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Running head: E BUSINESS SYSTEM E business system Name of the Student Name of the University Author Note
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1 E BUSINESS SYSTEM Secret URL as generated: https://mahara.cqu.edu.au/view/view.php?t=UfV653zSkAYjQNTLumpE Week 3: Building an E-Commerce Presence The week 3 learning involved a clear understanding of the process of building and e commerce presence. The learning outcomes of this week included a clear understanding of the different processes associated with the e commerce presence. The class discussion included the objective of FT in re designing its online presence and the associated considerations. In order to successfully create an e commerce presence, it is essential that the idea and vision includes a mission statement, target audience, development time line and preliminary budget. Proper estimation of all these factors will result in creating a successful e commerce presence. The lectures of this week have provided the importance of an e commerce presence as in today’s business world, only having the web presence is not enough (Lu, Fan & Zhou, 2016). An online business has become a necessity for ensuring the success of a business. However, there are certain crucial aspects of building an e commerce presence that has to be kept in mind. Not only the idea of e commerce present will help in growth of the business but it is very essential to undergo a SWOT analysis in order to understand the importance of the different strengths and weaknesses of the idea. The cost consideration is important as well. And e commerce presence indicates setting up of a website that will be a key to the increase the customers’ reach. The development and go live of the website should further include a proper milestone and timeline for the project. In setting up of an e commerce presence, there are certain factors that are needed to be considered (Han, Min & Lee, 2016). The main factors to consider include management,
2 E BUSINESS SYSTEM hardware architecture, software and design needs of setting up of an e commerce presence. The telecommunication and the human resources need are also to be considered in ensuring the project success. Since one of the major factors in ensuring the successful implementation of e commerce presence is proper planning of the same, it is essential to consider proper planning of having an e commerce presence. The different steps of successful implementation of an e commerce presence by developing a website includes the phases such as systems analysis and planning, system design, building the system, testing and implementation. This week’s lecture haveprovidedwithadetailedunderstandingoftheimportanceofproperplanningin development of an e commerce presence in form of business website (Calefato, Lanubile & Novielli, 2015). The development of the website should be proper and therefore it is essential to make a proper choice of development of the website. It is to be understood whether and in house development of the website or a complete outsourcing will be required based on the need of the business. The class discussion further includes an understanding of the value that Weebly offer in small business. Weebly makes creating the website for and e commerce presence quite easy and therefore it adds great value to the existing business. After development of the website, proper testing of the same is essential as well. References Calefato, F., Lanubile, F., & Novielli, N. (2015). The role of social media in affective trust building in customer–supplier relationships.Electronic Commerce Research,15(4), 453- 482.
3 E BUSINESS SYSTEM Han, S., Min, J., & Lee, H. (2016). Building relationships within corporate SNS accounts throughsocialpresenceformation.InternationalJournalofInformation Management,36(6), 945-962. Lu, B., Fan, W., & Zhou, M. (2016). Social presence, trust, and social commerce purchase intention: An empirical research.Computers in Human Behavior,56, 225-237. Week 4: E-Commerce Security and Payment Systems After successful creation of an e commerce presence, it is very essential to evaluate and ensure proper e commerce security and payment system. The lectures of week 4 have provided a detailed understanding of the e commerce security and the security of the payment systems associated with an e commerce web presence. This week’s learning has given a detailed idea of the scope of an e commerce crime associated with an e commerce website along with the key security threats associated with an e commerce environment. These security threats can be properly mitigated by making an accurate use of the technology. The main areas of concern
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4 E BUSINESS SYSTEM include the importance of policies, procedure and the proper maintenance of the e commerce payment systems (Chaudhry et al., 2016). The electronic billing and the payment systems are more prone to security attacks and therefore proper concentration is needed in this field. The class discussion included the differences between hacking and cybercrime, the knowledge of which is very important in understanding the different security issues associated with creation of ecommercepresence(Trautman,2015).Therehasbeenaconsiderableincreaseinthe cybercrime rate and therefore it is essential to have a clear idea of the different security issues associated with the e commerce websites. An average total cost of the data breach to US Corporation was nearly $4 million according to a survey of 2016. Therefore, it is essential to achieve a good level of security in e commerce website by making use of new technologies and the organizational policies and the procedure. These factors are associated with the industry standards and the government laws. The other factors that are needed to be considered in developing a secure website is cost of security and potential loss associated with the project. The main vulnerability associated with the use of the e commerce environment is present in client, server and communication pipeline. The presence or infusion of a malicious code in the program can be a major security risk associated with the website. The exploits that can be present in such website includes viruses, worms and the ransomware (Nilashi et al., 2015). The potentially unwanted programs associated with development of the website include the adware, spyware and the browser parasites. This can further make the payment system of the website quite vulnerable. A e commerce website is further associated with the risk of phishing that includes any deceptive online attempt of the third party in obtaining the confidential information of the website and making use of the same in gaining a confidential information. Other significant security risks associated with an e commerce website include hacking, cybervandalism and hacktivism.The
5 E BUSINESS SYSTEM data breaches associated with the use of website results in the loss of important information from the website that can be a result of the identity fraud or data theft. This week’s learning has security risks of spoofing, pharming and spam websites. References Chaudhry, S. A., Farash, M. S., Naqvi, H., & Sher, M. (2016). A secure and efficient authenticatedencryptionforelectronicpaymentsystemsusingellipticcurve cryptography.Electronic Commerce Research,16(1), 113-139. Nilashi, M., Ibrahim, O., Mirabi, V. R., Ebrahimi, L., & Zare, M. (2015). The role of Security, Design and Content factors on customer trust in mobile commerce.Journal of Retailing and Consumer Services,26, 57-69. Trautman, L. J. (2015). E-Commerce, Cyber, and Electronic Payment System Risks: Lessons from PayPal. UC Davis Bus. LJ, 16, 261.
6 E BUSINESS SYSTEM Week 5: E-Commerce Business Strategies This week’s learning have provided with a clear understanding of the e commerce business strategies. A proper business models include business model, business plan and the e commerce business model. The eight key elements of the business model includes value proposition,revenuemodel,marketopportunity,competitiveenvironment,competitive advantage, market strategy, organizational development and the management team. The value proposition addresses one of the most significant questions which is “Why should the customer buy from you?”. A successful e commerce value proposition can only be achieved with the personalization and customization of the website according to the requirements of the customers (Chaffey, 2015). The class discussions further gave an overview and insight of the foursquare including the revenue models used by Foursquare along with the privacy issues and concerns associated with the location based mobile services. For generation of a successful e presence, it is very essential to understand the market size, a particular organization intend to serve. One of the essential business strategies is proper evaluation of the competitive environment (Mazzarol, 2015). This is because it is essential to investigate the number and size of active competitors that can influence the business of the particular organization. The market share of the competitor is needed to be analyzed as well in order to develop a proper business strategy. The knowledge about the pricing of the competitors’ goods on the website is essential for understanding the requirements. The competitive environment associated with a business is mainly influenced by the number and size of the active competitors. The competitive advantage of the business organization is needed to be evaluated as it helps in understanding the strengths of the organization. Proper knowledge of the strength and weaknesses of an organization is essential for designing the business
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7 E BUSINESS SYSTEM strategy in a particular manner. The lecture of this week gave a proper idea of the organizational development which is an integral business strategy of the project. A strong management team is further essential for actually making the business model work. This week’s learning has provided a proper idea and insight on business and overview and importance of crowdfunding in designing the business strategies of the organization. In order to establish an e presence an organization is needed to establish a B2C model or content provider. The class discussion further gave a proper knowledge about the value that internet of things have for business and the impact of IOT on content industry (Ngai, Tao & Moon, 2015). A B2C business model is associated with the revenue models and the variations that are required for proper designing of the different business models. There are certain characteristic of B2B models that should be considered while creation of an e presence. It is the responsibility of the organization to determine which type of e commerce website the organization will be requiring in order to increase its customers reach. However, the business strategies should consider disruptive technologies and digital disruption associated with the use and development of such website. References Chaffey, D. (2015).Digital business and E-commerce management. Pearson Education Limited. Mazzarol, T. (2015). SMEs engagement with e-commerce, e-business and e-marketing.Small enterprise research,22(1), 79-90. Ngai, E. W., Tao, S. S., & Moon, K. K. (2015). Social media research: Theories, constructs, and conceptual frameworks.International Journal of Information Management,35(1), 33-44.
8 E BUSINESS SYSTEM Week 6: E-Commerce Marketing and Advertising The week 6 lecture gave an overview of the e commerce marketing and advertising. After setting up a proper commercial website for the organization, it is essential to advertise it in order to ensure greatest customers’ reach. This week’s learning gave a clear idea about the importance of internet audience in establishing a proper e presence. The advertisements play a leading role in establishing and marketing the brand value of an organization (Strauss & Frost, 2016). There are certain advantages of the mobile ads over the traditional ads and possess certain risks as well. The online advertisements provides a greater reach with the audiences as the growth with the advancement of technology, majority of the households not only in US but also across the word has internet as well as broadband access (Chen, Su & Widjaja, 2016). Therefore, an online advertisement is expected to provide a larger audience reach in comparison to the traditional advertisement. Furthermore, the household that does not have any broadband access has an option to access the internet via mobile or other locations such as cyber café. Therefore, the internet or online advertising definitely provides platformfor promoting an organization. However, one of the key requirements of successful advertising is proper study of the consumer behavior. This will further help in creating targeted advertisements. The profile of the online
9 E BUSINESS SYSTEM consumers can be researched well in order to develop a targeted advertisement.Researches prove that there are certain stages associated with the consumer decision process. This include the awareness of need, search of the information, evaluation of the alternative, actual purchase decision and post purchase contact with the firm. The general online behavior of the customers is needed to be analyzed in order to understand the online purchase decision of the consumers (Tanner & Raymond, 2015). With the emergence of technology, it is seen that there has been a considerable increase in online and internet shoppers. It is seen that the online traffic influences the offline brand shopping as well. This week’s lecture has provided an overview of the important factors associated with shaping decision of online purchase. Trust and utility is essential factors in shaping an influencing the factors that shape the decision of purchasing online. The strategies and tools for advertising digital commerce include access o personalized contents and the website should be more communal. There are certain considerations associated with proper marketing of the goods. The different platforms are needed to be integrated in a proper way in order to market the goods or the e presence of the organization in an effective manner. The use of online advertising and online marketing is a good strategy in targeting the digital markets and the users of the digital space. The advantage of online marketing and online advertising is that those ad targets the individuals. Personalization of the services is possible with the help of digital marketing. The tools for traditional online marketing and advertising tools include the search engine marketing and advertising, display ad and marketing, email marketing, affiliate marketing, viral marketing and lead generation marketing. However, there are certain challenges associated with the online marketing such as span, poor targets and so on can differ the result of online marketing and advertising. References
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10 E BUSINESS SYSTEM Chen, J. V., Su, B. C., & Widjaja, A. E. (2016). Facebook C2C social commerce: A study of online impulse buying.Decision Support Systems,83, 57-69. Strauss, J., & Frost, R. D. (2016).E-marketing: Instructor's Review Copy. Routledge. Tanner, J., & Raymond, M. (2015).Principles of marketing. University of Minnesota Libraries Publishing. Week 7: Social, Mobile, and Local Marketing This week learning gave an overview of the social, mobile and the local marketing. It is very essential to understand the differences between the traditional online marketing and new social mobile local marketing platforms. The use of online marketing has increased in the recent years with the increase in the number of internet audience (Tuten & Solomon, 2017). However, it becomes very essential in understanding the capabilities of the local marketing campaigns. In understanding the importance of the social, mobile and the local marketing it is essential to understand the success of such marketing campaigns. Inline portals such as pinterest can engage its users in traditional online marketing (Scott, 2015). The social, mobile and local marketing concepts help in targeting a particular group of audience. This week’s learning has provided a
11 E BUSINESS SYSTEM detailed overview of the different concepts of social, mobile and local marketing along with their advantages and disadvantages. The strong ties between the consumers of the social networks considerably influence the shopping behavior of the consumers. The online marketing platforms mainly include the mobile platform and the social media platform. However, it is very essential to understand the traditional online marketing goals and social marketing goals in order to understand their features (Rowles, 2017). The goal of social marketing is to encourage the consumers in online purchase or online interaction with the brand. This in turn strengthens the brand value. The researches prove that the most popular sites accounts for nearly 90% of the social network visits which include the facebook, Google+, twitter, pintereset and tumblr. In order to design a targeted social marketing it is essential to understand the basic features of these social media platform. For example, the basic feature of facebook includes News Feed, Timeline and search. The use of facebook as a platform for marketing helps in maximizing the connection of a particular brand with its users. The lecture of week 7 has further provided an understanding about the process of social media analytics that generally helps the companies in identifying and attracting the customers. There are certain challenges associated with the use of social media as a marketing platform and therefore, it is essential in measuring the effectiveness of the social marketing campaigns. Twitter marketing has considerably increased over the years as it helps in real time interactions with the consumers. There are almost 310 million twitter users worldwide out of which 90% of the twitter users access twitter with the help of mobile devices. Therefore a targeted mobile marketing can help an organization in reaching a larger audience base which is vital for developing a successful e commerce presence. The marketing tools associated with the social media platform of twitter are promoted tweets, promoted trends, promoted accounts,
12 E BUSINESS SYSTEM enhanced profile page, amplify, promoted video, television as re targeting, lead generation cards and mobile ads. References Rowles, D. (2017).Mobile marketing: how mobile technology is revolutionizing marketing, communications and advertising. Kogan Page Publishers. Scott, D. M. (2015).The new rules of marketing and PR: How to use social media, online video, mobile applications, blogs, news releases, and viral marketing to reach buyers directly. John Wiley & Sons. Tuten, T. L., & Solomon, M. R. (2017).Social media marketing. Sage. Week 8: E-Commerce Retailing and Services This week’s learning gives an overview of the e commerce retailing and services. This week’s learning was integral as it is essential to understand the environment in which the online retail sector operates. This week’s learning further gives an overview of the process of selling over internet and understanding the fact why selling over internet is difficult. There has been a considerable increase in the market of retail mobile and e commerce as online retail is one of the fastest growing retail channel across the world. There has been a considerable increase in the big
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13 E BUSINESS SYSTEM data as a source for predictive marketing. The vision of e commerce is reduction in the search and associated transaction costs. The retail marketing further lowers the market entry cost as wit the help of retail marketing; customers are able to find the lowest prices. Due to the similar other advantages, the online retail sector is growing at a faster rate than the offline segments. A survey in 2016 proved that almost 77% of the internet users bought online in2016. However, it is very essential in analyzing the viability of the online firms. In order to assess the viability of the online firms, it is essential to evaluate the economic viability of the online firm. The two business analysis approaches include strategic analysis and financial analysis. The factors associated with strategic analysis include firm value chain, core competencies, synergies, technology and associated social and legal challenges (Pantano & Viassone, 2015). The different operations of the e commerce in action such as Amazon are evaluated in this week’s learning. However, it is essential to understand whether the big data is capable of enabling predictive marketing (Pantano & Priporas, 2016). It is very essential to evaluate whether there are any drawbacks of increasing and promoting predictive marketing so that the designing of such marketing becomes easier. The use of e commerce has transformed that banking and the financial services as it relates to the online financial consumer behavior. The use of financial services has considerably increased over the years as most of the online customers make use of the financial services in checking balances and paying bills. This week’s earning has furthermore provided a brief overview of the different online services such as online insurance services, online real estate services, online travel services and so on (Nica, 2015). These online businesses have been successful as it had a proper target audience and has been able to redesign the e commerce retailing services. The reviews that are an integral part of the success of online marketing and online selling, should be honest and there must be repercussions to the individual
14 E BUSINESS SYSTEM of business for posting false reviews and the products. It is essential to understand whether it is able to recognize the phony reviews. The e commerce retailing services further incorporates online recruitment as well. References Nica, E. (2015). Satisfaction and trust in e-Commerce.Psychosociological Issues in Human Resource Management,3(1), 107-112. Pantano, E., & Priporas, C. V. (2016). The effect of mobile retailing on consumers' purchasing experiences: A dynamic perspective.Computers in Human Behavior,61, 548-555. Pantano, E., & Viassone, M. (2015). Engaging consumers on new integrated multichannel retail settings: Challenges for retailers.Journal of Retailing and Consumer Services,25, 106- 114.