Management Information System
Microsoft Word - BZ380E Assignment 8 (1) ASSIGNMENT 08 BZ380 Management Information Systems Directions: Writing Style APA (American Psychological Association) Note: To find detailed information on APA manuscript style guidelines on the Internet, go to www.apastyle.org (http://www.apastyle.org/). Margins 1” all sides Paragraphs Double-spaced Headings Bold Type Style Size Times New Roman, 12 point MS Word 1. Provide a clear description of an enterprise system and describe how it works. 2. Discuss at least three (3) ways an enterprise system can provide value for a company. 3. Discuss the importance of development and integration of information systems in project management. Chapter 10.pdf 6.1 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 6.2 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.2 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 what are the most important m-commerce applications? • What issues must be addressed when building an e-commerce presence? LEARNING OBJECTIVES 6.3 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.3 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 retail sites for purchasing – “Promoted pins”: Paid advertising with fees charged if user clicks through to firm’s Web site • Demonstrates use of social networking technologies in generating new business models Pinterest: How Much Is a Picture Worth? 6.4 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.4 Copyright © 2016 Pearson Education, Inc. Management Information Systems 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 6.5 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.5 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 6.6 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.6 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 medium – Ubiquity – Global reach – Universal standards – Richness – Interactivity – Information density – Personalization/customization – Social technology Unique Features of E-commerce, Digital Markets, and Digital Goods 6.7 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.7 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 costs • Reduces transaction costs – Costs of participating in market Unique Features of E-commerce, Digital Markets, and Digital Goods 6.8 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.8 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 6.9 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.9 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • Universal standards – One set of technology standards: Internet standards – Effect: • Disparate computer systems easily communicate with one another • Lower market entry costs—costs merchants must pay to bring goods to market • Lower consumers’ search costs—effort required to find suitable products Unique Features of E-commerce, Digital Markets, and Digital Goods 6.10 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.10 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • Richness – Supports video, audio, and text messages – Effect: • 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 6.11 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.11 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • Interactivity – The 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 6.12 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.12 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • Information density – Large increases in information density—the total amount and quality of information available to all market participants – Effect: • Greater price transparency • Greater cost transparency • Enables merchants to engage in price discrimination Unique Features of E-commerce, Digital Markets, and Digital Goods 6.13 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.13 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • Personalization/Customization – Technology permits modification of messages, goods – Effect: • 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 6.14 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.14 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • Social technology – The technology promotes user content generation and social networking – Effect: • New Internet social and business models enable user content creation and distribution, support social networks • Many-to-many model Unique Features of E-commerce, Digital Markets, and Digital Goods 6.15 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.15 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 asymmetry – Offers greater flexibility and efficiency because of: • Reduced search costs and transaction costs • Lower menu costs • Greater price discrimination • Dynamic pricing – May reduce or increase switching costs – May delay gratification: effects dependent on product – Increased market segmentation – Stronger network effects – More disintermediation Unique Features of E-commerce, Digital Markets, and Digital Goods 6.16 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.16 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 6.17 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.17 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • Digital goods – Goods that can be delivered over a digital network • For example: music tracks, video, software, newspapers, books – Cost of producing first unit is almost entire cost of product – Costs of delivery over the Internet very low – Marketing costs remain the same; pricing highly variable – Industries with digital goods are undergoing revolutionary changes (publishers, record labels, etc.) Unique Features of E-commerce, Digital Markets, and Digital Goods 6.18 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.18 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • Three major types of e-commerce – Business-to-consumer (B2C) • Example: BarnesandNoble.com – Business-to-business (B2B) • Example: ChemConnect – Consumer-to-consumer (C2C) • Example: eBay • E-commerce can be categorized by platform – Mobile commerce (m-commerce) E-commerce Business and Revenue Models 6.19 Copyright © 2013 Pearson Education, Inc. publishing a Management Information Systems Chapter 6: Foundations of Business Intelligence 10.19 Copyright © 2016 Pearson Education, Inc. Management Information Systems Chapter 10: E-commerce: Digital Markets, Digital Goods • E-commerce business models – Portal – E-tailer – Content provider – Transaction broker – Market creator – Service provider – Community provider E-commerce Business and Revenue Models 6.20 Copyright © 2013 Pearson Education,