7
E-Business and
E-Commerce
1. Describe the six common types of electronic
commerce.
2. Describe the various online services of businessto-consumer (B2C) commerce, providing
specific examples of each.
3. Describe the three business models for businessto-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 The Flash Crash ]
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The Problem
A Stopgap Solution
The Results
What We Learned from This Case
[about business]
7.1 Gemvara
[about business]
7.2 Finding A
Doctor Right
Now
7.1 Overview of E-Business
and E-Commerce
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Definitions and Concepts
Types of E-Commerce
Major E-Commerce Mechanisms
Electronic Payment Mechanisms
Benefits and Limitations of ECommerce
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)
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Degree of digitization
Brick-and-Mortar organizations
Virtual Organizations
Clicks-and-Mortar Organizations
Major E-Commerce
Mechanisms
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Electronic catalogs
Electronic auctions
E-storefronts
E-malls
E-marketplaces
Types of E-Commerce
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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
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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)
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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
Benefits
Limitations
• 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
7.2 Business-to-Consumer (B2C)
Electronic Commerce
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Electronic Storefronts and Malls
Electronic Malls
Online Service Industries
Issues in E-Tailing
Online Services Industry
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Disintermediation
Cyberbanking
Online Securities Trading
The Online Job Market
Travel Services
Online Advertising
Advertising Methods
Advertising Methods
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Banners
Pop-up Ad
Pop-under Ad
Spamming
Permission Marketing
Viral Marketing
Issues in E-Tailing
• Channel Conflict
• Multichanneling
• Order Fulfillment
[about business]
7.3 Macy’s
Increases Its
Online Presence
[about business]
7.4 Can Traditional
Retailers
Survive?
[about business]
7.5 The Future of
Shopping
7.3 Business-to-Business (B2B)
Electronic Commerce
• Sell-Side Marketplaces
• Buy-Side Marketplaces
• Electronic Exchanges
7.4 Ethical and Legal Issues in
E-Business
• Ethical Issues
• Legal and Ethical Issues Specific
to E-Commerce
Legal and Ethical Issues
Specific to E-Commerce
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Fraud on the Internet
Domain Names
Cybersquatting
Taxes and Other Fees
Copyright
[ Closing Case What’s Your eScore? ]
• The Problem
• One Solution
• The Results