Chapter 10: Exam

E-tailer

• Sells physical products directly to consumers or to individual businesses (e.g., Amazon.com, Wayfair.com)

social network marketing

- Seeks to leverage individuals' influence over others - Targeting a social network of people sharing interests and advice - Facebook's "Like" button - Social networks have huge audiences • Social shopping sites • Wisdom of crowds • Crowdsourcing

What are the different e-commerce business models? Examples?

- portal - E-tailer - Content provider - Transaction Broker - Market Creator - Service provider - community provider

Service Provider

• Provides Web 2.0 applications such as photo sharing and interactive maps, and services such as data storage (e.g., YouTube.com)

Market Creator

• Provides a digital environment where buyers and sellers can meet, search for products, display products, and establish prices for those products (e.g., eBay.com, ChemConnect.com)

Transaction Broker

• Saves users money and time by processing online sales transactions and generating a fee for each transaction (e.g., Orbitz.com)

Social e-commerce

Social e-commerce based on digital social graph • Features of social e-commerce driving its growth - Newsfeed - Timelines - Social sign-on - Collaborative shopping - Network notification - Social search (recommendations) • Social media

Disintermediation

The removal of organizations or business process layers responsible for intermediary steps in a value chain is called this. when you cut out the middle man and are able to maximize profits and provide the best deals for your customer

M-commerce

The use of handheld wireless devices for purchasing goods and services from any location is termed mobile commerce or m-commerce. All three types of e-commerce transactions can take place using m-commerce technology (B2C, B2B, C2C)

C2C: Consumer to consumer

electronic commerce involves consumers selling directly to consumers. For example, eBay, the giant web auction site,

B2C: Business to consumer

electronic commerce involves retailing prod-ucts and services to individual shoppers. Amazon, Walmart, and iTunes are examples of B2C commerce. BarnesandNoble.com, which sells books, soft-ware, and music to individual consumers, is an example of B2C e-commerce.

B2B: business-to-business

electronic commerce involves sales of goods and services among businesses. Elemica's website for buying and selling chemicals and energy is an example of B2B e-commerce

Portal

• "Supersite" that provides comprehensive entry point forhuge array of resources and services on the Internet (E.g., Yahoo!, MSN.com)

What is a B2B exchange?

• U.S. B2B trade in 2019 is $13.5 trillion- U.S. B2B e-commerce in 2018 is $6.2 trillion • Internet and networking helps automate procurement • Variety of Internet-enabled technologies used in B2B- Electronic data interchange (EDI)- Private industrial networks (private exchanges)- Net marketplaces - Exchanges

Crowdsourcing

Actively soliciting the comments of your customers builds trust and sends the message to your customers that you care what they are thinking and that you need their advice. Beyond merely soliciting advice, firms can be actively helped in solving some business problems by using crowdsourcing.

community provider

Creates a digital online environment where people with similar interests can interact (e.g., Reddit, Patientslikeme.com)

EDI (electronic data interchange)

EDI enables the computer-to-computer exchange between two organizations of standard transactions such as invoices, bills of lading, shipment schedules, or purchase orders. Transactions are automatically transmitted from one in-formation system to another through a network, eliminating the printing and handling of paper at one end and the inputting of data at the other

social media

Fastest growing media for branding and marketing

digital goods

Goods that can be delivered over a digital network Cost of producing first unit is almost entire cost of product Costs of delivery over the Internet very lowMarketing costs remain the same; pricing highly variable Industries with digital goods are undergoing revolutionary changes (publishers, record labels, etc.)

What are the effects of the Internet on the marketplace?

Internet and digital markets have changed the way companies conduct business Information asymmetry reduced Menu costs, search and transaction costs reduced Dynamic pricing enabled Switching costs Delayed gratification Disintermediation

Content Provider

Providing digital content, such as digital news, music, photos, or video, over the Web E.g, CNN.com

Exchanges

are independently owned third-party Net marketplaces that con-nect thousands of suppliers and buyers for spot purchasing. Many exchanges provide vertical markets for a single industry, such as food, electronics, or in-dustrial equipment, and they primarily deal with direct inputs.

Ubiquity

available just about everywhere, at all times It makes it possible to shop from your desktop, at home, at work, or even from your car, using smart-phones. transactions are reduced through shopping online

What is a net marketplace aka (e-hub)?

provide a single, digital marketplace based on Internet technology for many buyers and sell-ers (see Figure 10.8). They are industry-owned or operate as independent intermediaries between buyers and sellers.

E-commerce

refers to the use of the Internet and the web to transact business. More formally, e-commerce is about digitally enabled commercial transactions between and among organizations and individuals.

What is a private industrial network (private exchange)?

typically consist of a large firm using a secure website to link to its suppliers and other key business partners. Another term for a private industrial network