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Chapter 1 The Revolution Is Just Beginning
Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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What is Web 2.0 Web 2.0 is the term given to describe a second generation of theWorld Wide Web that is focused on the ability for people to collaborate and share information online. Social media technologies User-generated content and communication Highly interactive, social communities Examples: Twitter, Instagram, Wikipedia, Tumblr Pinterest, Facebook, Blogs, Forums, RSS Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Types of E-commerce Business-to-Consumer (B2C)
May be classified by market relationship or technology Business-to-Consumer (B2C) Business-to-Business (B2B) Consumer-to-Consumer (C2C) Social e-commerce Mobile e-commerce (M-commerce) Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Business-to-Consumer (B2C)
It is the direct trade/selling via the Internet/web between companies and end consumers. Examples: Mc Donald's selling me a Big Mac Dell Selling me a Laptop An online pharmacy giving free medical consultation and selling medicines to patients Overstock.com, Expedia.com and Orbitz.com Amazon.com, Gap.com Shophive.com Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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The Growth of B2C E-commerce Figure 1.3, Page 20
SOURCE: Based on data from eMarketer, Inc., 2013a; authors’ estimates. Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Business-to-Business (B2B)
in which businesses focus on selling to other businesses. B2B is the largest form of e-commerce. Examples: Manufacturer supplying goods to the retailer or wholesaler. Heinz selling ketchup to Mc Donald's Intel selling micro processors to Dell Firestone Selling tires to Ford Company. Dell sell products and services to small, medium, and large enterprise businesses. | Best for Office Supplies Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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The Growth of B2B E-commerce Figure 1.4, Page 21
SOURCE: Based on data from U.S. Census Bureau, 2013; authors’ estimates. Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Consumer-to-Consumer (C2C)
C2C e-commerce provides a way for consumers to sell to each other, with the help of an online market maker such as the auction site eBay. Examples: Mary buying an iPod from Tom on eBay.com Selling Laptop on Olx.com Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Social e-commerce Social commerce is the use of social network(s) in the context of e-commerce transactions. Electronic commerce that involves using social media that supports social interaction, and user contributions to assist in the online buying and selling of products and services. Examples: Facebook commerce or f-commerce refer to the buying and selling of goods or services through Facebook Selling via Pinterest.com Social Selling with LinkedIn Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Peer to Peer E-commerce
It is a technology in itself which helps people to directly share computer files and computer resources without having to go through a central web server. To use this, both sides need to install the required software so that they can communicate on the common platform. The business models that support p2p commerce are unusual, in many cases illegal. Examples: FastTrack, Shareaza, uTorrent, Limewire, torrentz Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Mobile e-commerce (M-commerce)
Mobile mean Mobility, Anywhere any time M-Commerce refers to the use of mobile devices such as a mobile phone, a Personal digital assistant PDA or a smartphone for conducting the transactions. M-commerce is becoming so popular that the web design and development companies have to optimize the websites to be viewed correctly on mobile devices. Examples: Mary buying an iPod from Tom on eBay.com using Netbook Selling Laptop on Olx.com using Smartphone A person doing trade using Mobile devices. Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Will Apps Make the Web Irrelevant?
What are the advantages and disadvantages of apps, compared with Web sites, for mobile users? What are the benefits of apps for content owners and creators? Will apps eventually make the Web irrelevant? Why or why not? Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Understanding E-commerce: Organizing Themes
Technology: Development and mastery of digital computing and communications technology Business: New technologies present businesses with new ways of organizing production and transacting business Society: Intellectual property, individual privacy, public welfare policy Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Facebook and the Age of Privacy
Why are social network sites interested in collecting user information? Why Candy Crush users are more spending time than any social website? Is e-commerce any different than traditional markets with respect to privacy? Don’t merchants always want to know their customer? How do you protect your privacy on the Web? Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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Academic Disciplines Concerned with E-commerce
Technical approach Computer science Management science Information systems Behavioral approach Information systems Economics Marketing Management Finance/accounting Sociology Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall
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