INTERNET & EBUSINESS

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Unit 29: Introduction to the Internet and Ebusiness

Assignment

Inamullhassan Madarbukus

                                                                       Lecture:  Tomeo Paolo

Introduction

The use of the Internet has become a well established form of communication for businesses to take advantage of.  It allows the organization to open up new markets, reduce costs and create opportunities of trade on a world wide scale.  Today all large businesses, as well as many small businesses and enterprising individuals, have websites. The terms ‘e-business’, ‘e-commerce’, and ‘on-line communications’ have become a part of everyday life.

Two businesses that will be analyzed in their trade of ‘businesses to business’ and ‘business to consumer’ have been selected, a comparison will be made on each company’s electronic business and use of the net.

The first company I have chosen is ‘Costco Wholesale’ – . This corporation operates an international chain of membership warehouses.  They market quality, brand name merchandise at substantially lower prices than are typically found at conventional wholesale or retail sources. The warehouses are designed to help small-to-medium-sized businesses reduce costs in purchasing for resale and for everyday business use. Individuals may also purchase for their personal needs.

The second company I have researched, Dell, Inc. – www.dell.co.uk is involved in the design, development, manufacture, marketing, sale, and support of various computer systems and services to customers worldwide.  They market products and services from full desktop computers, MP3 players to networking wireless servicing. As a distinction made to most other organisations, they operate trade only by the use of the Internet.

Task 1

A) Distinguish between the terms E-Business and E-Commerce

E-Business - Business on the internet: the conduct of business on the internet, including not only the buying and selling of goods and services but also the servicing of customers and the collaboration with business partners.  

E- Commerce - Involves buying and selling through the medium of the internet. Even when a business does not create a website for selling it is likely to access the internet for buying activities, because e-purchasing is such a convenient way of browsing for good deals. For example, a hairdresser is likely to be able to cut purchasing costs for shampoos, cutting equipment and other materials through on-line purchasing.  

Other definition –

E-Business - Doing business online. The term is often used synonymously with e-commerce, but e-business is more of an umbrella term for having a presence on the Web. An e-business site may be very comprehensive and offer more than just selling its products and services.

E- Commerce - Doing business online, typically via the Web. It is also called "e-business," "e-tailing" and "I-commerce." Although in most cases e-commerce and e-business are synonymous, e-commerce implies that goods and services can be purchased online, whereas e-business might be used as more of an umbrella term for a total presence on the Web, which would naturally include the e-commerce (shopping) component.

http://www.pcmag.com/encyclopedia_term/0,2542,t=e-commerce&i=42222,00.asp

                                                EBay is a good example of E- Commerce.

                                                     Dell is a good example of E-Business.

B) Analyze the nature of E - Business communication. Differentiate between mass communication (one-to-many), personal communication (one-to-one) and internet communication (many-to-one and many-to-many).

  • Mass communication is the term used to describe the academic study of various means by which individuals and entities relay information to large segments of the population all at once through mass media. It is usually understood to relate to newspaper and magazine publishing, radio, television, and film, as they are used both for disseminating news and for advertising.
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  • Personal communication may be unpublished lecture notes, letters, memos, personal interviews, telephone conversations, email or messages from non-archived discussion groups or bulletin boards.

  • Internet communication People use Internet communication for many purposes. I identify some of these major purposes with the broad categories of communication, interaction, and information. These categories are not mutually exclusive: Someone can participate in Internet communication for a combination of communication, information, and interaction at the same time.
  • Communication: People use the Internet for communication in a one-to-one, one-to-many, or many-to-many setting. This communication can be used for scholarly ...

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