e-commerce dr. hassan nojumi1 e-commerce an introduction dr. hassan nojumi
TRANSCRIPT
E-Commerce Dr. Hassan Nojumi 1
E-COMMERCE
AN INTRODUCTION
Dr. Hassan Nojumi
E-Commerce Dr. Hassan Nojumi 2
Questions to Ask
E-Commerce Dr. Hassan Nojumi 3
Questions to Ask
• What is it that you want to sell?
E-Commerce Dr. Hassan Nojumi 4
Questions to Ask
• What is it that you want to sell?
• Who are your targeted customers?
E-Commerce Dr. Hassan Nojumi 5
Questions to Ask
• What is it that you want to sell?
• Who are your targeted customers?
• How do you want to approach them?
E-Commerce Dr. Hassan Nojumi 6
Questions to Ask
• What is it that you want to sell?
• Who are your targeted customers?
• How do you want to approach them?
• Where and when to start?
E-Commerce Dr. Hassan Nojumi 7
Customers
E-Commerce Dr. Hassan Nojumi 8
Customers
• Pricing (Uniform, Case-By-Case, Grouping)
E-Commerce Dr. Hassan Nojumi 9
Customers
• Pricing (Uniform, Case-By-Case, Grouping)
• Incentive Purchasing (Clubs, Cross-Selling, Rebating)
E-Commerce Dr. Hassan Nojumi 10
Customers
• Pricing (Uniform, Case-By-Case, Grouping)
• Incentive Purchasing (Clubs, Cross-Selling, Rebating)
• Customized Service
E-Commerce Dr. Hassan Nojumi 11
Requirements
E-Commerce Dr. Hassan Nojumi 12
Requirements
• Having a registered web site
E-Commerce Dr. Hassan Nojumi 13
Requirements
• Having a registered web site
• Software to manage business
E-Commerce Dr. Hassan Nojumi 14
Requirements
• Having a registered web site
• Software to manage business
• Reliable, competent staff
E-Commerce Dr. Hassan Nojumi 15
Software to Manage
E-Commerce Dr. Hassan Nojumi 16
Software to Manage
• Customers
E-Commerce Dr. Hassan Nojumi 17
Software to Manage
• Customers
• Products
E-Commerce Dr. Hassan Nojumi 18
Software to Manage
• Customers
• Products
• Promotions (Marketing) (BRANDING)
E-Commerce Dr. Hassan Nojumi 19
Software to Manage
• Customers
• Products
• Promotions (Marketing) (BRANDING)
• Orders
E-Commerce Dr. Hassan Nojumi 20
Handling Orders
E-Commerce Dr. Hassan Nojumi 21
Handling Orders
• Shipping and Handling
E-Commerce Dr. Hassan Nojumi 22
Handling Orders
• Shipping and Handling
• Payment Processing
E-Commerce Dr. Hassan Nojumi 23
Handling Orders
• Shipping and Handling
• Payment Processing
• Processing of Returns/Repairs
E-Commerce Dr. Hassan Nojumi 24
Handling Orders
• Shipping and Handling
• Payment Processing
• Processing of Returns/Repairs
• Customer Service/Care
E-Commerce Dr. Hassan Nojumi 25
Transaction Management
E-Commerce Dr. Hassan Nojumi 26
Transaction Management
• Online Shopping Carts
E-Commerce Dr. Hassan Nojumi 27
Transaction Management
• Online Shopping Carts
• Product Availability Check
E-Commerce Dr. Hassan Nojumi 28
Transaction Management
• Online Shopping Carts
• Product Availability Check
• Payment Credit Authentication
E-Commerce Dr. Hassan Nojumi 29
Transaction Management
• Online Shopping Carts
• Product Availability Check
• Payment Credit Authentication
• Shipping and Handling
E-Commerce Dr. Hassan Nojumi 30
Payment Forms
E-Commerce Dr. Hassan Nojumi 31
Payment Forms
• Bank account transfer
E-Commerce Dr. Hassan Nojumi 32
Payment Forms
• Bank account transfer
• Credit and debit cards
E-Commerce Dr. Hassan Nojumi 33
Payment Forms
• Bank account transfer
• Credit and debit cards
• Cybercash
E-Commerce Dr. Hassan Nojumi 34
Payment Forms
• Bank account transfer
• Credit and debit cards
• Cybercash
• Cybercheck
E-Commerce Dr. Hassan Nojumi 35
Transaction Security
E-Commerce Dr. Hassan Nojumi 36
Transaction Security
• Encryption technologies
E-Commerce Dr. Hassan Nojumi 37
Transaction Security
• Encryption technologies
• Digital ID cards
E-Commerce Dr. Hassan Nojumi 38
Transaction Security
• Encryption technologies
• Digital ID cards
• Passwords
E-Commerce Dr. Hassan Nojumi 39
Transaction Security
• Encryption technologies
• Digital ID cards
• Passwords
• Digital signatures
E-Commerce Dr. Hassan Nojumi 40
Strategy
• Selected way of being effective (moving in the right direction)
• Tactics• Selected way of being efficient
(moving fast)
E-Commerce Dr. Hassan Nojumi 41
Business Tactics
E-Commerce Dr. Hassan Nojumi 42
Business Tactics
• Online customer surveys
E-Commerce Dr. Hassan Nojumi 43
Business Tactics
• Online customer surveys
• Branding
E-Commerce Dr. Hassan Nojumi 44
Business Tactics
• Online customer surveys
• Branding
• Customer support ( Returns/Repairs/Rebates )
E-Commerce Dr. Hassan Nojumi 45
E-Marketing
E-Commerce Dr. Hassan Nojumi 46
E-Marketing
• Why is your product a solution to customer’s problems and needs?
E-Commerce Dr. Hassan Nojumi 47
E-Marketing
• Why is your product a solution to customer’s problems and needs?
• Why Is your product superior to products from other retailers?
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E-Marketing
• Why is your product a solution to customer’s problems and needs?
• Why Is your product superior to products from other retailers?
• Why should customers stay?
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Attractive Web Site
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Attractive Web Site
• Pleasant to browse
E-Commerce Dr. Hassan Nojumi 51
Attractive Web Site
• Pleasant to browse
• Easy to navigate and search
E-Commerce Dr. Hassan Nojumi 52
Attractive Web Site
• Pleasant to browse
• Easy to navigate and search
• Automated advising
E-Commerce Dr. Hassan Nojumi 53
Attractive Web Site
• Pleasant to browse
• Easy to navigate and search
• Automated advising
• Non-aggressive
E-Commerce Dr. Hassan Nojumi 54
Alternatives
E-Commerce Dr. Hassan Nojumi 55
Alternatives
• Buy an E-Commerce system
E-Commerce Dr. Hassan Nojumi 56
Alternatives
• Buy an E-Commerce system
• Rent an E-Commerce system
E-Commerce Dr. Hassan Nojumi 57
Alternatives
• Buy an E-Commerce system
• Rent an E-Commerce system
• Build a customized E-Commerce system designed for your firm
E-Commerce Dr. Hassan Nojumi 58
Selection Factors
E-Commerce Dr. Hassan Nojumi 59
Selection Factors
• Cost
E-Commerce Dr. Hassan Nojumi 60
Selection Factors
• Cost
• Company-specific needs
E-Commerce Dr. Hassan Nojumi 61
Selection Factors
• Cost
• Company-specific needs
• Available technology
E-Commerce Dr. Hassan Nojumi 62
Selection Factors
• Cost
• Company-specific needs
• Available technology
• Company culture
E-Commerce Dr. Hassan Nojumi 63
Risk Management
VaR (Value at Risk) at confidence level
1 - α is the largest value y such that
P( Loss ≤ y ) ≤ 1 - α
E-Commerce Dr. Hassan Nojumi 64
Risk Management
Important Trade-off Between
VaR
And
Return on Investment
E-Commerce Dr. Hassan Nojumi 65
Risk Management
Important Trade-off Between
VaR
And
Return on Investment
Frequent Error is Focus on Just One
E-Commerce Dr. Hassan Nojumi 66
Risk Management
Extreme Value Distribution
Applications include:
E-Commerce Dr. Hassan Nojumi 67
Risk Management
Extreme Value Distribution
Applications include:
• Earthquake magnitude
E-Commerce Dr. Hassan Nojumi 68
Risk Management
Extreme Value Distribution
Applications include:
• Earthquake magnitude
• Snow/Rainfall at unusual weather
E-Commerce Dr. Hassan Nojumi 69
Risk Management
Extreme Value Distribution
Applications include:
• Earthquake magnitude
• Snow/Rainfall at unusual weather
• Flood levels
E-Commerce Dr. Hassan Nojumi 70
Risk Management
Extreme Value Distribution
Applications include:
• Earthquake magnitude
• Snow/Rainfall at unusual weather
• Flood levels
• Athletic records
E-Commerce Dr. Hassan Nojumi 71
Risk Management
Extreme Value Distribution
F( x ) = P( X ≤ x )
= exp( - exp[ - (x – a ) / b ] )
E-Commerce Dr. Hassan Nojumi 72
Risk Management
Extreme Value Distribution
F( x ) = P( X ≤ x )
= exp( - exp[ - (x – a ) / b ] )
Mean = a + b EulerGamma
E-Commerce Dr. Hassan Nojumi 73
Risk Management
Extreme Value Distribution
F( x ) = P( X ≤ x )
= exp( - exp[ - (x – a ) / b ] )
Variance = π b / 62 2
E-Commerce Dr. Hassan Nojumi 74
Risk Management
Extreme Value Distribution
F( x ) = P( X ≤ x )
= exp( - exp[ - (x – a ) / b ] )
Kurtosis = 27 / 5
E-Commerce Dr. Hassan Nojumi 75
Risk Management
Extreme Value Distribution
F( x ) = P( X ≤ x )
= exp( - exp[ - (x – a ) / b ] )
Excess Kurtosis = 12 / 5
Leptokurtic distribution
E-Commerce Dr. Hassan Nojumi 76
Business Strategy
E-Commerce Dr. Hassan Nojumi 77
Business Strategy
• Where do you want to be in 1 year?
E-Commerce Dr. Hassan Nojumi 78
Business Strategy
• Where do you want to be in 1 year?
• Where do you want to be in 5 years?
E-Commerce Dr. Hassan Nojumi 79
Business Strategy
• Where do you want to be in 1 year?
• Where do you want to be in 5 years?
• Where do you want to be in 15 years?
E-Commerce Dr. Hassan Nojumi 80
Business Strategy
Short-term solutions may solve problems for a short time.
E-Commerce Dr. Hassan Nojumi 81
Business Strategy
Short-term solutions may solve problems for a short time.
But they will cause more problems in the future.
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Business Strategy
Short-term solutions may solve problems for a short time.
But they will cause more problems in the future.
Futuristic Planning is Essential.