E-Business, E-Commerce and Information Systems - Coursework Example

E-Business, E-Commerce and Information Systems [Your Name] [Name of the institution] [Date] Contents Contents 2 1.0.Executive Summary 3 2.0.Introduction 3 3.0.Definition 4 4.0.Types of E-Commerce and E-Business 4 4.1.Business to Business (B2B) 4 4.2.Business to Consumer (B2C) 5 4.3.Business to Government (B2G) 5 4.4.Consumer to Business (C2B) 5 4.5.Consumer to Consumer (C2C) 5 4.6.Consumer to Government (C2G) 6 5.0.Advantages of using E-Business and E-Commerce 6 6.0.Disadvantages of using E-Business and E-Commerce 6 7.0.Benefits of E-Commerce, E-Business to the Organization and Consumers 7 8.0.Companies using E-Commerce and E-Business 7 9.0.Conclusion and Recommendation 8 References 9 E-BUSINESS, E-COMMERCE AND INFORMATION SYSTEM 1.0. Executive Summary The purpose of this report is about e-business, e-commerce and information systems. The report explains all about e-business and e-commerce and how they are influencing the trends of today businesses. E-business is becoming extremely popular in all types of businesses because of its advantages and benefits as compared to the physical stores. With the ever growing technology especially, the Internet conducting e-business is more efficient both to businesses and consumers as it saves on money and time and it is also reliable among other benefits of e-business and e-commerce on customers and organizations. The report contains definitions, advantages, disadvantages, benefits, types and examples of companies using e-business and e-commerce. 2.0. Introduction In the modern world, electronictechnology is widely being applied in exploiting business opportunities and solving problems.The explosion of technology one of them being the Internet has paved way to many spectacular and unbelievable innovations. Some of these exciting, captivating and path-breaking innovative ideas include electronic business (e-business), electronic commerce (e-commerce) and information systems. These aspects of evolution are likely to replace the traditional methods of business being conducted today as they have proved to be more viable, effective, efficient and reliable than the traditional methods. Internet technology is increasingly infiltrating all areas of business and domestic activity be it communication, sharing of ideas and many others as it is cost effective and fast. The web is evolving from a loose collection of websites into well managed and organized market places,industries, and organizations are moving all their operations online as the web has proved to be more efficient and it allows the industries to work on a global scale. 3.0. Definition Mesenbourg (1999) defines e-business and e-commerce as follows: Electronic business (E-business) is any process that a business organization (for profit governmental or Electronic Commerce (e-commerce) is any transaction completed over a computer mediated network that involves the transfer of ownership or rights to use goods or services. Information systems (IS) are the combination or study of software, hardware, networks and infrastructure that companies and people use to gather, filter, process, output provide and distribute data or information. In order to control the performance of business processes organizations use information systems to support decision making, operations and management. In general, e-business is defined as the process where businesses use electronic technology in their daily to daily activities. On the other hand, e-commerce can be defined as use of electronic technology in companies to conduct commerce. E-commerce is a branch or a subset of e-business that specialize in commerce. Commerce is referred to as exchange of goods and services with cash payment or other goods and services. Finally, information systems refer to the way people in an organization interact with technology and the information and communication technology (ICT) that the business uses. 4.0. Types of E-Commerce and E-Business To help classify e-commerce and e-business, first they are divided into providers or producers and consumers or customers. E-business and e-commerce are classified into the following categories: 4.1. Business to Business (B2B) For businesses to survive, grow and blossom in this increasingly competitive business world, creating and maintaining new relationships between businesses is becoming extremelyfamous. B2B applications provide businesses with opportunities to exploit and leverage the emerging technologies to build and promote their businesses. Examples of B2B applications are: Selling goods and services on the Internet to the businesses Facilitates the transactions between companies. Supply chain integration. Online transfer of goods from one company to another. Some of the benefits of B2B applications are: cost effectiveness, encourages business online and they also helps to determine suppliers and buyers through the Internet. Despite the benefits B2B is also faced with a number of issues, these are: speed, security, flexibility, and legacy integration. 4.2. Business to Consumer (B2C) Reaching consumers is a very critical aspect of every business especially for companies who run a chain of retail stores. B2C applications provide an interface that helps with the interaction between businesses and their consumers. Companies have realized that opening B2C site is much more efficient and cost effective as compared to opening a physical store and they have begun to lean towards B2C. 4.3. Business to Government (B2G) B2G refers to the exchange of information, goods and services between companies and government agencies. B2G mainly involves the discovery and evaluation of the government agency needs, creation, submission and approval of proposals and completion of the work or responsibilities given. B2G applications allow businesses to bid on government requests for proposals (RFP) in a reverse auction fashion. 4.4. Consumer to Business (C2B) It is the most recent e-commerce and e-business model, and it is a direct opposite of B2C. In this model people and individuals offers to sell goods and services to companies who are ready and willing to purchase them. Technology especially the Internet is now more widely available to the public and cheaper,therefore, facilitating the emergence and success of C2B. 4.5. Consumer to Consumer (C2C) This model involves consumers exchanging goods and services or conducting commerce directly with other consumers. To facilitate these transactions, a program, which is supplied by the online market dealers such as e-bay, must be available in order to fulfill or complete the transactions. 4.6. Consumer to Government (C2G) This model involves the interaction between people or individuals with the government on the Internet on issues concerning both the public and the government. It includes areas or issues such as elections, taxation and votes. 5.0. Advantages of using E-Business and E-Commerce a. Saves time and money: Doing e-business is cost effective as the Internet is a cheap medium of delivery. E-commerce reduces the cost of collecting, processing, storing and distributing information and data. Customers can shop at home rather than commute or drive to the stores which save time and money. b. Better customer service: The businesses that use E-commerce serves their customers quicker and better which makes their customers feel more satisfied and happier. This also saves time, money and energy. c. Removes location and availability restrictions: E-businesses are accessible from any area 24 hours a day so long as there is Internet access as compared to physical stores that limits customers with hours of operation and how close the stores are. d. Comparison shopping: As many businesses offer similar products but with different prices and qualities, E-commerce helps customers compare and choose the best product in the market with the best price. 6.0. Disadvantages of using E-Business and E-Commerce a. Security: Internet is not very secure which translates to security being an issue in online business. In order for this to succeed integrity and confidentiality should be enhanced so that customers can feel secure. b. System scalability: If the numbers of people visiting the website are much more than the ones the company had planned for the website performance is likely to slow down and degrade which leads to loss of potential customers. c. No guarantee: Customers are unable to test the products before purchase, therefore, are not guaranteed that the actual product is the same as the one they ordered. d. E-commerce is not free: In order for the e-commerce transactions to be successful consumers need an Internet connection and an Internet connecting device such as a computer or a smart phone which are a bit expensive. e. Corporate vulnerability: The availability of the products details and other sensitive information of business on the Internet make it easily accessible and vulnerable by the competing businesses. 7.0. Benefits of E-Commerce, E-Business to the Organization and Consumers The benefits that the organization and consumers benefit from the use of e-commerce and e-business are almost similar to the advantages of e-commerce and e-business. These are: Both the organization and customers will save on time and money. The organization is able to overcome geographical restrictions which enable to expose its products to more people globally. The customers will have a variety of goods and services to choose from. The organizations are able to expand into global markets with fewer expenses. The customers and the organizations benefit from real time communication and interchange of data. 8.0. Companies using E-Commerce and E-Business The rise of online retailing has attracted so many businesses despite the challenges that they encounter especially security and gaining faith from the customers.Some companies have managed to beat all odds, and they have attracted and retained so many customers, and they are being used as good examples to the companies who want to start e-business and e-commerce. Some of these companies are: a. Amazon.com Inc. Amazon was foundedin 1995 and became public in 1997, up to date it is the largest online retailer in the world. Amazon.com started with book selling, and it has now expanded to computer hardware, software, electronics, toys, food, apparel and furniture. b. Bidz company Bidz.com was founded in 1998 and it went public in 2006. It is a global online retailer that deals with jewelry such as silver, gold, sapphires, diamonds, platinum and a set of other kind of jewelries. c. BlueFly, Inc. It is one of the older internet retailers, and it went public in 1998. Bluefly.com deals with designer apparel for both men and women and also accessories and shoes. d. Ebay, Inc. Ebay is the largest online marketplace; it was founded in 1995 and went public in 1998. It offers online payment solutions such as PayPal and it also offers online commerce platform to businesses and individuals all over the world. 9.0. Conclusion and Recommendation Businesses are moving all their operations online as the Web is more efficient, it is cost effective and it exposes their products worldwide as there is no geographical restriction. People are currently able to do shopping, pay bills, manage their assets, mortgage their homes, and trade stocks online. E-business and e-commerce developments may affect the existence of money as digital cash and smart cards are becoming more popular. E-business is becoming popular because it reduces hustles such as traffic; to do online shopping all a person needs is digital cash, Internet connection and a computer. Traditional (physical) stores are being replaced by the electronic stores which are happening in every part of the world. With e-business companies are able to operate without an office as the employees can conduct all their operations through phones, e-mails and other capabilities of the Internet. In future e-business and e-commerce will completely displace the traditional stores and processes. Money may also seize to exist as digital cash and smart cards are becoming very popular as they are efficient, safer to carry around and are not bulky. References Carol, G.T. and Kenneth, L. (8 Ed).(2011). E-Commerce. New Jersey: Prentice Hall Carol, G.T. and Kenneth, L (7 Ed). (2011). E-Commerce 2011: Business. Technology.Society. New Jersey: Pearson Education Limited. Davey, C. (5 Ed). (2011). E-Business and E-Commerce Management: Strategy, Implementation and Practice.New Jersey: Prentice Hall Kenneth, L. (6.Ed) (2010). E-Commerce. New Jersey:Prentice Hall Kristine, E. (1 Ed.) (2006). E-Business: AttractingConsumersOnline.United Kingdom: GI Engineering Company. Thomas, M. (1 Ed).(2008). E-Commerce Best Practices.USA: McFadyen Solutions Read More