E-commerce: A Brief Overview - Dr. Gezgin

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Those are the slides by Dr. Gezgin for the following gathering:

October 10, 2007, HCMC, Vietnam: Xu huong TMDT Toan cau (The global trend of e-commerce). “DOANH NGHIỆP NHỎ VÀ VỪA ỨNG DỤNG CNTT – THƯƠNG MẠI ĐIỆN TỬ THỜI HỘI NHẬP WTO” (IT applications for SMEs by e-commerce in the post-WTO period).

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E-commerce: A Brief Overview - Dr. Gezgin

  1. 1. Global Trends in E-commerce: Trading without borders Dr. Ulas Basar Gezgin, PhD, HCMC, Viet Nam E-mail: [email_address]
  2. 2. Types of E-commerce <ul><li>Business-to-business (B2B); </li></ul><ul><li>Business-to-consumer (B2C); </li></ul><ul><li>Business-to-government (B2G); </li></ul><ul><li>Consumer-to-consumer (C2C); </li></ul><ul><li>Mobile commerce (m-commerce). </li></ul>
  3. 3. E-commerce Matrix Reprinted from Orbeta, Jr, 2001, p.2.
  4. 4. E-commerce (B2C vs. B2B) Reprinted from APEC, 2007, p.388, figures for 2004.
  5. 5. New Economy (Andam, 2003)
  6. 6. Uses of Internet <ul><li>Communication purposes (more in Asia, less in US) </li></ul><ul><li>E-commerce (less in Asia, more in US) </li></ul><ul><li>Websites for promotion of the product not for online sale (Asia) </li></ul><ul><li>Offline transactions preferred due to security issues (Asia). </li></ul><ul><li>Online auctions for coffee (South America) </li></ul>
  7. 7. Not preferred in Asia: Why? <ul><li>Considered to be additional cost with no use and value (only big comp. can do it) </li></ul><ul><li>Shortage of skilled labor (tech. literacy) </li></ul><ul><li>Security of e-payments </li></ul><ul><li>No of credit cards is low. </li></ul><ul><li>Anonymity (cash preference) </li></ul><ul><li>Tax evasion (Andam, 2003). </li></ul><ul><li>The digital divide. </li></ul><ul><li>Digital natives. </li></ul>
  8. 8. World Population and Internet Usage Reprinted from http://dsa.org.uk/powerpoint_full/03_E-Commerce_full.pdf
  9. 9. Top 10 Countries- Internet Users Reprinted from http://dsa.org.uk/powerpoint_full/03_E-Commerce_full.pdf
  10. 10. Asia at Advantage: Number of Internet Users Reprinted from, APEC, 2005, p.21 (figures for 2003).
  11. 11. Benefits of E-Commerce <ul><li>Transaction costs </li></ul><ul><li>Reduces search costs for buyers, reduces processing costs both for buyers and sellers, and allows inventory management and logistics </li></ul><ul><li>Disintermediation </li></ul><ul><li>Elimination of intermediaries and distributors (click only) </li></ul><ul><li>Transparency in Pricing </li></ul><ul><li>Access to Global Market: Easier for SME in Asia </li></ul><ul><li>Mass customization: e.g. A tailor in a traditional economy </li></ul><ul><li>Cooperation btw companies: Enhanced (Andam, 2003). </li></ul><ul><li>Reaches geographically dispersed costumers. </li></ul>
  12. 12. The Pace of Innovation: M & Net: Very Rapid! Unlike Others Reprinted from ADBI, 2004, p.42
  13. 13. M-commerce <ul><li>Traditional infrastructure: Roads and bridges </li></ul><ul><li>Information Age infra: networks </li></ul><ul><li>Ex/ Ph: mobile > land line (poor trad.infra.) </li></ul><ul><li>Mobile-banking </li></ul><ul><li>Mobile as a trading device! </li></ul>
  14. 14. What can gov do? <ul><li>E-commerce has no borders, it can boost the economic growth. </li></ul><ul><li>Thus gov. can provide incentives for SME endorsing E-comm practices. </li></ul><ul><li>A mass edu campaign for tech.literacy and Eng (India – call center example) </li></ul><ul><li>Gov as a model of e-applications (eg visa exemption for Viet Kieu online). </li></ul><ul><li>Legal framework </li></ul><ul><li>Security: Certification Authority (Singapore) </li></ul><ul><li>Trust: Gov. and consumer ratings on website (Andam, 2003) </li></ul><ul><li>Increase the number of IT graduates </li></ul>
  15. 15. Success in E-commerce <ul><li>Security of the e-commerce system </li></ul><ul><li>User-friendly Web interface </li></ul><ul><li>Top management support </li></ul><ul><li>Level of trust between customer and company </li></ul><ul><li>Information technology infrastructure </li></ul><ul><li>Customer acceptance </li></ul><ul><li>Cost of establishing and maintaining e-commerce system </li></ul><ul><li>Skilled human resources </li></ul><ul><li>Market situation </li></ul><ul><li>Integration with the existing corporate system </li></ul><ul><li>Corporate knowledge, culture & acceptance </li></ul><ul><li>Government support (reprinted from Korean TRI, 2002, p.43) </li></ul>
  16. 16. Domestic Market for E-Commerce (Internet Users in Viet Nam) digital natives Reprinted from APEC, 2007, p.109.
  17. 21. Selling Cultural Products (SEA and South America)
  18. 22. References <ul><li>Andam, Z.R. (2003). E-commerce and e-business . UNDP Asia-Pacific Development Information Programme (UNDP-APDIP). </li></ul><ul><li>APEC (2007). APEC symposium on information privacy protection in e-government and e-commerce. APEC: Hanoi, Vietnam. </li></ul><ul><li>APEC Tourism Working Group & Ministry of Culture and Tourism in Korea (2005). Exploring best practices of e-commerce application in SMTEs in the APEC region . Singapore: APEC. </li></ul><ul><li>Asian Development Bank Institute & Japan Ministry of Economy, Trade and Industry (2004). Promoting e-business and commerce in developing countries . Tokyo: ADBI. </li></ul><ul><li>KTRI (2002). Application of e-commerve strategies to small and medium sized tourism enterprises in the Apec region. Seoul: Korea Tourism Research Institute. </li></ul><ul><li>Orbeta, Jr., A.C. (2001). E-commerce beckons: The ASEAN responds. Development Research News, XIX , 3, 1-12. </li></ul>
  19. 23. Global Trends in E-commerce: Trading without borders Dr. Ulas Basar Gezgin, PhD, HCMC, Viet Nam E-mail: [email_address]

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