E-Business & E-Commerce Comprehensive Notes

Learning Outcomes

  • Understand the main concepts & meaning of e-business & e-commerce.

  • Understand disruptive digital technologies.

  • Understand supply chain management & value chain.

  • Comprehend the impact of e-communications on traditional businesses.

  • Learn about social media marketing.

  • Explore mobile commerce.

  • Analyze drivers of digital technology adoption & risks/barriers to digital business.

  • Know the business or consumer models of e-commerce transactions.

  • Recognize the six C's benefits of online services.

Introduction to Internet and E-Business

  • Internet: A global physical network that links computers, including infrastructure for data transport between clients and servers.

  • World Wide Web (WWW): The technique for publishing information accessed via web browsers displaying interactive pages.

  • Disruptive Technologies: Technologies that create new products/services for customers and transform internal processes.

  • Digital Business: Applies digital technology and media to enhance competitiveness, including optimizing internal processes through online channels.

Value Chain and Supply Chain Management

  • Value Chain: A model for analyzing how supply chain activities add value to products/services delivered to customers.

  • Supply Chain Management (SCM): The coordination of supply activities from suppliers to customers.

E-Commerce Management

  • E-commerce: Includes all electronically mediated information exchanges between organizations and external stakeholders, not limited to financial transactions.

    • Buy-side: Transactions between an organization and its suppliers.

    • Sell-side: Transactions between an organization and its customers.

    • Digital Business: Broader term encompassing e-commerce and internal electronic transactions.

Activities of E-Business

  • Setting up an online store.

  • Customer education and information dissemination.

  • Performing monetary transactions in a digital environment.

  • Managing supply chain activities.

  • Implementing email marketing strategies.

Digital Transformation in Business

  • Digital Business Transformation: Significant changes to processes, structures, and systems to leverage digital media for performance enhancement.

  • Inbound Marketing: Customer-initiated contact through research, emphasizing visibility in search engines.

    • Zero Moment of Truth (ZMOT): Moment where consumers research products online before visiting retailers.

Digital Marketing Tactics

  • Search Marketing: Enhancing online visibility in search engine results.

  • Content Marketing: Managing engaging content to attract customers, published across various media.

  • Social Media Marketing: Monitoring customer interactions across social networks to foster brand engagement.

Types of Social Media

  • Social Networking: Engaging with audiences through platforms like Facebook and LinkedIn.

  • Social Knowledge: Offering solutions to customer problems on platforms like Yahoo! Answers.

  • Social Sharing: Utilizing bookmarking sites for valuable content insights.

  • Rich Media: Engaging formats for sharing information, like videos and podcasts.

Mobile Commerce (M-Commerce)

  • M-commerce: Transactions conducted through mobile devices, showing a trend of surpassing desktop use.

  • Mobile Apps: Applications designed for use on mobile devices facilitating access to information and services.

Drivers of Digital Technology Adoption

  • Cost Drivers: Include faster supply acquisition and reduced operational costs.

  • Competitiveness Drivers: Focus on meeting customer demand and enhancing service quality.

Risks and Barriers to Digital Adoption

  • Risks include poor customer experiences and ineffective technology implementations.

    • Example risks: Website failures during high traffic, security breaches, customer service issues, and compliance challenges.

  • Barriers include lack of trust, perceived lack of benefits, and cost concerns among consumers.

E-Commerce Models

  • Business Models:

    • B2C: Direct sales from businesses to consumers.

    • B2B: Transactions between businesses.

    • C2C: Consumer-to-consumer exchanges.

    • G2C/G2B: Transactions between government entities and consumers/businesses.

  • P2P Services: Peer-to-peer transactions, often facilitated through social platforms.

Six C's Benefits of Online Services

  1. Content: Detailed product information to support the user journey.

  2. Customization: Personalized user experiences through recommendations.

  3. Community: Platforms for consumer interaction and discussions.

  4. Convenience: 24/7 product accessibility for customers.

  5. Choice: Wider product selection available online.

  6. Cost Reduction: Online purchasing often offers reduced prices due to lower operational costs.

These notes cover the foundational concepts of e-business and e-commerce, including the transformative impact of digital technologies, the importance of supply chain management, various digital marketing tactics, and the diverse models of e-commerce transactions. The approaches and benefits of online services are also summarized, providing insight into how digital strategies can enhance business operations and customer engagement.