E-Business and E-Commerce

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1. Describe the six common types of electronic commerce.

2. Describe the various online services of business-to-consumer (B2C) commerce, providing specific examples of each.

3. Describe the three business models for business-to-business electronic commerce.

4. Identify the ethical and legal issues related to electronic commerce, providing examples.

1.Overview of E-Business and E-Commerce

2.Business-to-Consumer (B2C) Electronic Commerce

3.Business-to-Business (B2B) Electronic Commerce

4.Ethical and Legal Issues in E-Business

[ [ Opening Case Opening Case The Flash Crash The Flash Crash ]]

• The Problem

• A Stopgap Solution

• The Results

• What We Learned from This Case

[about business][about business]

Gemvara7.1

[about business][about business]

Finding A Doctor Right Now

7.2

Overview of E-Business and E-Commerce

7.1

• Definitions and Concepts• Types of E-Commerce• Major E-Commerce Mechanisms• Electronic Payment Mechanisms• Benefits and Limitations of E-

Commerce

Definitions and Concepts

• Electronic Commerce– The process of buying, selling, transferring, or

exchanging products, services, or information via computer networks, including the Internet.

• Electronic Business (e-business)– A much broader concept than e-commerce– Servicing customers, collaborating with business

partners, and performing electronic transactions within an organization

Definitions and Concepts (Con’t)

• Degree of digitization• Brick-and-Mortar organizations• Virtual Organizations• Clicks-and-Mortar Organizations

Major E-Commerce Mechanisms

• Electronic catalogs• Electronic auctions• E-storefronts• E-malls• E-marketplaces

Types of E-Commerce

• Business-to-consumer (B2C)• Business-to-business (B2B)• Consumer-to-consumer (C2C)• Business-to-employee (B2E)• E-Government• Mobile commerce (M-commerce)

E-Commerce Business Models• Online direct marketing• Electronic tendering system• Name-your-own-price• Find-the-best-price• Affiliate marketing• Viral marketing• Group purchasing (e-coops)

E-Commerce Business Models (Continued)• Online Auctions• Product customization• Electronic marketplaces• Bartering online• Deep discounters• Membership

Electronic Payment Mechanisms• Electronic Checks (e-checks)• Electronic Cards

– Electronic credit cards– Virtual credit cards– Purchasing cards– Stored-value money cards– Smart cards

• Person-to-Person Payments

Benefits & Limitations of E-Commerce

• National and International markets are more Accessible

• Lowers costs of processing, distributing, and retrieving information

• Provides access to a vast number of products and services 24/7

• Deliver information, services, and products to people in cities, rural areas, and developing countries

• Lack of universally accepted security standards

• In less-developed countries telecommunications bandwidth is often insufficient, and Web access is expensive

• Perceptions that e-commerce is insecure

• Unresolved legal issues• Lacks a critical mass of buyers

and sellers

Benefits Limitations

Business-to-Consumer (B2C) Electronic Commerce

7.2

• Electronic Storefronts and Malls

• Electronic Malls• Online Service Industries• Issues in E-Tailing

Online Services Industry

• Disintermediation• Cyberbanking• Online Securities Trading• The Online Job Market• Travel Services• Online Advertising• Advertising Methods

Advertising Methods

• Banners• Pop-up Ad• Pop-under Ad• Spamming• Permission Marketing• Viral Marketing

Issues in E-Tailing

• Channel Conflict• Multichanneling• Order Fulfillment

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Macy’s Increases Its Online Presence

7.3

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Can Traditional Retailers Survive?

7.4

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The Future of Shopping

7.5

Business-to-Business (B2B) Electronic Commerce

7.3

• Sell-Side Marketplaces• Buy-Side Marketplaces• Electronic Exchanges

Ethical and Legal Issues in E-Business

7.4

• Ethical Issues• Legal and Ethical Issues

Specific to E-Commerce

Legal and Ethical Issues Specific to E-Commerce

• Fraud on the Internet• Domain Names• Cybersquatting• Taxes and Other Fees• Copyright

[[ Closing Case Closing Case What’s Your eScore? What’s Your eScore? ]]

• The Problem

• One Solution

• The Results