This document discusses e-business and how organizations can use the internet for business purposes. It defines e-business as conducting business via the internet, and lists some common forms like e-tailing, B2B transactions, EDI, and using communication tools. The document outlines the capabilities of e-business like global reach, personalization, and cost savings. It also discusses challenges like privacy, fraud, and website usability issues. Finally, it covers topics like using websites for marketing, communications functions, measuring website effectiveness, and the global scope of e-business.

1. > > > > > > > >
E-Business: Doing
Business Online
1
MADE BY- DARAIN ANAMUL HAQUE
ASHISH GOSWAMI

2. Define e-business and discuss
how it can help achieve business
success.
Distinguish between a corporate
and a marketing Web site.
List the major forms of B2B
e-business.
Explain B2C e-business and
identify the products most often
sold online.
Describe some of the challenges
associated with e-business.
Discuss how organizations use
Internet communications to
advance their objectives.
Discuss Web sites and identify
methods for measuring
Web site effectiveness.
Explain the global scope
of e-business.
1
2
3
4
5
6
7
Learning Goals
8
DARAIN & ASHISH 2

3. Electronic business (e-business) - Conducting business
via the Internet.
1. E-tailing, or virtual storefronts on Web sites.
2. Online business-to-business transactions.
3. Electronic data interchange (EDI), the business-to-business
exchange of data using compatible software.
4. E-mail, instant messaging, and other Web-enabled communication
tools and their use as media for reaching prospective and existing
customers.
5. The gathering and use of demographic, product, and other
information through Web contacts.
What is E-Business?
DARAIN & ASHISH 3

4. • Global Reach. Goods and services can be sold to
customers worldwide.
• Personalization. Companies can customize products and
reduce inventory.
• Interactivity. Customers and suppliers can negotiate
prices online.
• Right-time and integrated marketing. Online retailers
provide products when and where customers want them
and promotions can be directed to individual customers.
• Cost savings. E-business can reduce costs.
Capabilities and
Benefits of E-Business
DARAIN & ASHISH 4

5. University of Phoenix
FreshDirect
Boston Symphony Orchestra
Some E-Business
Successes
DARAIN & ASHISH 5

6.  Increase a firm’s visibility, promote its offerings, and provide
information to interested parties.
 Build customer goodwill and assist retailers and other
resellers in their marketing efforts.
 Disseminate financial information to investors.
 Enable prospective employees to apply online for jobs.
 Provide e-mail communication.
.
Business Web Sites
Web sites are frequently used for marketing to attract
visitors/customers.
DARAIN & ASHISH 6

7. Business-to-Business
(B2B)
• Business-to-business e-business (B2B) Electronic business transactions
between businesses using the Internet.
• B2B transactions total $2.5 trillion.
• By some estimates, account for 90% of all e-commerce activities.
• Can reduce cost of B2B transactions by almost 25 percent.
DARAIN & ASHISH 7

8. Electronic Data Interchanges,
Extranets, & Private Exchanges
 Electronic data interchange (EDI) is a
computer-to-computer exchange of invoices,
purchase orders, price quotations and other
sales information.
 Extranets offer an efficient way for business to
collaborate with vendors, partners and
customers.
 Private Exchanges are the next generation of
extranets where all types of data related to e-
business is shared.DARAIN & ASHISH 8

9. • Business-to-consumer (B2C)
• E-tailing accounts for 4% of all U.S.
sales.
• Growing at a rate of 18%.
• Services like banking and brokerage are key
aspects of e-tailing
• Many retailers have electronic storefronts.
• Growth of broadband is aiding e-tailing.
Online Shopping and
B2C
DARAIN & ASHISH 9

10. Who are online buyers
and sellers?
 Typical user is young, highly
educated, urban or suburban,
and affluent.
 Demographics are shifting;
there is decreasing difference
in Internet purchasing habits
among groups.
DARAIN & ASHISH 10

11. Lower Prices
• Many products cost less online.
• Internet allows customers to easily compare prices from multiple
sellers.
Convenience
• Can order products from around the world anytime, day or night.
• Can register customer information to streamline transactions.
Personalization
• Emphasis on personalized, one-on-one marketing to increase
repeat purchases.
Benefits of B2C
E-Business
DARAIN & ASHISH 11

12. • Through encryption, data is encoded for security
purposes.
• Many companies use Secure Sockets Layer (SSL)
technology to encrypt information and verify senders
and receivers.
• An electronic wallet contains credit card and
identification information. Customers can avoid
retyping purchase information.
Developing Safe Online
Payment Systems
DARAIN & ASHISH 12

13.  Privacy is among the top concerns of Internet users.
 E-business sites often require passwords and use electronic
signatures, an electronic form of identity verification.
 Companies can track customers’ shopping and viewing habits through
cookies.
 Customers usually prefer that companies do not share their personal
information. Merchants have responded by joining privacy
organizations.
 Privacy protections may soon become legally required.
 Employees also have concerns that employers are monitoring their
Internet behavior.
 Companies worry about data theft.
E-Business Challenges
(privacy)
DARAIN & ASHISH 13

14. • Internet Crime Complaint Center logs more than 200,000
complaints annually.
• 50% of the complaints referred to law enforcement
agencies deal with online auctions.
• Phishing is a growing form of Internet fraud that uses e-
mail or pop-up messages to get unsuspecting victims to
disclose personal information.
• Vishing, or voice phishing, involves phone calls to credit
card customers to obtain personal and banking
information.
• Payment fraud is growing.
E-Business Challenges
(Internet Fraud)
DARAIN & ASHISH 14

15. • 50% of shopping carts are abandoned before any
purchase is made.
– Lack of Information
– Inability to find the information they need
– Feeling overwhelmed by too much information
• Companies that have brick-and-mortar experience often
have better success satisfying customers than Internet-
only retailers.
• Online sales can compete with business partners such
as retailers and distributors causing disputes called
channel conflict.
E-Business Challenges
(poor website design)
DARAIN & ASHISH 15

16. • Web has four main functions: e-business,
entertainment, information, and communication.
• Communication is Web’s most popular function.
• Firms use e-mail to communicate with customers,
suppliers, and other partners.
• Online Communities: Internet forums, newsgroups,
electronic bulletin boards, and Web communities that
appeal to people who share common interests.
• Spam is junk e-mail.
Using the Web’s
Communication Function
DARAIN & ASHISH 16

17. • Blog - short for Web log, an online journal written by
a blogger.
• May incorporate wikis, a Web page that anyone can
edit.
• Some incorporate podcasts, video & audio
recordings. Feedburner services more than 200,000
podcasts.
• Corporate blogs can help build brand trust.
– Example: Apple’s iLounge builds the iPod brand and gives
Apple ideas for product improvement.
• Employee blogs may present ethical issues.
Web Communication
Blogs
DARAIN & ASHISH 17

18. • Banner Ads – messages placed on frequently visited
websites
• Pop-up Ads – ads that appear in separate windows
• Pre-roll Video Ads – advertisements that roll as
soon as a page is loaded
• Search marketing – companies pay for top visibility
in search results
Some companies, such as ValPak Marketing
Systems, offer virtual, searchable coupons.
Web Communication
Web Based Promotion
DARAIN & ASHISH 18

19.  Future growth of many companies is linked to a global
strategy that incorporates e-business.
 U.S. leads world in Internet users but ranks only 5th in
Internet penetration.
 E-Bay may dominate most markets, but Chinese company
Alibaba.com has 83% of the auction business in China.
 Three of four Web pages are written in English.
 E-business can heighten competition in the global
marketplace...
Global Environment of
E-Business
DARAIN & ASHISH 19

20. World Internet
Statistics
DARAIN & ASHISH 20

21. Developing a
Successful Website
It is easier to create a bad website than a good one.
Organizations must think about:
Planning and Preparation
Content and Connections
Costs and Maintenance
DARAIN & ASHISH 21

22. • Click-through rate - percentage of people presented with a Web banner ad
who click on it.
• Conversion rate - percentage of visitors to a website who make a
purchase.
Managing a Website
DARAIN & ASHISH 22

23. DARAIN & ASHISH 23
THANK YOU EVERYONE
DEAR WAGH SIR AND MY
CLASSMATES