E-Business management

Introduction of E-Commerce:

E-business is the application of Information and Communication Technologies (ICT) in

support of all the activities of business.

Commerce constitutes the exchange of products and services between businesses, groups and
individuals and can be seen as one of the essential activities of any business.

The term "E-Business" was coined by IBM's marketing and Internet teams in 1996.

E-business includes E-Commerce, but also covers internal processes such as production,
inventory management, product development, risk management, finance, knowledge
management and human resources. E-business strategy is more complex, more focused on
internal processes, and aimed at cost savings and improvements in efficiency, productivity
and cost savings.

Meaning of E-Business:

E-Business is the conduct of business on the Internet, not only buying and selling,
but also servicing the customers and collaborating with the business partners. E-
Business includes customer service (e-service) and intra-business tasks.

Example of E-Business:

• An online system that tracks the inventory and triggers alerts at specific levels is
E-Business Inventory Management is a business process. When it is facilitated
electronically, it becomes part of E-Business.

• An online induction program for new employees automates part or whole of its offline
counterpart.

Meaning of E-Commerce:

(a) E-Commerce is defined as those commercial transactions carried out using the
electronic means, in which goods or services are delivered either electronically or in
their tangible or intangible form.

Examples of E-Commerce: (a) Online shopping: Buying and selling goods on the
internet is one of the most popular examples of E-Commerce.
(b) Electronic payments: When we are buying goods online, there needs to be a
mechanism to pay online too. That is where the payment processors and
payment gateways come into the picture. Electronic payments reduce the
inefficiency associated with writing the Cheque books. It also does away with
many of the safety issues that arise due to the payments made in currency
notes.

Difference between E-business and E-commerce

E-business E-commerce
E-business is the superset of the E- E-commerce is the subset of the E-business
commerce
It includes all kind of pre-sale and post- E-commerce just involves buying and
sales efforts or activities selling of products and services
E-business covers internal processes such E-commerce covers outward facing
as production, inventory management, processes that touch customers, suppliers
product development, risk management and and external partners
finance etc.
E-business involves the use of CRM’s and E-commerce usually requires the use of just
ERP’s that connect different business Websites and Mobile Application.
processes

Nature of E-commerce:

Economic activities

Exchange of goods and services

Earn motive

Creation of utility (place and Time utility)

Regularity of transaction
 Benefit of E-commerce to business

It helps reach global

Assessing for requirements for online business design

Steps:-

1) Create a map for scenarios for aligning business strategy and internet initiatives in the
future.
2) Communicate a vision from top management to drive internet initiative.
3) Indentify and transform key value constellations, specifically what what business core
practices and processes the internet. This step identifies possible opportunities.
4) Develop a portfolio of electronic commercrinitiatives your company what to pursue.
5) Develop year by year objectives and plans for chosen initiatives, including
measurement of effectiveness and their effect on the business.
6) Implement the change.
7) Monitor the overall plan, lessons, adjust and improve.

Competitive intelligence over internet

For gaining competitive intelligence over internet you can

 Review competitor’s websites

 Analyse related newsgroups
 Examining publicly available financial documents
 You can give prizes
 Use an information delivery services
 Use research companies
 Solicit opinions in a chat room electronic commerce opportunities and application:

First you have to understand:

How to digital market operate

How internet customer behaves

How competition is created and what infrastructure is needed

What are the dynamics of electronic commerce.

Then map opportunities that match current competencies and markets.

Match making- matching buyer’s needs from seller without prior knowledge of either one.

Aggregation of services- combines several existing services to create a new service.

Bid/ask engine- creates a demand/supply floating pricing system.

Notification services- tells you when the service become available, or when it become
cheaper.

Smart needs adviser- if you want then you should..

Negotiation- price, quantity, or features are negotiated.

Up sell- suggests an additional product or service.

Consultative adviser- provides tips on using the product.