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E-commerce Details & History

E-commerce Details & History. pp 17-51. Types of E-commerce . B2C – Business to Consumer Example? B2B – Business to Business Example? C2C – Consumer to Consumer Example? P2P – Peer to Peer Example?. Growth of Internet. 1997 – 20 million hosts (web servers)

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E-commerce Details & History

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  1. E-commerce Details & History pp 17-51

  2. Types of E-commerce • B2C – Business to Consumer • Example? • B2B – Business to Business • Example? • C2C – Consumer to Consumer • Example? • P2P – Peer to Peer • Example?

  3. Growth of Internet • 1997 – 20 million hosts (web servers) • 2003 – over 160 million hosts • Web Content • 1997 – Less than 500 million pages • 2003 – More than 6 billion.

  4. B2B E-commerce • Started much earlier • Matured in the early 1990’s • whereas B2C matured in the late 1990’s • Actually grew much faster than B2C • Overlooked during the B2C explosion circa 2000.

  5. B2C E-commerce • Surprisingly, there are numerous limiting factors • What are they? • Hint: Think about what might limit the customer from participating? • PC Cost/Internet Cost • Skill level/sophistication • Cultural barriers • Regional Infrastructure Barriers

  6. E-commerce I: 1995-2000 • Lack of standardization • Exuberance • Un-controlled growth • B2B successes • B2C failures • Real Sales Growth vs. New Pathways for Sales

  7. E-commerce I: 1995-2000 Key concepts for this era: • Network effect – users receive value because everyone uses the same tools/products • First Mover – The first to market in a particular area can more easily gain market share (but not always) • Friction-Free Commerce – • info is equally distributed • transaction costs are low • prices adjust automatically based on demand • middle-men are eliminated • unfair competitive advantages are eliminated

  8. E-commerce I Technology driven Growth emphasis Venture capital Ungoverned Start-ups Disintermediation E-commerce II Business driven Profit emphasis Traditional financing Strong regulations Large traditional firms Strengthening intermediaries E-commerce II: 2000-today

  9. E-commerce II • Key concept: • Disintermediation – get rid of the middle man, create a new direct relationship between manufacturers and customers • Disintermediation is good, right? • How can it be bad? • Consider this: Manufacturing business that have no expertise in sales, marketing, and micro distribution.

  10. Project • If you have the book, read the Kazaa case study pp 47-51. • It may inspire your proposal. • Things that are one the agenda for up-coming labs: • The art of picking a domain name. • Registering domain names for under $3/year • Web hosting: Criteria to make your decision • Website Development: Free resources to get you started.

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