E-Business
A little summary from some shit
A little summary from some shit
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Cartes-fiches
E-Business Definition
Definition 1: E - business is conducting business activities (e.g., distribution, buying, selling, marketing, and servicing of products or services) across company boundaries electronically over computer networks such as the Internet, extranets, and corporate networks
Definition 2: E - business is the support of business relationships and processes of a company with its business partners, customers and employees using networked information technology (vom Ralf)
E-Organisation Definition
E - organisation is the support of relationships and processes inside a company using networked information technology (vom Ralf)
Because of the following reasons, IT in the narrower sense (hardware, operating systems, application software) is usually not sufficient to build sustainable competitive advantage:
- You need to use it in the right way
- You have to feed it with good information
- You also need a good and nice custormer service
Under which preconditions is it possible for an organisation to create sustainable competitive advantage with information systems?
- You already have clear processes and ways how your organisation is working
- It is a good business model needed That can be suportet!
Definition E-Commerce
Definition 1: E - commerce is conducting sales oriented business activities (e.g., distribution, selling, marketing, and servicing of products or services) electronically over computer networks such as the Internet, extranets, and corporate networks
Definition 2: E - commerce is the support of business relationships and processes of a company with its customers using networked information technology. (from Ralf)
Definition E - Procurement
Only definition from Ralf: E - procurement is the support of business relationships and processes of a company with its suppliers using networked information technology
Digitalisation
Digitalisation is decisive for the economic and social development. The information systems are omnipresent because they are based on mobile and cloud technologies. People and Organisations are also mostly represented digitally.
Information Effect Pattern
- Information as a resource (data maintenance is important)
- Good information (non redundant, correct, right time, etc. )as a basis for decision making and to act apropriate
- More interaction everywhere and a shift from push to pull
E - business solutions can provide an on - demand access to information which helps the user to achieve his or her goals (capability to act)
Brokerage Effect Pattern
- Electronic media connect supply and demand (allows decison making for information, products and services)
- matching of supplier and customers or demand and supply (via platfrom)
- Market performance has been newly defined and can be
- aggressive (focusing on the product price) or
- defensive (creating hardly comparable products and services).
- customization of products (Pre definded options like mous and keybord for computer or color, weel for car etc. )
- Airbnb, booking.com etc. --> they find for you what you want according to some filters
E - business solutions can intermediate between two or more involved parties by supporting search (e.g. for the market price) or configuration with interactive, automated dialog processes.
Questions a business model using e-business has to answer
- Which value or benefit will be created for the involved parties?
- Who is the target group?
- Architecture of the value creation?
- How will the company generate earnings with the business model?
- Can partners and employees be motivated?
- is the necessary knowhow available?
- .....
Business View (Needed Information to understand the context of the project)
- The involved business partners and their roles (depicted graphically)
- The business model of the operating organisation
- The distribution of tasks among the involved parties (depicted graphically)
- The strategic and operative goals or benefit expectations of the involved partners.
The Business Scenario Describes the Context of a Business Relation and of the Relevant Processes
Example for a business scenario: purchasing of a machine
The Figure „Business Scenario“ supports the description of the business view. The figure contains:
- The involved business partners and their roles
- The processes that are relevant in the context of the project and the distribution of the processes among the involved partners (distribution of tasks)
- The exchange relationships between the involved partners that are relevant in the context of the project
Significance of E - Commerce
- B2C e - commerce sales increase from year to year, while the traditional sales channels stagnate in the most industries.
If the automated electronic business transactions between companies are included, the B2B e - commerce volume is much larger than the volume of B2C e - commerce.
Animation Phase (Phase 1)
- How can we create access to prospective customers?
- How and where does the need of the potential customer originate?
- What is the real need of your potential customer?
- How does your potential customer use the Internet at the moment of perceiving his or her needs?
- How can we be different compared to our competitors?
--> MARKETING
Information Phase (Phase 2)
- Which information does the prospective customer need to make his/her decision?
- What makes the shopping decision difficult for the customer and what makes great fun?
- How can expensive, time - consuming or difficult information processes be made easier?
- Does the customer find the products and the information about it?
In the information phase the supplier gives sufficient information about the products and wants to convince the customer to buy the product.
The internet is quiet important in the information phase (Multilingual, always updated, Availability, etc. )
Selling Actively in E - Commerce
- Up - Selling Suggest a product with a higher margin
- Cross - Selling Recommend complementary products, e.g. printer and toner cartridges
- Cross - Referencing Lead customer to other products or product groups
- Recommender system: Customer who bought this item also bought those items blablabla
Fulfillment Phase (Phase 4)
- What kind of services are critical in logistics (warehousing, shipping, handing - over, return management)?
- Is it possible for the customer to adjust date and location of handing - over?
- If the customer wants to change the order: Do we have an efficient change management?
- Does the customer need information regarding order and delivery status?
- What kind of payment system is suitable?
Loyalty Phase (Phase 5)
- Main goal: getting customer loyalty and retention
- What kind of services do we have to offer (customer service, FAQs, complaints, etc.)?
- Does it make sense to offer information about accessories, spare parts, consumption material, replacement, etc.?
- How can we transform our knowledge about the customer into new offers?
- What kind of customer loyalty instruments could we offer (bonus programs, delivery subscription, etc.)?
The goeal of the supplier in the loyalty phase is to provide the customer with services that motivate him / her to do a next purchase
Customer Journey, Phases, Channels, Linear or fragmented
- Customer Journey denotes the customer’s way through the different phases of a purchasing process. The process can be short and linear with a single seller, e.g. when purchasing clothes spontaneously, or fragmented over a longer period of time with several service providers or sellers involved, e.g. when purchasing a car.
- Touchpoints are the moments in which potential customers have contact with a supplier during their customer journey.
- Omni - channel suppliers operate several communication or sales channels (e.g. blog, web site, physical store) to offer potential customers a variety of touchpoints during their customer journey. Some touchpoints can be used simultaneously, e.g. a mobile app in the store. Cross - channel means that a customer can switch between channels during the purchasing process.
Conversion rate
The conversion rate mostly measures the share of the shop visitors who finalise a purchase.