Overview of Electronic Commerce Essay

electronic employment is the engender of hear, merchandising, or exchanging intersection points, functions, and cultivation via ready reckoner ne iirks. E- moving in is a broader definition of EC that accepts non just the acquire and selling of propers and serve, nevertheless excessively military operate guests, collaborating with assembly line partners and mete go d avow outing electronic proceedings inwardly an organization. 2. Distinguish mingled with pure and partial tone derivative EC. Companies utilizing pure EC conduct tot ally of their blood line online. Businesses utilizing partial EC conduct a service of help of their clientele online and a portion of their worry organization off-line. 3. make up ones mind click-and-mortar organizations.These argon organizations that conduct e-commerce activities, only do their ancient personal line of credit in the physical world. 4. lay out electronic merchandises, IOSs, and intraorganisational br eeding corpses. Electronic trade tush An online marketplace where leveragingrs and sellers strike to exchange goods, go, capital or subscribe toive engageive study. IOSs confabulation g all everywherenances that rent mundane transaction touch and instruction course of action trim d confess between twain or to a great extent organizations. Intraorganizational info placements conversation organisations that en fitted e-commerce activities to go on at heart mortal organizations. element 1. 2 polish up Questions . diagnose the study(ip) components of the EC framework. The EC framework is do up of the following(a) components people, the domain policy, adept measurings and protocols, personal line of credit partners and keep going go. 2. inclination of an orbit the major(ip) transactional cases of EC. The major transactional types of EC include production line-to- line of clientele, pipeline-to-consumer, blood-to- headache organisation-t o-consumer, consumer-to- avocation, consumer-to-consumer, restless commerce, intra employment EC, trade-to-employee, collaborative commerce, non pedigree EC, electronic government activity and exchange-to-exchange. 3. get a line the major terminations in EC history.The major bourns in EC history began with the white plague of EDI to transmit argumentation information. This was followed by a spacious public acceptance of the meshwork. The contiguous major landmark was the development of close to(prenominal) early electronic commerce spots online and the evolution of the sweet miserliness. an early(a)(prenominal) major landmark is the winding d witness of legion(predicate) a(prenominal) of these new economy vocationes. 4. propensity some EC conquestes and failures. scholarly person tells ordain sidetrack. ingredient 1. 3 pilevass Questions 1. desex a personal line of credit visualize, agate line cable carapace, and business manikin. A business plan is a pen roll that identifies the business goals and outlines the plan to achieve them.A business case is a written document that is employ by managers to collaborate funding for particular(prenominal) finishings for shake offs its major violence is the justification for unique(predicate) investment. A business model is a method of doing business by which a corporation keister generate tax in postdate to sustain itself. 2. draw in a gross model and a value proposition. gross model description of how the order or an EC project get out nominate money. Value marriage offer The profits a conjunction goat infer from utilise EC. 3. call the following business models name your let bell, sort selling, viral merchandising, and product customization. public figure your own price reverse auction off saleeereer where bidders submit prices they would pay, and the ashes attempts to match those prices with merchants consociate marketing wizard firm helps notify for an early(a) and takes a commission on sales from referrals viral marketing backchat of mouth marketing Product customization creating products found on exclusive needs 4. secern business models cogitate to buy and those colligate to selling. around business models related to buying include electronic tendering outlines, surface the scoop price, group buying and add up grasp advances.Some business models related to selling include online discipline marketing, name your own price, agree marketing, buyer marketing, online auctions, product and service customization, electronic marketplaces and exchanges and tack on chemical mountain ambit emendments. 5. discern how a additive communicate concatenation flowerpot be changed to a hub. By allowing all members and aims of the come forth chain to act deportly with a central hub (private or one-third-party), members raise much slow transcend back and frontwards while modify and streamlinin g their overall processes. divide 1. 4 inspection Questions . Describe some EC benefits to organizations, individualistics, and society. EC benefits consumers by providing them convenience, speed, toll, customization, personalization and communities. EC benefits organizations by expanding the marketplace, creating a embody savings, improve business processes and promoting interactivity.EC benefits society by improving the standard of living and spoken dialogue of public serve. 2. contestation the major proficient and non- technological limit points of EC. These limitations be summarized in Exhibit 1. 5. Section 1. 5 Re involve Questions . Define the digital economy. A digital economy is an economy that is base on digital technologies, including digital communication webs, computers, softw argon, and some new(prenominal) related information technologies. It whitethorn also be called the profits economy, the new economy, or the electronic ne devilrk economy. 2. arguing the three characteristics of the digital revolution cited by Choi and Whinston. These characteristics include a wide strain of digitized products, monetary minutes cosmos conducted digitally, and microprocessors and earnings capabilities embedded in physical goods. . List the major business pressures faced by organizations today. The major business pressures faced by organizations whoremonger be divided into markets, societal and technological categories. 4. List the major organizational responses to business pressures. Organizations suffice to business pressures by using strategic ashess, continuous improvement transcriptions, business alliances, electronic markets, increased efficiencies, employee potency, leave chain improvements, and bundle customization. 5. Describe how EC erects organization responses to business pressures.EC, and engineering in general, provide organizations with ways to operate their businesses to a great extent efficaciously by prov iding service and functions that in the past direct been performed by employees at less than best efficiencies. Section 1. 6 Re sketch Questions 1. Define intranets and extranets. An intranet is an internal incarnate or government nedeucerk that implements net profit tools, much(prenominal) as sack up browsers, and net profit protocols. An extranet is a network that wonts the lucre to ascribe multiple intranets. 2. What is a corporate access codeion?A corporate access is a major entrance by which employees, business partners and the public force out pose a corporate Web situate. 3. Identify EC transaction models (e. g. , B2B) in Exhibit 1. 9 (page 27). These would include ? change online ? Selling digital goods ? Online auctions ? Reverse Auctions ? write out chains Answers to EC drill causal berth Questions EC covering gaffe 1. 1 Voice-Based 511 Traveler knowledge Line Questions 1. compute tellme. com and find to a great extent information to the high est degree this case. add together the benefits to the users. learner answers entrust variegate.Users incur a round of benefits, but the bulkyst is the force to quickly and substantially access jaunt information from a single number. 2. What is the region of Tellme? What meshwork engine room is utilize? Tellme is the technology provider that uses a voice portal to access a number of Web sends and databases. 3. Can this finish be classified advertisement as m-commerce? As l-commerce? wherefore or wherefore not? This operation is m-commerce since it is accessed with a mobile device. It is not l-commerce, since no posture sensors (GPS) argon used. EC Application show window 1. The Success invention of Campusfood. com Questions 1. Classify this application by EC transaction type. This is a hybrid business model feature B2B and B2C elements. The business acts as an intermediary to other businesses (eaterys) and indeed resells these products to students (food). This business could be draw as B2B2C. 2. pardon the benefits of Campusfood. com for its students and for the restaurants it repre displaces. Both parties au then(prenominal)tic benefits from this relationship. Campusfood. com is able to cook a market and revenue by reselling restaurants food to students.The greater multifariousness of restaurants that they repre direct, the transgress realistic market for students (and thus higher(prenominal) revenues). Restaurants benefits from the additional marketing and sales slew generated by Campusfood. com 3. delimit the flow of digitized information in this venture. Campusfood. com receives restaurant menus and enters them into their EC place. Consumers view this information on the Internet and place electronic orders to Campusfood. com. The orders argon then forwarded digitally to the restaurant. 4. How does the outsourcing of marketing activities move over to the business?By outsourcing marketing activities, the business is able to benefit from the firms expertise in this knowledge base. Additionally, the business is able to stand on its core abilities. EC Application Case 1. 3 Orbis theme Changes a analog Physical go forth Chain to an Electronic Hub Questions 1. Identify the benefits of the ProductBank system to the put up-chain participants. The hub model is estimable to the participants in the supply chain because it eliminates un needed move in the process, and by doing so lowers overall toll and increases the speed of the process. 2. Where does the cost drop-off in the ProductBank process come from?The cost reduction comes from some(prenominal) localizations. The front atomic number 18a of reduction is the might for the retail merchant or their advertisement delegacy to straight view and select an withdraw stunt man without the use of a courier. When an fancy is selected it disregard be at evince pulled from the database preferably of being move out for s flush toiletning. 3. Where does the musical rhythm metre reduction come from? The one shot clipping reduction comes from two locations. The first bea of reduction is the talent for the retail merchant or their advertising agency to immediately view and select an appropriate image without the use of a courier.When an image is selected it cornerstone be immediately pulled from the database instead of being sent out for s dischargening. 4. let off the benefits of electronic collaborationismism between the compile owner and the ad agency. Electronic collaboration between the two parties allows them to communicate more(prenominal) quickly and efficiently than traditional methods. The retailer is able to figure more broad(a) in the process of the selection of photos, while the ad agency is able to more quickly process their clients requests. EC Application Case 1. 4 The Internet and the Intranet edit Time to commercialise for New Drugs Questions 1.How does the computerized dose applic ation system facilitate collaboration? This application system facilitates collaboration because it provides full moon and easy access to the information needed. In addition, the information can also be easily searched and particular(prenominal) facts retrieved quickly. 2. How is cycle magazine cut down? one shot time is repressd because pharmaceutical and FDA employees argon able to concentrate more in full on the go over of the drug in move. This is accomplished by the ease of curious online databases for facts and information as opposed to walk through hundreds of thousands of pages of composing documents.Answers to Discussion Questions 1. contrast and contrast viral marketing with associate marketing. In some(prenominal) viral and affiliate marketing of business, relying on a third party to c be in its marketing effort is necessary. With affiliate marketing, individuals or firms ar paid found on the make sense of additional business they can localize to the se lling firm. With viral marketing, individuals are support to market the product to others without some(prenominal) financial gain. 2. Carefully control the nontechnological limitations of EC. Which are partnership dependent and which are generic? only when of the listed nontechnological limitations are generic concerns with EC with the elision of Lack of give in EC and in alien sellers hinder buying. This limitation may be overcome by salutary-known and ceremonious merchants who forget bring with them some level of customer confidence. 3. distinguishableiate brick-and-mortar and click-and-mortar organizations. Brick-and-mortar organizations only restrain a carriage off-line. Click-and-mortar organizations maintain a presence twain online and off-line. 4. wherefore is it tell the EC is a catalyst of native changes in organizations?EC causes fundamental changes in organizations because it requires business models and processes to be redesigned and streamlined. Thi s is required for firms to clear successful EC. 5. rationalize how EC facilitates supply chain management. EC facilitates supply chain management by exposing the inner whole kit of the supply chain and indicating which areas contribute the sterling(prenominal) value. These indications, coupled with a firm sagaciousness of the chains workings, provide the necessary information for supply-chain optimization. 6.Which of the EC limitations do you cogitate give be more easily overcomethe technological or the nontechnological limitations, and why? disciple answers ordain vary. In just well-nigh cases technical limitations are easier to overcome, with customer preferences taking more time to adapt. 7. Explain how EC can reduce cycle time, improve employees empowerment, and facilitate customer support. EC can reduce cycle time by eliminating steps in business processes. The steps may be redundant or can be replaced with more efficient technology resolvents.The ejection of the s teps speeds the overall process and reduces cycle time. EC can provide employee empowerment by providing employees with greater and easier access to information provided by the employer. EC facilitates customer support by providing a wide mould of technological solutions and communication opportunities. Additionally, EC supports self-help customer service so consumers can answer their own questions. 8. How does EC facilitate customization of products and services? EC facilitates customization by allowing customers to see the full range of options obtainable for a disposed product.Customers are then able to select the options that they desire and these options may be sent directly to the shaper or service provider. This provides a more direct crosstie between the customer and the firm that allow for eventually adjoin their custom order. 9. why is buying with a wise bank note from a deal machine considered EC? EC can be delimitate as the application of technology toward the mechanization of business transactions and workflow. Because a smart card uses technology to automate a process (creating greater efficiencies and ease-of-use) it can therefrom be considered EC. 0. wherefore is distance encyclopaedism considered EC? EC can be defined as the application of technology toward the automation of business transactions and workflow, as well as a concourse place for connection members to learn, transact and collaborate. outmatch information fits some(prenominal) of these definitions because it provides the technology solution for workflows (education) while also creating a learning community. Internet Exercises (Note URLs may change over time enthrall check the Internet Exercises on the pillbox Web site for possible updates www. prenhall. com/turban. ) 1. come to bigboxx. com and aim the services the smart set provides to its customers. What type of EC is this? What business model(s) does Bigboxx use? This phoner provides a large supply of st atus products, as well as other products and services to customers in the Hong Kong market. This company focuses in general on B2B sales. This company makes the majority of its revenue through the direct sale of items. 2. get into Amazon. coms site (amazon. com) and locate juvenile information in the following areas Student information go away vary ground on when this question is completed. a. square up the five dollar bill top-selling books on EC. b. Find a reassessment of one of these books. c. reappraisal the customer services you can get from Amazon and describe the benefits you receive from shop there. Amazon. com provides several services for customers. These benefits include innocuous shipping on large orders the susceptibility to track orders the qualification to combine orders the ability to send orders as guests additional answers go out vary d. review article the products directory. Amazon. com provides a wide manikin of products including books, electro nics, music, turn services and many others. . acquaint priceline. com and recognize the various business models it uses. Priceline. com uses the name your own price or reverse auction business model. This model allows consumers to place bids for different services with several third-party companies through priceline. com. If the occur paid by the customer meets the third-party companys tokenish sales price, the customer purchases the product or service at that price. 4. Go to ups. com and find information about recent EC projects that are related to logistics and supply chain management.UPS provides a variety of EC business products and solutions. Many of the solutions allow companies to easily ship, track and receive packages through UPS. In many of these cases, UPS provides software and services that allows customers to link UPS information to their brisk information or e-commerce systems. The systems then allow greater visibility of the supply chain creating easier sympathy of problems and opportunities in logistics. 5. Go to mixonic. com and create a CD. Then go to nike. com and design your own shoes. Next jaw iprint. com and create your own business card.Finally, enter jaguar. com and configure the car of your dreams. What are the advantages of individually activity? The disadvantages? all(prenominal) of these sites provides the ability of individual customization for various products. The major advantage of this system is the ability of the consumer to create and purchase a product that meets their individual specifications. The disadvantages of the systems are the limitations and possible customizations and the additional cost and fulfillment time associated with customized products. 6. Enter chemconnect. com. What lovable of EC does this site represent?What benefits can it provide to buyers? To sellers? This company provides an Internet-establish exchange for the buying and selling of chemicals and plastics. This site provides benefits to bo th buyers and sellers. Buyers are able to treasure pricing, availability and other information from a variety of sellers. Sellers are able to present their products for sale to a wide variety of buyers. 7. It is time you emphasize to sell or buy on an online auction. You can pick up eBay. com, auction. yahoo. com, or an auction site of your choice. You can participate in an auction of most any country. uprise a minuscule spread over describing your watchs. Reports volition vary based on the auction site used by the student. In many cases students will comment on the overall experience of listing and acquire products. Points of reference would include the ease-of-use of the site, the ease in searching and collect information, the ability to comparison products and the ease in completing transactions. 8. furnish to save on your next purchase by using group purchasing. chaffer letsbuyit. com, shop2gether. com, and buyerzone. com. Which site do you prefer? Why? Opinions wil l vary based on student preferences. . Enter espn. com and fall upon all openings of revenue there. I was able to identify publicize (pop-up) advertisement (co-branding MSN) Advertising (banners) Advertising (internal, for ESPN) E-Commerce (sales) Team accordments and quality Playing 1. Assign apiece group two failed or failing Internet companies (e. g. , musicmaker. com, comdex. com). Use startupfailures. com to identify companies that are in distress. Fortune. com is a good source of lucubrate for particular business failures. Have each aggroup school a reputation on why is the companies failed or are failing.Responses will vary based on the businesses elect by students and the source of their information. 2. each team will research two EC success stories. Members of the group should regard companies that operate solely online and some that extensively utilize a click-and-mortar strategy. Each team should identify the slender success factors for its companies and pre sent a report to the other teams. Responses will vary based on the businesses chosen by students and the source of their information. Answers to End-of-Chapter Real-World Case Questions E-Commerce Supports demesne Employees at MaybellineQuestions 1. IVR systems are still popular. What advantages do they have over a system in which the reps get down or facsimile reports? Information comes in faster, and in a machine understandable format. 2. Explain why the MSP application is an e-commerce application. comparing it to the definitions and classifications in the chapter. The MSP application is an e-commerce application because it uses IT to directly enable communication theory and sales of products. 3. The existing technology enables contagious disease of data any time an employee can access the Internet with a PC.Technically, the system can be enhanced so that the data can be sent tunerly from any location as presently as they are entered. Would you recommend such a wireless system to Maybelline? Why or why not? Student answers will vary. Students will weigh the benefits of real time information against the cost and access issues of a new system. 4. Summarize the advantages of the new MSP system over the IVR one. Some of the advantages include Easier to use more(prenominal) holy information More detailed information More seasonably information two-part communication Fulfills more roles