>>> The internet is a powerful channel that presents new opportunities for organization to;
Ø Touch customers.
Ø Enrich products and services with information.
Ø Reduce costs.
>>> How do E-Commerce and E-Business differ?
Ø E-Commerce – the buying and selling of goods and services over the internet.
Ø E-Business – the conducting of business on the internet including, not only buying and selling, but also serving customers and collaborating with business partners.
INDUSTRIES USING E-BUSINESS
>>> E - Business Model – An approach to conducting electronic business on the Internet:
>>> Electronic marketplace (E market place) – interactive business communities providing a central market where multiple buyers and sellers can engage in e business activities.
>>> 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.
>>> Business types;
~ Brick-and-mortar business.
~ Pure-play business.
~ Click-and-mortar business.
>> Priceline.com is an example of a C2B e business model.
>> The demand for C2B e business will increase over the next few years due to customer’s desire for greater convenience and lower prices.
>> 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.
>> 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.
E-BUSINESS BENEFITS AND CHALLENGES
>>> E- business benefits include;
~ Highly accessible.
~ Increased customer loyalty.
~ Improved information content.
~ Increased convenience.
~ Increased global reach.
~ Decreased cost.
>>> E- business challenges include;
= Protecting consumers.
= Leveraging existing systems.
= Increased liability.
= Providing security.
= Adhering to taxation rules.
>>> There are numerous advantages and limitations in e business revenue models including;
~> Transaction fees.
~> License fees.
~> Subscription fees.
~> Value-added fees.
~> Advertising fees.
>>> 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 .