2. What is business?
• All functions and activities in a company that
are done in order to gather profit
3. What is eBusiness?
• "e-Business" is an integration of business
software in order to create value for the
enterprise, its clients, and its partners.
• Includes virtual companies as well as the
traditional ones
• Can include Selling, Buying, Customer
service, CRM, Collaboration, Research,
Promotion, Communication (internal &
external), HRM etc.
4. eBusiness, eCommerce and Social media?
• eCommerce a term for any type of business, or
commercial transaction, that involves the transfer of
information across the Internet (~ web shops??)
• eBusiness can be considered as the whole value chain in
a company:
• electronic purchasing and supply chain management
• processing orders electronically
• handling customer service
• and cooperating with business partners
• It also covers the integration between software,
communication between customers, stakeholders, employees
and a company
• eBusiness has a strategical focus – VALUE CREATION
• Even though social media as such is more of a tool or
channel for eBusiness purposes, it has also an uttermost
importance in WoM and customer engagement
5. Facts of eBusiness 1
In Europe
• Online sales grow approx 15 % per year since 2009
• The number of online buyers in Europe grow from 157 million to 205 million by 2015
• Total sales reach 133.6 billion euros
http://mashable.com/2011/02/28/forrester-e-commerce/
6. Facts of eBusiness 2
Companies saying that e-business constitutes ...
... constitutes a ... constitutes ... is not relevant
significant part of some part of how for their
how they operate they operate operations
% of firms % of firms % of firms
Total (10 sectors, EU-10) 15 42 43
By Sector
Food & beverages 7 38 54
Footwear 10 34 56
Pulp & paper 15 39 46
ICT manufacturing 28 42 30
Consumer electronics 25 47 28
Shipbuilding and repair 13 43 43
Construction 9 39 52
Tourism 18 42 40
Telecommunication 34 42 24
Hospitals activities 34 43 23
By Country (EU10)
Germany 28 47 25
France 11 32 57
Netherlands 13 25 62
Finland 10 45 44
United Kingdom 14 57 29
7. USE AND USERS IN
FINLAND
• 56 % of all Finns use internet many times a day
• 73 % has searched for product/service information
in internet during the past 3 months
• 41 % has bought something from internet during the
past 3 months
• 42 % of all Finns are registered in some social media
• 28 % follows social media daily
• 59 % has searched for information of OR bought
tourism services during the past 3 months
• 32 % has bought some tourism service in the
internet during the last year
• Others have bought clothes and tickets
• Growth of the eBusiness has been 10 – 20 %
annually
(Tilastokeskus 2010, NetTrack 2010)
8. Challenges of eBusiness
• Lost purchases (it is easy just to let it
be) quite often due to technical
reasons
• Marketing (SEO, multichanneling etc.)
• Misbeliefs and mistrust among
customers
• WoM (reviews, blogs, etc – social
media) and crowsourcing
• Company attitudes
• Changes, innovations and
development
• Updating
• Follow up and measurement
• Hackers, viruses, phishing, credit card
frauds etc.
• ENGAGEMENT
9. Future of eBusiness
• Increades growth
• Blurred borders
• Technical requirements as well as demand for global logistics, invoicing and
payments
• Mobile and HTML5
• Location and awareness
(geo targeting)
• Augmented reality
• Learning from customers
• Not only B2C, B2B or C2C
separately, but together
(group buying sites)
• Affiliate marketing