Bài giảng Business Driven Technology - Business plug-in B11 - E-Business

BUSINESS PLUG-IN B11E-BusinessLEARNING OUTCOMESDescribe the four common tools an organization can use to access Internet informationCompare ISPs, OSPs, and ASPs. Be sure to include an overview of common services provided by eachDescribe how marketing, sales, financial services, and customer service departments can use ebusiness to increase revenues or reduce costsLEARNING OUTCOMESExplain why an organization would use metrics to determine a Web site’s successIdentify the different types of egovernment business modelsDefine m-commerce and explain how an egovernment could use it to increase its efficiency and effectivenessINTRODUCTIONPure play – an Internet retailer that has no physical store, such as Expedia.com and Amazon.comEbusiness – conducting business on the Internet, not only buying and selling, but also serving customers and collaborating with business partnersEbusiness model – an approach to conducting electronic business through which a company can become a profitable business on the InternetAccessing Internet InformationFour tools for accessing Internet informationIntranet – internalized portion of the Internet, protected from outside access, for employeesExtranet – an intranet that is available to strategic alliesPortal – Web site that offers a broad array of resources and servicesKiosk – publicly accessible computer system that allows interactive information browsingProviding Internet InformationThree common forms of service providersInternet service provider (ISP) –provides individuals and other companies access to the Internet Online service provider (OSP) – offers an extensive array of unique Web services Application service provider (ASP) – offers access over the Internet to systems and related services that would otherwise have to be located in organizational computersProviding Internet InformationCommon ISP services include:Web hostingHard-disk storage spaceAvailabilitySupportProviding Internet InformationWireless Internet service provider (WISP) Providing Internet InformationISPs, OSPs, and ASPs use service level agreements (SLA) which define the specific responsibilities of the service provider and set the customer expectationsReview Figure B11.3 for a listing of the top ISPs, OSPs, and ASPsOrganizational Strategies for EbusinessPrimary business areas taking advantage of ebusiness include: Marketing/salesFinancial servicesProcurementCustomer service IntermediariesMARKETING/SALESGenerating revenue on the Internet: Online ad (banner ad) - box running across a Web page that contains advertisementsPop-up ad - a small Web page containing an advertisement Associate programs (affiliate programs) - businesses generate commissions or royalties Viral marketing - a technique that induces Web sites or users to pass on a marketing message Mass customization - gives customers the opportunity to tailor products or servicesMARKETING/SALESGenerating revenue on the Internet:Personalization - occurs when a Web site can fashion offers that are more likely to appeal to that personBlog - Web site in which items are posted on a regular basis and displayed in reverse chronological orderReal simple syndications (RSS) - a Web feed format used for Web syndication of contentPodcasting - the distribution of audio or video files, such as radio programs or music videos, over the Internet to play on mobile devices MARKETING/SALESGenerating revenue on the Internet:Search engine optimization (SEO) - a set of methods aimed at improving the ranking of a Web site in search engine listingsSpamdexing - uses a variety of deceptive techniques in an attempt to manipulate search engine rankings, whereas legitimate SEO focuses on building better sites and using honest methods of promotionFINANCIAL SERVICESOnline consumer payments include:Financial cybermediaryElectronic check Electronic bill presentment and payment (EBPP)Digital walletFINANCIAL SERVICESOnline business payments include:Electronic data interchange (EDI) Value-added network (VAN) Financial EDI (financial electronic data interchange) FINANCIAL SERVICESElectronic Trading NetworkPROCURMENTMaintenance, repair, and operations (MRO) materials (also called indirect materials) – materials necessary for running an organization but do not relate to the company’s primary business activitiesEprocurement - the B2B purchase and sale of supplies and services over the InternetElectronic catalog - presents customers with information about goods and services offered for sale, bid, or auction on the InternetCUSTOMER SERVICECustomer service is the business process where the most human contact occurs between a buyer and a seller Ebusiness strategists are finding that customer service via the Web is one of the most challenging and potentially lucrative areas of ebusinessThe primary issue facing customer service departments using ebusiness is consumer protectionConsumer ProtectionConsumer ProtectionEbusiness security EncryptionSecure socket layer (SSL)Secure electronic transaction (SET)INTERMEDIARIESIntermediaries – agents, software, or businesses that bring buyers and sellers together that provide a trading infrastructure to enhance ebusinessReintermediation – using the Internet to reassemble buyers, sellers, and other partners in a traditional supply chain in new waysMeasuring Ebusiness SuccessMost companies measure the traffic on a Web site as the primary determinant of the Web site’s successHowever, a large amount of Web site traffic does not necessarily equate to large salesMany organizations with high Web site traffic have low sales volumesMeasuring Ebusiness SuccessWeb site traffic analysis can include:Cookie Click-throughBanner ad InteractivityBehavioral Metrics Clickstream data tracks the exact pattern of a consumer’s navigation through a Web siteClickstream data can reveal:Number of pageviewsPattern of Web sites visitedLength of stay on a Web siteDate and time visitedNumber of customers with shopping cartsNumber of abandoned shopping cartsBehavioral Metrics Web site metrics includeVisitor metricsExposure metricsVisit metricsHit metricsNew Trends in Ebusiness: Egovernment and McommerceEgovernment - involves the use of strategies and technologies to transform government(s) by improving the delivery of services and enhancing the quality of interaction between the citizen-consumer within all branches of government New Trends in Ebusiness: Egovernment and McommerceNew Trends in Ebusiness: Egovernment and McommerceMobile commerce - the ability to purchase goods and services through a wireless Internet-enabled device. CLOSING CASE ONEMail with PostalOneUnited States Postal Service’s (USPS) productivity has grown by only 11 percent over the past three decadesUSPS is pursuing several ebusiness projects to help increase growth including:NetPost Mailing OnlinePost Electronic Courier ServiceNetPost.CertifiedEBillPayCLOSING CASE ONE QUESTIONSDo you think the USPS’s steps are far-reaching enough to ensure its relevance in ebusiness?What other strategic alliances, akin to its partnership with CheckFree, can the Postal Service develop to stay competitive?Why would the USPS compete in a market that private companies already serve well?CLOSING CASE ONE QUESTIONSHow can the USPS use portals to help grow its business? How can the USPS use ebusiness sales and marketing techniques such as blogs, podcasts, and SEO to improve its business? How can the USPS use ASPs to improve its business? CLOSING CASE TWOMade-To-Order BusinessesMass customization is a new trend in the retail businessLands’ End, Nike, and Stamps.com are a few of the companies using mass customization to enhance the way they do businessCLOSING CASE TWO QUESTIONSWhat role does ebusiness play in a mass customization business strategy?How can Lands’ End use additional sales and marketing ebusiness techniques to improve its business?How can Nike use ebusiness financial services to improve its business?CLOSING CASE TWO QUESTIONSHow can Stamps.com use ASPs and electronic bill payment to improve its business?Choose one of the examples above and analyze its ebusiness approach. Would you invest $20,000 in the company?Choose one of the examples above and explain how the company is attempting to gain a competitive advantage with mass customization and personalization. How could this company use podcasts, blogs, and SEO to improve its business?