Page 233 - Business Principles and Management

Unit 3

Technology tip INTERACTION STAGE

The second stage of e-commerce development is interaction. In addition to pro-
Online entrepreneurs can ask viding information, the site offers visitors the ability to interact with the company
themselves these questions via the Web site. The first type of interaction is the use of e-mail. Site visitors click a
when evaluating the shop- link to bring up an e-mail form that they can use to request information, ask ques-
ping experience on their tions, or contact specific people in the company.
sites: Are there good pictures Beyond e-mail, companies can add a database that customers can search for
of all the products? Is order- specific information, such as choices of brands, product features, and services.
ing easy, and is site naviga- They can check product availability, calculate product costs and shipping charges,
tion clear? Does the site look and determine how long it will take to have an order delivered. There may even
professional? Does the site be three-dimensional photos, short video clips, or simple models of products for
offer something people can’t customers to examine.
get elsewhere? It is possible with interactive e-commerce for customers to place orders using
information from the Web site but not place the orders directly from the site. An
order form may be included on the site along with a product catalog. Customers
can complete, print, and then fax or mail the form to the company.

INTEGRATION STAGE
Companies that want to take full advantage of the Internet in their business
move to full integration. With full integration, the entire customer transaction
can be completed over the Internet. Customers can get necessary product, pric-
ing, and shipping information. They can place an order and pay for it, track the
shipment until the product is delivered, and obtain customer assistance following
the sale—all using the Internet. Companies with integrated business activities
do not have to be dot-com companies. Much of their business can still be accom-
plished through traditional methods. But customers have the option of conduct-
ing their business transactions with the company over the Internet if they choose.
Consider how Turan Ozmat can begin to use the Internet in his photography
What does it mean to have a business. Because competitors are already using the Internet, he should at least
fully integrated e-commerce develop a Web page and advertise on the Web in order to make prospective cus-
presence on the Internet? tomers aware of his business and the services he offers. He could include examples
of his photos and portraits on the Web site. As Turan gains more experience with
the Internet, he may find ways to build customer interaction into the site. Turan
may choose not to have a fully integrated Web site, but he may be able to sell
some types of products online, such as reprints of photos and related products
such as frames and photo albums.

CHECKPOINT

List the three stages of e-commerce development.

PHOTO: © GETTY IMAGES/PHOTODISC. Success with E-Commerce

Although e-commerce is still very young, it has already had a major impact on the
way business is done. New types of businesses have appeared, offering products
and services that did not exist prior to the Internet. Web design companies, Inter-
net service providers (ISPs), and Web security businesses are some of these new

220 types of businesses.