Matakuliah
Tahun
Versi
: J0324 / Sistem e-Bisnis
: 2005
: 02/02
Pertemuan 3
Understanding e-Marketplaces
1
Learning Outcomes
Pada akhir pertemuan ini, diharapkan mahasiswa
akan mampu :
• menjelaskan tentang konsep eMarketplaces
2
Outline Materi
• Types of Electronic Marketplaces: From
Storefronts to Portal
• Intermediation and Syndication in eCommerce
• Electronic Catalogs and Other Market
Mechanisms
• Auction as EC Market Mechanisms
3
Electronic Marketplaces
• Markets play a central
role in the economy
facilitating the
exchange of:
–
–
–
–
information
goods
services
payments
• Markets create
economic value for:
– buyers
– sellers
– market
intermediaries
– society at large
4
•
Electronic Marketplaces (cont.)
Three main functions of markets
1. matching buyers and sellers
2. facilitating the exchange of information, goods,
services, and payments associated with market
transactions
3. providing an institutional infrastructure, such as
a legal and regulatory framework, that enables
the efficient functioning of the market
5
Electronic Marketplaces (cont.)
• In recent years markets have seen a
dramatic increase in the use of IT—EC
has:
– increased market efficiencies by
expediting or improving functions
– been able to significantly decrease the
cost of executing these functions
6
Marketspace
• Marketspace: A marketplace in which
sellers and buyers exchange goods and
services for money (or for other goods and
services), but do so electronically
7
Marketspace Components
•
•
•
•
•
Customers
Sellers
Products
Infrastructure
Front end
• Back end
• Intermediaries
• Other business
partners
• Support services
8
Marketspace Components (cont.)
• Digital products:
Goods that can be
transformed to digital
format and delivered
over the Internet
• Front end: The
portion of an
e-seller’s business
processes through
which customers
interact, including
the seller’s portal,
electronic catalogs,
a shopping cart, a
search engine, and
a payment gateway
9
Marketspace Components (cont.)
• Back end: The activities
that support online ordertaking. It includes
fulfillment, inventory
management, purchasing
from suppliers, payment
processing, packaging,
and delivery
• Intermediary: A
third party that
operates
between sellers
and buyers
10
Types of Electronic Markets
• Electronic storefront: A
single or company Web site
where products and
services are sold
• Mechanisms necessary for
conducting the sale:
–
–
–
–
–
–
electronic catalogs
search engine
e-auction facilities
payment gateway
shipment court
customer services
11
Types of Electronic Markets
(cont.)
• e-mall (online mall): An online
shopping center where many stores
are located
– some are merely directories
– some provide shared services (e.g.,
choicemall.com).
– some are actually large click-and-mortar
retailers
– some are virtual retailers (e.g., buy.com)
12
Types of Electronic Markets
(cont.)
• Types of stores and malls
– General stores/malls
– Specialized stores/malls
– Regional versus global stores
– Pure online organizations versus click-andmortar stores
13
Types of Electronic Markets
(cont.)
• e-marketplace:
An online market, usually B2B, in which buyers and
sellers exchange goods or services; the three types
of e-marketplaces are private, public, and consortia
• Private e-marketplaces:
Online markets owned by a single company; can be
either sell-side or buyside marketplaces
• Sell-side e-marketplace:
A private e-market in which a company sells either
standard or customized products to qualified
companies
14
Types of Electronic Markets
(cont.)
• Buy-side e-marketplace:
A private e-market in which a company makes
purchases from invited suppliers
• Public e-marketplaces:
B2B markets, usually owned and/or managed by an
independent third party, that include many sellers and
many buyers; also known as exchanges
• Consortia:
E-marketplaces owned by a small group of large
vendors, usually in a single industry
15
Information Portals
• Information portal: a single point of
access through a Web browser to
business information inside and/or
outside an organization
16
Information Portals
•
(cont.)
Six types of portals
1.
2.
3.
4.
5.
Commercial (public) portals
Corporate portals
Publishing portals
Personal portals
Mobile portals: a portal accessible via a mobile
device
6. Voice portals: a portal accessed by telephone or cell
phone
17
Intermediation and Syndication in
E-Commerce
• Intermediaries (brokers) provide valueadded activities and services to buyers
and sellers
• Intermediaries in the physical world are
wholesalers and retailers
• Infomediaries:
electronic intermediaries that control
information flow in cyberspace, often
aggregating information and selling it to
others
18
Infomediaries and Information
Flow Model
19
Intermediation and Syndication in
E-Commerce (cont.)
• Roles and value of
intermediaries in
e-markets
–
–
–
–
–
Search costs
Lack of privacy
Incomplete information
Contract risk
Pricing inefficiencies
20
Intermediation and Syndication in
E-Commerce (cont.)
• E-distributors in B2B
– e-distributor:
An e-commerce intermediary that connects
manufacturers (suppliers) with buyers by
aggregating the catalogs of many suppliers in one
place—the intermediary’s Web site
– Maintenance, repair, and operation items
(MROs):
Routine items that are usually not under regular
contract with suppliers
21
Intermediation and Syndication in
E-Commerce (cont.)
• Disintermediation and reintermediation
– Disintermediation:
Elimination of intermediaries between sellers and
buyers
– Reintermediation:
Establishment of new intermediary roles for
traditional intermediaries that were
disintermediated
22
Intermediation and Syndication in
E-Commerce (cont.)
• Syndication as an EC mechanism
– Syndication:
The sale of the same good (e.g., digital content) to many
customers, who then integrate it with other offerings and
resell it or give it away free
23
The Interdisciplinary
Nature of EC
• Major EC disciplines
– Computer science
– Marketing
– Consumer behavior
– Finance
– Economics
– Management information systems
24
The Future of EC
• 2004—total online shopping and B2B transactions
in the US between $3 to $7 trillion by 2008:
– number of Internet users worldwide should reach 750
million
– 50 percent of Internet users will shop
– EC growth will come from:
• B2C
• B2B
• e-government
• e-learning
• B2E
• c-commerce
25
E-commerce
Business Models
• Business models—a method of doing
business by which a company can
generate revenue to sustain itself
• Examples:
– Name your price
– Find the best price
– Dynamic brokering
– Affiliate marketing
26
E-commerce
Business Plans and Cases
• Business plan: a written document that
identifies the business goals and outlines the
plan of how to achieve them
• Business case: a written document that is used
by managers to garner funding for specific
applications or projects; its major emphasis is
the justification for a specific investment
27
Structure of Business Models
• Business model: A method of doing
business by which a company can
generate revenue to sustain itself
28
Structure of Business Models (cont.)
• Revenue model: description of how the
company or an EC project will earn
revenue
– Sales
– Transaction fees
– Subscription fees
– Advertising
– Affiliate fees
– Other revenue sources
29
Typical Business Models
in EC
1. Online direct marketing
2. Electronic tendering systems
tendering (reverse auction): model in which
a buyer requests would-be sellers to submit
bids, and the lowest bidder wins
3. Name your own price: a model in which a
buyer sets the price he or she is willing to
pay and invites sellers to supply the good or
service at that price
30
Typical Business
Models in EC (cont.)
4. Affiliate marketing: an arrangement whereby a
marketing partner (a business, an
organization, or even an individual) refers
consumers to the selling company’s Web site
5. Viral marketing: word-of-mouth marketing in
which customers promote a product or service
to friends or other people
31
Typical Business
Models in EC (cont.)
6. Group purchasing: quantity purchasing that
enables groups of purchasers to obtain a
discount price on the products purchased
7. SMEs: small to medium enterprises
8. Online auctions
32
Typical Business
Models in EC (cont.)
8. Product and service customization
customization: creation of a product or service
according to the buyer’s specifications
8. Electronic marketplaces and exchanges
9. Value-chain integrators
10. Value-chain service providers
33
Typical Business
Models in EC (cont.)
12. Information brokers
13. Bartering
14. Deep discounting
15. Membership
16. Supply chain improvers
Business models can be independent or they
can be combined amongst themselves or with
traditional business models
34
Benefits of EC
Benefits to organizations
• Global reach
• Cost reduction
• Supply chain
improvements
• Extended hours: 24/7/365
• Customization
• New business models
• Vendors’ specialization
• Rapid time-to-market
• Lower communication
costs
• Efficient procurement
• Improved customer
relations
• Up-to-date company
material
• No city business permits
and fees
• Other benefits
35
Benefits of EC
(cont.)
Benefits to consumers
• Ubiquity
• More products and
services
• Cheaper products
and services
• Instant delivery
• Information
availability
• Participation in
auctions
• Electronic
communities
• “Get it your way”
• No sales tax
36
Benefits of EC
(cont.)
• Benefits to society
– Telecommuting
– Higher standard of
living
– Hope for the poor
– Availability of public
services
37
Limitations of EC
38
Barriers of EC
• Security
• Trust and risk
• Lack of qualified
personnel
• Lack of business
models
• Culture
• User authentication
and lack of public key
infrastructure
• Organization
• Fraud
• Slow navigation on
the Internet
• Legal issues
39
Major Business Pressures and the
Role of EC
40
Major
Business Pressures
Societal and
environmental
pressures
(cont.)
 Changing nature of
workforce
 Government deregulation of
banking and other services
 Shrinking government
subsidies
 Increased importance of
ethical and legal issues
 Increased social
responsibility of
organizations
 Rapid political changes
41
Major
Business Pressures
Technological
pressures
(cont.)
 Rapid technological
obsolescence
 Increase innovations
and new technologies
 Information overload
 Rapid decline in
technology cost vs.
performance ratio
42
The Networked Organization
43
•
Source
: Turban, Efraim, David King,
Jae Lee and Dennis Viehland.
Electronic Commerce. A Managerial
Perspective (2004). Prentice Hall. PPT
for Chapter
:2
44