m-commerce basics presentation letzteVersionec.europa.eu/.../o3_a1_m-commerce_basics_slides-en.pdfGroupon offers subscribers daily deals from localbusiness in the form of “Groupons”,

Project 2014-1-AT-01-KA202-000966, m-commerceThis project has been funded with support from the

European Commission.This publication [communication] reflects the views only of

the author, and the Commission cannot be held responsible for any use which may be made of the information

contained therein.

Modul Basics

www.m-commerce.enterprises

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The Evolution of the Internet

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Who governs the Internet?

Quelle: Laudon, Traver: E-commerce 2014, Seite 123

Internet Corporation for Assigned Names and Numbers ICANN

Internet Assigned Numbers Authority IANA

Internet Engineering Task Force IETF

Internet Research Task Force IRTF

Internet Engineering Steering Group IESG

Internet Architecture Board IAB

Internet Society ISOC

Internet Governance Forum IGF

World Wide Web Consortium W3C

Internet Network Operations Groups NOGs


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What is E-Commerce?

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E-Commerce is the use of Internet, World Wide Web, and mobile apps to transact business.

More formally, digitally enabled commercial transactions between and among organisations and individuals.


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Origin of E-Commerce

• B2B : Baxter Healthcare

• B2C : France Telecom

• E-Commerce : first banner advertisements by Hotwired.com

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Development of E-Commerce

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Invention (1995 –2000)

Consolidation (2001 - 2006) Re-Invention (2007 – Present)

Technology driven Business driven Mobile technology enables social, local, and mobile commerce

Revenue growthemphasis

Earnings and profits emphasis Audience and social network connections emphasis

Venture capital financing Traditional financing Smaller VC investments; early small-firm buyouts by large online players

Ungoverned Stronger regulation and governance Extensive government surveillance

Entrepreneurial Large traditional firms Entrepreneurial social and local firms

Disintermediation Strengthening intermediaries Proliferation of small online intermediaries renting business processes of larger firms

Perfect markets Imperfect markets, brands, and network effects

Continuation of online market imperfections; commodity competition in selected markets

Pure online strategies Mixed „bricks-and-clicks“ strategies Return of pure online strategies in new markets; extension of bricks-and-clicks in traditional retail markets

First-mover advantages Strategic-follower strength; complementary assets

First-mover advantages return in new markets as traditional Web players catch up

Low-complexity retail products

High-complexity retail products and services

Retail, services, and content


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The Difference between E-Business and E-Commerce



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Eight unique features of

E-Commerce technology



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Major types of E-Commerce


Type of E-Commerce Example

B2C – business-to-consumerAmazon is a general merchandiser that sells consumer products to retail consumers.

B2B – business-to-business Go2Paper.com is an independent third-party marketplace that servesthe paper industry.

C2C – consumer-to-consumerOn a large number of auction sites such as eBay, and listing sites such as Craigslist, consumers can auction or sell goods directly to other consumers

Social E-Commerce Facebook is both the leading social network and social E-Commerce site

M-Commerce Mobile devices such as tablet computers and smartphones can be used to conduct commercial transactions.

Local E-CommerceGroupon offers subscribers daily deals from local business in the form of “Groupons”, discount coupons that take effect once enough subscribers have agreed to purchase


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Fixed broadband penetration in 2012

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http://www.vox.com/a/internet-maps


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Mobile broadband penetration in 2012

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http://www.vox.com/a/internet-maps


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Individuals accessing the Internet through a mobile phone in 2012

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Search engines market share

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Gross domestic product (GDP)

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Macedonia :

2014 11 600

http://www.focus-economics.com/countries/macedonia14


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GDP per capita

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Macedonia :

2014 5 625

http://www.focus-economics.com/countries/macedonia14


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Gross domestic product (GDP)

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GDP per capita

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What is M-Commerce?

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http://ventureaviator.com/blog/

Mobile devices such as tablet computers and smartphones can be used to conduct commercial transactions

M-Commerce is part of E-Commerce


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Business considerations

• Purpose and goals

• Audience

• User experience

• Budget

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Adobe.com – Dave Klein


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Development considerations

• Ease and speed of implementation• Audience reach• Performance considerations• Updates and maintenance• Search engine optimization• Evolving web technologies• Data connectivity and offline use• Paid vs. free

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Project 2014-1-AT-01-KA202-000966Mobile Web site Mobile AppAudience reach Viewable by anyone with a mobile

BrowserViewable by individuals with the appropriate device

User experience Limited by bandwidth, technologies, and site performance but improving

Capable of very robust user experiences

Graphics and effects Limited by bandwidth andtechnology, but improving

Superior. Graphics may be stored locally. Effects and animations are limited only by device computing power and memory

Access to hardware functionality

Limited. Device geo location can be utilized

Unlimited access. Camera, accelerometer, microphone, GPS, NFC, etc.

Ease of development Developed with standard Web development tools and technologies

When built for distinct operating systems and devices (native code), unique programming languages and software development kits are required. Cross-platform solutions are available for deploying to various app stores

Development resources Built once and deploy for all devices

Built for individual devices and operating systems. May require multiple developers with different proficiencies

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Mobile Web site Mobile AppDevelopment cost Typically, but not always, less

expensive than app developmentTypically, but not always, more expensive, especially when multiple devices or operating systems are targed

Ease and speed of implementation

Publish as a Web site. Immediate available

May require a submission process. User must download and install prior to use

Distribution Viewable with any mobile browser. No distribution required

Download and installation required

Installation Web-based – no installation Download and installation from Web site or marketplace

Updates and maintenance Easily updated and changes are immediate with a browser refresh

iTunes requires a resubmission process. May require multiple development resources if updates are required for multiple devices and operating systems

Paid vs. free App Difficult. Easy to charge for apps, using the available app marketplace

Search optimization Can be found through a standard search – can be redirected to a mobile-optimized version

Typically found through an app store search or linked to from a Web site

Internet or data connectivity Required Can be used offline

25Adobe.com – Dave Klein


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Online retail: advantages and challengesAdvantages ChallengesLower supply chain costs by aggregating demand at a single site and increasing purchasing power

Consumer concerns about the security of transaction

Lower costs of distribution using Web sites rather than physical stores

Consumer concerns about the privacy of personal information given to Web sites

Ability to reach and serve a much larger geographically distributed group of costumer

Delays in delivery of goods when compared to store shopping

Ability to react quickly to costumer tastes and demand Inconvenience associated with return of damaged or exchange goods

Ability to change prices nearly instantly Overcoming lack of consumer trust in online brand names

Ability to rapidly change visual presentation of goods Added expenses for online photography, video, and animated presentations

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Online retail: advantages and challenges

Advantages ChallengesAvoidance of direct marketing costs of catalogues and physical mail

Online marketing costs for search, e-mail, and displays

Increased opportunities for personalization customization

Added complexity to product offerings and customer service

Ability to greatly improve information and knowledge delivered to consumer

Greater customer information can translate into price competition and lower profits

Ability to lower consumers’ overall market transaction costs

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(Laudon Kenneth C., 2014) p 730.


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The Latest Trends in E-Commerce and M-Commerce

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1. Email has made the switch to an M-Commerce commodity

2. M-commerce to take more of pie3. Wearable tech to start making inroads in

M-Commerce4. Flat UI and mobile apps to synergize this year5. Data, data and more data


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Partner

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Documents

m-commerce basics presentation letzteVersionec.europa.eu/.../o3_a1_m-commerce_basics_slides-en.pdfGroupon offers subscribers daily deals from localbusiness in the form of “Groupons”,