Chapter 9

1. Chapter 9 Technology’s Impact on Business

2. Why it’s Important • Knowing how technology has influenced business sheds light on new and future industries.

3. The Cyber Age • Michael Furdyk and his partners sold MyDesktop.com for more than 1 million • Their website began for just fun as a help line to explain how the internet works • What’s unusual about this is Furdyk is only 17 years old and has not graduated from high school • 8% of all teens, about 1.6 ,million in the U.S. are making at least some money on the internet

4. Technology’s Influence on Business • Thomas Edison said his greatest discovery was discovering what people could use. • His inventions included the light bulb, phonograph, and the movie camera • These made power, music, and film industries possible. • Technology refers to the tools and machines people have invented to make life easier.

5. Technology’s Influence on Business • Inventions like the radio and the television entertain and inform us • The telegraph and then the telephone made it easier to communicate with each other. • Trains, cars, and airplanes made it easier to get around • Perhaps the most common technology staple used in businesses today is the computer.

6. Technology’s Influence on Business • Computers electronically store thousands of files, which save time, labor, and office space. • Every business uses computers to help with the day to day operations • Arby’s, McDonalds, DQ

7. Technology in the Past • Even the simplest invention, like the plow, had a huge impact on business. • Before the plow was invented, people had to dig in the earth with their hands. • Because of the plow, more corn could be planted which meant more corn could be produced.

8. Technology in the Past • Increased corn production meant hiring more people to harvest the corn, selling more corn in the market, and building a corn-selling business. • Since the invention of the plow, countless new inventions have changed the way we live, work, and do business.

9. Technology in the Past • Steam engines, blast furnaces, and boilers provide way to greater power and made factories possible • The automobile made it possible to transport goods faster

10. Modern Technology • In the past 50 years, electronics revolutionized business and society. • Today, the economies of many countries such as Japan and Taiwan are based on manufacturing electronics • There is a never-ending demand to make electronic goods smaller, faster, cheaper, and more powerful.

11. Modern Technology • Around 1945 a computer took up an entire room and could barely do a math problem • Now a microchip stores billions of bits of information • The computer created a boom in nearly all business industries.

12. E-Workforce • A desk jockey with dry, red eyes is sitting in front of a computer at work. • Other workers in the office are in from of computers wearing eyestrain eyeglasses • Down a few more cubicle rows another worker rubs the back of her neck • This is a portrait of today’s electronic workforce or e-workforce

13. E-Workforce • E-workforce is when people work with computers while doing business. • According to the Bureau of Labor Statistics more than 70 million people use computers daily.

14. Employment • Technology created a boom in many industries. • It created new markets for product like printers, fax machines, video games, cellular phones, and modems • New products are constantly being invented, developed, and manufactured by various companies

15. Employment • Innovation means more jobs and more people learning new skills. • Technology makes people work easier and faster. • Technology’s speed saves time and creates new jobs.

16. Digital Workflow • Placing hard copies of documents on a digital platform, like CD-ROMs or a database, has had a great influence on the efficient use of time. • People have access to a broad range of information more quickly than ever before. • By switching information to a digital format, there is less paper involved

17. Digital Workflow • A digital workflow links all the steps in a process, like publishing, electronically. • For example, digital workflow has greatly influenced the publishing and printing industry • Authors editors, marketing, manufacturing, and archiving can work together in a seamless electronic pace

18. New Jobs • One fraction of the high-tech industry is the internet • The Internet has created a demand for new jobs such as software writers, online writers, and Web page designers. • Companies are now able to post job opportunities on their home page or an internet job service • careerbuilder & monster

19. Virtual Business • The ease of doing business online has created a boom in new business or start-ups • This type of business is called a virtual business. • Vocational schools, universities, colleges, and community centers offer technology training or degrees for people interested in expanding their job skills. • Technology skills will make you very attractive to an employer.

20. E-Commerce • Electronic commerce, or e-commerce, has made it possible for businesses to directly reach customers anywhere in the world. • Everyone hooked up to the internet is a potential customer. This only hasn’t changed the way products are sold, it has changed the way all business activities are conducted • E-tail and e-ticket are two examples of e-commerce.

21. E-Tail • E-tail is electronic retail. • An e-tail business sells products over the Internet. • The main activity of e-commerce is buying and selling goods and services • Any company can go online to sell any product.

22. E-Tail • JCPenney, a major department store, sells products in stores, by mail, and online. • This type of company is called a multi-channel retailer • A multi-channel retailer uses several means to sell products.

23. E-Tail • Businesses often call their stores and warehouses bricks-and-mortar, referring to building materials. • Businesses that also use the Internet are called clicks-and-mortar operations.

24. E-Tail • E-commerce makes it easier to send catalogs of e-tailers’ products to consumers • This is especially useful for companies that do a lot of mail-order business. • Putting catalogs on the Internet rather than shipping them by mail saves a lot of money in printing and mailing costs.

25. E-Tail • E-tail is an advantage to the consumer in two major ways: • Convenience • You can shop at home without going to the store • The internet is never closed • Choices • The number of companies selling products online gives you more choices and lets you compare prices

26. E-Tail • E-tail is a disadvantage to the consumer in four major ways: • Buying power • It’s easy to overspend. If you’re not careful you can order things by mistake • Other Charges • Since most products bought online are delivered by mail, you have to pay shipping charges

27. E-Tail • Immediacy • While shopping online is convenient, you still have to wait for most products to be delivered • Relying on observation • It’s hard to know for sure whether you like a sofa unless you sit down and try it. The same can be said for clothes. • Online buying requires you to rely on pictures and description instead of actually touching things yourself

28. E-Ticket • With more than 70 million people signed onto the internet the U.S alone, businesses are finding that customers want to buy services online as well goods • Using their computers, people can now purchase e-tickets, or electronic tickets. • E-tickets are available for concerts, museums, movies, and amusement parks

29. E-Ticket • Some people find purchasing an e-ticket is easier and cheaper than visiting an actual ticket agency. • For example a travel agency my charge you $25. fee for handling your airline ticket • If you buy a ticket from an online virtual business travel agency you may only be charged $1

30. E-Ticket • Expedia, Hotels, Priceline, Orbitz • On the other hand if you airline ticket gets lost in the system you might be required to buy another one.