computers notes
TRANSCRIPT
e-business
2Agenda• Evolution of E-business
• E-business & E-commerce
• E-business concepts and dimensions
• E-business Pressures & Risks
• E-business Benefits
3Evolution of e-business
How it started
• Electronic data interchange (EDI) - electronically transfer routine documents (application enlarged pool of participating companies to include manufacturers, retailers, services)
• 1970s: innovations like electronic funds transfer (EFT) - funds routed electronically from one organization to another (limited to large corporations)
• 1990s: the Internet commercialized and users flocked to participate in the form of dot-coms or Internet start-ups
4Evolution of e-business (cont.)
• 1997: Introduction of a brand new phrase – e-business
• 1999: The emphasis of e-business shifted from B2C to B2B
• 2001: The emphasis shifted from B2B to B2E, c-commerce, e-government, e-learning, and m-commerce
• 2004: Total online shopping and transactions in the United States between $3 to $7 trillion
• E-business will undoubtedly continue to shift and change
5Traditional Purchasing Process FlowTraditional Purchasing Process Flow
Source: ariba.com, February 2001.
6Evolution of e-business (cont.)
The Future
By 2008:• Number of Internet users worldwide should reach 750 million
• 50 percent of Internet users will shop
• E-business growth will come more from:• B2C, B2B, e-government, e-learning, B2E, c-commerce
7Stakeholders
E-Business relationships are formed with the following types of stakeholders:
• Internal stakeholders: Management and staff• Suppliers and manufactures• Customers• Intermediaries• Financial institutions• Web service providers• Associations• Web communities Etc.
8
Major Players
9
“It is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change”
Charles Darwin
“If you’re not changing faster than your environment, you are falling behind”
Jack Welsh, CEO of GE
10
Electronic business or e-business is the use of ICT to improve business (from the use of email to facilitate administrative procedures in buying and selling through the Internet).
Electronic commerce or e-commerce is where business transactions take place via electronic communication networks, especially the Internet.
E-business and E-commerce
11
The main difference between them is that e-commerce defines interaction between organizations and their customers, clients, or constituents. On the other hand, e-business is broader term that also encompasses an organization’s internal operations.
Electronic commerce describes the buying and selling of products, services, and information via computer networks including the Internet, where e-Business describes the broadest definition of EC. It includes buying and selling of products and services, servicing customers, collaborating with business partners, and conducting other intra-business tasks.
E-business vs. E-commerce
12
Three alternative definitions of the relationship between e-business and e-commerce
E-business and E-commerce
13
Source: Choi et al. (1997), p. 18.
Dimensions of e-business/e-commerce
14Dimensions of e-business/e-commerce
• Pure vs. Partial: based on the degree of digitization of:- Product- Process- Delivery agent
• Traditional commerce: all dimensions are physical
• Pure e-business: all dimensions are digital
• Partial e-business: all other possibilities include a mix of digital and physical dimensions
15
Business Models
B2BB2CC2BC2C
Others
G2CC2GG2G
16Risks involved in E-business
Failure in fulfillment system
Failure in customer service
Failure in legal compliance
Failure in Fraud Control
Failure in Technology
Establishing Trust
Negotiating a Deal
Payment & Settlement
Information Sharing
Soft Products
17
Benefits of E-business Improved Customer Relation
Reach New Markets
Reduced Inventories
Reduced Overhead Costs
Optimum use of Resources
Improved Product Analysis
Improved Market Analysis
Enhance Human Capital
B2B tie-ups
18
Task for the Day
Explore any one B2B & B2C siteNote down the features of each
Compare the difference
Also find one Indian G2C site
19
That’s All For The Day !!!
Q&A
Conclusion