E BUSINESS
Ø
The internet is a powerful channel that presents
new opportunities for organization to;
§
Touch customers
§
Enrich products and services with information
§
Reduce costs
Ø
How do ecommerce and e business differ?
§
Ecommerce – the buying and selling of goods and
services over the internet
§
E business – the conducting of business on the
internet including, not only buying and selling, but also serving customers and
collaborating with business partners
E BUSINESS MODELS
Ø
E business model – An approach to conducting
electronic business on the Internet
Business-to-Business
(B2B)
Ø
Electronic marketplace (E market place) –
interactive business communities providing a central market where multiple
buyers and sellers can engage in e business activities.
Business-to-Consumer
(B2C)
Ø
Common B2C e business models include;
§
E shop – A version of retail store where
customers can shop at any hour of the day without leaving their home or office
§
E mall – consists of a number of e shops; it
serves as a gateway through which a visitor can access other e shops
Ø
Business types;
§
Brick-and-mortar business
§
Pure-play business
§
Click-and-mortar business
Consumer-to-Business
(C2B)
Ø
Priceline.com is an example of a C2B e business
model
Ø
The demand for C2B e business will increase over
the next few years due to customer’s desire for greater convenience and lower
prices
Consumer-to-Consumer
(C2C)
Ø
Online auctions
§
Electronic auction (E auction) – Sellers and buyers
solicit consecutive bids from each other and prices are determined dynamically
§
Forward auction – Sellers use as a selling
channel to many buyers and the highest bid wins
§
Reverse auction – Buyers use to purchase a
product or service, selecting the seller with the lowest bid
Ø
C2C communities include;
§
Communities of interest – People interact with
each other on specific topics, such as golfing and stamps collecting
§
Communities of relations – People come together
to share certain life experiences, such as cancer patients, senior citizens,
and car enthusiasts
§
Communities of fantasy – People participate in
imaginary environments, such as fantasy football teams and playing one-to-one
with Michael Jordan
EBUSINESS BENEFITS AND CHALLENGES
Ø
E business benefits include;
§
Highly accessible
§
Increased customer loyalty
§
Improved information content
§
Increased convenience
§
Increased global reach
§
Decreased cost
Ø
E business challenges include;
§
Protecting consumers
§
Leveraging existing systems
§
Increased liability
§
Providing security
§
Adhering to taxation rules
Ø
There are numerous advantages and limitations in
e business revenue models including;
§
Transaction fees
§
License fees
§
Subscription fees
§
Value-added fees
§
Advertising fees
MASHUPS
Ø
Web mash up – A Web site or Web application that
uses content from more than one source to create a completely new services
§
Application programming interface (API) – A set
of routines, protocols, and tools for building software applications
§
Mash up editor – WSYIWYGs (What You See Is What
You Get) for mash ups
No comments :
Post a Comment