More Related Content Similar to Chapter_4.ppt (20) Chapter_4.ppt1. Slide 4.1
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
CHAPTER 4
E-ENVIRONMENT
2. Slide 4.2
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Learning outcomes
Identify the different elements of an organization
macro-environment that impact on an
organization e-business and
e-marketing strategy
Assess the impact of legal, privacy and ethical
constraints or opportunities on a company
Assess the role of macro-economic factors such
as governmental e-business policies,
economics, taxation and legal constraints.
3. Slide 4.3
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Management issues
What are the constraints placed on developing
and implementing an e-business strategy by the
e-environment?
What factors influence the adoption of new
digital media and how can we estimate future
demand for online services?
How trust and privacy can be assured for the
customer while seeking to achieve marketing
objectives of customer acquisition and
retention?
4. Slide 4.4
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
SLEPT Factors
Macro-environment
Social
Legal
Economic
Political
Technological
5. Slide 4.5
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
SLEPT: Social
Include the influence of consumer perceptions
in determining usage of the Internet for
different activities
6. Slide 4.6
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
SLEPT: Legal and ethical
Determine the method by which products can
be promoted and sold online
Governments, on behalf of society, seek to
safeguard individuals right to privacy
7. Slide 4.7
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
SLEPT: Economic
Variations in the economic performance in
different countries and region affects spending
patterns and international trade
8. Slide 4.8
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
SLEPT: Political
National governments and transnational
organizations have an important role in
determining the future adoption and control of
the Internet and the rules by which it is
governed
9. Slide 4.9
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
SLEPT: Technological
Changes in technology offer new opportunities
to the ways products can be marketed
10. Figure 4.1 ‘Waves of change’ – different timescales for change in the environment
11. Slide 4.11
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Factors governing Internet
adoption
Cost of access
Value proposition
Ease of use
Security
Fear of the unknown
12. Slide 4.12
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Internet Access
Consumers and businesses who uses Internet
vary according to countries
Within each country, adoption of the Internet
vary significantly according to individual
demographic characteristics
Broadband adoption
13. Figure 4.2 Global variation in number of PCs per hundred population and percentage
Internet access in 2004
Source: ITU (www.itu.int/ITU-D/ict/statistics/)
14. Figure 4.3 Variation in demographic characteristics of UK Internet users: (a) gender,
(b) age, (c) social grade
Source: eMori Technology Tracker – www.mori.com/technology/trackerdata.shtml
15. Slide 4.15
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Consumers influenced by using the
online channel
Psychographic segmentation
Realistic enthusiasts 14%
Confident brand shoppers 18%
Carefree spenders 19%
Cautious shoppers 14%
Bargain hunters 21%
Unfulfilled 14%
16. Figure 4.4 Percentage by category who bought offline after researching online
Source: BrandNewWorld: AOL UK / Anne Molen (Cranfield School of Management) / Henley Centre, 2004
18. Slide 4.18
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
B2B Profiles
The percentage of companies with access
Influenced online
Purchase online
20. Slide 4.20
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Why personal data are
valuable?
1. Contact information
2. Profile information
3. Behavioral information (on a single site)
4. Behavioral information (on multiple site)
21. Slide 4.21
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Ethical issues and data
protection
Ethical issues concerned with personal information
ownership have been usefully summarized by Mason
(1986) into four areas:
1. Privacy – what information is held about the individual?
2. Accuracy – is it correct?
3. Property – who owns it and how can ownership be
transferred?
4. Accessibility – who is allowed to access this information,
and under which conditions?
22. Slide 4.22
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Ethics – Fletcher’s view
Fletcher (2001) provides an alternative
perspective, raising these issues of concern for
both the individual and the marketer:
1. Transparency – who is collecting what
information?
2. Security – how is information protected once
collected by a company?
3. Liability – who is responsible if data is abused?
23. Slide 4.23
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
The eight principles for data
protection
Fairly and lawfully processed;
Processed for limited purposes;
Adequate, relevant and not excessive;
Accurate;
Not kept longer than necessary;
Processed in accordance with the data subject's rights;
Secure;
Not transferred to countries without adequate protection.
www.dataprotection.gov.uk
25. Slide 4.25
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Anti-spam legislation
To protect individual privacy and with intention
of reducing spam or unsolicited commercial e-
mail (UCE)
‘Sending Persistent Annoying e-Mail’
Anti-spam legislation can be viewed at
http://www.spamlaws.com
26. Slide 4.26
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Avoiding SPAM
27. Slide 4.27
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Regulations on privacy and
electronic communications
Privacy and Electronic Communications
Regulations (PECR) Act
1. Applies to consumer marketing using email
or SMS text messages
2. Is an ‘opt-in’ regime
3. Requires an opt-out option
4. Does not apply to existing customers when
marketing similar products
5. Contact details must be provided
28. Slide 4.28
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Regulations on privacy and
electronic communications
6. The ‘From’ identification of the sender must
be clear
7. Applies to direct marketing communications
8. Restricts the use of cookies
29. Slide 4.29
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Understanding cookies
A data file placed on your computer that
identifies an individual computer
Persistent
Temporary or session
First-party
Third-party
Cookies are stored as individual text files
dave_chaffey@british_airways.txt
FLT_VISK:bapzRnGdxBYUUD:Jul-25-
1999british-airways.com0 425259904 293574
26 1170747936 *
30. Slide 4.30
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Using Cookies
31. Slide 4.31
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
What are cookies used for?
Personalizing a site for individual
Online ordering systems
Tracking within a site
Tracking across sites
32. Slide 4.32
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Viral e-mail marketing
To reassure web users about threats to their
personal information
TRUSTe
ISIS – a UK accreditation initiative
getsafeonline
33. Slide 4.34
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Checklist of compliance
Follow privacy and consumer protection
Inform the user
Ask for consent for collecting sensitive personal data
Reassure customers by providing clear privacy
statements
Let individual know when cookies are used
Never collect or retain personal data
Amend incorrect data
Only use data for marketing
Provide the option to stop receive information
Use appropriate security technology
34. Slide 4.35
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Legal – Sparrows eight areas
1. Marketing your e-commerce business
2. Forming an electronic contract
3. Making and accepting payment
4. Authenticating contracts concluded over the
Internet
5. E-mail risks
6. Protecting Intellectual Property
7. Advertising on the Internet
8. Data protection.
35. Slide 4.36
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
1.Marketing your e-commerce
business
Domain name registration
Using competitor names and trademarks in
meta tags
Using competitor names and trademarks in
pay-per-click advertising
Accessibility law: hukum bagi orang
berkebutuhan khusus
36. Slide 4.37
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
2.Forming an electronic
contract
E-commerce sites must contain easily
accessible content that clearly states
The company’s identity including address
The main features of the goods or services
Prices information
The period for which the offer or price is valid
Payment, delivery and fulfillment
Substitution
37. Slide 4.38
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Economic/Political
Ensuring companies competitive
Funding for education and technology
Promoting new technology e.g. broadband 12% in UK, 70%
Taiwan, South Korea
Achieving government efficiencies
E-government – all UK services online by 2005
Singapore ‘Intelligent Island’
Taxation regimes
Legislation for offshore trading.
38. Slide 4.41
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
E-commerce and globalization
The increase of international trading and
shared social and cultural values
Language and cultural understanding
English becoming the lingua franca of
commerce
Tailoring e-commerce services for individual
countries or regions
39. Slide 4.43
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Political factors
Promoting the benefits of adopting the Internet
Enacting legislation to protect privacy or
control taxation
Providing guidelines and assistance for
compliance with legislation
Setting up international bodies to coordinate
the Internet
40. Slide 4.44
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
E-government
The application of e-commerce technologies to
government and public services
41. Slide 4.45
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Technological issues
Need to be able to assess new innovation
Rate of change
Which new technologies should we adopt?
Monitoring for new techniques
Evaluation – are we early adopter
Re-skilling and training
Are our systems secure?
43. Figure 4.11 Example of a Gartner hype cycle
Source: Gartner (2005) Gartner’s Hype Cycle Special Report for 2005
45. Slide 4.49
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Activity 4.1
List all the social, legal and ethical issues that
the manager of a sell-side e-commerce web site
needs to consider to avoid damaging
relationships with users of his or her site or
which may leave the company facing
prosecution.
You can base your answer on issues which may
concern you, your friends or your family when
accessing a web site.
46. Slide 4.50
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Activity answer – this lecture
Cookies – laws and consumer perception on placing
these
Are we limiting access to information from certain sections
of society (social exclusion)?
Privacy of personal information entered on a web site
Sending unsolicited e-mail
Replying promptly to e-mail
Copyright
Site content and promotional offers/adverts are in keeping
with the different laws in different countries
Providing text, graphics and personality in keeping with
social mores of different countries
47. Slide 4.51
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Summary
1. Environmental scanning and analysis are
necessary in order that a company can
respond to environmental changes and act
on legal and ethical constraints on its
activities
2. Environmental constraints are related to the
micro-environment variables reviewed in
chapter 5 and the macro-environment
variables in this chapter using the SLEPT
mnemonic
48. Slide 4.52
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Summary
3. Social factors that must be understood as
part of the move to the Information Society
include buyer behaviour characteristics such
as access to the Internet and perceptions
about it as a communications tool
4. Ethical issues include the need to safeguard
consumer privacy and security of personal
information. Privacy issues include collection
and dissemination of customer information,
cookies and the use of direct e-mail
49. Slide 4.53
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Summary
5. Legal factors to be considered by e-
commerce managers include: accessibility,
domain name registration, copyright and data
protection legislation
6. Economic factors considered in the chapter
are the regional differences in the use of the
Internet for trade. Different economic
conditions in different markets are considered
in developing e-commerce budgets
50. Slide 4.54
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Summary
7. Political factors involve the role of
governments in promoting e-commerce, but
also trying to control it
8. Rapid variation in technology requires
constant monitoring of adoption of the
technology by customers and competitors
and appropriated responses
51. Slide 4.55
Dave Chaffey, E-Business and E-Commerce Management, 3rd Edition © Marketing Insights Ltd 2007
Tugas
Di Indonesia, undang-undang apa saja yang
berhubungan dengan pemanfaatan ICT?
Mengatur apa sajakan hukum2 tersebut?