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Lecture E-commerce and e-business for managers - Chapter 1: Introduction to e-business and e-commerce. This chapter includes contents: Introduction: transitioning to the web, history of the internet, history of the web, internet and world wide web development, e-business and e-commerce overview, a word of caution.
1 Chapter 1, Introduction to eBusiness and eCommerce Outline 1.1 1.2 1.3 1.4 1.5 1.6 Introduction: Transitioning to the Web History of the Internet History of the Web Internet and World Wide Web Development eBusiness and eCommerce Overview A Word of Caution 2001 Prentice Hall, Inc. All rights reserved 2 1.1 Introduction: Transitioning to the Web • The Internet has changed the way people communicate, conduct business and manage their daily lives • Technologies reviewed • Resources used 2001 Prentice Hall, Inc. All rights reserved 1.2 History of the Internet • Advanced Research Projects Agency of the Department of Defense (ARPA) – Implemented the ARPAnet, the grandparent of today’s Internet • Packet switching – Digital data is sent in small packages called packets • Packets – Contain data, address information, errorcontrol information and sequencing information • Transmission Control Protocol (TCP) – ensures that messages are properly routed from sender to receiver and that those messages arrived intact 2001 Prentice Hall, Inc. All rights reserved 1.2 History of the Internet • Internetworking Protocol (IP) – Enabled the intercommunication of interorganization and intraorganization networks • The Internet was initially limited to universities and research institutions • Bandwidth – The information carrying capacity of communications lines 2001 Prentice Hall, Inc. All rights reserved 5 1.3 History of the World Wide Web • World Wide Web – Locate and view multimediabased documents on almost any subject – Makes information instantly and conveniently accessible worldwide – Possible for individuals and small businesses to get worldwide exposure – Changing the way business is done 2001 Prentice Hall, Inc. All rights reserved 6 1.4 Internet and World Wide Web Development • Computer use is increasing in almost every field of endeavor • Dramatic decrease in the cost of computing • Enhanced multimedia capabilities • Increased publishing and learning opportunities • Enhanced communication technologies 2001 Prentice Hall, Inc. All rights reserved 7 1.5 eBusiness and eCommerce Overview • Successful ebusinesses are those that recognize the needs of their target audiences and match those needs with relevant content • Seasoned professionals and young entrepreneurs • eCommerce – Involves exchanges among customers, business partners and the vendor • eBusiness – Includes operations that are handled within the business itself 2001 Prentice Hall, Inc. All rights reserved 8 1.5 eBusiness and eCommerce Overview • Intense competition • Businesses must adjust to new technologies and implement new systems • Customized production capabilities • Finding and keeping key employees • 24by7 maintenance responsibilities • Must be reliable, fast, functional and user friendly • Brickandmortar businesses – Businesses that have only a physical presence • Clickandmortar businesses – Businesses that have both an online and an offline presence 2001 Prentice Hall, Inc. All rights reserved 9 1.5 eBusiness and eCommerce Overview • Virtual office – All communications are conducted via phone, voice mail, fax, email and the emerging capabilities of the Internet • Personalization – Tailoring Web pages to users’ individual preferences and letting users bypass irrelevant content • Copyright infringement • Privacy invasion – The sale of personal data to another organization without the consumer’s knowledge – Tracking of Internet activity – Unauthorized access to creditcard numbers, medical history and criminal history 2001 Prentice Hall, Inc. All rights reserved 10 1.5 Campusfoods.com Feature • Campusfoods.com • Developed by students at the University of Pennsylvania • Serves approximately 150 colleges and universities around the United States • Built on investments made by private investors, family members and friends • Revenue is generated by a percentage taken from transaction fees 2001 Prentice Hall, Inc. All rights reserved 11 1.5 Campusfoods.com Feature Campusfoods.com home page. (Courtesy of Campusfoods.com.) 2001 Prentice Hall, Inc. All rights reserved 1.6 A Word of Caution 12 • Avoid – – – – Poor management Ineffective marketing Illdesigned logistics Unrealistic expectations • Recognize the difficulty of finding funding and going public • Finding space • Hiring employees 2001 Prentice Hall, Inc. All rights reserved ... Contain data, address information, errorcontrol information and? ?sequencing information • Transmission Control Protocol (TCP) – ensures that messages are properly routed from sender? ?to? ? receiver? ?and? ?that those messages arrived intact... Locate? ?and? ?view multimediabased documents on almost any subject – Makes information instantly? ?and? ?conveniently accessible worldwide – Possible? ?for? ?individuals? ?and? ?small businesses? ?to? ?get ... The Internet was initially limited? ?to? ?universities and? ?research institutions • Bandwidth – The information carrying capacity of communications lines 2001 Prentice Hall, Inc. All rights reserved 5 1.3 History of the World Wide Web