Page 23 - Introduction to Electronic Commerce and Social Commerce

xxiv Contents

11.7 Digital and Virtual Currencies .................................... 353
Types of Digital Currencies ...................................... 353
Bitcoin and Other Cryptocurrencies ............................... 354
11.8 Order Fulfillment and Logistics: An Overview ....................... 359
Basic Concepts of Order Fulfillment and Logistics .................... 359
The EC Order Fulfillment Process ................................. 359
Case 11.2: EC Application: Amazon the “King of Supply Chains” ............. 361
11.9 Problems in Order Fulfillment Along Supply Chains .................. 363
11.10 Solutions to Order Fulfillment Problems Along the Supply Chain ........ 364
Improvements in the Order- Taking Activity ......................... 364
Warehousing and Inventory Management Improvements ............... 364
Changing the Structure and Process of the Supply Chain ............... 365
Speeding Up Deliveries: From Same Day to a Few Minutes ............ 365
Partnering Efforts and Outsourcing Logistics ........................ 367
Integrated Global Logistics Program ............................... 368
Order Fulfillment in Make-to- Order (MTO) and Mass Customization ..... 368
Handling Returns (Reverse Logistics) .............................. 368
Order Fulfillment in B2B ........................................ 369
Innovative E-Fulfillment Strategies ................................ 370
Supply Chain Planning and Execution Software ...................... 370
Managerial Issues ................................................... 370
Summary .......................................................... 372
Closing Case: Send Money Home—M- Pesa and the Kenya Experience ......... 376
References ......................................................... 379

Part V E-Commerce Strategy and Implementation
12 Implementation Issues: From Globalization to Justification,
Privacy, and Regulation ............................................. 383
Opening Case: Telstra Corporation Helps Its Corporate Customers
Justify EC Initiatives ................................................. 383
12.1 Why Justify E-Commerce Investments? How Can They Be Justified? ..... 385
Increased Pressure for Financial Justification ........................ 385
Other Reasons Why EC Justification Is Needed ...................... 385
EC Investment Categories and Benefits ............................. 385
How Is an EC Investment Justified? ............................... 385
What Needs to Be Justified? When Should Justification Take Place? ...... 386
Using Metrics in EC Justification ................................. 386
Web Analytics ................................................ 387
The Process of Justifying EC and IT Projects ........................ 387
12.2 A Strategy for Global E-Commerce ................................ 387
Benefits and Extent of Global Operations ........................... 388
Barriers to Global E-Commerce .................................. 388
Breaking Down the Barriers to Global E-Commerce .................. 390
12.3 E-Commerce Strategy for Small and Medium-Sized Enterprises ......... 391
Globalization and SMEs ........................................ 391
Resources to Support SME Activities in EC ......................... 391
SMEs and Social Networks ...................................... 392
12.4 Opportunities for Success in E-Commerce and Avoiding Failure ......... 392
Case 12.1: EC Application: Aldi Supermarket Trying E-Commerce in the UK .... 392
Factors that Determine E-Commerce Success ........................ 393
E-Commerce Successes ......................................... 393
Cultural Differences in EC Successes and Failures .................... 394