slide1 n.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
Electronic Commerce PowerPoint Presentation
Download Presentation
Electronic Commerce

Loading in 2 Seconds...

play fullscreen
1 / 39

Electronic Commerce - PowerPoint PPT Presentation


  • 102 Views
  • Uploaded on

Electronic Commerce. Rev: Feb, 2012 Euiho (David) Suh , Ph.D. POSTECH Strategic Management of Information and Technology Laboratory (POSMIT: http://posmit.postech.ac.kr) Dept. of Industrial & Management Engineering POSTECH. Contents. Discussion Questions.

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'Electronic Commerce' - lundy


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
slide1

Electronic Commerce

Rev: Feb, 2012

Euiho (David) Suh, Ph.D.

POSTECH Strategic Management of Information and Technology Laboratory

(POSMIT: http://posmit.postech.ac.kr)

Dept. of Industrial & Management EngineeringPOSTECH

discussion questions
Discussion Questions

What is E-commerce? How is it different from the traditional commerce?

What are elements of E-commerce? Give more than two examples for each one

Classify E-commerce by transaction type and explain each type

Explain the flow of E-commerce architecture

What is clicks and bricks strategy? Why do you think does a company need it?

Choose a question on the E-commerce strategy check list and explain your own opinion about why the question should be examined

What are the problems of E-commerce? To solve them, to what direction shouldE-commerce go in the future?

definition and characteristics of e commerce
Definition and Characteristics of E-Commerce

1. Introduction of E-Commerce

  • Definition
    • Every commercial transaction and its supporting action (buying and selling of products or services) over electronic systems such as the Internet and other computer networks
  • Traditional Commerce vs. E-Commerce
scope of e commerce 1 2
Scope of E-Commerce (1/2)

1. Introduction of E-Commerce

Selling

Acceptingpayments

Marketing

Delivering

E-commerce encompassesthe online process of…

Servicing

Developing

Internet and other information technologiessupport every step of the process

scope of e commerce 2 2
Scope of E-Commerce (2/2)

1. Introduction of E-Commerce

background of e commerce
Background of E-Commerce

1. Introduction of E-Commerce

Importance ofE-Commerce

Growth of Internet

Increase ofE-Commerce Market Size

  • Market Situation
    • America: Private organization centered EC
      • Government: Law, Policy, Fund, etc.
      • Private: Economic/technical aspect
    • Japan: Government centered EC
      • Government: Standardization, Technical development
      • Private: Inducting private participation
    • Korea: private organization centered EC with government’s political support
      • Government: Industrial informationalization project
      • Private: Developing application and standard of technology
elements of e commerce
Elements of E-Commerce

1. Introduction of E-Commerce

Order Processing, Marketing, Sales, Customer Service…

Institution

Process

Government, Producer, Retailer, Customer,Supplier…

EC

Intranet, Extranet, Internet…

Network

classification of e commerce 1 2
Classification of E-Commerce (1/2)

2. Classification of E-Commerce

C2G

B2C

C2C

B2G

B2C

B2B

Transaction Type

classification of e commerce 2 2
Classification of E-Commerce (2/2)

2. Classification of E-Commerce

M-Commerce

Stationary

Wireless

Cable EC

Network

Site Connecting Method

b2c e commerce

2. Classification of E-Commerce

1) B2C

B2C E-Commerce
  • Definition
    • A transaction conducted over the Internet between a business and a consumer
      • Business which sell products to a customer, ship it to him/her, and receive payment, all without ever meeting the customer.
  • B2C E-Commerce Success Factors
    • Security and reliability
    • Performance and service
    • Great consumer communications
    • Advertising and incentives
  • Differences in Marketing
b2b e commerce

2. Classification of E-Commerce

2) B2B

B2B E-Commerce
  • Definition
    • The wholesale and supply side of the commercial process
      • Business which buy, sell, or trade with other businesses
  • Reliance on Multiple Electronic Information Technologies
    • Electronic funds transfers
    • Data interchange
    • Trading systems
    • Catalog systems
application trends

2. Classification of E-Commerce

3) E-Commerce Application Trends of B2C & B2B

Application Trends
e commerce technologies
E-Commerce Technologies

3. Technology & Architecture of E-Commerce

essential e commerce architecture
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture1
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

  • EC processes must establish mutual trust, secure access between parties
    • User names and pass words
    • Encryption key
    • Digital certificates and signatures
  • Restricted access areas
    • Other people’s accounts
    • Restricted company data
    • Webmaster administration areas

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture2
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

  • Profiling gathers data on you and your website behavior and choices
    • User registration
    • Cookie files and tracking software
    • User feedback
  • Profiling is used for
    • Personalized (one-to-one) marketing
    • Authenticating identity
    • Customer relationship management
    • Marketing planning
    • Website management

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture3
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

  • Search processes help customers find the specific product or service they want
    • EC software packages often include a website search engine
    • Customized search engine may be acquired from companies like Google or Requisite Technology
    • Searches are often on content or by parameters

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture4
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

  • Helps develop, generate, deliver, update, and archive text and multimedia information at e-commerce websites
    • Product configuration and mass customization

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture5
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

  • Helps generate and manage catalog content
    • Product configuration and mass customization

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture6
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

  • E-business & e-commerce management depends on a workflow software engine
    • Software model of business processes
  • Workflow models express predefined
    • Sets of business rules
    • Roles of stakeholders
    • Authorization requirements
    • Routing alternatives
    • Databases used
    • Task sequences

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture7
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

  • Most e-commerce applicants are event driven
    • Responds to customer’s first website visit, payments, and so on
    • Monitors all e-commerce processes
    • Records all relevant events, including problem situations
    • Notifies all involved stakeholders
    • Works in tandem with user-profiling software

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture8
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

  • Processes support vital collaboration arrangements and trading services
    • Needed by customers, suppliers, and other stakeholders to accomplish e-commerce transactions
  • Online communities of interest
    • E-mail, chat, discussion groups
    • Enhances customer service
    • Builds loyalty

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

essential e commerce architecture9
Essential E-Commerce Architecture

3. Technology & Architecture of E-Commerce

Access Controland Security

Access Control

Authentication

Security Measures

Content Management

Dynamic Content Generation

Data Repository

Collaborationand Trading

Mediation Negotiation

Bidding/Auctioning Collaborative Buying

Online Community

  • Electronic Payment Example
  • Securing Electronic Payments
  • Network sniffers easily recognize credit card formats
    • Encrypt data between customer and merchant
    • Encrypt data between customer and financial institution
    • Take sensitive information off-line

Workflow Management

Buying Process Automation

Document Management

Rule- and Role-Based Content Routing

CatalogManagement

Pricing Calculation

Product Configuration

Catalog Generation

Profiling and Personalizing

Profile Management

Personalization

Behavior Tracking

Event Notification

Event-Driven Transaction Messaging

Message to e-MailMessage to BoardsNewsgroups

Search Management

Content-Based Search

Parametric-Based Search

Role- and Rule- Based Search

Payment

Shopping Cart

Payment Method Support

Payment Verification

e commerce marketplaces
E-Commerce Marketplaces

4. Marketplaces of E-Commerce

clicks and bricks

5. Strategies of E-Commerce

1) Click and Bricks

Clicks and Bricks

Success

InternetInitiatives

TraditionalOperations

  • Merging operations has trade-offs
other clicks and bricks strategies

5. Strategies of E-Commerce

1) Click and Bricks

Other Clicks and Bricks Strategies
  • Partial e-commerce integration
    • Joint ventures and strategic partnerships
  • Complete separation
    • Spin-off of an independent e-commerce company
  • Barnes and Noble’s experience with spin-off
    • Gained venture capital, entrepreneurial culture, flexibility
    • Attracted quality management
    • Accelerated decision making
    • Failed to gain market share
e commerce channel choices

5. Strategies of E-Commerce

2) Channel Choices

E-Commerce Channel Choices

E-CommerceChannel

  • The marketing or sales channel created by a companyfor its e-commerce activities
  • No universal strategy or e-commerce channel choice
  • Major business pros and cons in both e-commerce integration and separation
  • Most businesses’ implementing some measure of clicks-and-bricks integration
e commerce strategy checklist

5. Strategies of E-Commerce

3) Checklist

E-Commerce Strategy Checklist
  • Questions to ask and answer
    • What audiences are we attempting to reach?
    • What action do we want audiences to take?
    • Who owns the e-commerce channel within the organization?
    • Is the e-commerce channel planned alongside other channels?
    • Is there a process for generating, approving, releasing, and withdrawing content?
    • Will our brand translate to the new channel?
    • How will we market the channel itself?
slide33
eBay

6. Successful Case of E-Commerce

Cyber auction site

(www.ebay.com)

② Bidding

Buyer A

③ Decide a bidder

② Bidding

Buyer B

② Bidding

④ Notifyingthe bidder

① Enroll products

④ Notifying the Bidder

Seller

Buyer C

⑤ Remittance

⑥ Delivery

Concept of Cyber Auction

slide34

personal key

public key

eBay

6. Successful Case of E-Commerce

<Digital Signature>

C2C

Regulation & Security System

slide35
eBay

6. Successful Case of E-Commerce

  • CRM (Community)
    • News
    • Chat
    • Information
    • Personal data management
problem of e commerce
Problem of E-Commerce

7. Problem & Future of E-Commerce

Flood of

Information

Problem

Traditional

Marketing

Strategy

Security

Problem

Improved encoding

technology

Using agent and

more efficient

search engine

Application of

one-to-one

marketing

future of e commerce
Future of E-Commerce

7. Problem & Future of E-Commerce

Combination of

Various contents

Improved

Infrastructure

Rapid expansion

of internet network

Positive

case study
Case Study

8. Case Study

reference
Reference

O’Brien & Marakas, “Introduction to Information Systems – Fifteenth Edition”, McGraw – Hill, Chapter 8, pp. 311~348

EuihoSuh, “E-Commerce (PPT Slide)”

THE FREE DICTIONARY BY FARLEX, “B2C E-Commerce financial definition”