s&r6ch08-ec.ppt
- 1. Principles of Information Systems, Sixth Edition 1 Electronic Commerce Chapter 8
- 2. Principles of Information Systems, Sixth Edition 2 Chapter 8 Outline • An Introduction to Electronic Commerce • E-Commerce Applications • Technology Infrastructure • Electronic Payment Systems • Threats to E-Commerce • Strategies for Successful e- Commerce
- 3. Principles of Information Systems, Sixth Edition 3 An Introduction to Electronic Commerce
- 4. Principles of Information Systems, Sixth Edition 4 Introduction to Electronic Commerce • Most common types of e-commerce: • Business-to-consumer (B2C) e- commerce • Business-to-business (B2B) e- commerce • Consumer-to-consumer (C2C) e- commerce
- 5. Principles of Information Systems, Sixth Edition 5 Multistage Model for E-commerce • 1. Search and identification • 2. Selection and negotiation • 3. Purchasing products and services electronically • 4. Product and service delivery • 5. After-sales service
- 6. Principles of Information Systems, Sixth Edition 6 Multistage Model for E-commerce
- 7. Principles of Information Systems, Sixth Edition 7 Product and Service Delivery
- 8. Principles of Information Systems, Sixth Edition 8 E-Commerce Model
- 9. Principles of Information Systems, Sixth Edition 9 E-Commerce Challenges • Changing distribution systems & work processes • Split-case distribution • Integrating web-based order processing with traditional systems
- 10. Principles of Information Systems, Sixth Edition 10 The E-Commerce Supply Chain • Supply chain management – Demand planning – Supply planning – Demand fulfillment • Increased revenues and decreased costs • Improved customer satisfaction • Inventory reduction across the supply chain
- 11. Principles of Information Systems, Sixth Edition 11 The E-Commerce Supply Chain
- 12. Principles of Information Systems, Sixth Edition 12 Supply Chain Management
- 13. Principles of Information Systems, Sixth Edition 13 Business-to-Business • Allows manufacturers to buy at low price worldwide • Enterprise can sell to a global market
- 14. Principles of Information Systems, Sixth Edition 14 Global E-Commerce • Steps in localization – recognizing and conforming to the nuances, subtleties, and tastes of local cultures – supporting basic trade laws such as each country’s currency, payment preferences, taxes, and tariffs – ensuring that technological capabilities match local connection speeds
- 15. Principles of Information Systems, Sixth Edition 15 Global E-Commerce • Determine which global markets make the most sense for selling products or services on-line • Decide whether Web content should be generated or updated centrally or locally
- 16. Principles of Information Systems, Sixth Edition 16 E-Commerce Applications
- 17. Principles of Information Systems, Sixth Edition 17 Retail and Wholesale • Electronic retailing • Cybermalls • Wholesale e-commerce: B2B
- 18. Principles of Information Systems, Sixth Edition 18 Manufacturing
- 19. Principles of Information Systems, Sixth Edition 19 Marketing • Market segmentation • Technology-enabled relationship management
- 20. Principles of Information Systems, Sixth Edition 20 Investment and Finance • On-line stock trading • On-line banking – Electronic bill presentment
- 21. Principles of Information Systems, Sixth Edition 21 Investment and Finance
- 22. Principles of Information Systems, Sixth Edition 22 Investment and Finance
- 23. Principles of Information Systems, Sixth Edition 23 Technology Infrastructure
- 24. Principles of Information Systems, Sixth Edition 24 Technology Infrastructure
- 25. Principles of Information Systems, Sixth Edition 25 Hardware • Storage capacity –Software –Volume of e-commerce transactions • Website hosting
- 26. Principles of Information Systems, Sixth Edition 26 Web Server Software • Security and identification – Denial of service attack • Web site tracking – Web log file • Web site development tools • Retrieving and sending Web pages • Web page construction software – Static Web page – Dynamic Web page
- 27. Principles of Information Systems, Sixth Edition 27 E-Commerce Software • Catalog management • Product configuration • Shopping cart
- 28. Principles of Information Systems, Sixth Edition 28 E-Commerce Transaction Processing • Automates transaction processes from order placement to reconciliation • Web traffic data analysis
- 29. Principles of Information Systems, Sixth Edition 29 Electronic Shopping Cart
- 30. Principles of Information Systems, Sixth Edition 30 Network and Packet Switching • All e-commerce depends on a type of network to securely transmit data – Internet – Extranet – Value-added network (VAN) – Virtual private network (VPN) • All EC approaches rely on packet switching and use routers • Cost, availability, reliability, security, and redundancy must be considered when choosing a network
- 31. Principles of Information Systems, Sixth Edition 31 Electronic Payment Systems
- 32. Principles of Information Systems, Sixth Edition 32 Electronic Payment Systems • Digital certificates – Certificate authority – Secure sockets layer (SSL) • Electronic cash • Electronic wallets • Smart, credit, charge, and debit cards
- 33. Principles of Information Systems, Sixth Edition 33 Threats to E-Commerce
- 34. Principles of Information Systems, Sixth Edition 34 Threats to E-Commerce • E-commerce incidents • Theft of intellectual property – Patents on business processes • Fraud • Privacy Issues
- 35. Principles of Information Systems, Sixth Edition 35 Fraud • On-line auction fraud • Spam • Pyramid schemes • Investment fraud • Stock scams
- 36. Principles of Information Systems, Sixth Edition 36 Invasion of Consumer Privacy • On-line profiling • Clickstream data • Safe harbor principles
- 37. Principles of Information Systems, Sixth Edition 37 TRUSTe Seal
- 38. Principles of Information Systems, Sixth Edition 38 BBB On-line Privacy Seal
- 39. Principles of Information Systems, Sixth Edition 39 How to Protect Your Privacy While On-Line
- 40. Principles of Information Systems, Sixth Edition 40 Strategies for Successful E-Commerce
- 41. Principles of Information Systems, Sixth Edition 41 Developing an Effective Web Presence Visitors to a web site should be able to: • Obtain general information about the organization • Obtain financial information for making an investment decision • Learn the organization’s position on social issues • Learn about the products or services that the organization sells
- 42. Principles of Information Systems, Sixth Edition 42 Putting up a Web Site • Web site hosting services • Storefront brokers
- 43. Principles of Information Systems, Sixth Edition 43 Building Traffic to Your Web Site • Domain names • Meta tags • Traffic data analysis
- 44. Principles of Information Systems, Sixth Edition 44 Maintaining and Improving Your Web Site • Be alert to new trends • Be prepared to take advantage of new opportunities • Personalization –Explicit –Implicit
- 45. Principles of Information Systems, Sixth Edition 45 Summary • E-commerce - enables consumers and companies to gain access to worldwide markets • Electronic retailing (e-tailing) - the direct sale from business-to-consumer through electronic storefronts designed around an electronic catalog and shopping cart model • E-commerce shoppers - must be on constant guard to protect their rights, security, and personal privacy
- 46. Principles of Information Systems, Sixth Edition 46 Principles and Learning Objectives • E-commerce is a new way of conducting business, and as with any other new application of technology, it presents both opportunities for improvement and potential problems. – Identify several advantages of e-commerce. – Outline a multistage model that describes how e- commerce works. – Identify some of the major challenges companies must overcome to succeed in e-commerce. – Identify several e-commerce applications.
- 47. Principles of Information Systems, Sixth Edition 47 Principles and Learning Objectives • E-commerce requires the careful planning and integration of a number of technology infrastructure components. – Outline the key components of technology infrastructure that must be in place for e- commerce to succeed. – Discuss the key features of the electronic payments systems needed to support e- commerce.
- 48. Principles of Information Systems, Sixth Edition 48 Principles and Learning Objectives • Users of the new e-commerce technology must take safeguards to protect themselves. – Identify the major issues that represent significant threats to the continued growth of e-commerce. • Organizations must define and execute a strategy to be successful in e-commerce. – Outline the key components of a successful e- commerce strategy
- 49. Principles of Information Systems, Sixth Edition 49 End of Chapter 8