Electronic Commerce : A Managerial Perspective 2006

by Turban, Efraim; Lee, Jae Kyu; KIng, Dave; McKay, Judy; Marshall, Peter

• ISBN13: 9780131854611
• ISBN10: 0131854615
• Edition: 4th
• Format: Hardcover
• Copyright: 2008-01-01
• Publisher: Pearson College Div

Summary

For undergraduate and graduate courses in Electronic Commerce. For instructors looking for the most comprehensive, managerial, research based book on how corporate business uses e-commerce and less emphasis on technological underpinnings and development. Turban is the #1 best seller in the business school market.

Table of Contents

Introduction to E-Commerce and E-Marketplaces	1	(1)
Overview of Electronic Commerce	1	(39)
Dell---Using E-Commerce for Success	2	(1)
Electronic Commerce: Definitions and Concepts	3	(3)
Defining Electronic Commerce	4	(1)
Defining E-Business	4	(1)
Pure Versus Partial EC	4	(1)
Internet Versus Non-Internet EC	5	(1)
Electronic Markets and Interorganizational and Intraorganizational Information Systems	5	(1)
The EC Framework, Classification, and Content	6	(6)
An EC Framework	6	(2)
Classifications of EC by the Nature of the Transactions or Interactions	8	(2)
The Interdisciplinary Nature of EC	10	(1)
A Brief History of EC	10	(1)
The Future of EC	11	(1)
The Digital Revolution Drives E-Commerce	12	(1)
The Digital Revolution	13	(1)
The Business Environment Drives EC	13	(6)
Insights and Additions 1.1: Interesting and Unique Applications of EC	14	(1)
The Environment-Response-Support Model	14	(3)
Insights and Additions 1.2: E-Commerce and CRM	17	(2)
EC Business Models	19	(6)
The Structure of Business Models	20	(2)
Typical EC Business Models	22	(3)
Benefits and Limitations of EC	25	(3)
The Benefits of EC	25	(2)
The Limitations and Barriers of EC	27	(1)
Insights and Additions 1.3: Enhancing Homeland Security Electronically	27	(1)
Networks for EC	28	(2)
Text Overview	30	(10)
Part 1: Introduction to E-Commerce and E-Marketplaces	30	(1)
Part 2: Internet Consumer Retailing	30	(1)
Part 3: Business-to-Business E-Commerce	30	(1)
Part 4: Other EC Models and Applications	30	(1)
Part 5: EC Support Services	31	(1)
Part 6: EC Strategy and Implementation	31	(1)
Online Part 7: Application Development	31	(1)
Online Tutorials	32	(1)
Online Appendices	32	(1)
Online Supplements	32	(1)
Managerial Issues	32	(1)
Research Topics	33	(1)
Summary	34	(1)
Key Terms	34	(1)
Questions for Discussion	35	(1)
Internet Exercises	35	(1)
Team Assignments and Role Playing	35	(1)
Real-World Case: E-Commerce Supports Field Employees at Maybelline	36	(1)
References	37	(3)
E-Marketplaces: Structures, Mechanisms, Economics, and Impacts	40	(41)
How Blue Nile Inc. is Changing the Jewelry Industry	41	(1)
E-Marketplaces	42	(2)
Marketspace Components	42	(2)
Types of E-Marketplaces: From Storefronts to Portals	44	(3)
Electronic Storefronts	44	(1)
Electronic Malls	45	(1)
Types of Stores and Malls	45	(1)
Types of E-Marketplaces	46	(1)
Information Portals	46	(1)
Intermediation in E-Commerce	47	(3)
The Roles and Value of Intermediaries in E-Marketplaces	47	(2)
Disintermediation and Reintermediation	49	(1)
Electronic Catalogs and Other Market Mechanisms	50	(5)
Electronic Catalogs	50	(4)
Search Engines and Intelligent Agents	54	(1)
Shopping Carts	54	(1)
Auctions as EC Market Mechanisms	55	(4)
Definition and Characteristics	55	(1)
Traditional Versus E-Auctions	55	(1)
Dynamic Pricing and Types of Auctions	56	(2)
Benefits, Limitations, and Impacts of E-Auctions	58	(1)
Insights and Additions 2.1: Benefits of E-Auctions	58	(1)
Bartering and Negotiating Online	59	(1)
Online Bartering	59	(1)
Online Negotiating	60	(1)
E-Commerce in the Wireless Environment: M-Commerce	60	(2)
The Promise of M-Commerce	61	(1)
i-Mode: A Successful Mobile Portal	61	(1)
Competition in the Digital Economy	62	(3)
The Internet Ecosystem	62	(3)
Impacts of EC on Business Processes and Organizations	65	(7)
Improving Direct Marketing	66	(2)
Transforming Organizations	68	(1)
Redefining Organizations	69	(3)
E-Reality	72	(7)
Managerial Issues	73	(1)
Research Topics	73	(1)
Summary	74	(1)
Key Terms	75	(1)
Questions for Discussion	75	(1)
Internet Exercises	76	(1)
Team Assignments and Role Playing	76	(1)
Real-World Case: Wal-Mart Leads Rfid Adoption	77	(1)
References	77	(2)
Build-to-Order Production	79	(2)
Internet Consumer Retailing	81	(112)
Retailing in Electronic Commerce: Products and Services	81	(57)
Amazon.com: The King of E-Tailing	82	(1)
Internet Marketing and Electronic Retailing	83	(10)
Overview of Electronic Retailing	83	(1)
Size and Growth of the B2C Market	84	(1)
What Sells Well on the Internet	85	(1)
Characteristics of Successful E-Tailing	86	(1)
Insights and Additions 3.1: Selling Prescription Drugs Online	86	(1)
E-Tailing Business Models	87	(1)
Classification by Distribution Channel	88	(2)
Insights and Additions 3.2: Buying Cars Online: Build to Order	90	(1)
Other B2C Models and Special Retailing	91	(2)
Travel and Tourism Services Online	93	(3)
Services Provided	93	(1)
Special Services	94	(1)
Benefits and Limitations of Online Travel Services	94	(1)
Corporate Travel	95	(1)
Impact of EC on the Travel Industry	95	(1)
Intelligent Agents in Travel Services	95	(1)
Employment Placement and the Job Market Online	96	(3)
The Internet Job Market	97	(1)
Benefits and Limitations of the Electronic Job Market	97	(1)
Intelligent Agents in the Electronic Job Market	98	(1)
Real Estate, Insurance, and Stock Trading Online	99	(6)
Real Estate Online	100	(1)
Real Estate Applications	101	(1)
Insurance Online	102	(1)
Online Stock Trading	102	(3)
Banking and Personal Finance Online	105	(5)
Home Banking Capabilities	105	(1)
Virtual Banks	106	(1)
International and Multiple-Currency Banking	106	(1)
Implementation Issues in Online Financial Transactions	107	(1)
Personal Finance Online	108	(2)
On-Demand Delivery Services and E-Grocers	110	(2)
The Case of E-Grocers	110	(2)
Online Delivery of Digital Products, Entertainment, and Media	112	(3)
The Napster Experience: Its Rise, Collapse, and Revival	112	(1)
Online Entertainment	113	(1)
Developments in the Delivery of Digital Products	114	(1)
Online Purchase-Decision Aids	115	(5)
Shopping Portals	115	(1)
Shopbots Software Agents	115	(1)
Business Ratings Sites	116	(1)
Trust Verification Sites	116	(1)
Other Shopper Tools	117	(3)
Successful Click-and-Mortar Strategies	120	(2)
Transformation to Click-and-Mortar Operations: Circuit City	120	(1)
Alliance of Virtual and Traditional Retailers: Amazon.com and Toys ``R'' Us	121	(1)
Problems with E-Tailing and Lessons Learned	122	(2)
What Lessons Can be Learned from These Failures?	122	(1)
Insights and Additions 3.3 B2C Dot-Com Failures	123	(1)
Issues in E-Tailing	124	(14)
Disintermediation and Reintermediation	125	(2)
Channel Conflict	127	(1)
Determining the Right Price	127	(1)
Personalization	128	(1)
Fraud and Other Illegal Activities	128	(1)
How to Make Customers Happy	128	(1)
Managerial Issues	128	(1)
Research Topics	129	(1)
Summary	130	(1)
Key Terms	131	(1)
Questions for Discussion	131	(1)
Internet Exercises	132	(1)
Team Assignments and Role Playing	133	(1)
Real-World Case: Wal-Mart Goes Online	133	(1)
References	134	(4)
Consumer Behavior, Market Research, and Advertisement	138	(55)
Ritchey Design Learns About Customers	139	(1)
Learning About Consumer Behavior Online	140	(2)
A Model of Consumer Behavior Online	140	(2)
The Consumer Decision-Making Process	142	(3)
A Generic Purchasing-Decision Model	143	(1)
A Customer Decision Model in Web Purchasing	143	(1)
Online Buyer Decision Support Model	143	(1)
Other Models	144	(1)
One-to-One Marketing, Loyalty, and Trust in EC	145	(6)
How One-to-One Relationships are Practiced	145	(1)
Personalization	146	(1)
Insights and Additions 4.1: Cookies in E-Commerce	146	(1)
Collaborative Filtering	147	(1)
Customer Loyalty	147	(1)
Satisfaction in EC	148	(1)
Trust in EC	149	(2)
Market Research for EC	151	(7)
Market Segmentation	151	(1)
Conducting Market Research Online	152	(5)
Limitations of Online Market Research	157	(1)
Internet Marketing in B2B	158	(3)
Organizational Buyer Behavior	158	(1)
The Marketing and Advertising Processes in B2B	158	(1)
Methods for B2B Online Marketing	158	(2)
Affiliate Programs, Informediaries, and Data Mining	160	(1)
Web Advertising	161	(3)
Overview of Web Advertising	161	(1)
Some Internet Advertising Terminology	162	(1)
Why Internet Advertising?	162	(2)
Advertising Networks	164	(1)
Advertising Methods	164	(7)
Banners	164	(3)
Pop-Up and Similar Ads	167	(1)
E-mail Advertising	168	(1)
Newspaper-Like Standardized Ads	169	(1)
Search Engine Advertisement	170	(1)
Advertising in Chat Rooms	170	(1)
Advertising in Newsletters	171	(1)
Other Forms of Advertising	171	(1)
Advertising Strategies and Promotions Online	171	(3)
Associated Ad Display	171	(1)
Affiliate Marketing and Advertising	172	(1)
Ads as a Commodity	172	(1)
Viral Marketing	172	(1)
Customizing Ads	173	(1)
Online Events, Promotions, and Attractions	173	(1)
Special Advertising Topics	174	(3)
Permission Advertising	174	(1)
Advertisement as a Revenue Model	175	(1)
Measuring Online Advertising's Effectiveness	175	(1)
Ad Management	175	(1)
Localization	176	(1)
Wireless Advertising	177	(1)
Ad Content	177	(1)
Software Agents in Marketing and Advertising Applications	177	(16)
A Framework for Classifying EC Agents	178	(2)
Character-Based Animated Interactive Agents	180	(1)
Insights and Additions 4.2: Brand Names at a Korean Virtual Mail	181	(1)
Other EC Agents	182	(1)
Managerial Issues	182	(1)
Research Topics	183	(1)
Summary	184	(1)
Key Terms	185	(1)
Questions for Discussion	186	(1)
Internet Exercises	186	(1)
Team Assignments and Role Playing	187	(1)
Real-World Case: Web Advertising Strategy Helps P&G Compete	187	(1)
References	188	(5)
Business-to-Business E-Commerce	193	(135)
B2B E-Commerce: Selling and Buying in Private E-Markets	193	(41)
General Motors' B2B Initiatives	194	(1)
Concepts, Characteristics, and Models of B2B EC	195	(6)
Basic B2B Concepts	195	(1)
Market Size and Content of B2B	195	(1)
The Basic B2B Transaction Types	195	(2)
The Basic Types of B2B E-Marketplaces	197	(1)
B2B Characteristics	197	(1)
Supply Chain Relationships in B2B	198	(1)
Insights and Additions 5.1: Summary of B2B Characteristics	199	(1)
Virtual Service Industries in B2B	199	(1)
The Benefits and Limitations of B2B	200	(1)
One-to-Many: Sell-Side E-Marketplaces	201	(4)
Sell-Side Models and Activities	201	(1)
Direct Sales from Catalogs	202	(2)
Direct Sales: The Example of Cisco Systems	204	(1)
Selling Via Intermediaries	205	(1)
Selling Via Auctions	206	(2)
Using Auctions on the Sell Side	206	(1)
Selling from the Company's Own Site	207	(1)
Using Intermediaries	207	(1)
Examples of B2B Forward Auction	208	(1)
One-From-Many: Buy-Side E-Marketplaces and E-Procurement	208	(5)
Procurement Methods	208	(1)
Inefficiencies in Traditional Procurement Management	209	(1)
The Goals and Benefits of E-Procurement	209	(2)
Implementing E-Procurement	211	(2)
Buy-Side E-Marketplaces: Reverse Auctions	213	(2)
Conducting Reverse Auctions	213	(1)
Insights and Additions 5.2: Comparison of Pre-Internet and Web-Based Reverse Auction Processes	214	(1)
Group Reverse Auctions	214	(1)
Other E-Procurement Methods	215	(5)
An Internal Purchasing Marketplace: Aggregating Suppliers' Catalogs	215	(3)
Buying at E-Auctions	218	(1)
Group Purchasing	218	(1)
Buying from E-Distributors	219	(1)
Purchasing Direct Goods	220	(1)
Electronic Bartering	220	(1)
Buying in Exchanges and Industrial Malls	220	(1)
Automating B2B Tasks	220	(3)
Contract Management	220	(1)
Spend Management	221	(1)
Sourcing Management and Negotiation	221	(1)
E-Procurement Management	221	(2)
Infrastructure, Integration, and Software Agents in B2B EC	223	(11)
Infrastructure for B2B	223	(1)
Integration	224	(1)
The Role of Standards, Especially XML, in B2B Integration	224	(1)
The Role of Software Agents in B2B EC	225	(1)
Managerial Issues	226	(1)
Research Topics	227	(1)
Summary	227	(1)
Key Terms	228	(1)
Questions for Discussion	229	(1)
Internet Exercises	229	(1)
Team Assignments and Role Playing	229	(1)
Real-World Case: Eastman Chemical Makes Procurement A Strategic Advantage	230	(1)
References	231	(3)
Public B2B Exchanges and Support Services	234	(43)
ChemConnect: The World Chemical Exchange	235	(1)
B2B Electronic Exchanges---An Overview	236	(6)
Classification of Exchanges	236	(2)
Dynamic Pricing	238	(1)
Functions of Exchanges	238	(1)
Ownership, Governance, and Organization of Exchanges	239	(2)
Advantages and Limitations of Exchanges	241	(1)
B2B Portals	242	(2)
Thomas Register	243	(1)
Alibaba.com	243	(1)
Third-Party (Trading) Exchanges	244	(3)
The Supplier Aggregation Model	246	(1)
The Buyer Aggregation Model	246	(1)
Suitability of Third-Party Exchanges	246	(1)
Consortium Trading Exchanges	247	(5)
Purchasing-Oriented Consortia	248	(1)
Selling-Oriented Consortia	248	(1)
Other Issues for Consortia	248	(4)
Dynamic Trading: Matching and Auctions	252	(1)
Matching	252	(1)
Auctions	252	(1)
Building and Integrating E-Marketplaces and Exchanges	253	(2)
Building E-Marketplaces	253	(1)
The Integration Issue	253	(2)
Support Services for E-Marketplaces and Prm	255	(2)
Directory Services and Search Engines	255	(1)
Partner and Supplier Relationship Management	255	(1)
E-Communities and PRM	256	(1)
B2B Networks	257	(2)
Company-Centered (Private) Networks	258	(1)
Industrywide (Vertical) Networks	258	(1)
Transindustry and Global Networks	258	(1)
B2B Implementation Issues	259	(6)
Insights and Additions 6.1: B2B Public Networks	260	(1)
Private Marketplaces Versus Public Exchanges	261	(1)
Software Agents in B2B Exchanges	262	(2)
Disintermediation and Reintermediation	264	(1)
Evaluating Exchanges	264	(1)
Managing Exchanges	265	(10)
Centralized Management	265	(1)
Critical Success Factors for Exchanges	265	(1)
New Directions for B2B Marketplaces	266	(1)
Insights and Additions 6.2: Some Critical Success Factors for Exchanges	267	(1)
Managerial Issues	268	(1)
Research Topics	268	(1)
Summary	269	(1)
Key Terms	270	(1)
Questions for Discussion	270	(1)
Internet Exercises	270	(1)
Team Assignments and Role Playing	271	(1)
Real-World Case: Global Transportation Network Ocean Portal	271	(2)
References	273	(2)
Communication Networks and Extranets for B2B	275	(2)
E-Supply Chains, Collaborative Commerce, Intrabusiness EC, and Corporate Portals	277	(51)
How General Motors Is Collaborating Online	278	(1)
E-Supply Chains	279	(4)
Definitions and Concepts	279	(1)
Supply Chain Parts	280	(1)
Managing Supply Chains	281	(2)
Supply Chain Problems and Solutions	283	(3)
Typical Problems Along the Supply Chain	283	(1)
The Need for Information Sharing Along the Supply Chain	284	(1)
EC Solutions Along the Supply Chain	284	(2)
Collaborative Commerce	286	(10)
Essentials of Collaborative Commerce	286	(1)
Collaboration Hubs	287	(1)
Collaborative Networks	288	(1)
Representative Examples of E-Collaboration	289	(4)
Using RFID to Improve Supply Chains	293	(2)
Collaborative Commerce and Knowledge Management	295	(1)
Barriers to C-Commerce	295	(1)
Collaborative Planning, CPFR, and Collaborative Design	296	(4)
Insights and Additions 7.1: Using EC in the Retail Industry to Reduce Time and Cost	296	(1)
The CPFR Project	297	(1)
Advanced Planning and Scheduling	298	(1)
Product Lifecycle Management	299	(1)
Supporting Joint Design	300	(1)
Internal Supply Chain Solutions: Intrabusiness and B2E	300	(5)
Intrabusiness and B2E EC	301	(4)
Integration Along the Supply Chain	305	(1)
How Information Systems are Integrated	305	(1)
Enabling Integration and the Role of Standards and Web Services	305	(1)
Integration Along the Extended Supply Chain	305	(1)
Corporate (Enterprise) Portals	306	(5)
Insights and Additions 7.2: Seamless Integration of Business Partners' Systems	307	(1)
Corporate Portals: An Overview	307	(1)
Types of Corporate Portals	308	(1)
Insights and Additions 7.3: Some Large-Company Corporate Portals	309	(1)
Corporate Portal Applications	310	(1)
Justifying Portals	311	(1)
Developing Portals	311	(1)
Collaboration-Enabling Tools: From Workflow to Groupware	311	(17)
Workflow Technologies and Applications	311	(2)
Groupware: Collaboration Tools	313	(6)
Other Collaborative Tools	319	(1)
Implementation Issues for Online Collaboration	319	(1)
Managerial Issues	320	(1)
Research Topics	320	(1)
Summary	321	(1)
Key Terms	322	(1)
Questions for Discussion	322	(1)
Internet Exercises	323	(1)
Team Assignments and Role Playing	323	(1)
Real-World Case: Portal and Collaboration at Pioneer	324	(1)
References	324	(4)
Other EC Models and Applications	328	(96)
Innovative EC Systems: From E-Government and E-Learning to C2C	328	(45)
E-Learning at Cisco Systems	329	(1)
E-Government: An Overview	330	(6)
Scope and Definition	330	(1)
Government-to-Citizens	330	(3)
Government-to-Business	333	(1)
Government-to-Government	334	(1)
Government-to-Employees and Internal Efficiency and Effectiveness	335	(1)
Facilitating Homeland Security	336	(1)
Implementing E-Government	336	(3)
The Transformation to E-Government	336	(2)
Implementation Issues of E-Government	338	(1)
Citizen Adoption of E-Government	338	(1)
Non-Internet E-Government	338	(1)
Online Publishing, E-Books, and Blogging	339	(6)
Online Publishing Approaches and Methods	340	(1)
Electronic Books	341	(2)
Print-on-Demand	343	(1)
Blogging (Weblogging)	344	(1)
E-Learning	345	(8)
The Basics of E-Learning	345	(1)
Benefits and Drawbacks of E-Learning	345	(2)
Insights and Additions 8.1: Blackboard and WebCT	347	(1)
Preventing E-Learning Failures	348	(1)
Distance Learning and Online Universities	349	(1)
Online Corporate Training	349	(1)
Insights and Additions 8.2: Examples of Corporate Training	350	(1)
Implementing E-Learning and E-Training in Learning Centers	351	(1)
Edutainment	351	(1)
E-Learning Tools	351	(2)
Knowledge Management and E-Commerce	353	(4)
KM Types and Activities	353	(1)
How Is Knowledge Management Related to E-Commerce	354	(1)
Knowledge Portals	355	(1)
Online Advice and Consulting	355	(2)
Expert Advice within Organizations	357	(1)
Customer-to-Customer E-Commerce	357	(3)
C2C Auctions	358	(1)
Classified Ads	358	(1)
Personal Services	359	(1)
C2C Exchanges	359	(1)
Selling Virtual Properties	360	(1)
Support Services for C2C	360	(1)
Peer-to-Peer Networks and Applications	360	(13)
Characteristics of P2P Systems	360	(1)
Models of P2P Applications	361	(1)
C2C P2P Applications	362	(1)
Intrabusiness P2P Applications	363	(1)
B2B P2P Applications	363	(1)
B2C P2P Applications	364	(1)
Managerial Issues	364	(1)
Research Topics	364	(1)
Summary	365	(1)
Key Terms	366	(1)
Questions for Discussion	366	(1)
Internet Exercises	367	(1)
Team Assignments and Role Playing	367	(1)
Real-World Case: E-Government Initiations in Hong Kong	368	(1)
References	369	(4)
Mobile Commerce and Pervasive Computing	373	(51)
7-Eleven Tracks Inventory Wirelessly	374	(1)
Mobile Computing	375	(7)
Overview of Mobile Commerce	375	(1)
Mobile Computing Devices	376	(3)
Mobile Computing Infrastructure	379	(1)
Mobile Computing Software	379	(1)
Mobile Computing Services	380	(2)
Wireless Telecommunications Networks	382	(7)
Personal Area Networks	382	(1)
Wireless Local Area Networks	383	(1)
Wireless Metropolitan Area Networks	384	(1)
Insights and Additions 9.1: Wi-Fi Takes Off	385	(1)
Insights and Additions 9.2: War Driving and War Chalking	386	(1)
Wireless Wide Area Networks	386	(3)
Mobile Commerce	389	(2)
Attributes of M-Commerce	389	(1)
Drivers of M-Commerce	390	(1)
Mobile Financial Applications	391	(1)
Mobile Banking	391	(1)
Wireless Electronic Payment Systems	391	(1)
Wireless Bill Payments	392	(1)
Mobile Shopping, Advertising, and Content Provision	392	(3)
Wireless Shopping	392	(1)
Targeted Advertising	393	(1)
Mobile Portals	394	(1)
Mobile Intrabusiness Applications	395	(3)
Support of Mobile Employees	395	(2)
Supporting Other Types of Work	397	(1)
Customer Support	398	(1)
Non-Internet Intrabusiness Applications	398	(1)
B2B M-Commerce and Supply Chain Management	398	(1)
Mobile Consumer and Personal Service Applications	399	(2)
Mobile Games	400	(1)
Wireless Telemedicine	400	(1)
Other Mobile Computing Services for Consumers	401	(1)
Non-Internet Mobile Applications for Consumers	401	(1)
Location-Based Mobile Commerce	401	(3)
Location-Based Advertising	402	(1)
Emergency Response Cell Phone Calls	403	(1)
Telematics and Telemetry Applications	403	(1)
Barriers to Location-Based M-Commerce	403	(1)
Security and Other Barriers to Mobile Commerce	404	(4)
M-Commerce Security Issues	404	(1)
Technological Barriers to M-Commerce	405	(1)
Ethical, Legal, and Health Issues in M-Commerce	405	(2)
Project Failures in M-Commerce	407	(1)
Pervasive Computing	408	(16)
Overview of Pervasive Computing	408	(1)
Pervasive Computing Initiatives	409	(3)
Insights and Additions 9.3: Washers and Dryers on the Web	412	(3)
Barriers to Pervasive Computing	415	(1)
Managerial Issues	415	(1)
Research Topics	416	(1)
Summary	416	(1)
Key Terms	417	(1)
Questions for Discussion	418	(1)
Internet Exercises	418	(1)
Team Assignments and Role Playing	419	(1)
Real-World Case: Washington Township Fire Department Goes Wireless	419	(1)
References	420	(4)
EC Support Services	424	(155)
E-Auctions	424	(33)
eBay---The World's Largest Auction Site	425	(1)
Fundamentals of Dynamic Pricing and E-Auctions	426	(4)
One Buyer, One Seller	427	(1)
One Seller, Many Potential Buyers	427	(1)
One Buyer, Many Potential Sellers	428	(1)
Insights and Additions 10.1: B2C Forward Auctions: Dell Auction	428	(1)
Many Sellers, Many Buyers	429	(1)
Benefits, Limitations, and Strategic Uses of E-Auctions	430	(2)
Benefits of E-Auctions	430	(2)
Limitations of E-Auctions	432	(1)
Strategic Uses of Auctions and Pricing Mechanisms	432	(1)
The ``Name-Your-Own-Price'' C2B Model	432	(1)
The E-Auction Process and Software Support	433	(5)
Phase 1: Searching and Comparing	434	(1)
Insights and Additions 10.2: Finding a Pool Table and More	435	(1)
Phase 2: Getting Started at an Auction	436	(1)
Phase 3: Bidding	436	(1)
Phase 4: Postauction Follow-Up	437	(1)
Additional Terms and Rules	438	(1)
Double Auctions, Bundle Trading, and Pricing Issues	438	(2)
Double Auctions	438	(1)
Bundle Trading	439	(1)
Prices in Auctions: Higher or Lower?	439	(1)
E-Auction Fraud and Its Prevention	440	(2)
Types of E-Auction Fraud	440	(1)
Protecting Against E-Auction Fraud	441	(1)
Bartering and Negotiating Online	442	(2)
Bartering Online	442	(1)
Negotiation and Bargaining	443	(1)
Issues in E-Auction Implementation	444	(4)
Using Intermediaries	444	(1)
Using Trading Assistants	444	(1)
Auction Rules	444	(1)
Insights and Additions 10.3: Using Trading Assistants at eBay	445	(1)
Strategic Issues	445	(1)
Auctions in Exchanges	445	(1)
Infrastructure for E-Auctions	445	(1)
Auctions on Private Networks	446	(2)
Mobile E-Auctions and the Future of Auctions	448	(9)
Benefits and Limitations of Mobile Auctions	449	(1)
The Future of E-Auctions	449	(1)
Managerial Issues	450	(1)
Research Topics	451	(1)
Summary	452	(1)
Key Terms	452	(1)
Questions for Discussion	453	(1)
Internet Exercises	453	(1)
Team Assignments and Role Playing	454	(1)
Real-World Case: Dynamic Trading at Oceanconnect.Com	454	(1)
References	455	(2)
E-Commerce Security	457	(36)
Phishing	458	(1)
The Continuing Need for E-Commerce Security	459	(1)
Security is Everyone's Business	460	(1)
Basic Security Issues	461	(2)
Types of Threats and Attacks	463	(7)
Nontechnical Attacks: Social Engineering	463	(1)
Technical Attacks	464	(6)
Managing EC Security	470	(1)
Security Risk Management	470	(1)
Securing EC Communications	471	(7)
Access Control and Authentication	471	(3)
Public Key Infrastructure	474	(4)
Securing EC Networks	478	(15)
Firewalls	479	(2)
Demilitarized Zone	481	(1)
Personal Firewalls	481	(1)
VPNs	481	(2)
Intrusion Detection Systems	483	(1)
Honeynets and Honeypots	483	(2)
Managerial Issues	485	(1)
Research Topics	486	(1)
Summary	487	(1)
Key Terms	488	(1)
Questions for Discussion	489	(1)
Internet Exercises	489	(1)
Team Assignments and Role Playing	490	(1)
Real-World Case: Do I Really Need This?	490	(1)
References	491	(2)
Electronic Payment Systems	493	(37)
FlyLady Adopts PayPal	494	(1)
The Payment Revolution	495	(1)
Using Payment Cards Online	496	(4)
Processing Credit Cards Online	497	(1)
Fraudulent Credit Card Transactions	497	(3)
Virtual Credit Cards	500	(1)
Smart Cards	500	(8)
Types of Smart Cards	502	(1)
Applications of Smart Cards	503	(4)
Securing Smart Cards	507	(1)
Stored-Value Cards	508	(2)
E-Micropayments	510	(1)
E-Checking	511	(2)
Electronic Bill Presentment and Payment	513	(3)
Types of E-Billing	514	(1)
Advantages of E-Billing	514	(2)
B2B Electronic Payments	516	(4)
Current B2B Payment Practices	516	(1)
Enterprise Invoice Presentment and Payment	517	(3)
The Sales Tax Issue	520	(10)
Managerial Issues	522	(1)
Research Topics	523	(1)
Summary	523	(2)
Key Terms	525	(1)
Questions for Discussion	525	(1)
Internet Exercises	525	(1)
Team Assignments and Role Playing	526	(1)
Real World Case: From Paper to E-Payments: The Story of Wells Fargo Home Mortgage	526	(1)
References	527	(3)
Order Fulfillment, eCRM, and Other Support Services	530	(49)
How Amazon.com Fulfills Orders	531	(1)
Order Fulfillment and Logistics---An Overview	532	(4)
Overview of Order Fulfillment	533	(1)
Overview of Logistics	534	(1)
The EC Order Fulfillment Process	534	(2)
Insights and Additions 13.1: What Services Do Customers Need?	536	(1)
Problems in Order Fulfillment	536	(2)
Typical Supply Chain Problems	537	(1)
Why Supply Chain Problems Exist	537	(1)
Solutions to Order Fulfillment Problems	538	(11)
Improvements in the Order-Taking Process	538	(1)
Warehousing and Inventory Management Improvements	538	(2)
Speeding Deliveries	540	(1)
Partnering Efforts and Outsourcing Logistics	541	(3)
Insights and Additions: 13.2 UPS Provides Broad EC Services	544	(2)
Handling Returns	546	(1)
Order Fulfillment in B2B	546	(1)
Innovative E-Fulfillment Strategies	547	(2)
CRM and Its Relationship With EC	549	(5)
What is CRM: Definitions, Types, and Classifications	549	(1)
eCRM	550	(1)
The Scope of CRM	550	(1)
Benefits and Limitations of CRM	551	(1)
CRM Implementation Issues	551	(1)
Integrating CRM Into the Enterprise	552	(1)
Justifying Customer Service and CRM Programs	553	(1)
Delivering Customer Service in Cyberspace: CRM Applications and Tools	554	(11)
Classifications of CRM Applications	554	(1)
Customer-Facing Applications	555	(3)
Customer-Touching Applications	558	(3)
Customer-Centric Applications	561	(1)
Online Networking and Other Applications	562	(1)
Mobile CRM	563	(2)
Other EC Support Services	565	(3)
Consulting Services	565	(1)
CRM Suites	566	(1)
Directory Services, Newsletters, and Search Engines	566	(1)
Some More EC Support Services	567	(1)
Outsourcing EC Support Services	568	(11)
Why Outsource EC Services?	569	(1)
IT Outsourcing and Application Services Providers	570	(1)
Managerial Issues	571	(1)
Research Topics	572	(1)
Summary	573	(1)
Key Terms	573	(1)
Questions for Discussion	574	(1)
Internet Exercises	574	(1)
Team Assignments and Role Playing	575	(1)
Real-World Case: How Cigna Fulfills Service Orders and Improves CRM	575	(1)
References	576	(3)
EC Strategy and Implementation	579	(172)
E-Commerce Strategy and Global EC	579	(40)
Search Wars	580	(2)
Organizational Strategy: Concepts and Overview	582	(6)
The Strategic Planning Process	583	(2)
Strategic Planning Tools	585	(3)
Business Planning	588	(31)
Business Plan Fundamentals	588	(1)
Business Case	589	(1)
Insights and Additions 14.1: Putting the ``E'' in E-Business Planning	589	(1)
EC Strategy: Concepts and Overview	590	(1)
E-Strategy Initiation	591	(1)
Issues in E-Strategy Initiation	591	(1)
Insights and Additions 14.2: First-Mover and Best-Mover Success Stories	592	(4)
E-Strategy Formulation	596	(1)
Selecting EC Opportunities	596	(1)
Determining an Appropriate EC Application Portfolio	596	(1)
Risk Analysis and Management	597	(1)
Issues in Strategy Formulation	598	(2)
E-Strategy Implementation	600	(1)
Strategy Implementation Issues	601	(2)
E-Strategy and Project Assessment	603	(1)
The Objectives of Assessment	603	(1)
Measuring Results and Using Metrics	603	(1)
Global E-Commerce	604	(2)
Benefits and Extent of Operations	606	(1)
Barriers to Global EC	607	(1)
Breaking Down the Barriers to Global EC	608	(1)
EC in Small and Medium-Sized Enterprises	609	(1)
Critical Success Factors for SMEs	610	(1)
Supporting SMEs	611	(1)
Managerial Issues	611	(1)
Research Topics	612	(1)
Summary	613	(1)
Key Terms	613	(1)
Questions for Discussion	614	(1)
Internet Exercises	614	(1)
Team Assignments and Role Playing	615	(1)
Real-World Case: Pierre Lang Expands into Eastern Europe	615	(1)
References	616	(3)
Economics and Justification of Electronic Commerce	619	(42)
Justifying EC and IT Investment in the State of Iowa	620	(1)
Why Justify EC Investments? How Can They Be Justified?	621	(3)
Increased Demand for Financial Justification	621	(1)
Other Reasons Why EC Justification Is Needed	621	(1)
EC Investment Categories and Benefits	622	(1)
How Is an EC Investment Justified?	622	(1)
What Needs to Be Justified? When Should Justification Take Place?	622	(1)
Using Metrics in EC Justification	623	(1)
Difficulties in Measuring and Justifying EC Investments	624	(4)
The EC Justification Process	624	(1)
Difficulties in Measuring Productivity and Performance Gains	624	(1)
Relating IT Expenditures to Organizational Performance	625	(1)
Difficulties in Measuring Costs and Benefits	625	(3)
Methods and Tools for Evaluating and Justifying EC Investments	628	(5)
Methodological Aspects of Justifying EC Investments	628	(2)
Traditional (Generic) Methods for Evaluating IT Investments	630	(1)
Advanced Methods for Evaluating IT and EC Investments	631	(2)
Examples of EC Project Justification	633	(4)
E-Procurement	633	(1)
Customer Service and e-CRM	633	(1)
Insights and Additions 15.1: E-Procurements Metrics	634	(1)
Insights and Additions 15.2: Assessing E-CRM ROI	635	(1)
Justifying a Portal	636	(1)
Justifying E-Training Projects	636	(1)
Justifying an Investment in RFID	637	(1)
Justifying Security Projects	637	(1)
The Economics of EC	637	(7)
Production Costs	638	(3)
Increased Revenues	641	(1)
Reducing Transaction Friction or Risk	642	(1)
Product Differentiation	642	(1)
Agility	643	(1)
Markets and e-Markets	643	(1)
Valuation	643	(1)
Factors That Determine EC Success	644	(2)
The Levels of EC Measurement	645	(1)
Opportunities for Success in EC and Avoiding Failure	646	(15)
E-Commerce Failures	646	(1)
E-Commerce Successes	647	(2)
Creating Digital Options	649	(1)
Complementary Investments	649	(1)
Cultural Differences	650	(1)
EC in Developing Economies	650	(2)
Managerial Issues	652	(1)
Research Topics	652	(1)
Summary	653	(1)
Key Terms	654	(1)
Questions for Discussion	654	(1)
Internet Exercises	655	(1)
Team Assignments and Role Playing	655	(2)
Real-World Case: How Citigroup Measures Itself	657	(1)
References	658	(3)
Launching a Successful Online Business and EC Project	661	(46)
OBO Sets Its Goals for Success	662	(1)
Getting Into E-Commerce	663	(1)
Starting a New Online Business	663	(5)
Creating a New Company or Adding an Online Project	663	(2)
Online Business Planning	665	(1)
Funding a New Online Business	666	(1)
Insights and Additions 16.1: A Business Case Template	667	(1)
Adding EC Initiatives and Transforming to an E-Business	668	(2)
Adding EC Initiatives to an Existing Business	668	(1)
Transformation to an E-Business	669	(1)
Building or Acquiring a Web Site	670	(3)
Classification of Web Sites	671	(1)
Building a Web Site	672	(1)
Web Site Hosting and Obtaining a Domain Name	673	(4)
Web Hosting Options	673	(3)
Registering a Domain Name	676	(1)
Content Creation, Delivery, and Management	677	(6)
Content Creation and Acquisition	678	(3)
Content Management	681	(1)
Catalog Content and Its Management	682	(1)
Translation of Content to Other Languages	682	(1)
Content Maximization and Streaming Services	683	(1)
Web Site Design	683	(7)
Information Architecture	684	(2)
Site Navigation	686	(1)
Consistency	687	(1)
Performance	688	(1)
Colors and Graphics	688	(1)
Quality Assurance	689	(1)
Providing EC Support Services	690	(6)
Who Builds the Web Site?	690	(2)
Payments: Accepting Credit Cards	692	(1)
Web Site Promotion	693	(1)
Customer Relationship Management	694	(2)
Opening a Web Storefront	696	(11)
Options for Acquiring Storefronts	696	(2)
Yahoo! Small Business	698	(1)
Managerial Issues	699	(1)
Research Topics	699	(1)
Summary	700	(1)
Key Terms	701	(1)
Questions for Discussion	701	(1)
Internet Exercises	701	(1)
Team Assignments and Role Playing	702	(1)
Real World Case: Sears' Transformation to Click-and-Mortar	702	(2)
References	704	(3)
Legal, Ethical, and Societal Impacts of EC	707	(44)
File Sharing on the Web and Intellectual Property Rights	708	(1)
Legal Issues Versus Ethical Issues	709	(2)
The Major Ethical and Legal Issues Discussed in this Chapter	709	(1)
EC Ethical Issues	710	(1)
Privacy	711	(5)
Collecting Information About Individuals	711	(3)
Protection of Privacy	714	(1)
The USA Patriot Act	715	(1)
Privacy Protection in Other Countries	715	(1)
Intellectual Property Rights	716	(5)
Copyrights	716	(2)
Trademarks	718	(2)
Patents	720	(1)
Fan and Hate Sites	720	(1)
Unsolicited Electronic ADS: Problems and Solutions	721	(4)
E-Mail Spamming	721	(2)
Protecting Against Pop-Up Ads	723	(1)
Concluding Remarks	724	(1)
Free Speech Versus Censorship and Other Legal Issues	725	(5)
Other Legal Issues	725	(3)
Taxing Business on the Internet	728	(1)
The Tax-Exemption Debate	728	(2)
EC Fraud and Consumer and Seller Protection	730	(6)
Fraud on the Internet	730	(1)
Insights and Additions 17.1: Typical Fraud Schemes	730	(1)
Consumer Protection	731	(2)
Insights and Additions 17.2: Internet Shopping Rights	733	(2)
Seller Protection	735	(1)
Societal Issues	736	(1)
The Digital Divide	736	(1)
Other Societal Issues	736	(1)
Virtual (Internet) Communities	737	(4)
Characteristics of Communities	737	(1)
Insights and Additions 17.3: Examples of Communities	738	(1)
Commercial Aspects of Communities	738	(2)
Key Strategies for Successful Online Communities	740	(1)
The Future of EC	741	(10)
Nontechnological Success Factors	741	(2)
EC Technology Trends	743	(1)
Integrating the Marketplace with the Marketspace	744	(1)
Managerial Issues	745	(1)
Research Topics	746	(1)
Summary	747	(1)
Key Terms	748	(1)
Questions for Discussion	748	(1)
Internet Exercises	749	(1)
Team Assignments and Role Playing	749	(1)
Real-World Case: How Companies Fight Spamming	750	(1)
References	751