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E-commerce: Digital Markets, Digital Goods
Chapter 10
Video Cases
Video Case 1: Deals Galore at Groupon
Video Case 2: Etsy: A Marketplace and Community
Video Case 3: Ford Manufacturing Supply Chain: B2B
Marketplace
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Chapter 10: E-commerce: Digital Markets, Digital Goods
What are the unique features of e-commerce, digital markets,
and digital goods?What are the principal e-commerce business
and revenue models?How has e-commerce transformed
marketing?How has e-commerce affected business-to-business
transactions?What is the role of m-commerce in business and
what are the most important m-commerce applications?What
issues must be addressed when building an e-
commerce presence?
LEARNING OBJECTIVES
Students are participants in e-commerce and they love to talk
about their experiences. You can start the conversation by
asking if any in the class purchased something today or
yesterday online. Draw students out to talk about their good and
bad e-commerce experiences. How many have used their cell
phones to search for products, or purchase products?
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Problem: How to derive profits from large and desirable user
base
Solution
:
Enable businesses to promote brand awareness and refer back to
retail sites for purchasing
“Promoted pins”: Paid advertising with fees charged if user
clicks through to firm’s Web siteDemonstrates use of social
networking technologies in generating new business models
Pinterest: How Much Is a Picture Worth?
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Chapter 10: E-commerce: Digital Markets, Digital Goods
E-commerce: Use of the Internet and Web to transact
business.Began in 1995 and grew exponentially; still stable
even in a recession.Companies that survived the dot-com bubble
now thrive.The new e-commerce: social, mobile, local
Unique Features of E-commerce, Digital Markets, and Digital
Goods
This slide discusses what e-commerce is, and what the state of
e-commerce is today. The text states that e-commerce history
mirrors those of other technology innovations. What other
innovations is e-commerce similar to? Students probably will
not know about the early days of radio and TV, but perhaps they
will remember cassette music, VHS video tapes, and even CDs
and DVDs which, though still with us, are definitely declining
in sales. The book discusses new trends in e-commerce. Ask the
students to work with you to list some of these new trends in e-
commerce.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Retail e-commerce revenues grew 15–25 percent per year until
the recession of 2008–2009, when they slowed measurably. In
2014, e-commerce revenues are growing again at an estimated
12 percent annually.
Figure 10-1
The Growth of E-commerce
This graphic illustrates the continuing growth of e-commerce.
The growth of e-commerce revenues grew 15 percent to 25
percent a year until the recession of 2008–2009, when they
slowed measurably to a small positive number around 3 percent
in 2009. This was much better than traditional retail commerce
which actually shrank in this recession. E-commerce began
growing again after 2009 at more than 10 percent, several times
the growth of all retail sales.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Eight unique features of Internet and Web as commercial
mediumUbiquity Global reachUniversal
standardsRichnessInteractivityInformation
densityPersonalization/customizationSocial technology
Unique Features of E-commerce, Digital Markets, and Digital
Goods
This slide introduces the unique features of the Internet. These
features explain why e-commerce has grown so quickly—
because of the unique nature of the Internet and e-commerce,
which are richer and more powerful than previous technology
revolutions such as radio and TV.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Ubiquity Internet/Web technology available everywhere: work,
home, and so on, anytime Effect: Marketplace removed from
temporal, geographic locations to become
“marketspace”Enhanced customer convenience and reduced
shopping costsReduces transaction costsCosts of participating
in market
Unique Features of E-commerce, Digital Markets, and Digital
Goods
Ask students to provide real-life examples of these effects, for
example: Ubiquity—being able to surf the Web on your mobile
device while riding a bus or train.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Global reach
The technology reaches across national boundaries, around
Earth
Effect: Commerce enabled across cultural and national
boundaries seamlessly and without modification.Marketspace
includes, potentially, billions of consumers and millions of
businesses worldwide.
Unique Features of E-commerce, Digital Markets, and Digital
Goods
Ask students to provide real-life examples of these effects, for
example: Global reach—being able to buy products from
another country.
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Universal standardsOne set of technology standards: Internet
standardsEffect: Disparate computer systems easily
communicate with one anotherLower market entry costs—costs
merchants must pay to bring goods to marketLower consumers’
search costs—effort required to find suitable products
Unique Features of E-commerce, Digital Markets, and Digital
Goods
Ask students to provide real-life examples of these effects, for
example: Universal standards—being able to exchange files
with someone else.
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RichnessSupports video, audio, and text messagesEffect:
Possible to deliver rich messages with text, audio, and video
simultaneously to large numbers of people.Video, audio, and
text marketing messages can be integrated into single marketing
message and consumer experience.
Unique Features of E-commerce, Digital Markets, and Digital
Goods
Ask students to provide real-life examples of these effects, for
example: Richness—YouTube.
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InteractivityThe technology works through interaction with the
user.Effect: Consumers engaged in dialog that dynamically
adjusts experience to the individual.Consumer becomes co-
participant in process of delivering goods to market.
Unique Features of E-commerce, Digital Markets, and Digital
Goods
Ask students to provide real-life examples of these effects, for
example: Interactivity—using a chat window to interact with
technical support at a merchant’s Web site.
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Information densityLarge increases in information density—the
total amount and quality of information available to all market
participantsEffect:Greater price transparencyGreater cost
transparencyEnables merchants to engage in price
discrimination
Unique Features of E-commerce, Digital Markets, and Digital
Goods
Ask students to provide real-life examples of these effects, for
example: Information density—being able to find hundreds of
prices for the same product online from different merchants.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Personalization/CustomizationTechnology permits modification
of messages, goodsEffect:Personalized messages can be sent to
individuals as well as groups.Products and services can be
customized to individual preferences.
Unique Features of E-commerce, Digital Markets, and Digital
Goods
Ask students to provide real-life examples of these effects, for
example: Personalization—Web site that adjusts to your
preferences, such as Amazon.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Social technologyThe technology promotes user content
generation and social networking Effect:New Internet social and
business models enable user content creation and distribution,
support social networksMany-to-many model
Unique Features of E-commerce, Digital Markets, and Digital
Goods
Ask students to provide real-life examples of these effects, for
example: Social technology—uploading videos to YouTube.
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Effect of the Internet on the marketplace:Reduces information
asymmetryOffers greater flexibility and efficiency because
of:Reduced search costs and transaction costsLower menu
costsGreater price discriminationDynamic pricingMay reduce or
increase switching costsMay delay gratification: effects
dependent on productIncreased market segmentationStronger
network effectsMore disintermediation
Unique Features of E-commerce, Digital Markets, and Digital
Goods
This slide introduces digital markets and discusses the effects
of digital markets on the ways companies conduct business. Ask
students to define the terms listed here, and also to explain how
each of these effects (lowered information asymmetry, etc.) are
created by digital markets. Go through each of the three types
of costs involved in any marketplace. Students may not be
familiar with these words, but they will be familiar with the
phenomenon. For instance, all students will recognize that it
takes time and money to go to a mall to find a shirt (this is
search cost). The same shirt can be bought on the Web today
with minimal search costs.
Information asymmetry: when one party in a transaction has
more information that is important for the transaction than the
other party.
Search costs: the effort to find suitable products.
Transaction costs: the cost of participating in a market.
Menu costs: merchants’ costs of changing prices.
Price discrimination: selling the same goods, or nearly the same
goods, to different targeted groups at different prices.
Dynamic pricing: the price of a product varies depending on the
demand characteristics of the customer or the supply situation
of the seller.
Disintermediation: the removal of organizations or business
process layers responsible for intermediary steps in a value
chain.
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The typical distribution channel has several intermediary layers,
each of which adds to the final cost of a product, such as a
sweater. Removing layers lowers the final cost to the consumer.
Figure 10-2
The Benefits of Disintermediation to the Consumer
This graphic illustrates how disintermediation reduces prices to
consumers. It also allows manufacturers to earn more profit for
the product by eliminating the middle man. Are middle men
really necessary? You should ask students who they think is a
“middle man.” Walmart is, for instance, a distributor and
retailer. Do they provide an important function? Why can’t
manufacturers just ignore Walmart and sell directly to the
customer? Even though market disintermediation sounds like a
good thing because costs and prices go down, for the most part
manufacturers kept their distribution partners and channels.
Walmart is still needed by manufacturers such as P&G to sell
soap.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Digital goodsGoods that can be delivered over a digital
networkFor example: music tracks, video, software, newspapers,
booksCost of producing first unit is almost entire cost of
productCosts of delivery over the Internet very lowMarketing
costs remain the same; pricing highly variableIndustries with
digital goods are undergoing revolutionary changes (publishers,
record labels, etc.)
Unique Features of E-commerce, Digital Markets, and Digital
Goods
This slide continues the discussion of key concepts in e-
commerce, looking at digital goods and how these compare with
traditional goods.
Ask students how their purchases of digital goods have changed
over the past five years. Are digital goods equal in value to
their traditional counterparts? What benefits and drawbacks do
they have? Music for instance used to be a physical product
(record or CD) not a digital product or digital service.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Three major types of e-commerceBusiness-to-consumer
(B2C)Example: BarnesandNoble.comBusiness-to-business
(B2B)Example: ChemConnectConsumer-to-consumer
(C2C)Example: eBayE-commerce can be categorized by
platformMobile commerce (m-commerce)
E-commerce Business and Revenue Models
This slide introduces the types of e-commerce. B2C, B2B, and
C2C e-commerce are categorized according to the nature of the
participants. M-commerce is a category based on the nature of
the connection to the Internet. Ask students to provide examples
of the different types of e-commerce listed here. Most students
will find it hard to come up with a B2B example. One place you
can visit on the Web is grainger.com, one of the largest B2B
marketplaces in the United States. Another is mcmaster.com,
and also elemica.com (chemical industry).
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E-commerce business modelsPortalE-tailerContent
providerTransaction brokerMarket creatorService
providerCommunity provider
E-commerce Business and Revenue Models
This slide continues the discussion of new Internet business
models. Ask students to give examples of these business
models. For each model, ask students about their experience, or
ask for examples for each model. Ask how these business
models create revenue. For instance:
Content provider revenue: access fees, advertising
Portal revenue: advertising
Service provider revenue: subscription fees, advertising
Community provider (could be Facebook) revenue: sales of
virtual goods, display ads
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Chapter 10: E-commerce: Digital Markets, Digital Goods
E-commerce revenue modelsAdvertising Sales
SubscriptionFree/FreemiumTransaction fee Affiliate
E-commerce Business and Revenue Models
This slide and the next several slides discuss new business
models that are enabled by the Internet and e-commerce.
Although many of the new business models are pure-play, some,
especially in the retail industry, are clicks-and-mortar.
Some of the new models take advantage of the Internet’s
communication capabilities, such as the social networking sites.
Ask students what other sites take advantage of the Internet’s
communication abilities.
Ask students to differentiate between banner ads and popup ads.
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Read the Interactive Session and discuss the following
questions
Interactive Session: Organizations
Analyze Pandora using the value chain and competitive forces
models. What competitive forces does the company have to deal
with? What is its customer value proposition?Explain how
Pandora’s “freemium” business model works. How does the
company generate revenue?Can Pandora succeed with its
“freemium” model? Why or why not? What people,
organization, and technology factors affect its success with this
business model?
Can Pandora Succeed with Freemium?
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Chapter 10: E-commerce: Digital Markets, Digital Goods
E-commerce marketingInternet provides new ways to identify
and communicate with customers.Long tail marketing: Ability
to reach a large audience inexpensivelyInternet advertising
formatsBehavioral targeting: Tracking online behavior of
individuals on thousands of Web sites and within appsPrivacy
concerns
How Has E-commerce Transformed Marketing?
Ask students to explain why marketers are looking to analyze
blog content, and content from chat rooms and message boards.
Have students describe and evaluate their experiences with
advertising on social networks, via e-mail and other online
formats.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
E-commerce Web sites have tools to track a shopper's every
step through an online store. Close examination of customer
behavior at a Web site selling women's clothing shows what the
store might learn at each step and what actions it could take to
increase sales.
Figure 10-3
Web Site Visitor Tracking
This graphic illustrates how clickstream tracking works and
what the store can tell about the activities of a shopper on their
Web site. Extensive metrics exist for various types of user
behavior, from the time spent on a Web page to the number of
products ordered and placed in a shopping cart but not
purchased.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Firms can create unique personalized Web pages that display
content or ads for products or services of special interest to
individual users, improving the customer experience and
creating additional value.
Figure 10-4
Web Site Personalization
This graphic illustrates some of the types of personalization that
clickstream tracking can make possible. Have students found
suggestions made by a Web site useful in their experience? You
can go to Amazon.com and illustrate how recommender systems
work. Search for a product, and then scroll to the bottom of the
page where Amazon’s recommender will tell you what other
people who looked at the current page actually bought. Netflix
is also an excellent site to demonstrate personalization.
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Advertising networks and their use of tracking programs have
become controversial among privacy advocates because of their
ability to track individual consumers across the Internet.
Figure 10-5
How an Advertising Network Works
What do students think (or do they think) about how advertising
networks follow them around the Internet? It’s actually quite
difficult for anyone to know when they are being tracked by a
network, and even more difficult to find out how the
information is being used?
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Chapter 10: E-commerce: Digital Markets, Digital Goods
Social e-commerce:Based on digital social graphFeatures of
social e-commerce driving its growthNewsfeedTimelinesSocial
sign-onCollaborative shoppingNetwork notificationSocial
search (recommendations)
E-commerce Business and Revenue Models
Ask your class who has a Facebook page. A forest of hands will
rise. How many have purchase something while on their
Facebook page, or clicks routinely on ads? Generally, people do
not go to Facebook to buy things and are not clicking on display
ads (less than 2 percent of users).
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Social media: Fastest growing media for branding and
marketingSocial network marketing: Seeks to leverage
individuals influence over others in social graphThe target is a
social network of people sharing interests and adviceFacebook’s
“Like button”Social networks have huge audiencesFacebook:
137 million U.S. visitors monthly
E-commerce Business and Revenue Models
Facebook and Google’s +1 social network are rapidly growing.
Facebook reached 800 million worldwide, with 200 million in
the United States. In the space of its first six months, LinkedIn
has 40 million monthly visitors.
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Social shopping sitesWisdom of crowds CrowdsourcingLarge
numbers of people can make better decisions about topics and
products than a single person.Prediction marketsPeer-to-peer
betting markets on specific outcomes (elections, sales figures,
designs for new products)
How Has E-commerce Transformed Marketing?
Most students will be well aware of social networking
technologies, but have they heard of prediction markets? Ask
them to investigate this further on their own time. How can
these techniques and phenomenon be used by business firms?
LinkedIn is the largest professional and business social network
that members often use to recruit employees and find jobs.
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B2B e-commerce U.S. B2B trade in 2014 is $13.8 trillionU.S.
B2B e-commerce in 2014 is $5.7 trillionProcurement requires
significant overhead costs, which Internet and networking helps
automateVariety of Internet-enabled technologies used in
B2BElectronic data interchange (EDI)Private industrial
networks (private exchanges)Net marketplacesExchanges
E-commerce and Business-to-Business Transactions
This slide looks at changes brought to B2B e-commerce by
Internet technologies. Note that the Internet and Web
technology enable businesses to create new electronic
storefronts for selling to other businesses with multimedia
graphic displays and interactive features similar to those for
B2C commerce. Alternatively, businesses can use Internet
technology to create extranets or electronic marketplaces for
linking to other businesses for purchase and sale transactions.
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Electronic data interchange (EDI)Computer-to-computer
exchange of standard transactions such as invoices, purchase
orders.Major industries have EDI standards that define structure
and information fields of electronic documents.More companies
are increasingly moving toward private networks that allow
them to link to a wider variety of firms than EDI allows and
share a wider range of information in a single system.
E-commerce and Business-to-Business Transactions
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Companies use EDI to automate transactions for B2B e-
commerce and continuous inventory replenishment. Suppliers
can automatically send data about shipments to purchasing
firms. The purchasing firms can use EDI to provide production
and inventory requirements and payment data to suppliers.
Figure 10-6
Electronic Data Interchange
This graphic illustrates how EDI is used by firms and their
suppliers to automate transactions for both B2B e-commerce
and continuous replenishment. EDI is still widely used but it
has limitations outlined in the book and is not designed for
supporting marketplace operations where you have hundreds of
vendors and buyers.
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Private industrial network (private exchange)Large firm using
extranet to link to its suppliers, distributors, and other key
business partnersOwned by buyerPermits sharing of:Product
design and developmentMarketingProduction scheduling and
inventory managementUnstructured communication (graphics
and e-mail)
E-commerce and Business-to-Business Transactions
This slide continues the discussion of ways the Internet and
Web technologies have changed B2B e-commerce. One way is
in using an extranet to link to the firm’s suppliers. The text
provides the example of VW Group Supply, which links the
Volkswagen Group and its suppliers. VW Group Supply handles
90 percent of all global purchasing for Volkswagen, including
all automotive and parts components.
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A private industrial network, also known as a private exchange,
links a firm to its suppliers, distributors, and other key business
partners for efficient supply chain management and other
collaborative commerce activities.
Figure 10-7
A Private Industrial Network
This graphic illustrates a private industrial network, and how it
can link to both suppliers and distributors. Private industrial
networks are owned by the company that uses and creates them.
They are “private” and you need to be asked to join.
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Net marketplaces (e-hubs)Single market for many buyers and
sellersIndustry-owned or owned by independent
intermediaryGenerate revenue from transaction fees, other
servicesUse prices established through negotiation, auction,
RFQs, or fixed pricesMay focus on direct or indirect goodsMay
be vertical or horizontal marketplaces
E-commerce and Business-to-Business Transactions
This slide continues the discussion of ways the Internet and
Web technologies have changed B2B e-commerce, in this case
by the ability to create Net marketplaces. Ask students to
distinguish between and provide examples of direct and indirect
goods. (Direct goods are goods used in a production process,
such as sheet steel for auto body production. Indirect goods are
all other goods not directly involved in the production process,
such as office supplies or products for maintenance and repair.)
Ask students to distinguish between vertical and horizontal
marketplaces.
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Net marketplaces are online marketplaces where multiple buyers
can purchase from multiple sellers.
Figure 10-8
A Net Marketplace
This graphic illustrates a net marketplace, and the functions that
it can provide to participants in managing their transactions.
The text provides the example of Exostar, an aerospace and
defense industry-sponsored Net marketplace that focuses on
long-term contract purchasing relationships and on providing
common networks and computing platforms for reducing supply
chain inefficiencies. More than 16,000 trading partners in the
commercial, military, and government sectors use Exostar’s
sourcing, e-procurement, and collaboration tools for both direct
and indirect goods.
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Exchanges
Independently owned third-party Net marketplaces
Connect thousands of suppliers and buyers for spot purchasing
Typically provide vertical markets for direct goods for single
industry (food, electronics)
Proliferated during early years of e-commerce; many have
failedCompetitive bidding drove prices down and did not offer
long-term relationships with buyers or services to make
lowering prices worthwhile.
E-commerce and Business-to-Business Transactions
This slide continues the discussion of ways the Internet and
Web technologies have changed B2B e-commerce, in this case
by the ability to create exchanges. The text provides the
example of GoToPaper which creates a spot market for paper
products in 75 countries.
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M-commerce In 2014 is 19 percent of all e-commerceFastest
growing form of e-commerceSome areas growing at 50 percent
or moreMain areas of growth (exclusive of location-based
services)Retail sales at top Mobile 400 (Amazon, eBay,
etc.)Sales of digital content (music, TV, etc.)
M-commerce and M-commerce Applications
This slide introduces m-commerce, the use of wireless mobile
devices for purchasing goods and services. Ask students what
applications and services they use with their cell phones. Have
any purchased games or entertainment, and from what
companies? Have any used OpenTable on a smartphone?
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Chapter 6: Foundations of Business Intelligence
10.*
Copyright © 2016 Pearson Education, Inc.
Management Information Systems
Chapter 10: E-commerce: Digital Markets, Digital Goods
Mobile e-commerce is the fastest growing type of B2C e-
commerce and represents about 19 percent of all e-
commerce in 2014.
Figure 10-9
Consolidated Mobile Commerce Revenues
This graph illustrates the surging growth of m-commerce sales
from today to 2018. In the early years prior to 2009, m-
commerce in the United States was very small and not growing
rapidly. Cell phones, especially smartphones, have changed
that. Have any of the students purchased something using their
cell phone or mobile laptop computer? How many students are
using a smartphone? How many have used a smartphone app to
compare prices while shopping at stores?
*
6.*
Copyright © 2013 Pearson Education, Inc. publishing a
Management Information Systems
Chapter 6: Foundations of Business Intelligence
10.*
Copyright © 2016 Pearson Education, Inc.
Management Information Systems
Chapter 10: E-commerce: Digital Markets, Digital Goods
Location-based servicesUsed by 74 percent of smartphone
ownersBased on GPS map servicesTypesGeosocial
servicesWhere friends are GeoadvertisingWhat shops are
nearbyGeoinformation servicesPrice of house you are passing
M-commerce and M-commerce Applications
M-commerce is especially well-suited for location-based
applications and services. Have any students used a location-
based service? A neat site to visit is http://www.wikitude.org/
and explore Wikitude.me, a geo-tagging service.
*
6.*
Copyright © 2013 Pearson Education, Inc. publishing a
Management Information Systems
Chapter 6: Foundations of Business Intelligence
10.*
Copyright © 2016 Pearson Education, Inc.
Management Information Systems
Chapter 10: E-commerce: Digital Markets, Digital Goods
Read the Interactive Session and discuss the following
questions
Interactive Session: Management
How important is mobile technology in Orbitz’s business
strategy? Why?What management, organization, and technology
issues did Orbitz need to address in its mobile strategy?Why are
mobile phone users much more likely to book same-day hotel
room or airline reservations?What role does Orbitz for Business
play in the company’s business strategy?How successful is
Orbitz’s mobile strategy? Explain your answer.
Will Mobile Technology Put Orbitz in the Lead?
*
6.*
Copyright © 2013 Pearson Education, Inc. publishing a
Management Information Systems
Chapter 6: Foundations of Business Intelligence
10.*
Copyright © 2016 Pearson Education, Inc.
Management Information Systems
Chapter 10: E-commerce: Digital Markets, Digital Goods
Other mobile commerce servicesBanks, credit card companies
provide account management apps Mobile display
advertisingiAd, AdMob, Millenial Media, FacebookAds
embedded in games, videos, and mobile apps55 percent of
online retailers have m-commerce Web sites
M-commerce and M-commerce Applications
6.*
Copyright © 2013 Pearson Education, Inc. publishing a
Management Information Systems
Chapter 6: Foundations of Business Intelligence
10.*
Copyright © 2016 Pearson Education, Inc.
Management Information Systems
Chapter 10: E-commerce: Digital Markets, Digital Goods
Most important management challengesDeveloping clear
understanding of business objectivesKnowing how to choose the
right technology to achieve those objectivesDevelop an e-
commerce presence mapFour areas: Web sites, e-mail, social
media, offline mediaDevelop a timeline: milestonesBreaking a
project into discrete phases
Building an E-commerce Presence
Building a Web site involves a number of considerations. If its
an e-commerce site, customer preferences should be the driving
force behind the design. What are customers looking for, how
can they find it on your site, and how easily can they purchase
on your site? How will you choose the technology? What about
your sites information policy? What’s that? If you don’t know,
your customers will surely expect you to know.
*
6.*
Copyright © 2013 Pearson Education, Inc. publishing a
Management Information Systems
Chapter 6: Foundations of Business Intelligence
10.*
Copyright © 2016 Pearson Education, Inc.
Management Information Systems
Chapter 10: E-commerce: Digital Markets, Digital Goods
Building an E-commerce Presence
Figure 10-10
E-commerce Presence Map
An e-commerce presence requires firms to consider the four
different types of presence, with specific platforms and
activities associated with each.
*
6.*
Copyright © 2013 Pearson Education, Inc. publishing a
Management Information Systems
Chapter 6: Foundations of Business Intelligence
10.*
Copyright © 2016 Pearson Education, Inc.
Management Information Systems
Chapter 10: E-commerce: Digital Markets, Digital Goods
E-commerce Presence Timeline
Building an E-commerce Presence
Table 10-8PhaseActivityMilestonePhase 1: PlanningEnvision
Web presence; determine personnelWeb mission statementPhase
2: Web site developmentAcquire content; develop a site design;
arrange for hosting the siteWeb site planPhase 3: Web
ImplementationDevelop keywords and metatags; focus on
search engine optimization; identify potential sponsorsA
functional Web sitePhase 4: Social media planIdentify
appropriate social platforms and content for your products and
servicesA social media planPhase 5: Social media
implementationDevelop Facebook, Twitter, and Pinterest
presenceFunctioning social media
presencePhase 6: Mobile planDevelop a mobile plan; consider
options for porting your Web site
to smartphonesA mobile media plan
*
6.*
Copyright © 2013 Pearson Education, Inc. publishing a
Management Information Systems
Chapter 6: Foundations of Business Intelligence
10.*
Copyright © 2016 Pearson Education, Inc.
Management Information Systems
Chapter 10: E-commerce: Digital Markets, Digital Goods
*
GCU College of Education
LESSON PLAN TEMPLATE
03/2014
Teacher Candidate:
Grade Level:
Date:
Unit/Subject:
Instructional Plan Title
Jacqueline Ephraim
7
112/03/2016
Persuasive Writing
Persuasive Writing (Commercial Advrtisement)
I. Planning
Lesson summary and focus:
The students will learn how to identify the strenghths and
weaknesses of a persuasive argument.
Classroom and student factors:
The students composing the class are Group 1 Dessie, Donnie,
and Emma. Dessie is White Donnie is African American, and
Emma is White. All students in this first group do not have a
IEP and thet are all at grade level. Group 2 conist of Aurturo,
Diana, and Wayne. Students in group 2 are all one year below
grade level. Arturo is Hispanic,Diana is white, and Wayne is
white. My last group of students group 3 are all above grade
level and it includes the following students Bertie is Asian,
Sharlne is white, and Stuart is Is white as well. The internet
connection level among all the groups are you have one student
out of all three groups who do not have internet access at home.
Since his reading is below grade level, Arturo may not
comprehend word questions, and this may affect his
performance during the lesson.
Bertie is female with good reading ability. Her performance in
reading is at one above grade level. Though parental
involvement is low, she has internet connection at home and
this may help with some online practice. Bertie may not get
much help at home since parental involvement is low. This may
mean that teaching in class should be appropriate and adequate.
Dessie is grade level and has parental involvement. Donnie has
internet access at home and parental involvement. Emma has
low parental involvement and has internet access at home.
Sherlene is above grade level and has some internet and some
parental involvement. Stuart is above grade level and has
pinternet at home. Wayne one year below grade level and has a
lot of parental involvement which means we have the parent
support and he has internet access.
National / State Learning Standards:
Student should be able to Support claim(s) with logical
reasoning and relevant, accurate data and evidence that
demonstrate an understanding of the topic or text, using
credible sources.
m(s) with logical reasoning and relevant, accurate data and
evidence that demonstrate an understanding of the topic or text,
using credible sources.
Students should be abke to use words, phrases, and clauses to
create cohesion and clarify the relationships among claim(s),
counterclaims, reasons, and evidence.
Specific learning target(s) / objectives:
Students should be able to discuss the concept and purpose of
persuasive writing. They should be able to identify that a
specific audience, a clear purpose, supporting reasons, and
persuasive word choices make for effective persuasive writing.
Teaching notes:
This lesson falls within the topic of acknowledging the issue
and identifying the argument in order to correctly write a
persuasive essay.
Agenda: : Ask students about the TV commercials and print
advertisements they have seen that are especially persuasive.
Ask: What aspect of each advertisement or commercial, such as
words or images, is most effective in persuading the audience?
Explain that each commercial or advertisement is targeted to a
specific audience. Distribute a variety of magazine
advertisements to the class geared toward preteens (e.g.,
advertisements for iPod, sneakers, clothing lines). Ask: Who is
the audience for these advertisements? What makes the
advertisement appealing or not appealing?
action where denominators are different.
Formative assessment:
Divide students into groups. Distribute colored markers and
poster paper to each. Have each group select one of the
advertisements they chose to critique. Explain to students that
they will create an advertisement for the same product, but it
should be targeted to a different audience.
Academic Language:
Key vocabulary:
The key terms are not included with lesson plan. Vocabolary
will vary by commercial chosen by students.
Function:
The language will enhance the use of reading skills and clarity
in communication while and viewing persuasive arguments.
Learners will show their understanding through identifying
negatve and positives for the argument.
Form:
Language and terms will be identified throughout the process.
Students will show that they have mastered how to successfully
write a persuasive essay.
Instructional Materials, Equipment and Technology:
Students will require a mathematics book while the teacher will
need white board, markers of different colors, e-beam, internet
among other relevant materials.
Grouping:
This lesson will require mixed ability grouping so that learners
whose performance in mathematics and reading is below grade
level may benefit from the others.
II. Instruction
A. Opening
Prior knowledge connection:
The prior knowledge required here is reading strategies and
effective writing.
Anticipatory set:
Students may effective writing and everyday resources to
ccommercials and everday current events.
B. Learning and Teaching Activities (Teaching and Guided
Practice):
I Do
Students Do
Differentiation
III. ASSESSMENT
Summative Assessment:
Learners will perform short tasks in class to measure their
understanding of the effective writing and reading strategies in
order to complete persuasive essay.
Differentiation:
For learners having challenges, they may use other resources
and medial tools such as a desktopcomputer,electronic books
(IES, 2016).
Closure:
Students may share knowledge learned in their groups by
assisting each other with quick explanations. Questions for
closure may include difficulties encountered, and whether they
enjoyed the lesson. The concept learned may be tranferred to
areas of real life problems like sharing of items, and planning
with even advertsements.
Homework:
The home given will concentrate on short essays and writing
skills.There will also be multiple choice testing the same
concepts. This homework is skill-based practice that will help
learners remember and practice skills learned in class.
References
IES. (2016). IES PRACTICE GUIDE READING. Retrieved
from
http://ies.ed.gov/ncee/wwc/product#/FWWFilterId:1,ContentTyp
eId:3,SortBy:RevisedDate,
SetNumber:1.
West Virginia Department of Education. (2016). Formative
assessment. Retrieved from
https://wvde.state.wv.us/teach21/ExamplesofFormativeAssessm
ent.html.
Page 1 of 4
6.*
Copyright © 2014 Pearson Education, Inc. publishing as
Prentice Hall
Achieving Operational Excellence and Customer Intimacy:
Enterprise Applications
Chapter 9
Video Cases
Video Case 1a: What Is Workday: Enterprise Software as a
Service (Saas)
Video Case 1b: Workday: Mobile
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6.Copyright © 2014 Pearson Education, Inc. publishing as .docx

  • 1. 6.* Copyright © 2014 Pearson Education, Inc. publishing as Prentice Hall E-commerce: Digital Markets, Digital Goods Chapter 10 Video Cases Video Case 1: Deals Galore at Groupon Video Case 2: Etsy: A Marketplace and Community Video Case 3: Ford Manufacturing Supply Chain: B2B Marketplace * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods What are the unique features of e-commerce, digital markets, and digital goods?What are the principal e-commerce business and revenue models?How has e-commerce transformed marketing?How has e-commerce affected business-to-business transactions?What is the role of m-commerce in business and
  • 2. what are the most important m-commerce applications?What issues must be addressed when building an e- commerce presence? LEARNING OBJECTIVES Students are participants in e-commerce and they love to talk about their experiences. You can start the conversation by asking if any in the class purchased something today or yesterday online. Draw students out to talk about their good and bad e-commerce experiences. How many have used their cell phones to search for products, or purchase products? * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Problem: How to derive profits from large and desirable user base Solution : Enable businesses to promote brand awareness and refer back to
  • 3. retail sites for purchasing “Promoted pins”: Paid advertising with fees charged if user clicks through to firm’s Web siteDemonstrates use of social networking technologies in generating new business models Pinterest: How Much Is a Picture Worth? * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems
  • 4. Chapter 10: E-commerce: Digital Markets, Digital Goods E-commerce: Use of the Internet and Web to transact business.Began in 1995 and grew exponentially; still stable even in a recession.Companies that survived the dot-com bubble now thrive.The new e-commerce: social, mobile, local Unique Features of E-commerce, Digital Markets, and Digital Goods This slide discusses what e-commerce is, and what the state of e-commerce is today. The text states that e-commerce history mirrors those of other technology innovations. What other innovations is e-commerce similar to? Students probably will not know about the early days of radio and TV, but perhaps they will remember cassette music, VHS video tapes, and even CDs and DVDs which, though still with us, are definitely declining in sales. The book discusses new trends in e-commerce. Ask the students to work with you to list some of these new trends in e- commerce. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems
  • 5. Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Retail e-commerce revenues grew 15–25 percent per year until the recession of 2008–2009, when they slowed measurably. In 2014, e-commerce revenues are growing again at an estimated 12 percent annually. Figure 10-1 The Growth of E-commerce This graphic illustrates the continuing growth of e-commerce. The growth of e-commerce revenues grew 15 percent to 25 percent a year until the recession of 2008–2009, when they slowed measurably to a small positive number around 3 percent in 2009. This was much better than traditional retail commerce which actually shrank in this recession. E-commerce began growing again after 2009 at more than 10 percent, several times the growth of all retail sales. *
  • 6. 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Eight unique features of Internet and Web as commercial mediumUbiquity Global reachUniversal standardsRichnessInteractivityInformation densityPersonalization/customizationSocial technology Unique Features of E-commerce, Digital Markets, and Digital Goods This slide introduces the unique features of the Internet. These features explain why e-commerce has grown so quickly— because of the unique nature of the Internet and e-commerce, which are richer and more powerful than previous technology revolutions such as radio and TV. *
  • 7. 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Ubiquity Internet/Web technology available everywhere: work, home, and so on, anytime Effect: Marketplace removed from temporal, geographic locations to become “marketspace”Enhanced customer convenience and reduced shopping costsReduces transaction costsCosts of participating in market Unique Features of E-commerce, Digital Markets, and Digital Goods Ask students to provide real-life examples of these effects, for example: Ubiquity—being able to surf the Web on your mobile device while riding a bus or train. *
  • 8. 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Global reach The technology reaches across national boundaries, around Earth Effect: Commerce enabled across cultural and national boundaries seamlessly and without modification.Marketspace includes, potentially, billions of consumers and millions of businesses worldwide. Unique Features of E-commerce, Digital Markets, and Digital Goods Ask students to provide real-life examples of these effects, for example: Global reach—being able to buy products from another country. *
  • 9. 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Universal standardsOne set of technology standards: Internet standardsEffect: Disparate computer systems easily communicate with one anotherLower market entry costs—costs merchants must pay to bring goods to marketLower consumers’ search costs—effort required to find suitable products Unique Features of E-commerce, Digital Markets, and Digital Goods Ask students to provide real-life examples of these effects, for example: Universal standards—being able to exchange files with someone else. *
  • 10. 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods RichnessSupports video, audio, and text messagesEffect: Possible to deliver rich messages with text, audio, and video simultaneously to large numbers of people.Video, audio, and text marketing messages can be integrated into single marketing message and consumer experience. Unique Features of E-commerce, Digital Markets, and Digital Goods Ask students to provide real-life examples of these effects, for example: Richness—YouTube. * 6.*
  • 11. Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods InteractivityThe technology works through interaction with the user.Effect: Consumers engaged in dialog that dynamically adjusts experience to the individual.Consumer becomes co- participant in process of delivering goods to market. Unique Features of E-commerce, Digital Markets, and Digital Goods Ask students to provide real-life examples of these effects, for example: Interactivity—using a chat window to interact with technical support at a merchant’s Web site. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence
  • 12. 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Information densityLarge increases in information density—the total amount and quality of information available to all market participantsEffect:Greater price transparencyGreater cost transparencyEnables merchants to engage in price discrimination Unique Features of E-commerce, Digital Markets, and Digital Goods Ask students to provide real-life examples of these effects, for example: Information density—being able to find hundreds of prices for the same product online from different merchants. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc.
  • 13. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Personalization/CustomizationTechnology permits modification of messages, goodsEffect:Personalized messages can be sent to individuals as well as groups.Products and services can be customized to individual preferences. Unique Features of E-commerce, Digital Markets, and Digital Goods Ask students to provide real-life examples of these effects, for example: Personalization—Web site that adjusts to your preferences, such as Amazon. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Social technologyThe technology promotes user content
  • 14. generation and social networking Effect:New Internet social and business models enable user content creation and distribution, support social networksMany-to-many model Unique Features of E-commerce, Digital Markets, and Digital Goods Ask students to provide real-life examples of these effects, for example: Social technology—uploading videos to YouTube. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Effect of the Internet on the marketplace:Reduces information asymmetryOffers greater flexibility and efficiency because of:Reduced search costs and transaction costsLower menu costsGreater price discriminationDynamic pricingMay reduce or increase switching costsMay delay gratification: effects
  • 15. dependent on productIncreased market segmentationStronger network effectsMore disintermediation Unique Features of E-commerce, Digital Markets, and Digital Goods This slide introduces digital markets and discusses the effects of digital markets on the ways companies conduct business. Ask students to define the terms listed here, and also to explain how each of these effects (lowered information asymmetry, etc.) are created by digital markets. Go through each of the three types of costs involved in any marketplace. Students may not be familiar with these words, but they will be familiar with the phenomenon. For instance, all students will recognize that it takes time and money to go to a mall to find a shirt (this is search cost). The same shirt can be bought on the Web today with minimal search costs. Information asymmetry: when one party in a transaction has more information that is important for the transaction than the other party. Search costs: the effort to find suitable products. Transaction costs: the cost of participating in a market. Menu costs: merchants’ costs of changing prices. Price discrimination: selling the same goods, or nearly the same
  • 16. goods, to different targeted groups at different prices. Dynamic pricing: the price of a product varies depending on the demand characteristics of the customer or the supply situation of the seller. Disintermediation: the removal of organizations or business process layers responsible for intermediary steps in a value chain. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods The typical distribution channel has several intermediary layers, each of which adds to the final cost of a product, such as a sweater. Removing layers lowers the final cost to the consumer. Figure 10-2 The Benefits of Disintermediation to the Consumer
  • 17. This graphic illustrates how disintermediation reduces prices to consumers. It also allows manufacturers to earn more profit for the product by eliminating the middle man. Are middle men really necessary? You should ask students who they think is a “middle man.” Walmart is, for instance, a distributor and retailer. Do they provide an important function? Why can’t manufacturers just ignore Walmart and sell directly to the customer? Even though market disintermediation sounds like a good thing because costs and prices go down, for the most part manufacturers kept their distribution partners and channels. Walmart is still needed by manufacturers such as P&G to sell soap. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Digital goodsGoods that can be delivered over a digital
  • 18. networkFor example: music tracks, video, software, newspapers, booksCost of producing first unit is almost entire cost of productCosts of delivery over the Internet very lowMarketing costs remain the same; pricing highly variableIndustries with digital goods are undergoing revolutionary changes (publishers, record labels, etc.) Unique Features of E-commerce, Digital Markets, and Digital Goods This slide continues the discussion of key concepts in e- commerce, looking at digital goods and how these compare with traditional goods. Ask students how their purchases of digital goods have changed over the past five years. Are digital goods equal in value to their traditional counterparts? What benefits and drawbacks do they have? Music for instance used to be a physical product (record or CD) not a digital product or digital service. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems
  • 19. Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Three major types of e-commerceBusiness-to-consumer (B2C)Example: BarnesandNoble.comBusiness-to-business (B2B)Example: ChemConnectConsumer-to-consumer (C2C)Example: eBayE-commerce can be categorized by platformMobile commerce (m-commerce) E-commerce Business and Revenue Models This slide introduces the types of e-commerce. B2C, B2B, and C2C e-commerce are categorized according to the nature of the participants. M-commerce is a category based on the nature of the connection to the Internet. Ask students to provide examples of the different types of e-commerce listed here. Most students will find it hard to come up with a B2B example. One place you can visit on the Web is grainger.com, one of the largest B2B marketplaces in the United States. Another is mcmaster.com, and also elemica.com (chemical industry). *
  • 20. 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods E-commerce business modelsPortalE-tailerContent providerTransaction brokerMarket creatorService providerCommunity provider E-commerce Business and Revenue Models This slide continues the discussion of new Internet business models. Ask students to give examples of these business models. For each model, ask students about their experience, or ask for examples for each model. Ask how these business models create revenue. For instance: Content provider revenue: access fees, advertising Portal revenue: advertising Service provider revenue: subscription fees, advertising Community provider (could be Facebook) revenue: sales of virtual goods, display ads
  • 21. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods E-commerce revenue modelsAdvertising Sales SubscriptionFree/FreemiumTransaction fee Affiliate E-commerce Business and Revenue Models This slide and the next several slides discuss new business models that are enabled by the Internet and e-commerce. Although many of the new business models are pure-play, some, especially in the retail industry, are clicks-and-mortar. Some of the new models take advantage of the Internet’s communication capabilities, such as the social networking sites.
  • 22. Ask students what other sites take advantage of the Internet’s communication abilities. Ask students to differentiate between banner ads and popup ads. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Read the Interactive Session and discuss the following questions Interactive Session: Organizations Analyze Pandora using the value chain and competitive forces models. What competitive forces does the company have to deal with? What is its customer value proposition?Explain how Pandora’s “freemium” business model works. How does the company generate revenue?Can Pandora succeed with its “freemium” model? Why or why not? What people, organization, and technology factors affect its success with this
  • 23. business model? Can Pandora Succeed with Freemium? * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods E-commerce marketingInternet provides new ways to identify and communicate with customers.Long tail marketing: Ability to reach a large audience inexpensivelyInternet advertising formatsBehavioral targeting: Tracking online behavior of individuals on thousands of Web sites and within appsPrivacy concerns How Has E-commerce Transformed Marketing?
  • 24. Ask students to explain why marketers are looking to analyze blog content, and content from chat rooms and message boards. Have students describe and evaluate their experiences with advertising on social networks, via e-mail and other online formats. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods E-commerce Web sites have tools to track a shopper's every step through an online store. Close examination of customer behavior at a Web site selling women's clothing shows what the store might learn at each step and what actions it could take to increase sales. Figure 10-3 Web Site Visitor Tracking
  • 25. This graphic illustrates how clickstream tracking works and what the store can tell about the activities of a shopper on their Web site. Extensive metrics exist for various types of user behavior, from the time spent on a Web page to the number of products ordered and placed in a shopping cart but not purchased. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Firms can create unique personalized Web pages that display content or ads for products or services of special interest to individual users, improving the customer experience and creating additional value. Figure 10-4 Web Site Personalization
  • 26. This graphic illustrates some of the types of personalization that clickstream tracking can make possible. Have students found suggestions made by a Web site useful in their experience? You can go to Amazon.com and illustrate how recommender systems work. Search for a product, and then scroll to the bottom of the page where Amazon’s recommender will tell you what other people who looked at the current page actually bought. Netflix is also an excellent site to demonstrate personalization. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Advertising networks and their use of tracking programs have
  • 27. become controversial among privacy advocates because of their ability to track individual consumers across the Internet. Figure 10-5 How an Advertising Network Works What do students think (or do they think) about how advertising networks follow them around the Internet? It’s actually quite difficult for anyone to know when they are being tracked by a network, and even more difficult to find out how the information is being used? * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Social e-commerce:Based on digital social graphFeatures of social e-commerce driving its growthNewsfeedTimelinesSocial sign-onCollaborative shoppingNetwork notificationSocial
  • 28. search (recommendations) E-commerce Business and Revenue Models Ask your class who has a Facebook page. A forest of hands will rise. How many have purchase something while on their Facebook page, or clicks routinely on ads? Generally, people do not go to Facebook to buy things and are not clicking on display ads (less than 2 percent of users). * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Social media: Fastest growing media for branding and marketingSocial network marketing: Seeks to leverage individuals influence over others in social graphThe target is a social network of people sharing interests and adviceFacebook’s
  • 29. “Like button”Social networks have huge audiencesFacebook: 137 million U.S. visitors monthly E-commerce Business and Revenue Models Facebook and Google’s +1 social network are rapidly growing. Facebook reached 800 million worldwide, with 200 million in the United States. In the space of its first six months, LinkedIn has 40 million monthly visitors. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Social shopping sitesWisdom of crowds CrowdsourcingLarge numbers of people can make better decisions about topics and products than a single person.Prediction marketsPeer-to-peer betting markets on specific outcomes (elections, sales figures,
  • 30. designs for new products) How Has E-commerce Transformed Marketing? Most students will be well aware of social networking technologies, but have they heard of prediction markets? Ask them to investigate this further on their own time. How can these techniques and phenomenon be used by business firms? LinkedIn is the largest professional and business social network that members often use to recruit employees and find jobs. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods B2B e-commerce U.S. B2B trade in 2014 is $13.8 trillionU.S. B2B e-commerce in 2014 is $5.7 trillionProcurement requires significant overhead costs, which Internet and networking helps automateVariety of Internet-enabled technologies used in
  • 31. B2BElectronic data interchange (EDI)Private industrial networks (private exchanges)Net marketplacesExchanges E-commerce and Business-to-Business Transactions This slide looks at changes brought to B2B e-commerce by Internet technologies. Note that the Internet and Web technology enable businesses to create new electronic storefronts for selling to other businesses with multimedia graphic displays and interactive features similar to those for B2C commerce. Alternatively, businesses can use Internet technology to create extranets or electronic marketplaces for linking to other businesses for purchase and sale transactions. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Electronic data interchange (EDI)Computer-to-computer
  • 32. exchange of standard transactions such as invoices, purchase orders.Major industries have EDI standards that define structure and information fields of electronic documents.More companies are increasingly moving toward private networks that allow them to link to a wider variety of firms than EDI allows and share a wider range of information in a single system. E-commerce and Business-to-Business Transactions * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Companies use EDI to automate transactions for B2B e- commerce and continuous inventory replenishment. Suppliers can automatically send data about shipments to purchasing
  • 33. firms. The purchasing firms can use EDI to provide production and inventory requirements and payment data to suppliers. Figure 10-6 Electronic Data Interchange This graphic illustrates how EDI is used by firms and their suppliers to automate transactions for both B2B e-commerce and continuous replenishment. EDI is still widely used but it has limitations outlined in the book and is not designed for supporting marketplace operations where you have hundreds of vendors and buyers. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Private industrial network (private exchange)Large firm using extranet to link to its suppliers, distributors, and other key
  • 34. business partnersOwned by buyerPermits sharing of:Product design and developmentMarketingProduction scheduling and inventory managementUnstructured communication (graphics and e-mail) E-commerce and Business-to-Business Transactions This slide continues the discussion of ways the Internet and Web technologies have changed B2B e-commerce. One way is in using an extranet to link to the firm’s suppliers. The text provides the example of VW Group Supply, which links the Volkswagen Group and its suppliers. VW Group Supply handles 90 percent of all global purchasing for Volkswagen, including all automotive and parts components. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems
  • 35. Chapter 10: E-commerce: Digital Markets, Digital Goods A private industrial network, also known as a private exchange, links a firm to its suppliers, distributors, and other key business partners for efficient supply chain management and other collaborative commerce activities. Figure 10-7 A Private Industrial Network This graphic illustrates a private industrial network, and how it can link to both suppliers and distributors. Private industrial networks are owned by the company that uses and creates them. They are “private” and you need to be asked to join. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods
  • 36. Net marketplaces (e-hubs)Single market for many buyers and sellersIndustry-owned or owned by independent intermediaryGenerate revenue from transaction fees, other servicesUse prices established through negotiation, auction, RFQs, or fixed pricesMay focus on direct or indirect goodsMay be vertical or horizontal marketplaces E-commerce and Business-to-Business Transactions This slide continues the discussion of ways the Internet and Web technologies have changed B2B e-commerce, in this case by the ability to create Net marketplaces. Ask students to distinguish between and provide examples of direct and indirect goods. (Direct goods are goods used in a production process, such as sheet steel for auto body production. Indirect goods are all other goods not directly involved in the production process, such as office supplies or products for maintenance and repair.) Ask students to distinguish between vertical and horizontal marketplaces. * 6.*
  • 37. Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Net marketplaces are online marketplaces where multiple buyers can purchase from multiple sellers. Figure 10-8 A Net Marketplace This graphic illustrates a net marketplace, and the functions that it can provide to participants in managing their transactions. The text provides the example of Exostar, an aerospace and defense industry-sponsored Net marketplace that focuses on long-term contract purchasing relationships and on providing common networks and computing platforms for reducing supply chain inefficiencies. More than 16,000 trading partners in the commercial, military, and government sectors use Exostar’s sourcing, e-procurement, and collaboration tools for both direct and indirect goods. *
  • 38. 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Exchanges Independently owned third-party Net marketplaces Connect thousands of suppliers and buyers for spot purchasing Typically provide vertical markets for direct goods for single industry (food, electronics) Proliferated during early years of e-commerce; many have failedCompetitive bidding drove prices down and did not offer long-term relationships with buyers or services to make lowering prices worthwhile. E-commerce and Business-to-Business Transactions This slide continues the discussion of ways the Internet and Web technologies have changed B2B e-commerce, in this case
  • 39. by the ability to create exchanges. The text provides the example of GoToPaper which creates a spot market for paper products in 75 countries. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods M-commerce In 2014 is 19 percent of all e-commerceFastest growing form of e-commerceSome areas growing at 50 percent or moreMain areas of growth (exclusive of location-based services)Retail sales at top Mobile 400 (Amazon, eBay, etc.)Sales of digital content (music, TV, etc.) M-commerce and M-commerce Applications This slide introduces m-commerce, the use of wireless mobile devices for purchasing goods and services. Ask students what applications and services they use with their cell phones. Have
  • 40. any purchased games or entertainment, and from what companies? Have any used OpenTable on a smartphone? * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Mobile e-commerce is the fastest growing type of B2C e- commerce and represents about 19 percent of all e- commerce in 2014. Figure 10-9 Consolidated Mobile Commerce Revenues This graph illustrates the surging growth of m-commerce sales from today to 2018. In the early years prior to 2009, m- commerce in the United States was very small and not growing rapidly. Cell phones, especially smartphones, have changed
  • 41. that. Have any of the students purchased something using their cell phone or mobile laptop computer? How many students are using a smartphone? How many have used a smartphone app to compare prices while shopping at stores? * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Location-based servicesUsed by 74 percent of smartphone ownersBased on GPS map servicesTypesGeosocial servicesWhere friends are GeoadvertisingWhat shops are nearbyGeoinformation servicesPrice of house you are passing M-commerce and M-commerce Applications M-commerce is especially well-suited for location-based applications and services. Have any students used a location-
  • 42. based service? A neat site to visit is http://www.wikitude.org/ and explore Wikitude.me, a geo-tagging service. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Read the Interactive Session and discuss the following questions Interactive Session: Management How important is mobile technology in Orbitz’s business strategy? Why?What management, organization, and technology issues did Orbitz need to address in its mobile strategy?Why are mobile phone users much more likely to book same-day hotel room or airline reservations?What role does Orbitz for Business play in the company’s business strategy?How successful is Orbitz’s mobile strategy? Explain your answer. Will Mobile Technology Put Orbitz in the Lead?
  • 43. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Other mobile commerce servicesBanks, credit card companies provide account management apps Mobile display advertisingiAd, AdMob, Millenial Media, FacebookAds embedded in games, videos, and mobile apps55 percent of online retailers have m-commerce Web sites M-commerce and M-commerce Applications
  • 44. 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Most important management challengesDeveloping clear understanding of business objectivesKnowing how to choose the right technology to achieve those objectivesDevelop an e- commerce presence mapFour areas: Web sites, e-mail, social media, offline mediaDevelop a timeline: milestonesBreaking a project into discrete phases Building an E-commerce Presence Building a Web site involves a number of considerations. If its an e-commerce site, customer preferences should be the driving force behind the design. What are customers looking for, how can they find it on your site, and how easily can they purchase on your site? How will you choose the technology? What about your sites information policy? What’s that? If you don’t know, your customers will surely expect you to know.
  • 45. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods Building an E-commerce Presence Figure 10-10 E-commerce Presence Map An e-commerce presence requires firms to consider the four different types of presence, with specific platforms and activities associated with each. * 6.*
  • 46. Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods E-commerce Presence Timeline Building an E-commerce Presence Table 10-8PhaseActivityMilestonePhase 1: PlanningEnvision Web presence; determine personnelWeb mission statementPhase 2: Web site developmentAcquire content; develop a site design; arrange for hosting the siteWeb site planPhase 3: Web ImplementationDevelop keywords and metatags; focus on search engine optimization; identify potential sponsorsA functional Web sitePhase 4: Social media planIdentify appropriate social platforms and content for your products and servicesA social media planPhase 5: Social media implementationDevelop Facebook, Twitter, and Pinterest presenceFunctioning social media presencePhase 6: Mobile planDevelop a mobile plan; consider options for porting your Web site to smartphonesA mobile media plan
  • 47. * 6.* Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.* Copyright © 2016 Pearson Education, Inc. Management Information Systems
  • 48. Chapter 10: E-commerce: Digital Markets, Digital Goods * GCU College of Education LESSON PLAN TEMPLATE 03/2014 Teacher Candidate: Grade Level: Date: Unit/Subject: Instructional Plan Title Jacqueline Ephraim 7 112/03/2016
  • 49. Persuasive Writing Persuasive Writing (Commercial Advrtisement) I. Planning Lesson summary and focus: The students will learn how to identify the strenghths and weaknesses of a persuasive argument. Classroom and student factors: The students composing the class are Group 1 Dessie, Donnie, and Emma. Dessie is White Donnie is African American, and Emma is White. All students in this first group do not have a IEP and thet are all at grade level. Group 2 conist of Aurturo, Diana, and Wayne. Students in group 2 are all one year below grade level. Arturo is Hispanic,Diana is white, and Wayne is white. My last group of students group 3 are all above grade level and it includes the following students Bertie is Asian, Sharlne is white, and Stuart is Is white as well. The internet connection level among all the groups are you have one student out of all three groups who do not have internet access at home. Since his reading is below grade level, Arturo may not comprehend word questions, and this may affect his performance during the lesson.
  • 50. Bertie is female with good reading ability. Her performance in reading is at one above grade level. Though parental involvement is low, she has internet connection at home and this may help with some online practice. Bertie may not get much help at home since parental involvement is low. This may mean that teaching in class should be appropriate and adequate. Dessie is grade level and has parental involvement. Donnie has internet access at home and parental involvement. Emma has low parental involvement and has internet access at home. Sherlene is above grade level and has some internet and some parental involvement. Stuart is above grade level and has pinternet at home. Wayne one year below grade level and has a lot of parental involvement which means we have the parent support and he has internet access. National / State Learning Standards: Student should be able to Support claim(s) with logical reasoning and relevant, accurate data and evidence that demonstrate an understanding of the topic or text, using credible sources. m(s) with logical reasoning and relevant, accurate data and evidence that demonstrate an understanding of the topic or text,
  • 51. using credible sources. Students should be abke to use words, phrases, and clauses to create cohesion and clarify the relationships among claim(s), counterclaims, reasons, and evidence. Specific learning target(s) / objectives: Students should be able to discuss the concept and purpose of persuasive writing. They should be able to identify that a specific audience, a clear purpose, supporting reasons, and persuasive word choices make for effective persuasive writing. Teaching notes: This lesson falls within the topic of acknowledging the issue and identifying the argument in order to correctly write a persuasive essay. Agenda: : Ask students about the TV commercials and print advertisements they have seen that are especially persuasive. Ask: What aspect of each advertisement or commercial, such as words or images, is most effective in persuading the audience? Explain that each commercial or advertisement is targeted to a specific audience. Distribute a variety of magazine advertisements to the class geared toward preteens (e.g., advertisements for iPod, sneakers, clothing lines). Ask: Who is the audience for these advertisements? What makes the
  • 52. advertisement appealing or not appealing? action where denominators are different. Formative assessment: Divide students into groups. Distribute colored markers and poster paper to each. Have each group select one of the advertisements they chose to critique. Explain to students that they will create an advertisement for the same product, but it should be targeted to a different audience. Academic Language: Key vocabulary: The key terms are not included with lesson plan. Vocabolary will vary by commercial chosen by students. Function: The language will enhance the use of reading skills and clarity in communication while and viewing persuasive arguments. Learners will show their understanding through identifying negatve and positives for the argument. Form: Language and terms will be identified throughout the process. Students will show that they have mastered how to successfully write a persuasive essay. Instructional Materials, Equipment and Technology:
  • 53. Students will require a mathematics book while the teacher will need white board, markers of different colors, e-beam, internet among other relevant materials. Grouping: This lesson will require mixed ability grouping so that learners whose performance in mathematics and reading is below grade level may benefit from the others. II. Instruction A. Opening Prior knowledge connection: The prior knowledge required here is reading strategies and effective writing. Anticipatory set: Students may effective writing and everyday resources to ccommercials and everday current events. B. Learning and Teaching Activities (Teaching and Guided Practice): I Do Students Do Differentiation III. ASSESSMENT Summative Assessment: Learners will perform short tasks in class to measure their understanding of the effective writing and reading strategies in
  • 54. order to complete persuasive essay. Differentiation: For learners having challenges, they may use other resources and medial tools such as a desktopcomputer,electronic books (IES, 2016). Closure: Students may share knowledge learned in their groups by assisting each other with quick explanations. Questions for closure may include difficulties encountered, and whether they enjoyed the lesson. The concept learned may be tranferred to areas of real life problems like sharing of items, and planning with even advertsements. Homework: The home given will concentrate on short essays and writing skills.There will also be multiple choice testing the same concepts. This homework is skill-based practice that will help learners remember and practice skills learned in class. References IES. (2016). IES PRACTICE GUIDE READING. Retrieved from http://ies.ed.gov/ncee/wwc/product#/FWWFilterId:1,ContentTyp eId:3,SortBy:RevisedDate,
  • 55. SetNumber:1. West Virginia Department of Education. (2016). Formative assessment. Retrieved from https://wvde.state.wv.us/teach21/ExamplesofFormativeAssessm ent.html. Page 1 of 4 6.* Copyright © 2014 Pearson Education, Inc. publishing as Prentice Hall Achieving Operational Excellence and Customer Intimacy: Enterprise Applications Chapter 9 Video Cases Video Case 1a: What Is Workday: Enterprise Software as a Service (Saas) Video Case 1b: Workday: Mobile