eCommerce Developments and Themes

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E-Business Chapter 1

E-commerce Developments and Themes- 2003
 Use of the Internet to conduct commerce
 deepening of e-commerce channel
 Broadband and wireless Internet access
 refined e-commerce business models (→ higher levels of profitability)
But at societal level: continued conflict over copyrights, content regulation, taxation, privacy, and Internet fraud and abuse.
E-commerce involves digitally enabled commercial transactions between and among organizations and individuals
→ Digitally enabled transactions: all transactions mediated by digital technology
→ Commercial transactions: exchange of value across organizational or individual boundaries in return for products or service. We
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Technology and E-commerce in Perspective
 First, the Internet and Web are just two of a long list of technologies, such as automobiles and radio, that have followed a similar historical path:
• Creation of business models designed to leverage the technology and explosive early growth, followed by retrenchment and then a long-term successful exploitation of the technology by larger established firms
 Second, although e-commerce has grown explosively, eventually its growth will cap as it confronts its own fundamental limitations.

Potential Limitations on the Growth of B2C E-commerce
 Expensive technology (although currently a limitation, may become less so as prices of entry-level PCs fall)
 Complex software interface (Integration with television may reduce this)
 Sophisticated skill set (this limitation may recede as PC operating system evolves, becomes more simple)
 Persistent cultural attraction of physical markets and traditional shopping experiences
 Persistent global inequality limiting access to telephones and computers

E-commerce I: 1995-2000
 E-commerce I: A period of explosive growth and extraordinary innovation; key concepts developed and
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