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Chapter 1
Introduction to E-commerce
19 October 2019
Step 2
The group has to choose an e-commerce company. The company will need to be assessed in
terms of the eight unique features of e-commerce technology described in Table 1.2 of the
textbook. NAME THE CHOOSEN COMPANY IN THE GROUP REGISTRATION FORM
AS WELL.
Step 3
Step 4
The group has to submit the soft copy report via e-mail to zainilhanimsaidin@usm.my AND
a hard copy report to PPPJJ office.
GOOD LUCK
• 1.2 Define e-commerce, understand how e-commerce differs from e-business, identify the
primary technological building blocks underlying e-commerce, and recognize major
current trends in e-commerce.
• 1.3 Identify and describe the unique features of e-commerce technology and discuss their
business significance.
• 1.5 Understand the evolution of e-commerce from its early years to today.
• Internet
• World Wide Web
– HTML
• Mobile platform
– Mobile apps
• 1995–2000: Invention
– Sale of simple retail goods on the internet. The
growth patterns is quite slow.
– Limited bandwidth and media – the most was
just the static display only.
– Dot-com crash of 2000 – stock market
valuation plunged with thousands of
companies disappearing. Copyright © 2018 Pearson Education Ltd
E-commerce: A
Brief History (3 of 4)
• 2001–2006: Consolidation
– Emphasis on business-driven approach rather than
technology driven.
– Traditional large firms expand presence – learn how to use
Web
– Start-up financing shrinks – capital market rejected startup
firms.
– Not just retail products but more complex products and
services sold such as travel and financial service
– Growth of search engine advertising. E. g video ads.
– Business Web presences expand – not just websites but
also e-mail, multiple websites for each product.
Copyright © 2018 Pearson Education Ltd
E-commerce: A Brief
History (4 of 4)
• 2007–Present: Reinvention
– Rapid growth of:
Web 2.0, including online social networks (user generated
content)
Mobile platform (smartphone and tablet)
Local commerce (local goods and services)
On-demand service economy
– Entertainment content develops as source of revenues – easy
to attract people.
– Transformation of marketing – use of social networks, word-of-
mouth, viral marketing and personal marketing from data
repositories.
Copyright © 2018 Pearson Education Ltd
Academic Disciplines Concerned with Technology
E-commerce covers every disciplines (multidisciplinary). Two
primary approaches:
• Technical
– Computer science, management science, information
systems
• Behavioral
– Information systems research, economics, marketing,
management, finance/accounting, sociology.
Economists share their interest with marketing scholars to
achieve higher returns on investment. Economists do not take a
purely technical approach to e-commerce.
Management scientists are interested in e-commerce as an
opportunity to study how business firms can exploit the Internet to
achieve more efficient business operations Copyright © 2018 Pearson Education Ltd
Thank You