E.Commerce Ch 1 Vocab

  1. Activity
    A task performed by a worker in the course of doing his or her job. pg 6
  2. Bonded Warehouse
    A secure location where incoming international shipments can be held until customs requirements are satisfied or until payment arrangements are completed. pg 40
  3. Business Model
    A set of processes that combine to achieve a company's goal, which is to yield a profit. pg 14
  4. Business Processes
    Collectively referred to as the group of logical, related, and sequential activities and transactions in which businesses engage in. pg 7
  5. Business Unit/ Strategic Business Unit
    Is one particular combination of product, distribution channel, and customer type. pg 24
  6. Business-to-Business (B2B)
    Transactions conducted between businesses on the Web. pg 5
  7. Business-to-Consumer (B2C)
    Consumer shopping on the Web. pg 5
  8. Business-to-Government (B2G)
    This category includes business transactions with government agencies, such as paying taxes and filing required reports. pg 7
  9. Commodity item
    Is a product or service that is hard to distinquish from the same products or services provided by other sellers; its features have become standardized and well known. pg 15
  10. Consumer-to-consumer (C2C)
    Includes business transactions with government agencies, such as paying taxes and filing required reports. pg 7
  11. Culture
    The combination of language and customs. pg 35
  12. Customs Broker
    Is a company that arranges the payment of tariffs and compliance with customs laws for international shipments. pg 39
  13. Dot-com/ Pure dot-com
    Companies that operate online. pg 5
  14. E-procurement
    Synonymous with B2B Electronic commerce. The use of Internet technologies in a company's purchasing and supply management functions. pg 5
  15. Electronic business (e-business)
    Refers to electronic commerce in a broader sense that includes all business processes, as distinquished from a narrow definition of electronic commerce that includes sales and purchase transactions only. pg 5
  16. Electronic commerce (e-commerce)
    Includes many other activities, such as business trading with other businesses and internal processes that companies use to support their buying, selling, hiring, planning, and other activities. pg 5
  17. Electronic data interchange (EDI)
    Occurs when one business transmits computer-readable data in a standard format to another business. pg 8
  18. Electronic funds transfer (EFT)/ Wire Transfers
    Electronic transmissions of account exchange information over private communications' networks. pg 7
  19. First-mover advantage
    The benefit a company can gain by introducing a product or service before its competitors. pg 12
  20. Flat-rate access
    Telephone service in which the consumer or business pays one monthly fee for unlimited telephone line usage. pg 39
  21. Freight forwarder
    A company that arranges shipping and insurance for international transactions. pg 39
  22. Hierarchical business organization/ Firms/ Companies
    Firms that include a number of levels with cumulative responsibility. These organizations are typically headed by a top-level president or officer. A number of vice presidents report to the president. A larger number of middle managers report to the vice presidents. pg 21
  23. Industry
    Multiple firms selling similar products to similar customers.
  24. Law of diminishing returns
    The characteristic of most activities to yield less value as the amount of consumption increases. pg 26
  25. Localization
    A translation that considers multiple elements of the local environment, such as business and cultural practices, in additon to local dialect variations in the language. pg 35
  26. Machine translation
    Language translation that is done by software; such translation can reach speeds of 400,000 words per hour. pg 35
  27. Market
    A real or virtual space in which potential buyers and sellers come into contact with each other and agree on a medium of exchange (such as currency or barter). pg 20
  28. Merchandising
    A combination of store design, layout, and product display knowledge. pg 15
  29. Network economic structure
    Companies coordinate their strategies, resources, and skill sets by forming long-term, stable relationships with other companies and individuals based on shared purposes. pg 25
  30. Network effect
    An increase in the value of a network to its participants, which occurs as more people or organizations participate in the network. pg 26
  31. Primary activities
    Activities that are required to do business: design, production, promotion, marketing, delivery, and support of products or services. pg 27
  32. Revenue model
    Is a specific collection of business processes used to identify customers, market to those customers, and generate sales to those customers. pg 14
  33. Shipping profile
    The collection of attributes that affect how easily that product can be packaged and delivered. pg 15
  34. Social networking site
    Web sites created that allow individuals and businesses to conduct social interactions online. pg 25
  35. Strategic alliance/ Strategic Partnerships
    The coordination of strategies, resources, and skill sets by companies into long-term, stable relationships with other companies and individuals based on shared purposes. pg 25
  36. Strategic partner
    The entities taking part in a strategic alliance. pg 25
  37. Supply management/ Procurement
    Synonymous with procurement, which is the business activity that includes all purchasing activities plus the monitoring of all elements of purchase transactions. pg 5
  38. Supporting activities
    Secondary activities that back up orimary business activities. These include human resource managment, purchasing, and technology develpment. pg 27
  39. SWOT analysis
    The acronym stands for strengths, weaknesses, oportunities, and threats. It entails the analyst first looking into the business unit to identify its strengths and weaknesses. The analyst then review the environment in which the business unit operates and identifies opportunities presented by that enviornment and the threats posed by that environment. pg 31
  40. Telecommuting/ Telework
    The employee logs in to the company computer through the Internet instead of traveling to an office. pg 7
  41. Trading partners
    Refers to businesses that engage in EDI with each other. pg 9
  42. Transaction
    Is an exchange of value, such as a purchase, a sale, or the conversion of raw materials into a finished product. pg 6
  43. Transaction costs
    The total of all costs that a buyer and seller incur as they gather information and negotiate a purchase-and-sale transaction. pg 21
  44. Value-added network (VAN)
    An independent firm that offers connection and transaction-forwarding services to buyers and independent firm that offers connection and transaction-forwarding services to buyers and sellers engaged in EDI. pg 9
  45. Value chain
    Is a way of organizing the activities that each strategic business unit undertakes to design, produce, promote, market, deliver, and support the products or services it sells. pg 27
  46. Value system/ Industry Value Chain
    A term used to describe the larger stream of activities into which a particular business unit's value chain is embedded. pg 29
  47. Vertical integration
    The practice of an existing firm replacing on or more of its supplier markets with its own hierarchial structure for creating the supplied product. pg 23
  48. Virtual community
    A gathering of people who share a common interest, but instead of this gathering occurring in the physical world, it takes place on the Internet. pg 17
  49. Virtual company
    A strategic alliance occurring among companies that operate on the Internet. pg 25
Card Set
E.Commerce Ch 1 Vocab
Chapter 1