INFORMATION SYSTEMS FOR E-BUSINESSLEARNING GOALSWhat is E-Business?Webservice vs. E-BusinessE-Business BenefitsE-Business DrawbacksSlide 7Slide 8Components of E-BusinessBead Bar 1E-Business ModelsB2C ModelsB2C Models (continued)Slide 14The Bead Bar 2B2B ModelsC2C ModelsE-Government Business ModelsE-Business TechnologyElectronic PaymentsBead Bar 3E-Business IssuesSlide 23SecuritySlide 25Summary Questions1INFORMATIONSYSTEMS FORE-BUSINESSBUS3500 - Abdou Illia, Fall 2006(Week 10, Monday 10/24/2006)2LEARNING GOALSDescribe the nature of e-business.Describe the basic e-business models.Discuss the technologies behind e-businessDiscuss the major issues that are created by and affect e-business.3What is E-Business?Conduct of commercial transactions with the help of telecommunications systemsE-Business took off in the 1990s with the rise in popularity of the Internet and WWW.Early forms of E-BusinessElectronic data interchange (EDI) Transfer of commonly used business documents in electronic form using a standard formatElectronic funds transfer (EFT)Sending money through electronic networks directly from one bank account to another4Webservice vs. E-BusinessE-Business WebserviceNative webserversoftware(HTML, IIS, Apache, etc.)3rd party develop-ment software (PHP, CGI, ASP, etc.)E-Businessspecific software- online catalogs- shopping cards- checkout programs- links to financial organizations5E-Business BenefitsThe ability to tap into global marketplaceBusiness is open 24/7Increased transactions and search speedConvenienceThe ability to offer customized products easilyImproved customer serviceConsumers can become sellers6E-Business DrawbacksSecurityPrivacyReturn on investment (ROI)Changing consumers’ habits of touch and feelInability to reach consumers who do not have Internet access7What technologies would helpimplement your E-Business model?What technologies would take care of my concerns?What kind of issues/concernsyou have to deal with?Who are you? How far you can go digital?- What products/services?- How customers find, purchase, pay prod./services?- How products/services are delivered?Who are your customers?E-BusinessTriangle8E-Business TechnologiesWeb designTCP/IPJavaFirewallsElectronic Payments,Online BillingEncryptionE-Business IssuesCopyrightPrivacySecurityIntellectual PropertyTaxationTrustJurisdictionE-Business modelsB2BB2CC2CE-Government: G2B, G2CE-BusinessTr iangle9Components of E-BusinessEach component could be Physical or Digital.The extent to which a Business is an e-Business depends on the extent to which the components are digital.Processes: Process of finding the product, purchasing and paying.10Bead Bar 1To what extent Bead Bar could be an e-Business?Now Extent of e-bizProduct PhysicalProcesses PhysicalDelivery PhysicalWhat would the Bead Bar e-Business triangle look like?E-Business modelE-Business TechnologiesE-Business issues11E-Business ModelsBusiness-to-Consumer – B2CBusiness sells products directly to the consumer.Business-to-Business – B2BBusinesses sell to other businesses.Consumer-to-Consumer – C2CConsumers sell directly to other consumers.E-GovernmentGovernment provides services to businesses-G2BGovernment provides services to citizens -G2C12B2C ModelsSubscription Consumers pay to have regular access to site.Online storefrontWeb site acts as intermediary between manufacturer and consumer.E.g. Amazon.com13B2C Models (continued)Bricks-and-clicksCombines a traditional retail outlet with an online storefrontCircuitCity.comAdvertisingSell advertising space on web site to other companiesSports.yahoo.com14B2C Models (continued)Internet presenceUse web presence to provide information about products and servicesExxon.comIntermediaryNew types of intermediaries connect buyers and sellersE-Trade.com15The Bead Bar 2Visit Yahoo!Store at http://smallbusiness.yahoo.com/merchant and estimate the cost of a standard B2C Storefront solution for the Bead Bar.Setup feeMonthly feesTransaction feeDomain name included?  YES  NOWeb site design included?  YES  NO# e-mail account includedE-mail storage capacityShipping/Tracking included?  YES  NOSite security provided16B2B ModelsB2B is much larger than B2CSize estimates range from $543 Billion to $6.8 TrillionIncrease 50% per yearInformation exchangesExchange business documents over the InternetEDI via the InternetDirect sellersDirect sales model, direct to other businessesDell Premier pagesCiscoNew intermediariesVirtual hubs match buyers and sellersE-Hospitality17C2C ModelsOnline garage salesOnline auctionsAllows consumers to buy and sell goods with other consumersEBay.comC2C servicesSell expertise directly to other customersKeen.comOnline communitiesAllow people with similar interests to come togetherChat roomsDiscussion boards18E-Government Business ModelsGovernment-to-citizen (G2C)Provide government services to citizens over the InternetVehicle registration renewalOnline votingGovernment-to-business (G2B)Helps government and business work together more efficientlyReduces paperwork and costs for business and government19E-Business TechnologyInformation technology (IT) puts the e in e-businessWeb site functionalitySpeed of loading Web pagesGood search feature so users can find what they are looking for quicklyProperly used graphicsSimple checkout functions to close the sale20Electronic PaymentsSend financial transaction information securely over the InternetMechanisms for electronic paymentsMoney transfer services – Paypal.comDigital wallet – Microsoft PassportSmart cards Online billingCustomers receive their bills and make payments onlineWellsFargo.com21Bead Bar 3The Chief Financial Officer at Bead Bar needs to know if there is an E-Payment solution that could allow the company to send and receive bills online. Visit Intuit’s web site at www.intuit.com and provide the CFO with an idea of the cost of such a service. Note: Search Intuit’s QuickBooks Online Edition.Monthly fees (for up to 3 users/administrators)Main