E-business Doc.Dr.Ivana Švarcová,CSc. Dept.of Information Technology.

E-businessE-business

Doc.Dr.Ivana Švarcová,CSc.Doc.Dr.Ivana Švarcová,CSc.

Dept.of Information TechnologyDept.of Information Technology

July 2003July 2003

E-businessE-businessDoc.Dr.Ivana Švarcová,CSc.Doc.Dr.Ivana Švarcová,CSc.

One of the most popular One of the most popular Internet Internet mythsmyths claims claims that building an online store is easy: All the that building an online store is easy: All the customer has to do is point, click, and buy! But customer has to do is point, click, and buy! But in reality, successful e-commerce is far more in reality, successful e-commerce is far more complex and unlike any other website project complex and unlike any other website project you may have tackled in the past. Before that you may have tackled in the past. Before that first cyberbuck finds its way into your bank first cyberbuck finds its way into your bank account, you need to do considerable research account, you need to do considerable research and planning. and planning.

July 2003July 2003


Information systém (IS)Information systém (IS)IS as the main point of organizationIS as the main point of organizationTheory of ISTheory of IS

Defination of ISDefination of IS IS as open group of informations and transformation IS as open group of informations and transformation

of themof them

IS and ICTIS and ICTIS and usersIS and usersIS and businessIS and business

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e-business – one of the way of markete-business – one of the way of market

new strategy that works in a cost-new strategy that works in a cost-conscious marketplace conscious marketplace

position of e-business position of e-business

make the right decisions in your design make the right decisions in your design and setup, you'll certainly improve your and setup, you'll certainly improve your chances for success. chances for success.

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To beginnig of e-business - To beginnig of e-business - everything you need to consider everything you need to consider before beginning your snazzy new before beginning your snazzy new e-businesse-businessBefore you get your start of it , you'll Before you get your start of it , you'll need a solid plan of attackneed a solid plan of attack

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generate a realistic e-business plangenerate a realistic e-business plan

create a site design that caters to your create a site design that caters to your online customersonline customers

deal with things like credit cards, tax, deal with things like credit cards, tax, shipping, and securityshipping, and security

and decide whether you should build, buy, and decide whether you should build, buy, or rent an e-commerce solution to manage or rent an e-commerce solution to manage your site's transactions your site's transactions

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put together a successful online business put together a successful online business planplan

How to Sell, Sell, Sell!How to Sell, Sell, Sell! - How do you like to shop - How do you like to shop

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take all day and browse around until something take all day and browse around until something catches your eye?catches your eye?Or do you march right up to the clerk and say, "I Or do you march right up to the clerk and say, "I need a cheap widget with a whoziwhatzit (need a cheap widget with a whoziwhatzit (hehe whowho wouldwould searchsearch for for pearlspearls mustmust dive dive belowbelow ) )

I'm looking for a brownish butter-like substance I'm looking for a brownish butter-like substance made out of peanuts — perhaps something I made out of peanuts — perhaps something I could spread on bread with jelly. You got any of could spread on bread with jelly. You got any of that?" that?"

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the product that you're seeking often the product that you're seeking often defines how you shop for it defines how you shop for it

This is an important concept to This is an important concept to remember when creating your online remember when creating your online presencepresence

What exactly is your product?What exactly is your product?

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Who is your target audience? Who is your target audience?

How will they want to interact with your How will they want to interact with your companycompany

How can your site enhance this How can your site enhance this interaction? interaction?

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Many Web-based stores allow you to Many Web-based stores allow you to search through their stock by category or search through their stock by category or by keyword.( These methods are, for the by keyword.( These methods are, for the most part, derivatives of the technologies most part, derivatives of the technologies that make their one)that make their one)

But are the customers at your site going to But are the customers at your site going to find shopping by category intuitive find shopping by category intuitive

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There are many different ways to sell your There are many different ways to sell your product on the Web, but most techniques product on the Web, but most techniques tend to fall into one of the following tend to fall into one of the following categories: categories:

* Gifts and Impulse Products* Gifts and Impulse Products (makes its site as fun to explore as it is to (makes its site as fun to explore as it is to shop shop

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* Commodity Products* Commodity Products

Everyone knows what a CD or a book looks like. Everyone knows what a CD or a book looks like. They are pretty low-risk purchases since you They are pretty low-risk purchases since you don't have to worry about whether they're the don't have to worry about whether they're the right color or compatible with your system. What right color or compatible with your system. What matters is that the seller has them in stock at a matters is that the seller has them in stock at a good price. good price.

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Merchants who offer commodity-type Merchants who offer commodity-type products are differentiated by their products are differentiated by their products' price, selection, and availability. products' price, selection, and availability.

CDNowCDNow and and AmazonAmazon are working hard to are working hard to be the killers in this arenabe the killers in this arena

The better you can cater to your The better you can cater to your customers, the more business they're customers, the more business they're likely to do with you. likely to do with you.

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Considered Purchase ProductsConsidered Purchase Products

e-commerce software packages e-commerce software packages

offer side-by-side comparisons of different offer side-by-side comparisons of different products products

example: Sites such as example: Sites such as mySimonmySimon

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Configurable ProductsConfigurable Products

A case in point is computer workstations A case in point is computer workstations and servers. The basic components are and servers. The basic components are the same, but you can choose how roomy the same, but you can choose how roomy or fast each of those parts will be or fast each of those parts will be

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Categorized and Indexed CatalogsCategorized and Indexed Catalogs

does a good job of organizing things so does a good job of organizing things so you can get in and out quickly you can get in and out quickly

the industrial supply catalog the industrial supply catalog

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You need to figure out what's right for your You need to figure out what's right for your company and your products; not company and your products; not necessarily what's easiest to build. necessarily what's easiest to build.

To be competitive, you need to understand To be competitive, you need to understand how your customers want to workhow your customers want to work withwith you, what levels of convenience they you, what levels of convenience they desire, and what features they will value in desire, and what features they will value in your online store. your online store.

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Automated Answers and AdviceAutomated Answers and Advice

Automated RecommendationsAutomated Recommendations

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Basically, you have three options: Basically, you have three options:

Buy a ready-made solution. Buy a ready-made solution.

Rent space in a network-based e-Rent space in a network-based e-commerce solution. commerce solution.

Build the system from scratch with Build the system from scratch with components and parts components and parts

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Option 1Option 1 Buy a ready-made system that closely Buy a ready-made system that closely matches your specifications.matches your specifications.

If your business needs closely match what the If your business needs closely match what the package offers, buy it! This will save you money package offers, buy it! This will save you money and a good deal of time. If the system is lacking and a good deal of time. If the system is lacking some of your prioritized features, however, you some of your prioritized features, however, you may want to think again. The solution may be a may want to think again. The solution may be a good fit right now, but not in the futuregood fit right now, but not in the future

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Option 2Option 2 Rent space at an E-Commerce Rent space at an E-Commerce ASP.ASP.

- That's great if there's a good match - That's great if there's a good match between what they provide and what you between what they provide and what you need, but otherwise, you'll end up need, but otherwise, you'll end up frustrated and searching for a new solution frustrated and searching for a new solution before longbefore long

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Option 3Option 3 Build the system from scratch to your Build the system from scratch to your specifications.specifications.

- This approach will give you the exact solution - This approach will give you the exact solution you need but will require expertise, time, and a you need but will require expertise, time, and a sizable budget to pull it off. The advantage is sizable budget to pull it off. The advantage is that you can build the features and functions you that you can build the features and functions you need to be unique and competitive in the need to be unique and competitive in the marketplace marketplace

E-business Doc.Dr.Ivana Švarcová,CSc. Dept.of Information Technology.

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