1. Why a Virtual Business? Virtual Business
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2. What is a Virtual Business?
A virtual business is a business that primarily conducts business electronically as opposed to operating from a physical location
Very little, if any, face-to-face contact with customers, unless the business is blended with brick-and-mortar
Synonymous with:
e-commerce
online business
digital business
A virtual business is one that primarily operates electronically. Some businesses such as Amazon are strictly online, virtual businesses. Many other businesses have a brick and mortar location, but have also been operating online.

3. What is a Netrepreneur
An innovative business owner who conducts business online
See the vision of a “storefront” although the “walls” are not visible
Understand how to get information about customers
Responds rapidly to changes in laws and trends
Know when or if to innovate
A term used to describe someone who conducts business online is “netrepreneur”. These individuals have the ability to envision what needs to be done to conduct business in the absence of a physical location where they can meet customers face-to-face. They create ways to find out what customers want and how to deliver on their business goals.

4. Resources for Business Owners
SBA – sba.gov
Small Business Development Center – sba.gov/sbdc
SCORE –
Women’s Business Center –
Many resources available to assist in virtual business are the same as for entrepreneurs wanting to start their own business, online or offline. The steps to begin a business may be the same in the initial phases. After that, there are many resources to take your business online.

5. Internet Milestones 1982 1991 ARPANET The term “Internet” is born
Advanced Research Projects Agency
Network created by the U. S. Department of Defense in 1969
Original purpose was for electronic communication in case of nuclear war or natural disasters
1982
The term “Internet” is born
1991
Internet became available for commercial use
While there are many milestones regarding computer technology, a few exist that had a major impact on business today. The first version of an ‘Internet’ was a network created by the U. S. Department of Defense in 1969 called ARPANET, the Advanced Research Projects Agency. Its original purpose was to facilitate electronic communication in case of nuclear war or natural disasters. The term “Internet” was first used in 1982 and the Internet was made available for commercial use in The rest is history.

6. Virtual Business Advantages
Redefines buyer/seller relationships
Is open 24/7
Minimizes distribution channels
Increases productivity & revenue
Unlimited customer reach
Affordable
Flexible schedule
There are many advantages to operating a virtual business. The buyer/seller relationship is changed with Internet sales. The Internet is always open, it is affordable and an online business can be started more quickly. The Internet provides unlimited customer reach which can increase productivity and profits, especially with minimal distribution channels.

7. Virtual Business Advantages (continued)
Can start quickly
Telecommuting
Global business
Getting a business online can be done relatively quickly. Telecommuting is a main attraction to going virtual as business owners can work out of their home if they choose. In addition, their business can reach global proportions much more rapidly than with a traditional business.

8. Types of Virtual Business
B2B
Business to Business
Customers are primarily other businesses
B2C
Business to Consumer
Customers are the general public
C2C
Consumers selling to other consumers
Typically auction web sites
When the Internet became available commercially, the first sales were B2B or business-to-business. Next came B2C or business-to-consumer sales. More recently, through primarily online auction sites, has been the evolution of C2C or consumer-to-consumer sales.

9. Business Uses of the Internet
Business Communications
Internal (employees)
External (current and potential customers)
Videoconferencing
Company web sites
Information Gathering
Research to assist in decision-making
Information on current and prospective customers
Be added to mailing lists
Product registration
FAQs
Businesses not only use the Internet to sell products and services, but also for other purposes. For example, businesses communicate via the Internet. They also use the Internet to conduct research, gather information on current and prospective customers, and provide material for customers such as product registrations and FAQs.

10. Business Uses of the Internet (continued)
Competitor information
Product comparisons
Customer reviews
Improving Business Operations
Inventory
Shipping information
Financial statements
Customers can post their product reviews on company web sites also. Businesses can also keep records that improve their business such as inventory records, shipping information, and financial statements.

11. E-Commerce Careers Web Designers – Creating web sites
Web Developers – May need to know HTML
Web Technologists – Entry level position
Customer Service Support – Entry level
Technical Writer – Strong communication and organizational skills
With the advent of the Internet has also come an increase in new career opportunities. Many of these opportunities have to do with web design and creation. Many are existing careers, such as Technical Writers and Customer Service Support, which now have a new outlet for opportunity that previously existed only in traditional business settings.

12. Independent Practice Assignments
Internet Timeline – List 10 events that occurred regarding the history of the Internet and how they have impacted business. At least two companies must also be included in the timeline.
Career Research Newsletter – Students are to create a one-page, two-column newsletter, using either word processing or desktop publishing software, that displays that different career opportunities related to the Internet, such as Webmaster or Web Site Designer. They will conduct Internet research on several of the job-search web sites to locate three job openings. These openings should include the job title, job description, and education, training, or certification requirements.
Report on the Future of E-Commerce – Students will write (or type with word processing software) a properly formatted one-page report on the future of virtual business, based upon population projections listed in the following web site: The report should contain an explanation of what the projections are and how e-commerce could be affected; for example, whether there will be more users of certain types of web sites, if web sites will be used for different reasons in the future, how different age groups may use the Internet, or if there will be more of certain types of e-businesses in the future.