Page 24 - ECOMMERCE COURSE MATERIALS
P. 24
CHAPTER ONE
INSTRUCTOR’S NOTES
How much of an impact do you think the Internet is having on today’s economy? The text book talks about
how we can use the internet to find information about electronic commerce and find information about
companies and products.
When the internet began, no one could have envisioned the business boom that resulted, and the business
failures. The internet, this great big place in cyber space, has changed the way companies and even educational
institutions conduct business, distribute products, exchange money, and provide information and education.
So just how big is the internet? If you look at advertisements, billboards, and company business cards, chances
are you will see, prominently displayed, the URL (uniform resource locator) (web address) of a company. So
why do companies that can't deliver the product have a presence on the web anyway? The answer of course is
advertising and information. Think of it being a little like a TV commercial. You can't reach into the TV to buy
a product either, but you learn about it and where to purchase it.
Most of the business conducted on the web today is referred to as B2B, Business to Business. B2B refers to
companies selling goods and services to other companies. This is part of the worldwide production of parts and
products. If you are building a product, you can go to the web to find the part, order it. The company you order
from may order that part in lost from a company in another part of the world. This has resulted in “Just-in-
Time” purchasing. This is done a lot for purchasing parts used in manufacturing and reduces the cost of
inventory for a company.
What used to be local unemployment offices has been largely replaced by web sites that post job openings.
A search of the internet using any one of the popular Web Browsers and one of the Search engines might help
to understanding the way businesses use the internet. Pay attention to the URL's of the web sites. What country
is the company located in?
I don't know how many of you have purchased products over the internet, but think about what you did or
would have to do in order to find the product and make the purchase. One of the nice things is that the
businesses on the internet are available 24 hours a day 7 days a week.
A lot of companies have had great success using the internet, but small companies did not fare as well. Even
some of the larger companies had problems using the web in the beginning. The world of E-commerce
Business has evolved into a more user friendly business environment for both the business owner and
consumer.
Two businesses that have benefited from the internet are data collection and research. Collection of data
regarding the buying habits and information for advertising is probably one of the biggest internet businesses.
In addition to buying and selling online, e-commerce provides a way to transfer information and promote an
organization’s presence. Although the internet has been around since the 1950’s, it did not open to
commercial activity until around 1991. Below is a history timeline from Wikipedia.
INSTRUCTOR’S NOTES
How much of an impact do you think the Internet is having on today’s economy? The text book talks about
how we can use the internet to find information about electronic commerce and find information about
companies and products.
When the internet began, no one could have envisioned the business boom that resulted, and the business
failures. The internet, this great big place in cyber space, has changed the way companies and even educational
institutions conduct business, distribute products, exchange money, and provide information and education.
So just how big is the internet? If you look at advertisements, billboards, and company business cards, chances
are you will see, prominently displayed, the URL (uniform resource locator) (web address) of a company. So
why do companies that can't deliver the product have a presence on the web anyway? The answer of course is
advertising and information. Think of it being a little like a TV commercial. You can't reach into the TV to buy
a product either, but you learn about it and where to purchase it.
Most of the business conducted on the web today is referred to as B2B, Business to Business. B2B refers to
companies selling goods and services to other companies. This is part of the worldwide production of parts and
products. If you are building a product, you can go to the web to find the part, order it. The company you order
from may order that part in lost from a company in another part of the world. This has resulted in “Just-in-
Time” purchasing. This is done a lot for purchasing parts used in manufacturing and reduces the cost of
inventory for a company.
What used to be local unemployment offices has been largely replaced by web sites that post job openings.
A search of the internet using any one of the popular Web Browsers and one of the Search engines might help
to understanding the way businesses use the internet. Pay attention to the URL's of the web sites. What country
is the company located in?
I don't know how many of you have purchased products over the internet, but think about what you did or
would have to do in order to find the product and make the purchase. One of the nice things is that the
businesses on the internet are available 24 hours a day 7 days a week.
A lot of companies have had great success using the internet, but small companies did not fare as well. Even
some of the larger companies had problems using the web in the beginning. The world of E-commerce
Business has evolved into a more user friendly business environment for both the business owner and
consumer.
Two businesses that have benefited from the internet are data collection and research. Collection of data
regarding the buying habits and information for advertising is probably one of the biggest internet businesses.
In addition to buying and selling online, e-commerce provides a way to transfer information and promote an
organization’s presence. Although the internet has been around since the 1950’s, it did not open to
commercial activity until around 1991. Below is a history timeline from Wikipedia.
