Driving the E-commerce revolution
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E-commerce involves direct selling of goods and services over the internet, agent services and research and development. E-commerce ventures target niche as well as broad customers. Examples of companies targeting niche customer’s includejbmountainbikes.com and southwest.com
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Driving the E-commerce revolution
- 2. Electronic Commerce Activities Product or service search Price search Activities payments Actual purchase
- 3. Electronic Commerce Activities -2 Direct selling of goods and/or services over the internet Provision of company homepage Advertising Priced Information Agent Services Research and Developement
- 4. Niche, Broad or Target Customer Niche - targeting a single customer or a group of customers Broad – entire population of appropriate customers
- 5. Targeting Strategy Strategy Differentiation Cost Leadership Niche Focus Internet Differentiation Focus Internet cost leadership segment e.g., Jb mountainbikes.com e.g., Southwest.com Customer Broad Internet Differentiation Broad Internet cost leadership Broad e.g., Old tools.com e.g., Amazon.com
- 6. Differentiation (features & services) Developing unique products/services & brand building Providing value added services and customisation through the internet Cost advantage by reducing transaction costs through appropriate use of internet
- 7. Major Modes Found in E- commerce -1 Four modes: • Revenue generating modes • Product delivery modes • Payment collection modes • Operating modes
- 8. Major Modes Found in E- commerce - 2 i. Revenue Generating Modes Profit from purchase/ sale of goods Agent fees Income from priced packaged information Advertising revenues Priced information Income from sale of aggregated marketing information
- 9. Major Modes Found in E- commerce - 3 (ii) Product Delivery Modes • Physical Maintenance Repairs Replacements Other types of follow-up activity • virtual
- 10. Major Modes Found in E- commerce - 4 (iii) Payment Collection Modes • Physical • Virtual
- 11. Major Modes Found in E- commerce - 5 (iv) Operating Modes • Completely outsourced operations • Completely self- handled operations • Hybrid operations
- 12. Matrix of E – Commerce Models Principal Business • Single or multiple Models: businesses • B2B • The nature of • B2C delivery • C2B • Customisation • C2C • Seller • Single or multiple characteristics individual • Price selling consumers mechanism
- 13. Business to Consumer (B2C) Commerce Electronic Retailing on www commerce and • Service efficiency technology • Personalisation Consumer • Socialisation behaviour and • Look & feel of site choice • Incentives Business processes and marketplace • security competition
- 14. Elements & Resources impacting Electronic Commerce Changes Network practices Cultural change Technology Cost and Time Frame Management Work Process Consultants Integrators vendors
- 15. Opportunity Development for E-Commerce Stages Step 1 : look for business opportunities Opportunity development Step 2 : map the opportunities & functions Step 3 : Require opportunities with executives Map all the three steps & form an e –commerce opportunity framework
- 16. Factors in Decision Making Strategy Application Business Technology Processes Goal (Final system)
- 17. Developing an E – Commerce strategy Involve Good understanding of Ensure appropriate technology by all involved manageme parties nt support Focus on E– Develop a phased high return COMMERC approach E STRATEG Think fresh Y Document on business case alternatives Prioritize Develop & alternatives agree budget
- 18. International Strategy Development Does product Direct/ meet the local needs ? Indirect Shipping Product Agreements Distribution delivery & Suitability & pricing Model support Fulfillment INTERNATIONAL Pricing & legal factors and support E-COMMERCE The Localisation Transaction Transaction & Purchase & Consulting & education acquisition customisation for change
- 19. Client/server Paradigm Server Client Server TCP/IP program program Result
- 20. Domain Name System Root-Level arpa AB ID US ZW co edu gov int mil NET ORG In-addr m hg 181 cn gun 53 37 rakr r Painte 112 113.37.53.181 162.79.21.123 Reverse Generic Country domain
- 21. Metadata Meta- sales Data sales ]al is a naughty Girl. She is good but naughty Soghty Girl. She is good but naughty Sonal is ty Girl. She is good but naughty Sonal ighty Girl. She is good but naughty Soghty Girl. She is good but naughty Sos aghty Girl. She is good but naughty
- 22. FTP client server User Protocol Interface interpreter Control connection Protocol Interpreter TCP/IP Data Data connection Transfer Data Transfer unit unit Local Remove disk disk
- 23. The Basic Website Communication Proce HTTP request Get HTML file Web Browser Web Server File system Returned HTML file
- 24. Basic Data Configuration Back-end Web browser Web server CGI SCRIPT Application
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