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    Dr. Michael Stachiw - Format International, Inc. 1

    E-BusinessThe Total Commitment

    Darkest Xenon Fear

    NIIT, ISAS.First Semister 2010-11 Fall

    E-Business

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    Dr. Michael Stachiw - Format International, Inc. 2

    E-Business

    Need: To extract from our business enterprisesmaximal return on our investment

    Goal: Increase market share AND increase thenumber of markets we can sell our products

    Method: utilize E-business and E-Commercetechniques

    E-Business

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    E-Business

    EC Introduction Introduction

    The cycle of electronic commerce

    EC and Business Process

    EC statistics EC Strategies

    4Cs strategy: Customer, Content, Community, Commerce

    Revenue streams

    EC development process

    EC Business Models

    B2C Virtual stores: physical and digital goods and services Infomediaries: Seller-side

    Informediaries: Buyer-side

    Infomediaries: B2B marketspace

    E-Business

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    Elements of E-businessInstitution

    Government Merchants Manufacturers Suppliers Consumers

    Processes

    Marketing Sales Payment Fulfillment Support

    Networks

    Intranet Extranet Internet

    Electronic

    Business

    E-Business

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    Dr. Michael Stachiw - Format International, Inc. 5

    E-Business Cycle

    Customers Online Ads Online

    Orders

    Standard Orders

    Access

    SearchesQueriesSurfing

    DistributionOnline: soft goodsDelivery: hard goods

    Electronic CustomerSupport

    Follow-onSales

    E-Business

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    E- Business Growth

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    E-Business ProcessesSeller Customer

    CorporateDatabases

    Provide

    Info

    Getcustomer

    Provideinfo

    FulfillOrderSupport

    Identifyneed

    Findsource

    Evaluateofferings

    PurchaseMaintain,Repair,Operate

    Phone,fax, e-mail

    Web site

    Newsgroups

    Netcommunities

    Web site

    EDI

    Web site, phone,fax, e-mail, e-

    mailing list

    Credit cards, e-cashP.O.s

    Demos,reviews

    Send info

    Data sheets,catalogs, demos

    Request info

    Web surfing

    Websearches,web ads

    Deliver soft goods electronically

    E-Business

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    $0$200$400$600$800

    $1,000$1,200$1,400

    1999 2000 2001 2002 2003

    B2C

    B2B(Services)B2B(Goods)

    B2C: Business to ConsumerB2B: Business to Business

    E-Business Growth Amongst Sectors

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    E-BusinessE-BusinessDefinition:

    Selling online, with or through a website, or by

    means of email. Ecommerce or electroniccommerce is usually subdivided into B2B(business to business: wholesale), B2C (businessto customer: retail) and C2C (customer to

    customer: auctions and information portals).* http://www.ecommerce-digest.com/ecommerce-definition.html

    E-Business

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    11/36Dr. Michael Stachiw - Format International, Inc. 11E-Business

    1940s - 1980s

    Manufacturing to information economyLocal - regional - national -multinationalTangible brick-and-mortar assets:offices, shops, service centers, and

    warehouse

    1990s - 21st CenturyNet economy:

    Information & KnowledgeCommunication and interactions

    Global and virtualBusiness Focus: Information, channel,flow, customer loyalty, reliable service,relationshipIntangible assets: Knowledge,experiences, relationships

    Changing customer demands

    Globalization Internet ubiquity New technology New marketplace and intermediacies

    Net Economy Advantages due to Net Economy

    "The Internet is going to become a

    channel of distribution." -- The president ofa major U.S. advertising agencyAnother firm advertise its virtual store as"The parking is easy, there are no checkoutlines, we are open 24 hours a day, and wedeliver right to your door."

    The trend toward point-of-sale movinginto the home is accelerating.

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    Consumers: Everything on the Internet should to be free.Merchant: How can I make a profit if everything is free.Examples:

    Free web browsers: Netscape Communicator and InternetExplorerFree email: Juno, mail.yahoo.com and hotmail.com

    Free Internet Access: Freeserve in BritainFree PC: eMachine and CompuServe; Free-PCFree web hosting: Geocities, Angelfire, Zoom

    E-Services of Telephony and Hosting

    All tangible and intangible items that canbe copied adhere to the law of invertedpricing and become cheaper as theyimprove.

    Anticipate this cheapness in your pricing

    strategy and product/service developmentstrategy

    Cost of a 3-minuteLong Distance Call

    $250

    $0

    Price

    I t t I d t

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    Internet Industry

    InternetEconomy

    Consulting

    Content

    andActivity

    Electronic

    CommerceInfrastructure

    Client/Server

    Software

    ISPNetworkServices

    InternetEquipment

    Commerce InstrumentsPortals

    Commerce Servers

    SportsMallsEntertainment

    NewsfeedPublications

    System Integrationand Design Browsers

    Web Server

    Application ServersSecurityTools

    Internet ServiceConsumer Services

    Carriers

    Backbone RouterAccess EquipmentServer Computers

    E-Business Internet Services

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    Dr. Michael Stachiw - Format International, Inc. 14E-Business

    Hard goods:FoodClothesComputer hardware and ElectronicsPackaged software

    Soft goods (Bits delivered on-line)Information

    DatabasePublishingResearch

    SoftwareComputer gamesJava appletsApplication software

    ServicesSelling time:

    Computer game playConsultingLegal and medical services

    Selling information (subscriptions)Dating servicesLegal and medical advice

    Reservations and ticketsAirline ticketsEvent ticketsHotel and restaurant

    What Do people buy or sell on internet?

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    E-Business Creation Process

    E-Vision

    BusinessDrivers

    TechnologyDrivers

    E-BusinessStrategy

    RapidImplementation

    Customer feedback Benchmark data Competitive analysis

    Market forces Usage statistics Customer needs Current capabilities

    Personalization ROI Profiling Segmentation Experience

    modeling Expanded

    businessopportunities

    Systems and networks Web architecture Business infrastructure Technology

    components Web technology

    strategy

    E-Services And E-vision

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    Web Experiences forConsumers

    A many-to-many rather a one-to-many experience

    Fresh content

    Access to detail information

    Communities unbounded by space and time

    The multimedia appeal of TV

    A redefinition of privacy and identity

    Hyper-impulsivity: The web permits a closerconjunction of desire, transaction, and payment thanany other environment.

    E-Business & Services

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    User Generated Content

    Taking A pledge For Better Services

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    Personalization

    Taking A Pledge For Better Services

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    Information Density

    Taking A pledge For Better Services

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    Interactivity

    Taking A pledge for Better services

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    Richness

    Taking A pledge For Better Services

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    Global Reach

    Taking A pledge for Better Services

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    Universal Standards

    Taking A pledge for Better Services

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    Ubiquity

    Taking A pledge for better Service

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    Benefits of E-Auctions

    E-Auction Facilities

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    The Reverse Auction Process

    E-Auction Without any Geographicbounds

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    How E-Credit Cards Work

    E-banking Procedure

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    Online Service Industries

    Cyberbanking

    Online securities trading

    Online job market

    Travel services

    Banking as E-business Service

    http://www.kayak.com/http://www.expedia.com/http://www.sidestep.com/http://www.simplyhired.com/http://www.monster.com/http://www.bloomberg.com/http://money.cnn.com/http://www.ingdirect.com/
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    Dr. Michael Stachiw - Format International, Inc. 30Snaps of Services and commodities

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    M-Commerce

    What is Mobile Commerce?

    Mobile commerce is the term applied to

    online financial transactions - shopping orthe electronic transfer of funds - using a

    mobile device.

    Mobile commerce transactions are beingenhanced by developments in the world of

    mobile communication.

    E-Business extended

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    Dr. Michael Stachiw - Format International, Inc. 33E-Business

    Mobile Transanctions Made Easy

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    Dr. Michael Stachiw - Format International, Inc. 34

    Standard format to exchange businessdata.EDI message is a string of data that

    represents price, product number,product name, etc.EDI message can be encrypted.EDI is one form of E-commerce, also

    include email, fax.

    Electronic Data Interchange (EDI)

    E-business Extended

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    Dr. Michael Stachiw - Format International, Inc. 35E-business Extended EDA

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