Matakuliah Tahun Versi : M0284/Teknologi & Infrastruktur E-Business : 2005 : <<versi/revisi>> Pertemuan 1 E-Commerce and E-Business 1 Learning Objectives • Differentiate between E-Commerce and EBusiness. • Understand B-to-C and B-to-B E-Commerce. 2 Overview • What is E-Commerce? • Types of E-Commerce • Drivers, Activities, Values and Models of B-to-C E-Commerce 3 What is E-Commerce? • Business activities running over the Internet and World Wide Web platform • Use of TV and toll-free telephones in business are not usually associated with e-commerce • Depending on the situation, electronic data interchange (EDI) may or may not be associated with e-commerce. EDI is used for business-tobusiness transactions • Examples of e-commerce: – – – – – Buying books on Amazon.com Promoting cars on Toyota.com Participating in auctions at eBay.com Customer support at Fedex.com Industrial exchanges such as Covisint.com 4 Types of E-Commerce • Business-to-Consumer E-Commerce – Serves direct consumers. Important activity is buying • Business-to-business E-Commerce – Serves businesses. Important activity is purchasing. Purchasing is differentiated from buying in that instead of individuals departments are involved, formal processes are followed, high monetary values may be involved, and complex negotiations and contracts may take place 5 E-Commerce 6 Drivers to B2C E-Commerce • Social: Affordability and Convenience • Technological: Stability and Availability 7 Social Drivers: B2C E-Commerce Estimated % of US Households with PCs 80 60 % of US 40 Households 20 Multiple PCs Single PC Multiple PCs 0 1999 2000 Single PC 2001 Year 8 Social Drivers: B2C E-Commerce Estimated Average Price of a PC 2.5 2 1.5 Dollar in '000 1 Price of PC 0.5 0 1995 1997 1999 2001 2003 Year 9 Acceptability profile of various technologies 10 Activities: B2C E-Commerce • Advertisement and Promotion • Ordering • Product Delivery • After-sales Support 11 Values: B2C E-Commerce • Creating Business Values – Operational excellence – Customer intimacy – Product and service leadership • Creating Consumer Values – – – – Cost Choice Convenience Customization 12 Business Models:B2C Business Model of eBay.com : • Who? Everybody • What? Any product • How? Exchange through auction • Business value? Efficiency + relationship • Consumer value? Low price + choice 13 Models: B2C E-Commerce. • Pure-play (primarily Internet based) – Portal sites/ Advertisements Yahoo.com – Auction-based ebay.com – Retail Merchants Amazon.com • Brick and Mortar (Click and brick) – New Channels Gateway.com – Reinforce existing channels Promotion (Toyota.com), transaction (bn.com) support (Fedex.com) 14