Today’s Journal QuestionToday’s Journal Question

► What is the difference between an innovation and What is the difference between an innovation and an invention?an invention?

► Find 2 inventions and 1 innovationsFind 2 inventions and 1 innovations What is it?What is it? Who’s idea?Who’s idea? Successful?Successful?

► Hint: Innovation 3M – Post-ItsHint: Innovation 3M – Post-Its

E-Business in CanadaE-Business in Canada

E-BusinessE-Business

►E-Business (Electronic Business)E-Business (Electronic Business) Conducting business practices through Conducting business practices through

internet technologiesinternet technologies

Allows businesses to interact with theirAllows businesses to interact with their►CustomersCustomers►SuppliersSuppliers►PartnersPartners

E-BusinessE-Business

►Also allows businesses to manage Also allows businesses to manage internal processes such asinternal processes such as Human Resources (on line job Human Resources (on line job

applications)applications) Financial SystemsFinancial Systems Administrative Systems (Calendar)Administrative Systems (Calendar)

E-Business TerminologyE-Business Terminology

► The following terms are often used when referring to The following terms are often used when referring to doing E-business with the various people or doing E-business with the various people or organizationsorganizations

► E-tailer: E-tailer: a retailer that primarily uses the Internet as a a retailer that primarily uses the Internet as a medium for customers to shop for the goods or services medium for customers to shop for the goods or services provided.provided.

► Business to business (B2B); Business to business (B2B); ► Business to consumer (B2C) (also known as Business to consumer (B2C) (also known as

Ecommerce); Ecommerce); ► Government to consumer (G2C); and Government to consumer (G2C); and ► Government to business (G2B). Government to business (G2B).

Examples of E-Business Examples of E-Business ActivitiesActivities

►Electronic retailingElectronic retailing►Use of the Internet to conduct Use of the Internet to conduct

research and manage business research and manage business activitiesactivities

►Web site marketing!!!!Web site marketing!!!!►Online communications, such as e-mailOnline communications, such as e-mail►Online training for staff (eLearning)Online training for staff (eLearning)

Advantages of E-BusinessAdvantages of E-Business

►Quicker and easier communicationsQuicker and easier communications Customers and Suppliers (think Wal-Mart)Customers and Suppliers (think Wal-Mart)

►Strengthened marketing capabilities Strengthened marketing capabilities and reachand reach

► Increased hours of operation (a Web Increased hours of operation (a Web site provides 24/7 information to site provides 24/7 information to existing and potential customers)existing and potential customers)

Advantages of E-BusinessAdvantages of E-Business

►Access to broader information through Access to broader information through researchresearch 78% of internet users research a product 78% of internet users research a product

or service online before purchasingor service online before purchasing

►Reducing the cost of doing business Reducing the cost of doing business

►Larger and smaller businesses can Larger and smaller businesses can compete at the same levelcompete at the same level

Disadvantages of E-businessDisadvantages of E-business

►No personal contact (lose Human No personal contact (lose Human element)element)

►Expense of IT people and equipmentExpense of IT people and equipment

►Must get people to know about and Must get people to know about and visit the site visit the site

Disadvantages of E-businessDisadvantages of E-business

►Must pay for shipping and wait for Must pay for shipping and wait for delivery delivery

►Cannot see or feel the product before Cannot see or feel the product before making a decision making a decision

►Cannot easily return item or get Cannot easily return item or get supportsupport

As a Class…As a Class…

►Let’s come up with some ideas of Let’s come up with some ideas of goods and services that are available goods and services that are available for purchase onlinefor purchase online

►Groceries Clothes CosmeticsGroceries Clothes Cosmetics►Sportswear Electronics ShoesSportswear Electronics Shoes►Car Parts MechanicalCar Parts Mechanical EquipmentEquipment►DVDs/CDsDVDs/CDs MusicMusic BooksBooks

On Your OwnOn Your Own

► Pick 3 specific examples of a product available for purchasePick 3 specific examples of a product available for purchase Ex: Nike ShoesEx: Nike Shoes

► Compare online pricing from various websitesCompare online pricing from various websites Ex: Ex: www.nike.com, , www.sportchek.ca, etc., etc.

► Report on which e-tailer had the price that you are willing to Report on which e-tailer had the price that you are willing to pay (include taxes and shipping in consideration)pay (include taxes and shipping in consideration)

► Do any of these e-tailers offer a physical location?Do any of these e-tailers offer a physical location?► What are some advantages and disadvantages to shopping What are some advantages and disadvantages to shopping

online? (List at least 3 each)online? (List at least 3 each)1) To what does the term “e-commerce” refer?2) What limits might there be on Internet selling?3) Name some of the job and career opportunities in e-

commerce?