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INTRODUCTION E-COMMERCE.

Published by Maryann Dorsey Modified over 6 years ago

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Presentation on theme: "INTRODUCTION E-COMMERCE."— Presentation transcript:

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E-commerce Environment

Jul 16, 2014

530 likes | 2.13k Views

E-commerce Environment. Lecture 2 Sue Stocking. Objectives. To understand the e-commerce environment Understand the on-line market place To identify changes in businesses due to electronic trading. The Business Environment. All organisations operate within an environment

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Presentation Transcript

E-commerce Environment Lecture 2 Sue Stocking

Objectives • To understand the e-commerce environment • Understand the on-line market place • To identify changes in businesses due to electronic trading

The Business Environment • All organisations operate within an environment • The environment influences the way they work • The environment influences the strategy of the business • Business environments are turbulent

Aspects of the Business environment • Customer expectations are always increasing • Customer sophistication is increasing • Customers expect a multi-channel interaction with businesses (the martini effect, anytime, anyplace, anywhere) • Increasing competition and industry change • Disaggregation of the value chain • Globalisation • Changing role of government • Nature and roles of channels are changing • Technology changes • Market structure • The value of businesses is volatile • Disenfranchisement

The environment in which e-business services are provided (Chaffey,02) Organisations • International • Economic factors • Legal constraints • Cultural factors Macro-environment Micro-environment • Society • Public opinion • Moral constraints • Ethical constraints • Technology • Innovation • Trends Organisation • Country specific • Economic factors • Legal constraints • Cultural factors Supplier Competitors Intermediates Customers

Influences on e-commerce strategy • Needs of customers • How services are provided to customers through competitors, intermediates and via suppliers • Local and international economic conditions • Legislation • What business practices are acceptable • Technological innovations

These influences vary rapidly • The environment must be monitored • Future trends anticipated • This is the role of knowledge management

The e-commerce marketplace • Electronic communications have changed relationships between the different parties of commercial transactions • This change depends on whether the transaction is B2B or B2C

Comparison of B2B and B2C markets (Rowley,02)

B2B Interactions Channel Partners (suppliers) Channel Partners (organisations) Supplier Organisation Business customers B2B transactions

B2C Interactions Channel Partners (organisations) Consumer customers Organisation B2C transactions

Summary of transaction alternatives between businesses and consumers

Summary This lecture has aimed to explain that all business operate in an environment. To identify the differences in trading patterns and marketplace models enabled by e-commerce.

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