MIS chapter 5

maintenance, repair, and operations materials

B2B. also called indirect materials. all materials that are necessary for running a modern corporation, but do not relate to company's primary business activities

horizontal e-marketplace

B2B. electronic marketplace that connects buyers and sellers across many industries, primarily for MRO materials commerce.

vertical e-marketplace

B2B. electronic marketplace that connects buyers and sellers in a given industry.

direct materials

B2B. materials that are used in production in a manufacturing company or are placed on the shelf for sale in retail environment

reverse auction

B2B. process in which a buyer posts its interest in buying a certain quantity of items with notations concerning quality.

demand aggregation

B2B. the combining of purchase requests from multiple buyers into a single large order

mass customization

B2C, ability of an organization to give its customers the opportunity to tailor its product or service to the customers specifications.

specialty merchandise

B2C, higher priced goods used less frequently but require extensive customization

Commoditylike merchandise

B2C, items perceived to be the same no matter where it is purchased. basis of price, ease of ordering, your return policy, ease and speed of delivery

digital merchandise

B2C, purchase and deliver over the Internet

convenience merchandise

B2c, lower priced goods needed on a frequent basis

electronic marketplace (e-marketplace)

BrB. interactive business providing a central market space where multiple buyers and suppliers can engage in ecommerce

Secure Sockets Layer (SSL)

Creates a secure connection between a Web client and server. Encrypts the information. Sends the information over the Internet

to successfully understand business

Define your products and services Define your target customers. B2B (other businesses) or B2C (individuals) Define your customers perception of the value of your products and services

Focused advertising

E-marketplace - central market space where buyers and sellers engage in e-commerce

financial cybermediary

Internet-based company that makes it easy for one person to pay another person or organization over the Internet

value- added network (VAN)

a B2B service that offers info sharing intermediary services between organizations based on various standards regarding the format of the information and how it will be sent and received

secure electronic transaction (SET)

a transmission security method that ensures transactions are legitimate as well as secure. encrypts info before sending it over the internet. enables you to verify a customers identity by securing credit card info to the business that issued the credit card for verification. endorsed by mastercard, etc.

Mobile computing

ability to use technology to wirelessly connect to and use centrally located information and software

financial electronic data interchange

an electronic process used primarily within B2B for the payment of purchases.provide a safe secure connection and can easily handle huge balance transfers worth millions of dollars

affiliate program

arrangement between two e-commerce sites that directs viewers from one site to the other.

digital wallet

both software and information - the software provides security for the transaction and the information includes payment info and delivery info.

lesser known ecommerce business models

business to government, consumer to government, government to business, government to consumer, government to government

marketing of finding customers and creating relationships with them in ecommerce with business to consumer

businesses participate in e-marketplaces-business customers dont surf the web, so emarketplaces need your attention, not a broad and generic marketing mix. formal establishment of business relationships based on trust and continuity required. some level of IT systems integration between you and your customer required. online negotiations for pricing, quality, specifications and delivery timing.

Electric commerce (e-commerce)

commerce accelerated and enhanced by IT. Builds powerful relationships with Customers, suppliers, partners, etc.

click-through

count of the number of people who visit one site, click on an ad, and are taken to the site of the advertiser

marketing or finding customers and creating relationships with them in ecommerce with business to consumer

design marketing mix to drive potential customers to a website. Register with a search engine, use online ads, viral marketing, and affiliate programs. Conversion rates measure success.

Electronic data interchange (EDI)

direct computer-to-computer transfer of transaction information in standard business documents

Business to Business

distinctions of products and services by maintenance, repair, operations materials versus direct materials. demand aggregation and negotiation capabilities enhanced for businesses are customers (buyer power). E-marketplaces connect buyers and sellers- horizontal e-marketplaces and vertical e-marketplaces

consumer to Business

e-commerce - when an individual sells products and services to a business. True economic inversion of the B2C model Affiliate program - advertise products on your personal web site and receive monies for visitors who jump from your site to the business' Web sites. priceline.com are close to this model because you as an end consumer can set a price however businesses such as hotels still drive supply since they can refuse to accept the price you set. overstock.com, and when a person clicks on the link and buys the advertised product overstock.com pays you a commission fee.

consumer to consumer

e-commerce - when an individual sells products and services to another individual. Usually occurs through an intermediary such as eBay

business to consumer (B2C)

e-commerce. when a business sells products and services to customers who are primarily individuals, sold to end consumers. B2C is the glitzy e-commerce like iTunes, eBay, etc walmart

Business to Business (B2B)

e-commerce. when a business sells products and services to customers who are primarily other businesses. Where all the e-commerce money is

Mobile commerce (m-commerce or wireless e-commerce)

electronic commerce transactions conducted over a wireless device such as a smartphone, laptop, or tablet PC.

relationships with other businesses

focused advertising, face to face meeting, close interaction

business to consumer

greatly varying customer demographics, lifestyles, wants and needs. Distinctions of products and services by convenience versus specialty. E-commerce works best for commoditylike and digital productions and services. Mass customization adds value in some instances

Electronic marketplace (emarketplace)

interactive business communities providing a central market where multiple buyers and sellers can engage in ebusiness activities. primary goal is to increase market efficiency by tightening and automating the relationship between buyers and sellers

electronic check

mechanism for sending money from your checking or savings account to another person or organization

virtual good

nonphysical object. Music, movies, games. like Farmville, World of Warcraft

online ads

often called banner ads. small advertisements that appear on other sites. Pop-up ads. pop-under ads- form of pop-up ad that you do not see until you close your current browser window

conversion rate

percentage of potential customers who visit your site who actually buy something.

smart card

plastic card the size of a credit card that contains an embedded chip on which digital info can be stored updated.

encryption

scrambles the contents of a file so that you can't read it without having the right decryption key

marketing mix

set of marketing tools an organization will use to pursue to reach and attract potential customers

electronic bill presentment and payment (EBPP)

system that sends bills over the internet and provides an easy to use mechanism to pay for them if the amount looks correct.

long tail model

the tail of a sales curve which traditional businesses ignore but ecommerce businesses profit from

Public key encryption (PKE)

uses two keys: a public key for everyone and private key for only the recipient of the encrypted information

crowdsourcing

when businesses provide enabling technologies that allow people - instead of designated employees - to create, modify, and oversee the development of a product or service.

marketing

you cant make a sale until you find and reach customers and establish a relationship with them.