Lecture 7: Lesson 3: Business Models

E-Commerce Sales Rise Nearly 26 Percent

U.S. retail sales over the Internet grew by 25.9 percent in the first quarter of 2003 compared to the same quarter a year earlier, rising to $11.9 billion, the Commerce Department (news - web sites) said on Friday. Click here to see the rest of the article.

Notes from The Lesson Plan

The learning objectives of lesson 3 include:

• Define a e-business models

• Define the major e-business models
  

In this lecture, we will examine these two important aspects.

With the Net so tightly woven into the fabric of today ’s business world,it ’s not surprising that one hears a lot about Internet business-model adjustments.Just listen to the news: One report blames an online company ’s demise on a flawed business model; another describes an organization ’s relaunch of its Web venture —an attempt to hit upon the “right ” approach.So what ’s the hype all about? Why so many shifts?

IBM offers the following grid to categorize the various business models that are available and to decide which model may lead to better results within your particular type of business.

The grid is defined by the intersection between the number of markets that your particular type of business facilitiates and the focus of your particular business: either community based or transaction focused.

Use this grid to define where various types of companies business models are currently located. Are they in the correct business or not? Try to place the various types of business models into the grid as your read the readings for this week.

OK, it is Memorial Day. If you can read the readings and work through the vocabulary interacitve below, I would believe that you have done well.

See you tomorrow!

Interactives

Vocabulary Review