Chapter 3 Questions

  1.      Why has the web grown so dramatically?

Reasons or growth of the World Wide Web:

- The microcomputer revolutions made it possible for an average person to own a computer

- Advancements in networking hardware, software and media made it possible for business PCs to be inexpensively connected to larger networks.

- The speed, convenience and low cost of email have made it an indispensable tool for business and personal communications. 

- Browser software such as Microsoft's Internet Explorer gave computer users an easy to use graphical interface to find, download and display web pages.

- Basic web pages are easy to create and extremely flexible

The Internet has since become one of the main forces changing how business is being conducted world wide. 

  2.      What is Web 2.0, how does it differ from 1.0?

The web 2.0 is a set of economic, social and technological trends that collectively form the basis for the next generation of the internet. It upgrades to a more mature, distinctive medium characterised by user participation, openness and network effects. Since upgrading from Web 1.0, the web is no longer just linking text, it is linking people through upgrades such as Blogging, Wikipedia and web services. 

3.      How could a web 2.0 technology be used in business?

Web 2.0 is a transformative force that is propelling companies across all industries towards a new way of doing business. Those who have used it to their advantage have an opportunity to gain an early mover advantage in their markets. With over 1.4 billion people around the globe with internet access, it allows business have greater access to these potential customers and turn them into their customer goodwill. 

4.  What is eBusiness, how does it differ from eCommerce?

E-commerce is the buying and selling of goods and and services over the Internet, the term refers to only online transactions. 

E-business is the conducting of business on the internet, including buying and selling, serving customers and collaborating with business partners. 

The main difference between the two is that e-business also refers to online exchanges of information, such as manufacturer allowing tis supplier to monitor production schedules or a financial institution allowing its customers to review their banking, credit card and mortgage accounts. 

5. What is pure and partial eCommerce—

Pure vs. Partial EC

  --The product can be physical or digital.

  --The process can be physical or digital.

  --The delivery agent can be physical or digital.

6.  List and describe the various eBusiness models?

Business to Business (B2B) = applies to businesses buying from and selling to each other over the internet. 

Business to Consumer (B2C)= applies to any business that sells its products or services to consumers over the internet

Consumer to Business (C2B)= applies to any consumer that sells a product or service to a business over the internet

Consumer to Consumer (C2C)= applies to sites primarily offering goods and services to assist consumers interacting with each other over the internet. 

7. List and describe the major B2B models?

Electronic marketplaces represent a new wave in B2B e-business models. Electronic marketplaces are interactive business communities providing a central market where multiple buyers and sellers can engage in e-business activities. E-marketplaces allow access to various mechanisms in which to buy and sell almost anything, from services too various mechanisms in which to buy and sell almost anything from services to direct materials all online. 

8. Outline 2 opportunities and 2 challenges faced by companies doing business online?

e-business opportunities: - highly accessible, increased customer loyalty, improved information content, increased connivence, increased global reach and decreased cost. 

e-business challenges: - protecting consumers, leveraging existing systems, increasing liability, providing security and adhering to taxation rules.