E-commerce: Customer and Ans
Tutorial -1 1. Describe three factors that would cause a company to continue doing business in traditional ways and avoid electronic commerce.
Ans: Following three factors that can cause company to continue doing the business in traditional way & avoid electronic commerce:- a. Perishable foods. b. High-cost items. c. Unique items.
1. Choose one major difference between the first wave and the second wave of electronic commerce. Write a paragraph that describes this difference to a person who is not familiar with either business or Internet technologies.
Ans: The one of the major difference between first wave and second wave of e-commerce is online communication which makes the good relation with customers & support business relations.
In first wave e-mail communication with customers used to be unstructured. In Second wave modified e-mail strategies which are integral to customer contact. It provides a filtered outcome so that customers can choose their product according to their choice. Thus it is a quite easy and attractive for customers to take advantage from such communication modes of second wave.
3. What are transaction costs and why are they important?
Ans: Transaction costs are the total costs a buyer and seller acquire while going through a transaction. Cost incurred while gathering information and negotiating purchase and sale transaction. Includes costs like brokerage fees and sales commissions and also the cost of information search and purchase. This is very essential to get an idea of cost of total transaction cost. That is the reason we need to figure out total profit which we earned from one complete transaction.
4. Provide one example of how electronic commerce could help change an industry’s economic structure from a hierarchy to a network.
Ans: One of the best examples of change an industry’s economic structure from hierarchy to a network is E-mail account. With
Ans: Following three factors that can cause company to continue doing the business in traditional way & avoid electronic commerce:- a. Perishable foods. b. High-cost items. c. Unique items.
1. Choose one major difference between the first wave and the second wave of electronic commerce. Write a paragraph that describes this difference to a person who is not familiar with either business or Internet technologies.
Ans: The one of the major difference between first wave and second wave of e-commerce is online communication which makes the good relation with customers & support business relations.
In first wave e-mail communication with customers used to be unstructured. In Second wave modified e-mail strategies which are integral to customer contact. It provides a filtered outcome so that customers can choose their product according to their choice. Thus it is a quite easy and attractive for customers to take advantage from such communication modes of second wave.
3. What are transaction costs and why are they important?
Ans: Transaction costs are the total costs a buyer and seller acquire while going through a transaction. Cost incurred while gathering information and negotiating purchase and sale transaction. Includes costs like brokerage fees and sales commissions and also the cost of information search and purchase. This is very essential to get an idea of cost of total transaction cost. That is the reason we need to figure out total profit which we earned from one complete transaction.
4. Provide one example of how electronic commerce could help change an industry’s economic structure from a hierarchy to a network.
Ans: One of the best examples of change an industry’s economic structure from hierarchy to a network is E-mail account. With