1. Intro to E-commerce and Information Technology Dr. Robert Chi Chair and Professor, IS department Chief editor, Journal of Electronic Commerce Research

2. What is Information? Data –Facts Information –Processed data Knowledge –Analyzed, organized information Wisdom –Learning, creation

3. Why Information? Decision Making Productivity Team Work and communication Strategic tools

4. What is e-commerce Use Internet to transact business Disintermediation

5. Using E-commerce as a strategic tool Wal-Mart –Logistics, supply chain management Southwest airlines –Online reservation, ticket-less Fedex –Online tracking (e-shipping tools) Dell –Mass customization, pull strategy

6. Year 2000, The bubble burst? The party is over – the New York Post Next big thing? There never was; There never will be?

7. Origin of the Internet Innovation Phase (1961-1974) Institutional phase (1975-1995) Commercialization Phase (1995-present)

8. Impacts (1) Makes a massive quantitative of data more available and easier to access then ever before (information transparency) –Bring buyers and seller together Instantaneous and two way information exchange (Interactivity) –Efficiency, effectiveness and Better customer service Customization and individualization –Demand driven business model, Customer centered approach

9. Impacts (2) Digitalization –Digital products –Digital transaction –Digital delivery Globalization –Offshore outsourcing –Globalized logistics

10. 7 unique features of E-commerce Technology) Ubiquity: Internet could be everywhere Global reach: can reach everyone on earth Universal Standard: one standard across the globe Richness: different types of presentation, video, audio.. Interactivity: two way communications Information Density: Information becomes plentiful, cheap and accurate Personalization/Customization: customization of product or services available

11. Types of E-commerce B2C (150 billion in 2005)

12. B2B (4000 billion in 2005)

13. C2C C2B M-commerce

14. Potential Limitation on the growth of B2C E-commerce Expensive technology Complex software interface Sophisticated skill set Persistent cultural attraction and physical markets and traditional shopping experiences Persistent global inequality limit access to telephone and personal computers

15. E-commerce I and II E-commerce IE-commerce II Technology drivenBusiness driven Revenue growth emphasisEarning and profits emphasis Venture capital financingTraditional financing UngovernedStrong regulation and governance EntrepreneurialLarge traditional firms Dis-intermediationStrengthening intermediaries Perfect marketsImperfect markets, brands and network effects Pure online strategiesMixed clicks and bricks strategies First move advantagesStrategic follower strength; complimentary assets

16. Web design Static vs. dynamic web design –HTML, XML.. –ASP, Coldfusion… Color Scheme Layout Domain Names

17. In class exercise Develop an e-commerce business model which is preferred to be unique and design the first page of its web site Teamwork, 20 minutes

18. The trend Specialization –Do fewer tasks and do them well –Design, Market, distribution, production Decentralized structure –Global alliances, mergers.. –More coordination and communications Internationalization –Designed in US, made in China, marketed in Japan