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E-BUSINESS & E-COMMERCECHAPTER 5
NOOSHA SAFAHANI
E-COMMERCE(EC) VS. E-BUSINESS
E- commerce(EC): describes the process of buying, selling, transferring, or exchanging products, services, and/or information via computer networks, including the Internet.
E-business: refers to a broader definition of EC, not just the buying and selling of goods and services, but also servicing customers, collaborating with business partners, conducting e-learning, and conducting electronic transactions within an organization.
E-Business
E-Commerc
e
PURE VS. PARTIAL EC
Product (service) sold Process Delivery agent (or
intermediary)
TYPES OF E-COMMERCE
Business-to-business (B2B)
Collaborative commerce (C-commerce)
Business-to-consumers (B2C)
Consumers-to-businesses (C2B)
Consumer-to-consumer (C2C)
Intrabusiness (intraorganizational) commerce
Government-to-citizens (G2C) and to others
Mobile commerce (m-commerce)
The scope of E-commerce
BENEFITS OF E-COMMERCE
To Organization
• national and international markets• eliminates marketing distribution channels• Decreases the costs• product customization and reduces inventory
costs• Lowers telecommunications costs• Helps some small businesses• Enables a very specialized niche market
BENEFITS OF E-COMMERCE
To Customer
•conduct quick online searches and comparisons•more choices•24 hours a day, from almost any location•customized products•work and study at home.•electronic auctions•exchange ideas and compare experiences
BENEFITS OF E-COMMERCE
To Society
• less road traffic and lower air pollution• increasing peoples standard of living• developing countries and rural areas to enjoy
products and services• Facilitates delivery of public services
LIMITATIONS OF E-COMMERCE
LIMITATIONS OF E-COMMERCE
AUCTIONS AND BARTERING
Electronic Auctions(E-Auctions)
An auction is a market mechanism by which sellers place offers and buyers
make sequential bids
Bartering
Related to auctions is electronic bartering, the exchange of goods or services without a monetary transaction.
MAJOR TYPES OF AUCTION
Forward Auction
• Many potential buyers
Reverse Auctions
• One buyer
MAJOR CATEGORIES OF B2C APPLICATIONS
1.Electronic Retailing:
Storefronts Specialized(persianFlora.ir)
General(walmart)
Malls referral malls (kharidgroohi.com)
Mall organizers (store.yahoo.com)
MAJOR CATEGORIES OF B2C APPLICATIONS
2. Service Industries Online: banking
trading of securities (stocks, bonds)
job matching
travel services
real estates
E-COMMERCE CONSUMER BEHAVIOR MODEL
THE CONSUMER DECISION-MAKING PROCESS
1. A Generic Purchasing-Decision Model
needidentification
information
search
evaluation of
alternatives
Purchase
and delivery
after-
purchase
evaluation
THE CONSUMER DECISION-MAKING PROCESS
HOW MARKET RESEARCH FINDS WHAT CUSTOMERS WANT?
1. Asking customers what they want
2. Tracking customer activities on the web
ADVERTISING METHODS
Banners
Pop-up & Pop-under
E-mails
Electronic Catalogues & Brochures
posting advertising in chat rooms (newsgroups)
Internet Radio & TV
INTRABUSINESS
Business to Its Employees (B2E) Commerce
E-Commerce Between and Among Units Within the Business
E-Commerce Between and Among Corporate Employees
E-GOVERNMENT APPLICATIONS
Government to-Citizens (G2C)
Government-to-Business (G2B)
Government-to-Government (G2G)
CUSTOMER TO CUSTOMER E-COMMERCE
• C2C Auctions• Classified Ads• Personal
services
E-CommerceServices
TIPS FOR SAFE ELECTRONIC SHOPPING
● Look for reliable brand names at sites
● Call up and quiz the employees about the sellers.
● Investigate how secure the seller’s site is by examining the security procedures and by reading the posted privacy notice.
● Examine the money-back guarantees, warranties, and service agreements.
● Compare prices to those in regular stores. Too-low prices are too good to be true, and some “catch” is probably involved.
TIPS FOR SAFE ELECTRONIC SHOPPING
● Ask friends what they know. Find testimonials and endorsements in community sites and well-known bulletin boards.
● Find out what your rights are in case of a dispute.
● Consult the National Fraud Information Center (fraud.org).
● Check consumerworld.org for a listing of useful resources.
CASE: FREEMARKETS.COM
CASE: FREEMARKETS.COM
● Asset disposal analysis
● Detailed sales offering
● Targeted market outreach
● Event coordination
● Sales implementation
CASE: FREEMARKETS.COM
121.000$
7.500$