Professional Documents
Culture Documents
Introduction To E-business
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 1
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
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For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
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Vignette: GE
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Thinking Strategically Explain why Jack Welch would see e-business as important for GE. Consider where e-business could have a bigger impact for GE, in the business-to-business arena or the business-to-consumer arena. List reasons why GE has been able to implement a new e-business model so quickly. Visit the GE website (www.ge.com). Speculate on the advantages of using a Website to develop and maintain customer relationships.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
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Business Models
New information technologies are allowing businesses to redesign business models and change business practice
A business model, or commerce model, is the basic process flow indicating how a business operates. It indicates how business functions are linked together.
Internet based business models requires fewer hard assets (bricks and mortar assets)
Brick and mortar businesses have tangible physical assets such a factory, office building, warehouses, etc.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 7
What is E-Business
E-business, or electronic business, systems use a number of information technologybased business practices to enhance relationships between the business and the customer. E-business includes changes in marketing communication, distribution systems, and business models.
www.ibm.com/e-business/
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 8
What is E-Commerce
E-Commerce: consists of using electronic information based systems to engage in transactions or commerce online. This includes automating purchasing through Web sites.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 9
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 10
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Marketing
Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, and services that create exchanges that satisfy individual and organizational needs. Relationship marketing implies that business undertake strategies that will hold desirable customers over a long time period.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 14
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Price
Communication
Target Customers
Information Flow
Payment Flow
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
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E-Business Systems
E-Business Systems are fostering a number of changes to the marketing system:
Customized production. Increasing price pressure resulting in lowering prices. Shorter channels of distribution dominated by facilitators. Extranet-enhanced supply chain management. Non-linear promotions. Electronic transfer of funds. Database information management systems.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 20
E-Business Systems
Shorter Channels Dominated by Facilitators Customized Production Dynamic Pricing Customized Non-Linear Promotion Knowledge Management & Data Warehousing Electronic Payments
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Market-of-One Customer
Chapter 1 Slide: 21
Environment:
Constant Technological Change Increased Competitive Pressure Weakened Political and Legal Influence Greater Social Acceptance of Change
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 22
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 23
International E-business
The United States is expected to account for only half of the expected global $7 trillion in ebusiness-facilitated transactions. Markets outside of the United States are expected to grow the fastest in areas such as wireless and HDTV delivery of Internet content. Cultural barriers to seamless global e-business:
Language differences, currency conversions, shipping problems, a lack of global brand recognition, differing legal and ethical standards, and a lack of trust in foreign markets.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 24
Levels of E-Commitment
Brochure Sites
Costs
Sets up a Web page to promote a business. This can also allow contacts through email and simple product ordering.
E-Commerce E-Business
Costs
Allows for purchasing online with automated credit card clearance and links to inventory through databases.
Costs
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Refocuses business practice to take advantage of new technologies to lower costs, improve value, and respond quickly to environmental change.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 25
Chapter 3: Communication
How communication is changing over the Internet.
Chapter 4: Distribution
Looks at the dynamics of change in distribution systems.
Chapter 1 Slide: 26
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
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For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
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Ethics
The study of how individuals or businesses make decisions given the consequences of those decisions
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 30
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Shopping Activity 1: Like the most # of local (Examples) 5: Like the least outlets Shopping for specialty clothing. Shopping for groceries. Shopping for specialty items and gifts. Shopping for computers and software. Shopping for cars.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 32
Explain how the e-business techniques outlined in this chapter would effect the shopping activities outlined above. Indicate how this would effect the way you would make your purchases. Determine if a smaller number of local outlets make it more likely that you would shop online. Decide which of these businesses are likely to have links to their suppliers. Explain which of these industries will face the greatest amount of change.
For use with Strategic Electronic Marketing: Managing E-Business, 2e Copyright 2003 South-Western College Publishing
Chapter 1 Slide: 33
Social Welfare
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