1. Chapter 1 Overview of Electronic Commerce

2. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 1 Learning Objectives 1.Define electronic commerce (EC) and describe its various categories. 2.Describe and discuss the content and framework of EC. 3.Describe the major types of EC transactions. 4.Describe the digital revolution as a driver of EC. 5.Describe the business environment as a driver of EC.

3. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 2 Learning Objectives 6.Describe some EC business models. 7.Describe the benefits of EC to organizations, consumers, and society. 8.Describe the limitations of EC. 9.Describe the contribution of EC to organizations responding to environmental pressures. 10.Describe online social and business networks.

4. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 3 DELL-Using E-Commerce For Success: The problem/opportunity Dell was the first company to offer personal computers (PCs) via mail order By 1993, Dell had become one of the top five computer makers worldwide, threatening Compaq, which started a price war At that time, Dell was taking orders by fax and mail and losing money

5. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 4 DELL-Using E-Commerce For Success: The Solution (Direct Marketing Online) Dell implemented aggressive online order- taking and opened subsidiaries in Europe and Asia Dell also started to offer additional products on its Web site. Today, dell.com sells about $60 billion a year in computer-related products online (network switches, printers)

6. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 5 DELL-Using E-Commerce For Success: The Solution (Direct Marketing Online) The Dell’s major electronic commerce (EC) activity is Direct online marketing. Dell sells to the following groups: Individuals for their homes and home offices (B2C) Small, medium, and large businesses (B2B) Government, education, and health-care organizations(B2B)

7. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 6 DELL-Using E-Commerce For Success: The Solution (Direct Marketing Online) Business-to-business EC: Most of Dell’s sales are to business Dell provides each of its nearly 100,000 business customers with Premier Dell service E-collaboration Dell uses shippers, such as UPS and FedEx

8. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 7 DELL-Using E-Commerce For Success: The Solution (Direct Marketing Online) E-customer service: Virtual help desk(self-diagnosis) Direct access to technological support data Phone-based help desk(24/7) Live chat with a customer care agent

9. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 8 DELL-Using E-Commerce For Success: The Solution (Direct Marketing Online) Intrabusiness EC: To support its build-to-order capabilities, improve its demand-planning and factory execution accuracy, reduce order-to-delivery time, and enhance customer service, Dell partnered with Accenture to create a new, high-performance supply chain planning solution Affiliate program: offers affiliate partners the opportunity to link from their Web sites to Dell.com

10. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 9 Electronic Commerce: Definitions and Concepts electronic commerce (EC) The process of buying, selling, transferring, or exchanging products, services, or information via computer networks, including the Internet.

11. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 10 Electronic Commerce: Definitions and Concepts EC can also be defined from the following perspectives: Business process (EC is doing business electronically by implementing business processes over electronic networks, thereby substituting information for physical business processes) service (EC is a tool that addresses the desire of governments, firms, consumers, and management to cut service costs while improving the quality of customer service and increasing the speed of service delivery)

12. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 11 Electronic Commerce: Definitions and Concepts EC can also be defined from the following perspectives: Learning (EC is an enabler of online training and education in schools, universities, and other organizations, including businesses) Collaborative (EC is the framework for inter- and intraorganizational collaboration) Community (EC provides a gathering place for community members to learn, transact, and collaborate) Social networks(ex. MySpace)Social networks(ex. MySpace)

13. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 12 Electronic Commerce: Definitions and Concepts e-business A broader definition of EC that includes not just the buying and selling of goods and services, but also servicing customers, collaborating with business partners, and conducting electronic transactions within an organization. We will use the broadest meaning of electronic commerce, which is basically equivalent to e-business

14. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 13 Electronic Commerce: Definitions and Concepts PURE VERSUS PARTIAL EC EC can take several forms depending on the degree of digitization of (1) the product (service) sold (2) the process (e.g., ordering, payment, fulfillment) (3) the delivery method

15. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 14 Electronic Commerce: Definitions and Concepts 1.1

16. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 15 Electronic Commerce: Definitions and Concepts PURE VERSUS PARTIAL EC EC Organizations brick-and-mortar (old economy) organizations Old-economy organizations (corporations) that perform their primary business off-line, selling physical products by means of physical agents. virtual (pure-play) organizations Organizations that conduct their business activities solely online.

17. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 16 Electronic Commerce: Definitions and Concepts click-and-mortar (click-and-brick) organizations Organizations that conduct some e-commerce activities, usually as an additional marketing channel.

18. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 17 Electronic Commerce: Definitions and Concepts INTERNET VERSUS NON-INTERNET EC intranet An internal corporate or government network that uses Internet tools, such as Web browsers, and Internet protocols. extranet A network that uses the Internet to link multiple intranets.

19. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 18 Electronic Commerce: Definitions and Concepts INTERNET VERSUS NON-INTERNET EC Most EC is done over the Internet, but EC also can be conducted on Private networks(such as VANs) LANs using intranets A single computerized machine

20. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 19 Electronic Commerce: Definitions and Concepts electronic market (e-marketplace) An online marketplace where buyers and sellers meet to exchange goods, services, money, or information.

21. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 20 Electronic Commerce: Definitions and Concepts Interorganizational information systems (IOSs) Communications systems that allow routine transaction processing and information flow between two or more organizations. Intraorganizational information systems Communication systems that enable e-commerce activities to go on within individual organizations.

22. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 21 Electronic Commerce: Definitions and Concepts EC can be conducted in an electronic market. Electronic markets may be supplemented by connecting Interorganizational or intraorganizational information systems

23. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 22 The EC Framework, Classification, and Content The next slide shows that EC applications are supported by infrastructure and by the following five support areas: (1) People: Sellers, buyers, intermediaries, information systems specialists and other employees (2) Public policy: legal and policy and regulatory issues, such as privacy protection and taxation, that are determined by governments.

24. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 23 The EC Framework, Classification, and Content The next slide shows that EC applications are supported by infrastructure and by the following five support areas: (3) Marketing and advertisement: especially important in business-to-consumer (B2C), in which the buyers and sellers usually do not know each other (4) Support services: range from content creation to payments to order delivery (5) Business partnerships: Joint ventures, exchanges, and business partnerships.

25. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 24 The EC Framework, Classification, and Content

26. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 25 The EC Framework, Classification, and Content CLASSIFICATION OF EC BY THE NATURE OF THE TRANSACTIONS OR INTERACTIONS business-to-business (B2B) E-commerce model in which all of the participants are businesses or other organizations. business-to-consumer (B2C) E-commerce model in which businesses sell to individual shoppers.

27. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 26 The EC Framework, Classification, and Content e-tailing Online retailing, usually B2C. business-to-business-to-consumer (B2B2C) E-commerce model in which a business provides some product or service to a client business that maintains its own customers.

28. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 27 The EC Framework, Classification, and Content consumer-to-business (C2B) E-commerce model in which individuals use the Internet to sell products or services to organizations or individuals who seek sellers to bid on products or services they need.(Priceline.com) mobile commerce (m-commerce) E-commerce transactions and activities conducted in a wireless environment.

29. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 28 The EC Framework, Classification, and Content location-based commerce (l-commerce) M-commerce transactions targeted to individuals in specific locations, at specific times. intrabusiness EC E-commerce category that includes all internal organizational activities that involve the exchange of goods, services, or information among various units and individuals in an organization.

30. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 29 The EC Framework, Classification, and Content business-to-employees (B2E) E-commerce model in which an organization delivers services, information, or products to its individual employees. collaborative commerce (c-commerce) E-commerce model in which individuals or groups communicate or collaborate online. consumer-to-consumer (C2C) E-commerce model in which consumers sell directly to other consumers.

31. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 30 The EC Framework, Classification, and Content peer-to-peer Technology that enables networked peer computers to share data and processing with each other directly; can be used in C2C, B2B, and B2C e-commerce. e-learning The online delivery of information for purposes of training or education. (virtual universities) e-government E-commerce model in which a government entity buys or provides goods, services, or information from or to businesses or individual citizens.

32. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 31 The EC Framework, Classification, and Content exchange A public electronic market with many buyers and sellers. exchange-to-exchange (E2E) E-commerce model in which electronic exchanges formally connect to one another for the purpose of exchanging information.

33. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 32 The EC Framework, Classification, and Content THE INTERDISCIPLINARY NATURE OF EC The Google Revolution EC Failures EC Successes

34. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 33 The EC Framework, Classification, and Content Web 2.0 The second-generation of Internet-based services that let people generate content, collaborate, and share information online in perceived new ways—such as social networking sites, wikis, communication tools, and folksonomies.

35. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 34 The EC Framework, Classification, and Content

36. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 35 The Digital Revolution Drives E-Commerce digital economy An economy that is based on digital technologies, including digital communication networks, computers, software, and other related information technologies; also called the Internet economy, the new economy, or the Web economy.

37. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 36 The Digital Revolution Drives E-Commerce This platform displays the following characteristics A vast array of digitizable products are delivered over a digital infrastructure anytime, anywhere in the world Consumers and firms conduct financial transactions digitally Microprocessors and networking capabilities are embedded in physical goods

38. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 37 The Digital Revolution Drives E-Commerce This platform displays the following characteristics Information is transformed into a commodity Knowledge is codified Work and production are organized in new and innovative ways

39. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 38 The Digital Revolution Drives E-Commerce The term digital economy also refers to the convergence of computing and communications technologies on the Internet and other networks and the resulting flow of information and technology that is stimulating e- commerce and vast organizational changes

40. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 39 The Digital Revolution Drives E-Commerce The digital revolution accelerates EC mainly by providing competitive advantage to organizations. The digital revolution enables many innovations The digital revolution drives EC by providing the necessary technologies, as well as by creating major changes in the business environment

41. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 40 The Business Environment Drives E-Commerce THE BUSINESS ENVIRONMENT The Business Environment Impact Model The business environment creates problems and opportunities that drive what organizations are doing in their business processes. Other drivers are the organization’s mission, goals, strategy, and plans Organizational activities in business processes result in measurable performance, which provides solutions to problems/opportunities, as well as feedback on the mission, strategy, and plan

42. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 41 The Business Environment Drives E-Commerce

43. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 42 The Business Environment Drives E-Commerce THE BUSINESS ENVIRONMENT Business Pressures and Opportunities Market(economic) Societal Technological See EXHIBIT 1.6

44. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 43 The Business Environment Drives E-Commerce THE BUSINESS ENVIRONMENT Organizational Response Strategies: critical response activities can take place in some or all organizational processes, from the daily processing of payroll and order entry to strategic activities such as the acquisition of a company. Responses can also occur in the supply chain.

45. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 44 The Business Environment Drives E-Commerce THE BUSINESS ENVIRONMENT A response activity can be Reaction to a specific pressure Initiative that will defend an organization against future pressures Activity that exploits an opportunity created by changing conditions

46. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 45 EC BUSINESS MODELS business model A method of doing business by which a company can generate revenue to sustain itself. Two elements are needed to understand the business model 1- Revenue models 2- Value propositions

47. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 46 EC BUSINESS MODELS Revenue Model Description of how the company or an EC project will earn revenue. A company uses its revenue model to describe how it will generate revenue and its business model to describe the process it will use to do so.

48. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 47 EC BUSINESS MODELS Major revenue models are: Sales: companies generate revenue from selling merchandise or services over their Web sites. Transaction fees: a company receives a commission based on the volume of transaction made. Subscription fees: customers pay a fixed amount, usually monthly, to get some type of service

49. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 48 EC BUSINESS MODELS Major revenue models are: Advertising fees: companies charge others for allowing them to place a banner on their sites Affiliate fees: companies receive commissions for referring customers to others’ Web sites Other revenue sources: some companies allow people to play games for a fee or to watch a sports competition in real time for a fee

50. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 49 EC BUSINESS MODELS Value proposition The revenue model can be part of the value proposition or it may complement it. Business models also include a value- proposition statement The benefits a company can derive from using EC

51. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 50 EC BUSINESS MODELS Four sets of values can be created by e-business(Amit and Zott, 2001): Search and transaction cost-efficiency: enables faster and more informed decision making Complementarities: bundling some goods and services together to provide more value than from offering them separately

52. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 51 EC BUSINESS MODELS Four sets of values can be created by e-business(Amit and Zott, 2001): Lock-in: is attributable to the high switching cost that ties customers to particular suppliers. Novelty: creates value through innovative ways for structuring transactions, connecting partners, and fostering new markets.

53. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 52 EC BUSINESS MODELS TYPICAL EC BUSINESS MODELS Online direct marketing: Selling products or services online Sales may be from a manufacturer to a customer, eliminating intermediaries or physical stores Sales may be from retailers to consumers Electronic tendering systems for procurement tendering (bidding) system (Reverse Auction) Model in which a buyer requests would-be sellers to submit bids; the lowest cost or highest value bidder wins.

54. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 53 EC BUSINESS MODELS TYPICAL EC BUSINESS MODELS Name-your-own-price model (demand- collection) Model in which a buyer sets the price he or she is willing to pay and invites sellers to supply the good or service at that price. Find the best price also known as a search engine model a customer specifies a need and then an intermediate company, such as Hotwire.com, matches the customer’s need against a database, locates the lowest price

55. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 54 EC BUSINESS MODELS Affiliate marketing An arrangement whereby a marketing partner (a business, an organization, or even an individual) refers consumers to the selling company’s Web site. The referral is done by placing a banner ad or the logo of the selling company on the affiliated company’s Web site Viral marketing Word-of-mouth marketing in which customers promote a product or service to friends or others.

56. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 55 EC BUSINESS MODELS group purchasing Quantity (aggregated) purchasing that enables groups of purchasers to obtain a discount price on the products purchased. SMEs Small-to-medium enterprises. e-co-ops Another name for online group purchasing organizations.

57. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 56 EC BUSINESS MODELS Online auctions(eBay) In the most popular type of auction, online shoppers make consecutive bids for various goods and services, and the highest bidders get the items auctioned

58. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 57 EC BUSINESS MODELS Product customization and service personalization customization Creation of a product or service according to the buyer’s specifications. personalization The creation of a service or information according to specific customer specifications.

59. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 58 EC BUSINESS MODELS Electronic marketplaces and exchanges Vertical marketplaces(one industry) Information brokers (infomediaries) Provide privacy, trust, matching, search, content, and other services Bartering Exchange surpluses they do not need for things that they do need, via bartering exchange

60. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 59 EC BUSINESS MODELS Value-chain integrators Offer services that aggregate information-rich products into a more complete package for customers, thus adding value Value-chain service providers Specialize in a supply chain function such as logistics(UPS.com) Payments(PayPal.com)

61. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 60 EC BUSINESS MODELS Supply chain improvers New models that change or improve supply chain management Ex. Conversion of a linear supply chain, which can be slow, expensive, and error prone, into a hub Social networks, communities, and blogging Blog: A personal Web site that is open to the public to read and to interact with, often dedicated to specific topics or issues

62. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 61 EC BUSINESS MODELS Negotiation Between individuals or between companies Negotiation can be facilitated by intelligent agents virtual world Special EC business model A user-defined world in which people can interact, play, and do business. The most publicized virtual world is Second Life. (see case 1.3)

63. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 62 Benefits and Limitations of EC THE BENEFITS OF EC Benefits to Organizations Global reach Cost reduction Supply chain improvements Business always open Customization/personalization Sellers specialization (niche market)

64. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 63 Benefits and Limitations of EC THE BENEFITS OF EC Benefits to Organizations Ability to innovate, use new business models Rapid time-to-market and increased speed Lower communication cost Efficient procurement Improved customer service and relationship Fewer permits and less tax Up-to-date company materials

65. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 64 Benefits and Limitations of EC THE BENEFITS OF EC Benefits to Organizations Help SME to compete Lower inventories Lower cost of distributing digital product

66. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 65 Benefits and Limitations of EC THE BENEFITS OF EC Benefits to Consumers Ubiquity More products/services Customized products/services Cheaper products/services Instant delivery Information availability Convenient auction participation

67. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 66 Benefits and Limitations of EC THE BENEFITS OF EC Benefits to Consumers No sales tax Enable telecommuting Electronic socialization Find unique items

68. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 67 Benefits and Limitations of EC THE BENEFITS OF EC Benefits to Society Enabler of telecommuting More public services Improved homeland security Increased standard of living Close the digital divide

69. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 68 Benefits and Limitations of EC THE BENEFITS OF EC Facilitating Problem Solving Its ability to solve complex problems that have remained unsolved for generations

70. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 69 Benefits and Limitations of EC THE LIMITATIONS AND BARRIERS OF EC (Exhibit 1.9) Technological Limitations Nontechnological Limitations According to a 2006 study, the major barriers are: (1) resistance to new technology (2) implementation difficulties (3) security concerns (4) lack of technology skills

71. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 70 Benefits and Limitations of EC According to a 2006 study, the major barriers are: (5) lack of potential customers (6) cost SOCIAL AND BUSINESS NETWORKS social networks Web sites that connect people with specified interests by providing free services, such as photo presentation, e-mail, blogging, and so on.

72. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 71 Benefits and Limitations of EC SOCIAL AND BUSINESS NETWORKS Business-Oriented Networks Social networks whose primary objective is to facilitate business Revenue Models of Social and Business Networks Most of the social-networking sites expect to earn revenue from advertising. In contrast, business-oriented networks may collect registration fees or even transaction fees.

73. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 72 The Digital Enterprise digital enterprise A new business model that uses IT in a fundamental way to accomplish one or more of three basic objectives: reach and engage customers more effectively, boost employee productivity, and improve operating efficiency. It uses converged communication and computing technology in a way that improves business processes. To know the major characteristics of it compared to traditional enterprise see Exhibit1.10

74. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 73 The Digital Enterprise corporate portal A major gateway through which employees, business partners, and the public can enter a corporate Web site.

75. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 74 Managerial Issues 1.Is it real? 2.Why is B2B e-commerce so attractive? 3.There are so many EC failures—how can one avoid them? 4.How can we exploit social/business networking? 5.What should be my company’s strategy toward EC? 6.What are the top challenges of EC?

76. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 75 Summary 1.Definition of EC and description of its various categories. 2.The content and framework of EC. 3.The major types of EC transactions. 4.The role of the digital revolution. 5.The role of the business environment as an EC driver.

77. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 76 Summary 6.The major EC business models. 7.Benefits of EC to organizations, consumers, and society. 8.Barriers to EC. 9.Social and business online networks.

78. Chapter 1 Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall 77 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Copyright © 2009 Pearson Education, Inc. Copyright © 2009 Pearson Education, Inc. Publishing as Prentice Hall