus Partial E

    EC can take several orms de"ending on the degree odigiti*ation

    1. the "roduct (service) sold

    2. the "rocess (e.g.- ordering- "a!ment-ulfllment)

    3. the deliver! methodbrick$and$mortar (old econom!) organi*ations

    ?ld$econom! organi*ations (cor"orations) that"erorm their "rimar! business o>$line- selling "h!sical"roducts b! means o "h!sical agents

    virtual ("ure$"la!) organi*ations?rgani*ations that conduct their business activitiessolel! online

    click$and$mortar (click$and$brick) organi*ations

    ?rgani*ations that conduct some e$commerceactivities- usuall! as an additional marketing channel

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    electronic market (e-marketplace)

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    1. biAuit!

    2. lobal reach

    3. niversal standards

    #. 9normation richness

    &. 9nteractivit!

    '. 9normation densit!

    . ersonali*ationBcustomi*ation

    +. /ocial technolog!

    %ni&ue Features o# E-commerce

    Technolo'y

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    intranet

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    Classifed b! market relationshi"

    usiness$to$Consumer (2C)E$commerce model in which businesses sell to individual

    sho""ersusiness$to$usiness (2)E$commerce model in which all o the "artici"ants are

    businesses or other organi*ationsConsumer$to$Consumer (C2C)

    E$commerce model in which individuals use the 9nternetto sell "roducts or services to organi*ations or individualswho seek sellers to bid on "roducts or services the! need

    Classifed b! technolog! used

    eer$to$eer (2)

    obile commerce ($commerce)

    Ty$es o# E-commerce

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    location-based commerce (l-commerce) targeted to individuals in s"ecifc locations- at s"ecifc times

    intrabsiness EC internal organi*ational activities

    bsiness-to-employees (!"E) organi*ation delivers services- inormation- or "roducts to its

    individual em"lo!ees collaborative commerce (c-commerce)

    individuals or grou"s communicate or collaborate online e-learning

    7he online deliver! o inormation or "ur"oses o training oreducation e-government

    a government entit! bu!s or "rovides goods- services- orinormation rom or to businesses or individual citi*ens

    Exc#ange < "ublic electronic market with man! bu!ers and sellers

    +ther Ty$es

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    $#e %tre of EC

    &eb "'

    7he second$generation o 9nternet$basedservices that let "eo"le collaborate and shareinormation online in "erceived new wa!s

    such as social networking sites- wikis-communication tools- and olksonomies

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    :orldwide network o com"uter networks built on

    common standards

    Created in late 1,'%s

    /ervices include the :eb- e$mail- fle transers-

    etc.

    Can measure growth b! looking at number o9nternet hosts with domain names

    The ,nternet

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    ost "o"ular 9nternet service

    Develo"ed in earl! 1,,%s

    rovides access to :eb "ages

    7 documents that ma! include te0t- gra"hics-animations- music- videos

    :eb content has grown e0"onentiall!oogle inde0es between & F 1%% billion "ages

    The Web

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    recursors;

    a0ter ealthcareElectronic Data 9nterchange (ED9)

    1,,&; eginning o e$commerce

    4irst sales o banner advertisements

    E$commerce astest growing orm o commerce innited /tates

    +ri'ins ro(th o# E-commerce

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    7he 9nternet and :eb; 5ust two o a long list o

    technologies that have greatl! changedcommerce

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    E0"ensive technolog!

    /o"histicated skill set

    ersistent cultural attraction o "h!sical marketsand traditional sho""ing e0"eriences

    ersistent global ineAualit! limiting access to

    tele"hones and com"uters

    /aturation and ceiling e>ects

    Potential /imitations on the

    ro(th o# 2 E-commerce

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    1,,&$2%%%; 9nnovation

    Ge! conce"ts develo"ed

    Dot$comsH heav! venture ca"ital investment

    2%%1$2%%'; Consolidation

    Em"hasis on business$driven a""roach

    2%%'$resent; 6einventionE0tension o technologies

    8ew models based on user$generated content-social networks- services

    E-commerce! rie# istory

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    bsiness model

    < method o doing business b! which acom"an! can generate revenue to sustainitsel

    E usiness odels

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    /i0 elements o a business model include descri"tionso;1. Customers to be served and the com"an!=s relationshi"s

    with these customers including customers valueproposition

    2. er3. 7he business process reAuired to make and deliver the

    "roducts and services#. 7he resources reAuired and the identifcation o which ones

    are available- which will be develo"ed in house- and whichwill need to be acAuired&. 7he organi*ation=s supply chain- including suppliers and

    other business partners'. 7he revenues e0"ected (revenue model)- antici"ated costs-

    sources o fnancing- and estimated "roftabilit! (fnancialviability)

    E usiness odels

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    revene model

    Descri"tion o how the com"an! or an EC "roect willearn revenue7he maor revenue models are;

    /ales 7ransaction ees /ubscri"tion ees

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    EC usiness odels

    ?nline direct marketing

    Electronic tenderings!stems.

    8ame !our own "rice

    4ind the best "rice

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    tendering (bidding) system

    odel in which a bu!er reAuests would$besellers to submit bidsH the lowest bidder wins

    name-yor-own-price model

    odel in which a bu!er sets the "rice he or

    she is willing to "a! and invites sellers tosu""l! the good or service at that "rice

    EC usiness odels

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    a*liate marketing

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    SEs

    /mall$to$medium enter"rises

    grop prc#asing

    Kuantit! (aggregated) "urchasing thatenables grou"s o "urchasers to obtain a

    discount "rice on the "roducts "urchased

    EC usiness odels

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    e-co-ops

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    social networks

    :eb sites that connect "eo"le with s"ecifedinterests b! "roviding ree services such as"hoto "resentation- e$mail- blogging- etc.

    usiness$oriented networks are social

    networks whose "rimar! obective is toacilitate business

    /ocial and usiness

    8etworks

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    corporate portal

    < maor gatewa! through which em"lo!ees-business "artners- and the "ublic can enter acor"orate :eb site

    7he Digital Enter"rise