Architectural Framework for Electronic Commerce

May 29th, 2015
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Abilene Christian University
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While the Internet is considered a valuable means of communication offering the enticing possibility of interaction (one-to-one communication, e-mail), for many people the Web has turned into a primary information resource (one-to-many communication, broadcasting). Most of the information on the Web is either company (public relations) or product-specific information (marketing) to increase awareness. As with traditional marketing media, such information is offered free of charge. However, many companies who generate information (content) on the Internet, which are not their core business, are investing in new possibilities offered by the medium. They consequently face the challenge to transform these opportunities into adequate and sustainable profit [Jones and Navin-Chandra, 1995; Loebbecke, 1996; Loebbecke and Trilling, 1997].

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Economics of Content Provision on the InternetClaudia LoebbeckeKRAK Chair of Electronic CommerceCopenhagen Business SchoolLoebbecke@cbs.dkABSTRACTThis paper outlines the economic impacts upon organisations of offering content on the Web. Currently many companies, whose Internet activities are not their core business, often do not generate sufficient profit from providing this content. It discusses four ways for companies to profit from providing an Internet presence and sets them within the broad contexts of the 'Economic Value of Information and Communication Technology', 'Value Creation via Electronic Commerce', and the 'Macroeconomic Business Impacts of Internet-based Commerce'. The paper also attempts to enrich the conceptual aspects of the discussion by including examples from several industry sectors.1IntroductionWhile the Internet is considered a valuable means of communication offering the enticing possibility of interaction (one-to-one communication, e-mail), for many people the Web has turned into a primary information resource (one-to-many communication, broadcasting). Most of the information on the Web is either company (public relations) or product-specific information (marketing) to increase awareness. As with traditional marketing media, such information is offered free of charge. However, many companies who generate information (content) on the Internet, which are not their core business, are investing in new possibilities offered by the mediu

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