Chapter Chapter Outline Essay

16983 Words Dec 9th, 2011 68 Pages
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SE C T ION 3 .1 Bu si n e s s a n d th e I n t er net

SECTI O N 3. 2 E- Busi ness

D i s r u p t i v e Te c h n o l o g y Evolution of the Internet Accessing Internet Information Providing Internet Information

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E-Business Basics E-Business Models Organizational Strategies for E-Business Measuring E-Business Success E-Business Benefits and Challenges N e w Tr e n d s i n E - B u s i n e s s : E-Government and M-Commerce

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opening case study—Not Your Average Bookstore
Jeffrey Bezos, CEO and founder of, is running what some people refer to as the “world’s biggest bookstore.” The story of Bezos’s virtual bookstore teaches many
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Amazon launched three years later. In the fall of 1994, Amazon filled its first book order—personally packaged by Bezos and his wife.

A m a z o n ’s E - B u s i n e s s S t r a t e g y
Amazon does not operate any physical stores. All of its sales occur through its Web site. It is consistently pushing the technological envelope in its search to provide a satisfying, personalized experience for its customers. What started as a human-edited list of product suggestions morphed into a sophisticated computer-generated recommendation engine. The company captures the comments and recommendations of buyers for site visitors to read—similar to the friendly salesperson in a store offering advice on which books to buy. The Web site tracks customer traffic, the number of visitors who access the site, how long they stay, what pages they click on, and so forth. The company uses the information to evaluate buying and selling patterns and the success of promotions. Amazon has quickly become a model success story for e-businesses around the globe.

Business Driven Information Systems


Amazon retains customers with Web site features such as personalized recommendations, online customer reviews, and “1-click ordering”—the creation of a true one-stop shopping establishment where customers can find anything they want to buy online. Through the Auctions, zShops (independent thirdparty sellers), and more recently

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