Lecture 1 Managing E-Commerce and Business, BHMS4472 PDF

ICT (Information, Communication, and Technology) Lecture 1 BHMS4472 ICT in Business Managing in the Digital World...

ICT (Information, Communication, and Technology) Lecture 1 BHMS4472 ICT in Business Managing in the Digital World ICT (Information, Communication, and Technology) Course Lecturer Dr. Zulfiqar ALI Lecturer Office: WK – S1317 Office Phone: +852 3746 0749 Mobile: +852 9293 6748 (WhatsApp) Email: [email protected] 2 Uber: The New Face of E-commerce? Class Discussion Have you used Uber or any other on-demand service companies? What is the appeal of these companies for users and providers? Are there any negative consequences to the increased use of on-demand services like Uber and Airbnb? How has the Covid-19 pandemic impacted Uber and other on- demand services? Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved The First Thirty Seconds The first two decades of e-commerce - Just the beginning - Rapid growth and change Technologies evolve at exponential rates - Disruptive business change - New opportunities Why study e-commerce - Understand opportunities and risks - Analyze e-commerce ideas, models, issues Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved E-Commerce “The buying and selling, marketing and servicing of products and services via computer networks.” “Ecommerce is a method of buying and selling goods and services online.” “E-commerce is a market activity of trading goods or services over the Internet.” 5 E-Business “The use of the internet to network and empower business processes, electronic commerce, organizational communication and collaboration within a company and with its customers, suppliers, and other stakeholders.” Stakeholders – groups and individuals that affect or that is affected by the organization Include buyers, suppliers, competitors, government and regulatory agencies 6 E-Business There are two types of e-business Pure play – When a company focuses on one particular kind of product or providing a specific service rather than providing various types/kinds at once. Brick and click – When a company that runs its business in both online and offline way, which means that while they have a website and offer their products or services online simultaneously, they also have a physical store and sell their products or services there. 7 8 E-Commerce Vs E-Business E-Business E-Commerce Buying and selling electronically Sell-side e-commerce Electronic Procurement Buy-side e-commerce Electronic Distribution Electronic Marketing Secure transactions Automation of Processes Electronic Collaboration 9 The growth and types of e-Commerce There are four traditional types of e-commerce business models: 1. B2C – Business to consumer 2. B2B – Business to business 3. C2B – Consumer to business 4. C2C – Consumer to consumer 5. Mobile e-commerce (M-commerce) 6. Social e-commerce 7. Local e-commerce 10 Types of e-Commerce Business-to-Business (B2B) E-business services across the supply chain or in parts of the supply chain such as e-procurement, logistics, stock control, ordering, payments and distribution. 11 Types of e-Commerce Business-to-Consumer (B2C) The term business-to-consumer (B2C) refers to the process of selling products and services directly between a business and consumers who are the end- users of its products or services. Most companies that sell directly to consumers can be referred to as B2C companies One subcategory of B2C model is “direct-to- consumer” (DTC). 12 Types of e-Commerce Consumer-to-Consumer (C2C) When one consumer sells goods or services to other consumers online. It is a type of trade relationship where both the sellers and buyers are consumers instead of businesses. 13 Types of e-Commerce Consumer-to-Business (C2B) Consumer to business, or C2B, differs from other e-commerce models because it's the consumers who create value for a product or business. With C2B, consumers offer products or services to businesses in exchange for payment or other benefits 14 The growth of e-Commerce World Wide Web (WWW) extended the functionality of the internet by introducing hypertext that linked documents held on the internet servers facilitated access to particular parts of documents or even to other relevant documents held on other servers called the Hypertext Transfer Protocol (HTTP) and derived from a mark-up language called Hypertext Markup Language (HTML) Universal resource locators (URL’s) unique address given to each document or page within the server Mid 1900’s – firms ‘born on the internet’ emerged 15 The growth of e-Commerce Electronic funds transfers (EFTs) An electronic funds transfer (EFT), or direct deposit, is a digital money movement from one bank account to another. These transfers take place independently from bank employees. ‒ Also called wire transfers ‒ Electronic transmissions of account exchange information over private communications networks Electronic Data Interchange (EDI) The exchange of documents between organizations in standardized electronic form directly between computer applications Ex. Purchase orders, invoices and material releases 16 The growth of e-Commerce 17 The benefits associated with EDI Lower costs in administration and processing Lower costs in posting and preparation of transactions Increased efficiency in transaction processing Eliminating paper-handling tasks Reducing errors Quick exchange of documents which reduces the business cycle Lower inventory costs Increased customer service. 18 Major Trends in E-commerce Business trends include: - The covid-19 pandemic fuels a surge in retail e-commerce, m-commerce, and certain on-demand services Technology trends include: - Mobile platform and cloud computing - Big Data and Internet of Things Societal trends include: - Increased concern about the impact of social networks - Concerns about the increasing market dominance of big technology firms Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved Unique Features of E-commerce Technology 1. Ubiquity 2. Global reach 3. Universal standards 4. Information richness 5. Interactivity 6. Information density 7. Personalization/customization 8. Social technology Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved The Growth of B2C E-commerce Worldwide The Growth of M-commerce Worldwide The Growth of E-commerce The retail e-commerce market is still just a small part of the overall retail market but has much more room to grow in the future Types of E-commerce Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved E-commerce: A Brief History (1 of 4) Precursors - Baxter Healthcare modem-based system (1970s) - Order entry systems (1980s) - Electronic Data Interchange (E D I) standards (1980s) - French Minitel (1981) Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved E-commerce: A Brief History (2 of 4) 1995–2000: Invention - Sale of simple retail goods - Limited bandwidth and media - Euphoric visions of  Friction-free commerce  First-mover advantages - Dot-com Crash of 2000 Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved E-commerce: A Brief History (3 of 4) 2001–2006: Consolidation - Emphasis on business-driven approach - Traditional large firms expand presence - Start-up financing shrinks - More complex products and services sold - Growth of search engine advertising - Business web presences expand Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved E-commerce: A Brief History (4 of 4) 2007–Present: Reinvention - Rapid growth of:  Web 2.0, including online social networks  Mobile platform  Local commerce  On-demand service economy - Entertainment content develops as source of revenues - Transformation of marketing Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved Periods in the Development of E-commerce Evolution of E-commerce Assessing E-commerce (1 of 2) Stunning technological success Early years a mixed business success Few early dot-coms have survived Online sales growing rapidly Many early visions not fulfilled Price dispersion Information asymmetry New intermediaries Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved Assessing E-commerce (2 of 2) Other surprises Fast-follower advantages Start-up costs Impact of mobile platform Emergence of on-demand e-commerce Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved  Understanding E-commerce: Organizing Themes Technology: Development and mastery of digital computing and communications technology Business: New technologies present businesses with new ways of organizing production and transacting business Society: Intellectual property, individual privacy, public welfare policy Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved The Internet and the Evolution of Corporate Computing Academic Disciplines Concerned with Technology Technical Computer science, management science, information systems Behavioral Information systems research, economics, marketing, management, finance/accounting, sociology Copyright © 2022, 2019, 2018 Pearson Education, Ltd. All Rights Reserved The Deep Web The surface Web is only a small part of online content. 37 Numbers More than 73% of Internet users in the United States (about 220 million people) use both desktop/laptop computers and mobile devices to access the Internet. About 20% (about 60 million people) go online only by using a mobile device. Just 7% (about 20 million people) use only a desktop or laptop computer to access the Internet. 38 Numbers 39 Numbers 40 Numbers Insurtech Market 41 Numbers US is still absolute leader in Insurtech Market 42 43 PAYMENTS 44 45 46 47 48 Blockchain Explained Decentralized Digitalized Cryptographically Sealed Consensus-based Chronological & Timestamped 49 Blockchain Structure 50 Broader Applications 51 52 Insurtech Ecosystem 53 Insurtech Ecosystem - China 54 55 56 Regulation Tech 57 It’s a Social World ….. When you woke up this morning, what was the first thing you did? Survey Finding People from 31 countries reported that 96% of them use their smartphone to scroll through a few tweets, Facebook, or check WhatsApp. Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. What are Social Media ? Social media are the online means of communication, conveyance, collaboration, and cultivation among interconnected and interdependent networks of people, communities, and organizations enhanced by technological capabilities and mobility. Built on a Philosophy of PARTICIPATION Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Zones of Social Media Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Zones of Social Media and Exemplar Vehicles Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Social Media Timeline Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Mind Boggling Social Media Stats Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Mind Boggling Social Media Stats Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Mind Boggling Social Media Stats Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Mind Boggling Social Media Stats Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Mind Boggling Social Media Stats Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Paradigm changes Impacted traditional marketing methodologies/approaches Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Paradigm changes Changes the customers’ buying journey/experience Debra Zahay | Janna Parker, Social Media Marketing, 3rd Edition. © 2023 Cengage. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. THANK YOU 72 73