Lesson E-commerce, web 2.0, and social networking systems present the content: organizations use e-commerce; organizations use Web 2.0; social networks add value to businesses; organizations manage the risks of social networking applications.
Lecture 7: E-commerce, Web 2.0, and Social Networking Systems nga.lethiquynh@ueh.edu.vn Study questions Q1 How organizations use e-commerce? Q2 How organizations use Web 2.0? Q3 How Do Social Networks Add Value to Businesses? Q4 What are business applications for Facebook, Twitter, and User-Generated Content (UGC)? Q5 How can organizations manage the risks of social networking applications? BUSINESS INFORMATION SYSTEMS Q1 How organizations use e-commerce? BUSINESS INFORMATION SYSTEMS E-Commerce ► e-commerce is the buying and selling of goods and services over public and private computer networks BUSINESS INFORMATION SYSTEMS E-Commerce Company categories ► Merchant: buy goods and resell them ► Non merchant: sell services and goods provided by others ► a company can be both a merchant and nonmerchant company BUSINESS INFORMATION SYSTEMS E-Commerce Merchant Companies ► Merchant companies: B2C sales between a supplier and a retail customer B2B sales between companies B2G sales between companies and governmental organizations C2C Source: textbook[1], page 250 BUSINESS INFORMATION SYSTEMS Nonmerchant E-Commerce Source: textbook[1], page 249 ► Auctions: match buyers and sellers by using an e-commerce version of a standard auction ► Clearing house: provide goods and services at a stated price and arrange for the delivery of the goods, but they never take title ► Exchanges: matches buyers and sellers BUSINESS INFORMATION SYSTEMS Unique Features of E-commerce Technology Ubiquity Personalization Interactivity Information density eCommerce techonology features Social technology Global reach Universal standards Richness BUSINESS INFORMATION SYSTEMS Ubiquity ► Internet/Web technology available everywhere: work, home, and so on, anytime ► Effects: ► Marketplace removed from temporal, geographic locations to become “marketspace” ► Enhanced customer convenience and reduced shopping costs BUSINESS INFORMATION SYSTEMS Information density ► Large increases in information density—the total amount and quality of information available to all market participants ► Effects: ► Greater price transparency ► Greater cost transparency ► Enables merchants to engage in price discrimination BUSINESS INFORMATION SYSTEMS 10 How Do Social Networks Add Value to Businesses? ► Increase the Number of relationships ► Increase the Strength of Relationships Progressive organizations: ► Maintain a presence on Facebook, LinkedIn, Twitter, and other SN sites ► Encourage customers and interested parties to leave comments ► Risk - excessively critical feedback BUSINESS INFORMATION SYSTEMS 25 Using Social Networking to Increase the Number of Relationships Source: textbook[1], page 259 BUSINESS INFORMATION SYSTEMS 26 Using Social Networks to Increase the Strength of Relationships ► ► the strength of a relationship is the likelihood that the entity in the relationship will something that benefits the organization social networks provide four forms of value: influence, information, social credentials, and reinforcement ► If an organization can induce those in its relationships strengthen that relationship BUSINESS INFORMATION SYSTEMS 27 28 Q4 What Are Business Applications for Facebook, Twitter, and User-Generated Content (UGC)? BUSINESS INFORMATION SYSTEMS With Facebook, organizations can ► create a page and manage that page for business purposes ► Use Facebook Groups ► Use Facebook Applications Source: Facebook BUSINESS INFORMATION SYSTEMS 29 principles for designing meaningful FB applications 30 • address real needs, from entertainment to practical tasks • use information in the social graph Social Useful Expressive Engaging • share a personal BUSINESS INFORMATION SYSTEMS perspective • compel users to come back again, and again, and again 31 Twitter ► a Web 2.0 application that allows users to publish 140-character descriptions of anything ► is an example of a category of applications called microblogs Source: twitter.com BUSINESS INFORMATION SYSTEMS How Can Businesses Benefit from Microblogging? ► ► Public relations (PR) ► Microblogging enables any employee or business owner to communicate with the world ► Twitter essentials for PR Relationship sales ► ► relationships forming from microblogging can serve as an ideal channel for sales Market research ► to know what people think of your product BUSINESS INFORMATION SYSTEMS 32 User-Generated Content (UGC) ► Common types of UGC: Source: Textbook[1], page 269 BUSINESS INFORMATION SYSTEMS 33 UGC Applications Source: Using MIS, Kroenke, page 270 BUSINESS INFORMATION SYSTEMS 34 35 Q5 How Can Organizations Manage the Risks of Social Networking Applications? BUSINESS INFORMATION SYSTEMS Manage the Risks of Social Networking Applications ► ► Problem Sources ► Inappropriate content ► Unfavorable review ► Dependency on the SN vendor Responding to Social Networking Problems ► Leave it ► Respond to it ► Delete it BUSINESS INFORMATION SYSTEMS 36 Summary ► ► ► ► Q1 How organizations use e-commerce? Q2 How organizations use Web 2.0? Q3 How Do Social Networks Add Value to Businesses? Q4 What are business applications for Facebook, Twitter, and User-Generated Content (UGC)? Q5 How can organizations manage the risks of social networking applications? BUSINESS INFORMATION SYSTEMS 37 Additional Resources ► Vietnam B2C Ecommerce 2014 Report ► Social Media Revolution (2013) ► Social Media Revolution (2017) BUSINESS INFORMATION SYSTEMS 38 ... generation and social networking ► Effect: ► New Internet social and business models enable user content creation and distribution, and support social networks BUSINESS INFORMATION SYSTEMS 14... consumers and millions of businesses worldwide BUSINESS INFORMATION SYSTEMS 11 Universal standards ► One set of technology standards: Internet standards ► Effects: ► Disparate computer systems. .. of social networking applications? BUSINESS INFORMATION SYSTEMS Q1 How organizations use e-commerce? BUSINESS INFORMATION SYSTEMS E-Commerce ► e-commerce is the buying and selling of goods and