 Reinvention phase of e-commerce: Use of mobile platforms … since it’s not only the

internet but also now we have social media, so the reinvention of e-commerce could be
in the social media world as well.
 Ecommerce is the use of the internet to transact business
 NOT TRUE: economists take a purely technical approach to e-commerce
 TRUE: Two primary approaches to e-commerce: behavioral and technical,
 Above all, e-commerce is a technology-driven phenomenon
 Reach refers to the total number of users/customers an e-commerce business can
obtain … HOW MANY THEY CAN REACH
 Disintermediation= Displacement of market middlemen AND creation of a new direct
relationship between producers and consumers . DIS intermediation= DISplacement
 Information asymmetry= any disparity in relevant market information among parties in
transactions
 Example of C2C e-commerce: craigslist
 Ubiquity= e-commerce is available just about anywhere at any time
 Mobile e-commerce: distinguished by the type of technology used in the
transaction rather than by nature or market relationship
 Freemium Strategy: give away a certain level of product or services without
charge but charge for premium levels of the product
 Parts of business models employed in online music industry:
cloud sharing, subscription, download and own
o EXCEPT: peer-to-peer streaming
 Stickiness is a more important attribute to advertising revenue models
 Ebay uses B2C model BUT NOT C2C MODEL
o IT IS NOT A CONTENT PROVIDER
 Incubators: organizations that typically provide an array of services to start-ups
 B2B Models (Business to business models)- exchanges , e-procurement, e-distributors
o EXCEPT: e-tailers
 Co.’s that primarily use an advertising revenue model: Twitter, Google, Yahoo
o EXCEPT Amazon
 Amazon’s primary value proposition: selection and convenience
 Examples of bricks and clicks business models : Walmart, sears, staples
 Firm’s revenue model describes how a firm will produce a superior return on invested
capital
 Routers: Specialized computers that interconnect thousands of computers that make
up the internet in order to transit message parcels along available communication paths
 WIFI and Bluetooth are technologies used with wireless local area networks
 Domain name systems allows natural language expression, like Google.com
 TCP/IP- Primary communications protocol for the internet
 Protocol: set of rules used for transferring data
 TCP/IP – primary communication protocol for internet “language” responsible for
addressing, packaging and routing
 IPv4 address is 32-bit number appears as a series of four separated #’s separated by
periods
 Packet switching- process of slicing digital messages into containers
 DNS servers- help convert URL’s into IP addresses
 SDLC- steps from BEGINNING to END:
o Systems analysis/planning; systems design; building the
system;testing;implementation
o SSBTI
 When developing e-commerce presence, question is who is the target audience , where
can they be reached?
 Digital catalog- system functionalities display goods on a website
 Logical and physical design- two main components of a systems design
 Acceptance testing= verifies that the business objectives are
working. ACCEPTANCE=VERIFYING THAT ITS WORKING
 Main factors in determining overall demand on site:
o Except: file sizes of web pages being served
 Basic functionality NOT provided by e0commerce: productivity software
 Physical design= details the actual hardware components used in a system
 Social media= best way to have ongoing conversation
 Unit testing: testing sites programs module are at a time
 Most frequent cause of stolen credit card info:
o Hacking and looting servers storing credit card info
 Example of biometrics: fingerprint scan
 Firewall: hardware or software acts as a fiter to prevent unwanted packets from
entering a network
 Digital certificate doesn’t contain private KEY
 Sniffer is NOT a malicious code
 Slammer is an example of a worm
 Nonrepudiation- refers to ability to ensure e-commerce participants do not deny their
online actions
 Authenticity- ability to identify the person with whom you are dealing on the internet
 Hacktivists typically attacks gov and organizations
 Spyware- used to obtain private user info like keystrokes
 Copyright law- protects original forms of expression in a tangible medium
 Responsible liability, accountability are basic principles shared by ethical schools -> THEY
DON’T TEACH PRIVACY
 Cybersquatting-> register domain name or indetical to trademarks of others to extort
profits. COPYCAT! Same domain to extort profits
 Copyright is violated when you download illegal music
 First step in analyzing an ethical dilemma: identify and describe the facts
 Factor that DOSE NOT determine whether use of copyright materials is fair is :
o Free availability of the the work on Netlfix or HULU
 Net neutrality requires that all data be treated in the same manner
 Patent law= allows someone to obtain an exclusive monopoly on the ideas behind an
invention for 30 years