Measures of Central Tendency: Mean, Median and Mode
E business
1. Creating a Winning E-Business
Second Edition
Understanding E-Business
Chapter 1
2. Creating a Winning E-Business
Second Edition, Chapter 1
2
Learning Objectives
Discuss e-business basics
Describe the Internet and World Wide Web
Discuss the role of e-business in the global
economy
List e-business advantages and disadvantages
3. Creating a Winning E-Business
Second Edition, Chapter 1
3
Learning Objectives
(continued)
Explain e-business value chains and value
activities
Identify e-business models
4. Creating a Winning E-Business
Second Edition, Chapter 1
4
E-Business Basics
E-commerce – Process of buying or selling
goods or services across a telecommunications
network
E-business – Widest spectrum of business
activities using Internet and Web technologies
Many technologies facilitate e-business
– Electronic funds transfer (EFT)
– Electronic data interchange (EDI)
– Internet / World Wide Web
5. Creating a Winning E-Business
Second Edition, Chapter 1
5
The Internet and
World Wide Web
Network
– Group of two or more computers
– Linked by communication media
• Cable
• Telephone lines
• Wireless connections
Networks servers
– Give users access to shared network resources
– Printers, files, telecommunication lines
6. Creating a Winning E-Business
Second Edition, Chapter 1
6
The Internet and
World Wide Web (continued)
7. Creating a Winning E-Business
Second Edition, Chapter 1
7
The Internet and
World Wide Web (continued)
Internet
– A worldwide public network that connects private
networks
– Originated in the late 1960s as ARPANET
– Managed by the National Science Foundation in
the 1980s and early 1990s as NSFnet
– Connected colleges, universities, and research
centers
– Commercial activity was prohibited until 1991
8. Creating a Winning E-Business
Second Edition, Chapter 1
8
The Internet and
World Wide Web (continued)
Internet (continued)
– Replaced by commercial high-speed
telecommunications backbones in 1995
• Individuals and SMBs connect via an Internet
Service Provider (ISP)
• Large businesses, colleges, and universities may
have direct connection
9. Creating a Winning E-Business
Second Edition, Chapter 1
9
The Internet and
World Wide Web (continued)
10. Creating a Winning E-Business
Second Edition, Chapter 1
10
The Internet and
World Wide Web (continued)
11. Creating a Winning E-Business
Second Edition, Chapter 1
11
The Internet and
World Wide Web (continued)
12. Creating a Winning E-Business
Second Edition, Chapter 1
12
The Internet and
World Wide Web (continued)
World Wide Web (Web)
– A subset of the Internet
– Built on the concept of hypertext
– System of linked pages called Web pages
– Related Web pages are called a Web site
– Viewed in a Web browser
– Stored on Web servers
Millions of people around the world access
the Internet and Web daily
13. Creating a Winning E-Business
Second Edition, Chapter 1
13
E-Business and the
Global Economy
Widespread linking of individuals and
businesses has changed global economy
– Time and space are no longer limiting factors
– Business value of information is greater
– Information is more accessible
– Traditional intermediaries have been replaced
by new types of intermediaries
14. Creating a Winning E-Business
Second Edition, Chapter 1
14
E-Business and the
Global Economy (continued)
Buyers are growing more powerful
Internet and Web access has changed
buyers expectations
– Information on competing products
– Transaction speed and convenience
15. Creating a Winning E-Business
Second Edition, Chapter 1
15
E-Business and the
Global Economy (continued)
16. Creating a Winning E-Business
Second Edition, Chapter 1
16
E-Business and the
Global Economy (continued)
17. Creating a Winning E-Business
Second Edition, Chapter 1
17
E-Business and the
Global Economy (continued)
18. Creating a Winning E-Business
Second Edition, Chapter 1
18
E-Business and the
Global Economy (continued)
19. Creating a Winning E-Business
Second Edition, Chapter 1
19
E-Business and the
Global Economy (continued)
20. Creating a Winning E-Business
Second Edition, Chapter 1
20
E-Business and the
Global Economy (continued)
Value chain or value network
– Activities involved in the production of goods
or services
– Internet and Web technologies facilitate value
chains and networks
• Improve communication
• Improve transaction speed
Internet and Web access allows businesses
to rethink their value chains
21. Creating a Winning E-Business
Second Edition, Chapter 1
21
E-Business and the
Global Economy (continued)
22. Creating a Winning E-Business
Second Edition, Chapter 1
22
E-Business and the
Global Economy (continued)
23. Creating a Winning E-Business
Second Edition, Chapter 1
23
Business models
– How a company conducts business in order to
generate revenue
– Widespread access to the Internet and Web
allows companies to adapt old models and
create new ones
E-business models are often categorized by
type of customer
E-Business Models
24. Creating a Winning E-Business
Second Edition, Chapter 1
24
E-Business Models
(continued)
25. Creating a Winning E-Business
Second Edition, Chapter 1
25
Business-to-consumer (B2C)
– Retail sales (e-retail) including airline tickets,
entertainment venue tickets, hotel rooms, stock
purchases, diet and fitness programs
Brick-and-mortar companies are moving to
brick-and click companies
– Sears, Best Buy, Barnes & Noble, the Gap
Pure-play e-retailers and catalog merchants
– Amazon.com, eBags, Harry and David
E-Business Models
(continued)
26. Creating a Winning E-Business
Second Edition, Chapter 1
26
E-Business Models
(continued)
27. Creating a Winning E-Business
Second Edition, Chapter 1
27
E-Business Models
(continued)
28. Creating a Winning E-Business
Second Edition, Chapter 1
28
E-Business Models
(continued)
29. Creating a Winning E-Business
Second Edition, Chapter 1
29
E-Business Models
(continued)
Business-to-business (B2B)
– Businesses selling to other businesses
– Online stores, such as Office Depot, Staples
– Internet and Web technologies
• Web hosting
• Web design
• Hardware and software
• Consulting
30. Creating a Winning E-Business
Second Edition, Chapter 1
30
E-Business Models
(continued)
Business-to-business (B2B)
– Online trading communities for vertical markets
– Exchanges, aggregators, auctions
• Virtual marketspaces for buyers and sellers
• Elance, ATLA Exchange, Business.com,
HedgeHog
31. Creating a Winning E-Business
Second Edition, Chapter 1
31
E-Business Models
(continued)
32. Creating a Winning E-Business
Second Edition, Chapter 1
32
E-Business Models
(continued)
33. Creating a Winning E-Business
Second Edition, Chapter 1
33
E-Business Models
(continued)
34. Creating a Winning E-Business
Second Edition, Chapter 1
34
E-Business Models
(continued)
Business-to-government (B2G)
– Businesses provide a marketspace for other
businesses and government agencies
– Bidmain, B2GMarkets
35. Creating a Winning E-Business
Second Edition, Chapter 1
35
E-Business Models
(continued)
36. Creating a Winning E-Business
Second Edition, Chapter 1
36
E-Business Models
(continued)
Consumer-to-consumer (C2C)
– Consumers sell or exchange products and
services directly with other consumers
– Auctions, online classified ads, expert information
exchanges
• eBay, American Boat Listing, TraderOnline.com,
AllExperts
37. Creating a Winning E-Business
Second Edition, Chapter 1
37
E-Business Models
(continued)
38. Creating a Winning E-Business
Second Edition, Chapter 1
38
E-Business Models
(continued)
39. Creating a Winning E-Business
Second Edition, Chapter 1
39
E-Business Models
(continued)
Consumer-to-business (C2B)
– Reverse auctions in which a single consumer
names his or her own price for products or
services
– Consumer’s offer made to multiple businesses,
which can accept or decline offer
– Priceline.com
40. Creating a Winning E-Business
Second Edition, Chapter 1
40
E-Business Models
(continued)
41. Creating a Winning E-Business
Second Edition, Chapter 1
41
Chapter Summary
E-business – Conducting a broad spectrum of
business activities over a telecommunications
network
Internet – A worldwide public network that
connects private networks
World Wide Web – A subset of the Internet
Time, space, and geographic location no longer
limiting factors
42. Creating a Winning E-Business
Second Edition, Chapter 1
42
Chapter Summary
(continued)
Buyers are growing more powerful
Businesses are rethinking their value chains
Business model – The way a company conducts
its activities in order to generate revenue
Businesses are adapting old business models
and creating new ones
E-business models – B2C, B2B, B2G, C2C, C2B