Page 190 - Electronic Commerce

Selling on the Web

2. You have been hired as a consultant by your local town newspaper, the Midland Clarion.
Midland is a small town of about 10,000 residents. The Clarion has seen its paid subscrip-
tion list decline steadily over the past 10 years, but the number of visitors to the newspa-
per’s Web site, which currently includes all of the stories that run in the paper, has steadily
increased over the same time period. The Clarion’s publisher is considering charging an 165
annual subscription fee for access to the editorials and columns on the Web site. Under this
plan, the Clarion’s classified and display advertising, along with short summaries of top
news stories, would continue to be available at no cost. Prepare a report of about 100
words in which you assess the risks of switching to this advertising-subscription mixed rev-
enue model for the Clarion. You may also include a discussion of other revenue models
that might work for the newspaper.
3. High-end jewelry retailers such as Cartier, Harry Winston, and Tiffany often use Adobe’s
Flash software to create their Web sites. In about 200 words, present three arguments for
and three arguments against the use of Flash animations in sites such as these. Consider
the retailers’ objectives, the characteristics of the products being sold, and the type of cus-
tomers who visit these sites.
4. Some industry analysts believe that the online encyclopedia Wikipedia was largely responsi-
ble for the struggles that the Britannica Web site experienced as it was experimenting with dif-
ferent revenue models. Others believe that the difficulties Britannica faced were a result of its
transition from being a print publisher to an online resource. Using what you learned in this
chapter and your favorite search engine, write about 100 words in which you outline what you
believe the impact of Wikipedia was on Britannica’s revenue model transitions.
5. Visit the Web sites of two art museums. The Web Links for this exercise include a list of links to
museums, but you may use other sites if you wish. Most museums offer memberships for sale
to visitors. Make sure that the museums you have chosen offer memberships, then examine
each Web site to find information about the memberships offered. Write a report of 100 words
in which you describe the process on each site that a visitor would follow to shop for a mem-
bership. Evaluate how well each site describes its membership options and encourages a vis-
itor to purchase one. Consider ease of shopping, how clearly the site describes membership
options, and whether the site makes a convincing case for buying a membership. Provide at
least one recommendation for improving each of the two sites you selected.
6. Many real estate agents today have Web sites that list the properties they have for sale. These
agents also advertise the properties on Realtor.com and sometimes in television ads. How-
ever, most real estate agents would tell you that personal contact provides their most important
connections with clients, potential clients, and client referral sources. Write three paragraphs in
which you briefly describe the things that real estate agents can best accomplish through (1)
their Web sites, (2) mass media advertising, and (3) personal contact.

Cases

C1. Lonely Planet
In 1972, Tony and Maureen Wheeler were newlyweds who decided to have one last adventur-
ous travel experience before settling down. Their trip was an overland trek from London to Aus-
tralia through Asia. So many other travelers asked them about their experiences that they sat
down at their kitchen table and wrote a book titled Across Asia on the Cheap. They published

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