Premium Essay

The Role of E Commerce

In:

Submitted By khadkasushma
Words 6810
Pages 28
The Role of Intermediaries in Electronic Marketplaces: Assessing Alternative Hypotheses for the Future
George M. Giaglis1 , Stefan Klein2 and Robert M. O’Keefe 1
1

Department of Information Systems and Computing, Brunel University, Uxbridge, UK
2

Institute for Information Systems, University of Munster, Germany

Abstract
Early research in electronic markets seemed to suggest that E -Commerce transactions would result in decreased costs for buyers and sellers alike, and would therefore ultimately lead to the elimination of intermediaries from electronic value chains. However, a careful analysis of the structure and functions of electronic marketplaces reveals a different picture. Intermediaries provide many value-adding functions that cannot be easily substituted or ‘internalised’ through direct supplier-buyer dealings, and hence mediating parties may continue to play a significant role even in the E-Commerce world. In this paper we provide an analysis of the potential roles of intermediaries in electronic markets and we articulate a number of hypotheses for the future of intermediation in such markets. Three main scenarios are discussed: the disintermediation scenario where market dynamics will favour direct buyer-seller transactions, the reintermediation scenario where traditional intermediaries will be forced to differentiate themselves and re emerge in the electronic marketplace, and the cybermediation scenario where wholly new markets for intermediaries will be created. The analysis suggests that the likelihood of each scenario dominating a given market is primarily dependent on the exact functions that intermediaries play in each case. A detailed discussion of such functions is presented in the paper, together with an analysis of likely outcomes in each case.

Page 1 of 1

1. Disintermediation in Electronic Markets: A Historical Perspective

Similar Documents

Premium Essay

E-Commerce Will Play a Big Role in Future Tourism

...“E-commerce in tourism” Anton Hörl Student No. 1210430081 Research Methodologies IMTE-B2012 Research Methodologies: Essay Hypothesis: “E-commerce will play a big role in future tourism” Introduction Tourism is in permanent change with the technical progress. The main object which changed tourism and in the same way the whole world is the Internet. The Internet changed booking habits and information gathering in tourism immensely. After years of evolution the Internet developed from stiff websites into a global, interactive, costumer participating Network. Many vacations are getting booked via Internet. It became a modern marketplace, a digital shopping Centre. The Electronic commerce structure developed. Shopping via Internet turned out into a every day life task. E-commerce sales reached the 1 trillion dollar mark in sales in 2012. (E-marketer, (2012) After the launch of the model company of E-commerce websites, which programmed a former Apple employee “Though Pierre” in 1995, many more companies followed EBay’s footprints into this branch, like Amazon, Zalando or Redcoon. (About.com, 2013), And it got not only a big topic for buying contestable products, the costumer can purchase also a great variety of services in the Internet, among other things, tourism products. E-commerce is a market with exceptional growth in global revenues, especially in the travel segment. But will E-commerce continue to grow and how will it develop in tourism? This leads...

Words: 2631 - Pages: 11

Premium Essay

Ndnzdngdzgndj

...technological, change, competitive, advantage 2. Advances in technology spawn new products and services. Answer: True Reference: Introduction Difficulty: Easy Keywords: technology, products, services 3. Technology is the know-how, physical equipment, and procedures used to produce products and services. Answer: True Reference: The Meaning and Role of Technology Difficulty: Moderate Keywords: technology, equipment, procedures 4. The most widespread view of technology is process technology. Answer: False Reference: The Meaning and Role of Technology Difficulty: Moderate Keywords: technology, process 5. A support network comprises physical, informational, and organizational relationships. Answer: True Reference: The Meaning and Role of Technology Difficulty: Moderate Keywords: support, network, physical, informational, organizational 6. Product technology translates the methods by which an organization does things. Answer: False Reference: The Meaning and Role of Technology Difficulty: Moderate Keywords:...

Words: 3033 - Pages: 13

Free Essay

E-Commerce

... Submission Date: 13th April 2014 Course: E-Commerce Class Timings: Sunday 4:15 – 7:15 Student ID#: 2011-3-07-12484 Course Instructor: Mr. Faisal Dehdi A STUDY OF THE FACTORS THAT INFLUENCE THE ACCEPTANCE OF E – COMMERCE IN DEVELOPING COUNTRIES SUMMARY: E-Commerce which facilitates transaction of goods & services via computer networks such as internet has become a powerful tool of socio-economic development & therefore is a significant issue for developing countries. Many developing countries have made Information & Communications Technology (ICT) as part of their development plans to ensure deployment & utilization of ICTs in their country for the benefit of enterprises & citizens. This research paper aims to study: - * E-Commerce across national borders to find out relationships among certain factors & attitude about e-commerce. * Issues & areas necessary to the implementation of e – commerce that may be influenced by National culture. * Impact of culture, previous web purchased experience & age of developing countries on e-commerce. The two nations (Iran & UAE), gender & previous experience are the independent variables whereas attitudes about different aspects of technology use are taken as the dependent variable. From the literature review, we conclude that E-Commerce has a potential to add value in developing countries by offering advantages such as globalization of commerce, elimination of time & space limits, easy...

Words: 662 - Pages: 3

Premium Essay

Aaaa

...Slide 4. 1 Chapter 4 E-Environment David Chaffey, E-Business & E-Commerce Management, 5th Edition, © Marketing Insights Limited 2012 Slide 4. 2 Learning Outcomes • Identify the different elements of an organization macro-environment that impact on an organization‟s e-business and e-marketing strategy • Assess the impact of legal, privacy and ethical constraints or opportunities on a company • Assess the role of macro-economic factors such as economics, governmental e-business policies, taxation and legal constraints. David Chaffey, E-Business & E-Commerce Management, 5th Edition, © Marketing Insights Limited 2012 Slide 4. 3 Management Issues • What are the constraints such as legal issues placed by the e-environment on developing and implementing an e-business strategy? • How can trust and privacy be assured for the customer while seeking to achieve marketing objectives of customer acquisition and retention? • Assessment of the business relevance of technological innovation. David Chaffey, E-Business & E-Commerce Management, 5th Edition, © Marketing Insights Limited 2012 1 Slide 4. 4 Activity 4.1 Introduction to Social, Legal and Ethical Issues • List all the social, legal and ethical issues that the manager of a sell-side e-commerce website needs to consider to avoid damaging relationships with users of his or her site or which may leave the company facing prosecution. You can base your answer on issues which may concern...

Words: 2654 - Pages: 11

Premium Essay

Ecommerce and Fashion Industry

...E-commerce Revolution in Fashion Industry A decade ago no one could have imagined that internet and technology would completely transform the way people buy fashion products. Percentage of online sales is soaring each year. Both retailers and high end fashion brands are witnessing this change. Smart phones and the shopping applications have further fuelled the e-commerce sales. Though buying online lacks the touch and feel factor, but the convenience it provides is overwhelming for the customers. Social media is also playing an important role. Impact of e-commerce on fashion industry is manifold. Internet has also played a great role in increasing fashion awareness among people. New fashion trends, fashion news, new products etc. all information reaches people across the globe through internet. People now can follow global fashion trends while sitting at home. This has motivated people to be fashion forward. Since people are aware of the trends they want to buy clothes accessories etc. accordingly. This need is fulfilled in an innovative way by e-commerce which has brought the virtual stores to their homes. There are many fashion house and apparel companies which are entirely e-commerce based and numerous others which along with having brick and mortar stores have entered the e-commerce business to tap a larger customer base. E-commerce has made their reach global. Innovative visual tools are being used to give shoppers a closer look at product so as overcome the drawback...

Words: 554 - Pages: 3

Premium Essay

Directions for Web and E-Commerce Application Security

...Engineering Term Paper on Directions for Web and E-Commerce Applications Security SupervisorProf.P.M. Khilar Submitted byDinesh Shende Roll No-212CS2102 M.Tech(1st year) Directions for Web and E-Commerce Applications Security Abstract: This paper provides directions for web and e-commerce applications security. In particular, access control policies, workflow security, XML security and federated database security issues pertaining to the web and e-commerce applications are discussed. These security measures must be implemented so that they do not inhibit or dissuade the intended e-commerce operation. This paper will discuss pertinent network and computer security issues and will present some of the threats to e-commerce and customer privacy. These threats originate from both hackers as well as the e-commerce site itself. Another threat may originate at ostensibly friendly companies such as DoubleClick, MemberWorks and similar firms that collect customer information and route it to other firms. Much of this transaction information is able to be associated with a specific person making these seemingly friendly actions potential threats to consumer privacy. Many of the issues and countermeasure discussed here come from experiences derived with consulting with clients on how to maintain secure e-commerce facilities. These methods and techniques can be useful in a variety of client and server environments, also serving to alert e-commerce users of potential threats. 1. Introduction ...

Words: 3283 - Pages: 14

Free Essay

E-Commer

...It is really no surprise that online e-commerce businesses were one of the first groups to use social media to make their brand more social. Building a truly interactive social media community within an e-commerce platform is important as it creates a more efficient retail environment where customer opinions, relevant content and product information are freely distributed (Voiyk, 2012). There are different strategies for using social media to enhance e-commerce development: Display advertising – The downside of the explosion of social marketing display advertising is that it creates a somewhat cluttered landscape, but this can be mitigated through careful targeting. After all, display ads are much more than electronic billboards. They can be tailored for specific audiences and include things like coupons to prompt immediate action (Vendor seek, 2010). Building brand awareness – Beyond advertising, using social media can be an opportunity to engage potential customers in discussions of a brand and to demonstrate quality and expertise (Vendor seek, 2010). Spreading word-of-mouth – Raising a brands image does not have to depend solely on a company’s marketing team. Social media websites can be very powerful for campaigns. 46 percent of social network users report having posted something positive about at least one brand. Companies which have a small but loyal following can increase that following by encouraging customers to spread the word on social media sites (Vendor seek...

Words: 363 - Pages: 2

Premium Essay

E-Commerce

...CHALLENGES OF SECURITY, PROTECTION AND TRUST ON E-COMMERCE: A CASE OF ONLINE PURCHASING IN LIBYA Abdulghader.A.Ahmed.Moftah1,Siti Norul Huda Sheikh Abdullah2,Hadya.S.Hawedi3 Center of Artificial Intelligence Technology, Faculty of Information Science and Technology, Universiti Kebangsaan Malaysia (UKM) 1, 2 Center of System Science, Faculty of Computer and Mathematical Science ,Universiti Teknologi MARA (UiTM) Malaysia . 3 ABSTRACT : E-commerce is a successful business-based innovation via internet. This form of business transaction strategy offers many opportunities for growth in business and marketing services in various aspects. Online shopping is an intermediary mode between marketers or sellers to the end user or the consumers. Nature of online transaction in Libya is constrained by instability resulting from insecurity, unprotected transaction as well as trust. Online shopping could become predominant source of shopping method, if the barriers associated with insecurity, trust and customer’s protection are tackled. Owing to the significance of e-commerce towards Libyan economic growth, this paper highlights the limitations associated with e-commerce transaction in Libya and proposes relevant steps towards overcoming these constrains. Relevance of integrating e-commerce in Libyan economic system is discussed with. Keywords: E-commerce, online shopping, security, protection, trust . I.INTRODUCTION E-commerce encompasses buying and selling of products and...

Words: 2821 - Pages: 12

Premium Essay

Obj. 1.01 Content Questions E-Commerce

...1. Define e-commerce- In its broadcast sense is the conduct of selling, buying, logistics, or other organization- management activities via the Wed. 
2. List three businesses (examples via the Web) which are suitable for e-Commerce- Online delivery of software, travel services, and online shipment tracking. 
3. Name one type of business suitable for a combination of electronic and traditional commerce strategies.- Online Banking 
4. Name two types of businesses less suited to e-Commerce. - Sale/Purchase of high fashion clothing and sale/purchase of perishable items. 
5. Why would perishables not be a good contender for online selling?- Perishable items are difficult to ship or deliver. 
6. Name three advantages of e-Commerce.- Increased profits, Connivence, and a wide variety of products avaliable. 
7. List three disadvantages of e-Commerce.- Not suitable to all businesses, Cultural limitations, and rapidly changing technology. 
8. Define profit.- Revenue minus all expenses.  The money a business has actually made from its operations. 9. Define globalization.- To go worldwide in scope and application; a consumer can access the Internet from anywhere at anytime. 10. How does culture play a part in e-Commerce? Cultures now become borderless and e-commerce sites need to think of ways to reach specific language groups and adjust their sites and web pages and support staff to accommodate them. 11. According to the Global Framework for Electronic Commerce that President...

Words: 266 - Pages: 2

Premium Essay

China Post

...in a supply chain with the professional and complete value added services and delivery of goods and services. According to a study third party logistic is a set of basically a relationship between buyers, sellers and logistic service providers in the supply chain. They provide a clear between third party logistics providers and the service providers. As per the research the term logistic service provider has been used as the interchangeable denote for the external suppliers that have been performing a part of logistic function within a company. The relationship between third party logistic companies and ecommerce has been a force which has driven the company towards constant growth and success of the various companies in the electronic commerce industry. The research study indicates that the impact or the importance of third party logistic companies has been of great support to the ecommerce industry. Along with this, many research studies have indicated that with the outsourcing of third party logistics companies as the supply chain management of the ecommerce companies have been a strong element of this industry. With a quiet and simple way, ecommerce from a communication point of view is understood as the...

Words: 15353 - Pages: 62

Premium Essay

Alibaba

...Lessons from Alibaba.com: government’s role in electronic contracting Qin Hu Xun Wu and Clement K. Wang The authors Qin Hu is a Lawyer, Legal Counsel of China Merchants Sekou Industrial Zone Company Limited, Shenzhen, China. Xun Wu is based at the Wharton School, University of Pennsylvania, Philadelphia, Pennsylvania, USA. Clement K. Wang is Associate Director (Research), NUS Enterprise Centre, National University of Singapore, Singapore. Introduction Story of Alibaba.com The development of e-commerce has been nothing short of explosive in recent years. Many believe that its growth and impact will only become more prevailing in the future. The sale of goods by US firms over the Internet, for example, is predicted to reach $1.3 trillion by 2003. By 2004, European enterprises are expected to have online sales of $1.6 trillion[1]. Companies in China, with the largest population in the world, are also probing this new source of revenue. The China Internet Network Information Center (CNNIC) issued an Annual Report in Internet Development in January 2000 that estimates that there were 22.5 million Internet users in China at the end of 2000[2]. A recent nationwide survey showed that China had more than 1,100 consumer related e-commerce Web sites by the end of the first quarter in 2000 (People’s Daily, 2000). Four Web companies, Sina.com, Sohu.com, China.com, and Netease.com have already been listed on the NASDAQ. However, the country’s e-commerce market is still in its infancy. We will...

Words: 7693 - Pages: 31

Premium Essay

E-Commerce

...1. What are the major differences between pure play e-commerce and bricks-and-clicks operations? What are the benefits and limitations of each? (5 marks) Pure play companies are companies doing only online business. They are not physically in touch with their customers, because all their business is done electronically. Bricks-and-clicks companies conduct their business online and offline at the same time. For example a designer clothing store can have a web site and customer can either chose to buy online or go to the store • Pure play: Benefit: New distribution channel, large market reach, flexible structure Limitation: Lack of physical presence • Bricks-and-clicks Benefit: Established distribution channels, Name recognition, Diversity of income streams, Greater experience in the market Limitation: Legacy systems, Resistance to change and structure reorganization, Organizational conflict. 2. One of the key motivations for developing an e-commerce site is immediate access to a much larger market. Explain why an increased market reach may have benefits, and describe its limitations. (5 marks) An increase market reach may have benefit like reaching more customers World Wide, but also it has lot of limitation like connection problems. Sometime the connection can be very slow and it can be time consuming doing some transaction online, or even a newer version a software might be available without ones knowledge which can create compatibility problems. Or in some area...

Words: 654 - Pages: 3

Free Essay

Lebanon

...NOTRE DAME UNIVERSITY – LOUAIZE PALMA JOURNAL  A MULTIDISCIPLINARY RESEARCH PUBLICATION    Volume 11        Issue 1       2009  Contents Editorial New century, old story! Race, religion, bureaucrats, and the Australian Lebanese story Anne Monsour The Transnational Imagination: XXth century networks and institutions of the Mashreqi migration to Mexico Camila Pastor de Maria y Campos Balad Niswen – Hukum Niswen: The Perception of Gender Inversions Between Lebanon and Australia Nelia Hyndman-Rizik Diaspora and e-Commerce: The Globalization of Lebanese Baklava Guita Hourani Lebanese-Americans’ Identity, Citizenship and Political Behavior Rita Stephan Pathways to Social Mobility Lebanese Immigrants in Detroit and Small Business Enterprise Sawsan Abdulrahim 3 7 31 73 105 139 163 Pal. Jour., 2009, 11,3:5 Copyright © 2009 by Palma Journal, All Rights Reserved Editorial Palma Journal’s special issue on migration aims at contributing to this area of study in a unique manner. By providing a forum for non-veteran scholars in the field to share their current research findings with a broader public, Palma has joined hands with the Lebanese Emigration Research Center in celebrating LERC’s sixth anniversary serving international and interdisciplinary scholarly discourse between Lebanon and the rest of the world. The migration special issue owes its inception to a conversation between Beirut und Buenos Aires, in which Eugene Sensenig-Dabbous, an AustrianAmerican...

Words: 14530 - Pages: 59

Premium Essay

Hr Challenges for E-Business

... |6 | |Challenges in performing specific Human Resource function |7 | |Guidelines for Hr professionals |9 | |Do it E-commerce way |10 | |Conclusion |11 | |Reference |12 | PAPER TITLE: “HUMAN RESOURCE CHALLENGES IN E-COMMERCE” ABSTRACT: E-commerce and Internet technology is changing the face of HR and the way companies do business. New technologies are being developed every day, with each new innovation promising increased employee efficiency and greater and greater interactivity. The impact of these new technologies on the human resources professional is both profound as well as challenging. The challenge is to define what the new HR role is and determine how it can best be aligned with evolving business strategies. But the challenge is also whether HR professionals are willing to embrace technology as a competitive weapon and integrate its potential power into the development of solutions-based strategies that...

Words: 3489 - Pages: 14

Free Essay

Info Systems

...1. Define the term e-Government. Identify three forms of e-Government and give an example of each. e-Government is the use of information and communications technology to simplify the sharing of information, speed formerly paper-based processes, and improve the relationship between citizens and government. 2. Identify and briefly describe three limitations that complicate the use of handheld devices used for m-commerce. 3. What role do digital certificates and certificate authorities play in e-commerce? Digital Certificates are issued by Certification Authorities (CA). Like a central trusted body is used to issue driving licenses or passports, a CA fulfil the role of the Trusted Third Party by accepting Certificate applications from entities, authenticating applications, issuing Certificates and maintaining status information about the Certificates issued. 4. What is mobile commerce? How big is the mobile commerce market in the U.S.? Mobile commerce (m-commerce) relies on the use of mobile, wireless devices, such as cell phones and smartphones, to place orders and conduct business. 5. Briefly explain the differences among smart, credit, charge, and debit cards. A credit card, such as Visa or MasterCard, has a preset spending limit based on the user’s credit history, and each month the user can pay all or part of the amount owed. A charge card, such as American Express, carries no preset spending limit, and the entire amount charged to the card is due at the end of the...

Words: 652 - Pages: 3