1 web commerce definition benefits impacts other types of electronic commerce

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Web Commerce

Definition

Benefits

Impacts

Other Types of Electronic

Commerce

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Web Commerce

Use the international network communication capability of the Internet for marketing and selling products and service

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Benefits - I

• Total automation

• Cost efficiency

• Improved customer relations

• Global reach for company of different size

• Market analysis and target marketing

• Virtual organization

• Direct Selling and Buying

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Benefits - II

• Offering Customized Products

• On-line catalogs

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Total Automation

• Integrated database to automate the business transaction, operation, and reporting systems

• Real time from capturing order, processing order, shipping merchandise, controlling inventory, collecting payment, and generating reports

• Free limited resources from routine transaction processing to decision making

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Cost Efficiency

• Customer – Time– Transportation– Lower price from electronically open market

• Supplier– Process automation (less error, time)– Overhead (telephone, paper)

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Improved Customer Relations

• On-line searching merchandise

• On-line answering question

• Up-to-date product information

• Electronic bulletin board for customer feedback

• Quick merchandise delivery

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Global Reach for Company of Different Size

• Home page and embedded hypertext

• Leveling the playing field in terms of size and location

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Marketing Analysis and Target Marketing

• Customer satisfaction of product and service

• Marketability of new product and service

• Characteristics of customer

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Virtual Organization

• No physical store

• No geographical limitation

• No time limitation

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On-line Catalogs

• Inexpensive

• Easy to update

• Multimedia capability

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Direct Selling and Buying

• No middleman

• No inventory

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Customized Products

• Detailed parts information for viewing

• On-line interactive technical discussion

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Impacts

• Management team

• Process

• Security

• Social

• Legal

• Job market

• Health

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Management Team

• Innovative approach

• Proactive approach

• Opportunities of new information technology to achieve business goals

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Process

• Policies and procedures for the web commerce– Routine operations: monitoring, backup– Emergency situations: fire, power outage, and

nature disasters

• Test the currency and feasibility

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Security

• Policy and procedure

• Method– Logical– Physical

• Tool

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Social Structure

• Computer literacy group

• Computer illiteracy group

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Legal Jurisdiction

• Between two states

• Between two nations

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• Job Market– Computer technology– Training program

• Health– Consumer– Employee

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Other

• Electronic Data Interchange

• CD-ROMs

• Screen Phones

• Kiosks

• WebTV