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03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides
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03 Building an E-commerce Presence: Web Sites, Mobile Sites, and Apps slides

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  • 1. e-commerce business. technology. society. Kenneth C. Laudon Carol Guercio Traver Building an E-commerce Presence: Web Sites, Mobile Sites, and AppsWeb Sites, Mobile Sites, and Apps eighth edition eighth edition Copyright © 2012 Pearson Education Chapter 3 1
  • 2. Class Discussion Tommy Hilfiger Right-Sizes Its Web Store What are the factors you should take into account when sizing a Web site’s infrastructure?when sizing a Web site’s infrastructure? Why are peak times an important factor to consider? What reasons were behind Hilfiger’s choice of ATG for its Web site solution? How can operators of smaller sites deal with the right-sizing issue? Learning Objectives Explain the process that should be followed in building an e- commerce Web site Describe the major issues surrounding the decision to outsource site development and/or hosting Identify and understand the major considerations involved in choosing Web server and e-commerce merchant server software Understand the issues involved in choosing the most appropriate hardware for an e-commerce siteappropriate hardware for an e-commerce site Identify additional tools that can improve Web site performance Understand the important considerations involved in developing a mobile Web site and building mobile applications n n n n à à à n n n n n n Copyright © 2012 Pearson EducationCopyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-3 Slide 3-4 # Web servers, # CPUs/server, DB server size, NW speed to Internet To keep customers satisfied with site response Buy Web hosting services, hire local professional designer/developer, do everything yourself 2
  • 3. Building an E-commerce Site: A Systematic Approach Most important managementMost important management challenges: Pieces of the Site-Building Puzzle Main areas where you will need to make decisions: n v v n v n v v v Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-5 Slide 3-6 Developing a clear understanding of business objectives Knowing how to choose the right technology to achieve those objectives Human resources and organizational capabilities Creating team with skill set needed to build and manage a successful sitemanage a successful site Hardware/ software Telecommunications Site design 3
  • 4. Pieces of the E-Commerce Site-Building Puzzle The Systems Development Life Cycle Methodology for understanding business objectives of a system and designing an appropriate solution Five major steps: Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-7 Slide 3-8 n n 1. Systems analysis/ planning1. Systems analysis/ planning 2. Systems design 3. Building the system 4. Testing 5. Implementation 4
  • 5. Web Site Systems Development Life Cycle Figure 3.2, Page 185 System Analysis/Planning Business objectives: System functionalities: Information requirements: Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-9 Slide 3-10 n v n v n v List of capabilities you want your site to have List of information system capabilities needed to achieve business objectivesto achieve business objectives Information elements that system must produce in order to achieve business objectives 5
  • 6. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-11 Slide 3-12 Table 3.1, Page 186 Systems Design: Hardware and Software Platforms System design specification: Two components of system design: n v n v n v n Description of main components of a system and their relationship to one another Logical design Data flow diagrams, processing functions, databases Physical design Translates from logical design into physical components (HW, SW, link capacity) 6
  • 7. Logical Design for a Simple Web Site Figure 3.3 (a), Page 188 Physical Design for a Simple Web Site Figure 3.3 (b), Page 188 Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-13 Slide 3-14 7
  • 8. Build/Host Your Own vs. Outsourcing Outsourcing: Hiring vendors to provide services involved in building site Build own vs. outsourcing: Host own vs. outsourcing Choices in Building and Hosting Figure 3.4 Page 189 n n v n v v Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-15 Slide 3-16 Build your own requires team with diverse skill set; choice of software tools; both risks and possible benefits : Hosting company responsible for ensuring site is accessible 24/ 7, for monthly fee : Firm purchases or leases Web server (with control over its operation), but server is located at vendor’s facility Hosting Co-location 8
  • 9. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-17 Slide 3-18 Cheapest and simplest, but limited “look and feel” and functionality Economical but most difficult, achieve desired “look and feel” and functionality, but most time consuming Most expensive, but achieve desired “look and feel” and functionality, and less time consuming 9
  • 10. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-19 Slide 3-21 Testing, Implementation, and Maintenance Testing Implementation and maintenance:Implementation and maintenance: n v v v n v v v v Unit testing System testing Acceptance testing by key personnel in different departments Maintenance is ongoing Need continual checking, testing, and repair Maintenance costs: Similar to development costs Benchmarking : Comparing site to competitors in terms of response speed, quality of layout, and design 10
  • 11. Factors in Web Site Optimization Figure 3.7, Page 196 Web Site Budgets From $5,000 to millions of dollars/year Components of budget: Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-22 Slide 3-23 n n v v vv v v v System maintenance System development Content design and developmentContent design and development Hardware Telecommunications Software 11
  • 12. Components of a Web Site Budget Simple vs. Multi-tiered Web Site Architecture System architecture Two-tier Multi-tier + Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-24 Slide 3-25 n v n v vv n v v v Arrangement of software, machinery, and tasks in an information system needed to achieve a specific functionality Web server responds to requests for Web pages and Database server provides backend data storageDatabase server provides backend data storage Web server is linked to Middle-tier layer – a series of application servers performing specific tasks, and also is linked to Backend layer of existing corporate systems and legacy databases 12
  • 13. Two-Tier E-commerce Architecture Figure 3.9(a), Page 199 Multi-tier E-commerce Architecture Figure 3.9(b), Page 199 Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-26 Slide 3-27 13
  • 14. Web Server Software All e-commerce sites require basic Web server software to answer HTTP requests from customersfrom customers Apache Microsoft’s Internet Information Server (IIS) Advantages of Each Web Server Software Choice of Web server software has no effect on the look of Web pages delivered to customers Advantages n n v v n v v n n vv v Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-28 Slide 3-29 Leading Web server software (66% of market) Works with UNIX, Linux Oss (and Windows) Second major Web server software (16% of market) Windows-based Microsoft’s development suite: integrated,Microsoft’s development suite: integrated, powerful, and easy to use Unix’s suite: exceptionally reliable and stable, and supported by worldwide open software community 14
  • 15. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-30 Slide 3-31 Table 3.3, Page 200 Site Management Tools Basic site management tools Third-party software for advanced managementmanagement n v n n n v v Included in all Web servers, e.g., Verify that links on pages are still valid Identify orphan files Monitor customer purchases, marketing campaign effectiveness, keeping track of standard hit counts and page visit info, etc. E.g., WebTrends Analytics 10, Google Analytics 15
  • 16. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-32 Slide 3-33 16
  • 17. Dynamic Page Generation Tools Driven by the fact that it’s easier to change the contents of a database than it’s to change the code of an HTML page Dynamic page generation:Dynamic page generation: Common tools: CGI, ASP, JSP, ODBC Advantages Application Servers Web application servers: n nn v n n v v v v n v v n v Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-34 Slide 3-35 Contents of Web page stored as objects in database and fetched when needed Lowers menu costs: costs for changing product descriptions and prices Permits easy online market segmentation: can sell same product to different markets Enables cost-free price discrimination:can sell same product to different customers at different prices Enables Web content management system (WCMS) Provide specific business functionality required for a Web site Type of middleware Isolate business applications from Web servers and databasesdatabases Single-function applications being replaced by integrated software tools that combine all functionality needed for e-commerce site 17
  • 18. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-36 Slide 3-37 Table 3.4, Page 204 E-commerce Merchant Server Software Provides basic functionality for online salesn v n v n v n n Online catalog List of products available on Web site Shopping cart Allows shoppers to set aside, review, edit selections, and then make purchaseand then make purchase Credit card processing Typically works in conjunction with shopping cart Verifies card and puts through credit to company’s account at checkout 18
  • 19. Merchant Server Software Packages Offer integrated environment that includes most of functionality needed Key factors in selecting a packageKey factors in selecting a package Building Your Own E-commerce Site Options for small firms n n v v v v v v v v v n v n n v n n Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-38 Slide 3-39 Functionality Support for different business models Business process modelingtools Visualsite management and reporting Performance and scalability Connectivityto existing business systems Compliance with standards Globaland multiculturalcapability Localsales tax and shipping rules Hosted e-commerce sites, e.g., Yahoo’s Merchant Solutions, bigstep.com, entrabase.com, tripod.com, homestead.com Site building tools E-commerce templates Open-source merchant server software Enables you to build truly custom sites Requires programmer with expertise, time 19
  • 20. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-40 Slide 3-41 Choosing the Hardware for an E-commerce Site Hardware platform: Objective: Important to understand the factors that affect speed, capacity, and scalability of a site n v n v n Underlying computing equipment that system uses to achieve e-commerce functionality Enough platform capacity to meet peak demand without wasting money 20
  • 21. Right-Sizing Your Hardware Platform: The Demand Side Demand is the most important factor affecting speed of siteaffecting speed of site Factors in overall demand: Table 3.7, Page 209 n n v v v v v v v Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-42 Slide 3-43 Number of simultaneous users in peak periods Nature of customer requests (user profile) Type of content (dynamic vs. static Web pages) Required security Number of items in inventory Number of page requests Speed of legacy applications 21
  • 22. Degradation in Performance as Number of Users Increases—Resource Utilization Figure 3.11(a), Page 211 Degradation in Performance as Number of Users Increases—Number of Connections Figure 3.11(b), Page 211 Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-44 Slide 3-45 22
  • 23. Capacity of Static Page Web Servers The Relationship of Bandwidth to Hits Figure 4.13, Page 236 Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-46 Slide 3-47 23 SOURCE: IBM, 2003.
  • 24. Right-Sizing Your Hardware Platform: The Supply Side Scalability: Ways to scale hardware: Table 3.8, Page 213 n v n v n v n v n Ability of site to increase in size as demand warrantswarrants Vertically Increase processing power of individual components Horizontally Employ multiple computers to share workload Improve processing architecture Combine vertical and horizontal scaling and using artful design decisions Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-48 Slide 3-49 24
  • 25. Vertically Scaling a System Figure 3.13, Page 213 Horizontally Scaling a System Figure 3.14, Page 214 Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-50 Slide 3-51 25
  • 26. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-52 Slide 3-53 Table 3.9, Page 215 Other E-commerce Site Tools Web site design: Basic business considerations n v v Enabling customers to find and buy what they need 75% of users say they would not revisit a Web site that they found annoying to use 26
  • 27. Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-54 Slide 3-55 Table 3.10, Page 216 Table 3.11, Page 217 27
  • 28. Tools for Web site optimization Optimization: Search engine placement Tools for Interactivity and Active Content Web 2.0 design elements: CGI (Common Gateway Interface)CGI (Common Gateway Interface) ASP (Active Server Pages) Java, JSP, and JavaScript ActiveX and VBScript ColdFusion n v n vv v v v v v n v v nn n n n n How to attract lots of people to your site Metatags,titles, content – use keywords that accuratelyMetatags,titles, content – use keywords that accurately describe what you sell or do Identify market niches, localize site – be more specific, e.g., “Victorian jewelry,” to attract small, specific groups who are intensely interested in period jewelry Offer expertise – white papers, industry analyses, FAQpages to build confidence on users Links – encourage other sites to link to your site; list your site with Yahoo Directory; Build Facebook page for firm Search engine ads – choose your keywords and buy direct exposure on search engines Local e-commerce – if Web site or you products are attractive to local people, use keywords (e.g., “Vermont cheese” or “San Francisco blues music”) Widgets: Small pre-built chunk of code that executes automatically in an HTMLWeb page, e.g., weather, news headlines, clocks, calendars Mashups: Pull functionality/ data from one program and include it in another, e.g., Google Maps mashups Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-56 Slide 3-57 28
  • 29. Personalization Tools Personalization Customization Cookies: The Information Policy Set Privacy policy Accessibility rulesAccessibility rules n v n v n v n v nn v Ability to treat people based on personal qualities and prior history with sitequalities and prior history with site Ability to change the product to better fit the needs of the customer Primary method to achieve personalization Set of public statements declaring how site will treat customers’personal information that is gathered by site Set of design objectives that ensure disabled users can affectively access site Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-58 Slide 3-59 29
  • 30. Developing a Mobile Web Presence Three types of mobile e-commerce software Planning and building mobile presence Table 3.13, Page 228 n v v v n v Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-60 Slide 3-61 Mobile Web site Mobile Web app Native app As with regular Web site, use systems analysis/ design to identify unique and specific business objectives 30
  • 31. Developing a Mobile Web Presence Design considerations Performance and cost n v n v n v n v n Platform constraints: Smartphone/ tablet Mobile Web site: Least expensive Mobile app: Can utilize browser API Native app: Most expensive; requires more programming Copyright © 2012 Pearson Education Copyright © 2012 Pearson Education Slide 3-62 Slide 3-64 31

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