WHAT IS E-BUSINESS? Conducting business via the Internet. Capabilities and Benefits of E-Business Global reach, personalization, interactivity, right-time.

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Presentation transcript:

WHAT IS E-BUSINESS? Conducting business via the Internet. Capabilities and Benefits of E-Business Global reach, personalization, interactivity, right-time and integrated marketing, and cost savings Business Web Sites Corporate Web site Marketing Web site

BUSINESS-TO-BUSINESS (B2B) E- BUSINESS Electronic business transactions between businesses using the Internet. Electronic data interchanges Extranet Private exchanges Electronic exchanges E-procurement

ONLINE SHOPPING COMES OF AGE Business-to-consumer e-business (B2C) Selling directly to consumers over the Internet. E-tailing accounts for eight percent of all U.S. sales. Thirty percent of the U.S. population shops online. Services also are important participants in e-business. E-Tailing and Electronic Store Fronts Electronic storefronts Company Web site that sells products to consumers. Growth of broadband is aiding e-tailing.

Who Are the Online Buyers and Sellers? Online market is changing as customers become more familiar with online shopping. Benefits of B2C e-Business Lower prices Convenience Personalization Developing Safe Online Payment Systems Encryption, Secure Sockets Layer (SSL), and electronic payment method

E-BUSINESS CHALLENGES Privacy Issues Unauthorized sharing of data, cookies, and spyware. Employees have concerns that employers are monitoring their Internet behavior. Companies worry about data theft. Internet Fraud Phishing Poor Web Site Design and Service Two-thirds of Internet shopping carts are abandoned before purchase. Channel Conflicts Direct sales to customers can compete with business partners.

USING THE WEB’S COMMUNICATION FUNCTION Communicate with customers and suppliers through , instant messaging. Online Communities Internet forums, newsgroups, electronic bulletin boards, and Web communities. Blogs Online journal written by a blogger. Web-Based Promotions Banner ads and pop-up ads Search marketing

MANAGING A WEB SITE Developing Successful Web Sites Planning and preparation Content and connections Costs and Maintenance Variety of costs: Development Placing the site on a Web server. Maintaining and updating the site. Promoting the site.

Measuring Web Site Effectiveness profitability website traffic counts click-through rates conversion rates research studies

GLOBAL ENVIRONMENT OF E-BUSINESS Future growth of many companies is linked to a global strategy that incorporate e-business. Use of Internet is growing internationally. International competition is growing. Can heighten competition in the global marketplace.