Basic Benefits of eBusiness eCommerce
o increase sales - this is the first thing that people consider
when dealing w e-commerce
o decreasing costs
o increase profits
o understanding that profits is not the same as sales
o Expands the size of the market from regional to national or national to international
o Contract the market
o reach a narrow market
o target market segmentation allows you to focus on a more
select group of customers
Decreasing costs
o costs of creating the product
o marketing
o of promotional material
o costs of distribution
o eg. Netscape allowing you to download instead of waiting to get the CD by mail
o costs of processing (orders from the customers)
o repeat activities and information processing
o of handling customer phone calls
o of handling sales inquiries
o determine product availability (inventory management)
o costs of storing information
o lowers telecommunication costs o and therefore have a competitive advantages in satisfy
Provide price quotes
- with a web site, you can have the prices listed, and change them
- you simply edit the web page
- in a printed catalogue you are stuck with the expense of printing a new version if you need to change many of the prices
.
Basic
Benefits
of
eBusiness
eCommerce
Other Benefits ....
o Pull-type processing
o enables customization of products
o allows for innovative business models
o allows for a high ...