Business a changing world 7e by ferrell chap004

Technology – Impact on Our Lives•Improved global access •Faster productivity growth •Improved efficiency •Reduced costs Technology has improved business effectiveness and reach... Manage

Business in a Changing World

Chapter 4

Managing Information Technology &

E-business

Reesycakes.com

Bargaining online

Thanks to the Internet, haggling has never been easier, especially in the area

of online apparel sales.

Technology – Impact on Our Lives

Information technology– processes and applications

that create new methods to solve problems,

perform tasks, and manage communication

The Impact of Technology

Technology – the application of

knowledge, including the

processes and procedures to

solve problems, perform tasks,

and create new methods to

obtain desired outcomes

Information Technology (IT) is changing

traditional products

AFE Cosmetics and Skincare provides customized

cosmetics and skin care products.

Technology is the driving force in advancing economic systems and the quality of life.

Technology – Impact on Our Lives

Technology – Impact on Our Lives

•Improved global access

•Faster productivity growth

•Improved efficiency

•Reduced costs

Technology has improved business effectiveness and reach

Managing Information

Data – numerical or verbal descriptions related

to statistics or other items that have not been

analyzed or summarized

Data, knowledge, & information

Managing Information

Knowledge – an understanding of data gained

through study or experience.

Data, knowledge, & Information

Managing Information

Information – meaningful and useful

interpretation of data and knowledge that can

be used in making decisions.

Data, knowledge, & Information

Management Information Systems

Management information system (MIS) – used

for organizing and transmitting data into

information that can be used for decision

making.

Information is a major business resource It is an asset to be developed and distributed to managers.

Management Information Systems

Management Information Systems

•Breaks down time and location barriers

•Global information access

•Anytime, anywhere with wireless

Management Information System (MIS)

Management Information Systems

MIS & Data Collection

•Collect data

•Store data

•Update data

Management Information Systems

Database A collection of data stored in one

The Internet

Internet – Global information system than links

The Internet

World Wide Web – a collection of interconnected

Web sites or pages of text, graphics, audio, and video

The Internet

Intranet– a network of computers similar to the

Internet that is available only to people inside an

The Internet

Extranet– a network of computers that permits selected

companies and other organizations to access the same

History of Information Technology

E-Business – carrying out the goals of business

through utilization of the internet

E-business has the same goal as traditional business.

•Business-to-Business (B2B)

•Business-to-Consumer (B2C)

E-business models

B2B– use of the Internet for transactions and

communications between organizations.

• Cisco Systems

• Ford Motor Company

• General Motors

Business-to-Business (B2B)

B2C– delivery of products and services directly to

individual consumers through the Internet (e-tailers).

•Dell Computer

•MapQuest

•Travelocity.com

Business-to-Consumer (B2C)

C2C– market in which consumers market goods and

services to each other through the Internet

•eBay

•Zshops at Amazon.com

Consumer-to-Consumer (C2C)

E-Commerce

Customer Relationship Management

•CRM – focuses on using information about

customers to crate strategies that develop and

sustain desirable long-term customer

CRM

Customer Relationship Management

•Developing long-term customer relationships

•Building satisfying relationships

•Provide the best product solution for customers

CRM

Legal and Social Issues

•Privacy

•Consumer tracking via Internet purchases

•Data gathering via “cookies”

•Federal Trade Commission (FTC)

•TRUSTe

Privacy, identity theft, &

intellectual property

Legal and Social Issues

•Spam – unsolicited commercial e-mail racking via

Internet purchases

•Data gathering via “cookies”

•Federal Trade Commission (FTC)

•TRUSTe

Privacy, identity theft, &

intellectual property

Privacy

Laws

affecting

commerce

Legal and Social Issues

How Spam Volume Has Changed

Legal and Social Issues

Spam Volume by Country

Legal and Social Issues

•Identity Theft – criminals obtain personal

information allowing them to impersonate others

in order to use their credit to obtain financial

accounts and make purchases

Privacy, identity theft, &

intellectual property

Legal and Social Issues

Intellectual Property & Copyrights– protecting rights to property

•Ideas, creative materials

Privacy, identity theft, &

intellectual property