| Lesson 8 | eBusiness today |
| Objective | Define the relevance of the history of eBusiness. |
EBusiness is a natural evolution of business in general.
At all stages of business evolution, the introduction of technological advances has created the potential for change and increased geographical reach for business.
As we discussed in an earlier lesson, eCommerce and Internet technologies have had much to do with the
sudden explosion of eBusiness.
But what is the relevance of the history of eBusiness and eCommerce to the way eBusiness is conducted today?
The importance of standards
At all stages of business evolution, the introduction of technological advances has created the potential for change and increased geographical reach for business.
As we discussed in an earlier lesson, eCommerce and Internet technologies have had much to do with the
sudden explosion of eBusiness.
But what is the relevance of the history of eBusiness and eCommerce to the way eBusiness is conducted today?
Prior to the Internet, the other resources for eBusiness, including phone, telex, and fax, were based on what is called closed or
proprietary standards. A closed standard means that the system or standard was defined by a single vendor and was incompatible with
solutions from other vendors. This effectively "locked" the customer into that vendor's solution. There are a number of
risks associated with closed standards.
The explosion of the Internet and its powerful influence on eCommerce and technology is largely because it is founded on open standards . An open standard allows for an unrestricted exchange between all entities, and provides a fertile ground for development on all levels. This is also one of the reasons for the resounding popularity of freeware or open source .
The origins of eBusiness
The explosion of the Internet and its powerful influence on eCommerce and technology is largely because it is founded on open standards . An open standard allows for an unrestricted exchange between all entities, and provides a fertile ground for development on all levels. This is also one of the reasons for the resounding popularity of freeware or open source .
To predict future advancement of eBusiness, we should examine the past. As we have discussed, eBusiness has its roots in
pre-Internet technologies dating back at least 30 years.
The history of eBusiness underscores the notion that eBusiness is more than simply Web sites on the Internet: it is more accurately an evolution of technology, not a revolution. The JavaScript MouseOver below follows the eBusiness timeline. The events listed below have had consequences for both eCommerce and eBusiness, and could loosely describe the "pre-history" of eBusiness.
The world at your door
The history of eBusiness underscores the notion that eBusiness is more than simply Web sites on the Internet: it is more accurately an evolution of technology, not a revolution. The JavaScript MouseOver below follows the eBusiness timeline. The events listed below have had consequences for both eCommerce and eBusiness, and could loosely describe the "pre-history" of eBusiness.
These and other advances in computing and telecommunications have made communication with customers across geographical boundaries
easy and cost-effective. This is largely due to the growing presence of relatively standard customer-access devices in businesses,
and most significantly, in homes around the world.
Key problems
Technological advancements may have opened up new horizons, but this revolution is not yet complete. The future of eBusiness has yet
to resolve some key challenges. These challenges are described in the table below.
| Key problems | Description |
| Legalities and regulations | If a US company sells goods to an Italian consumer, it is not clear whose consumer protection laws relate to the sale. What are the tax implications of the sale? Who should calculate these taxes? |
| International shipping | The logistics and cost of shipping of goods across international borders remains a complex issue. What trading restrictions might be applicable to the transaction? |
| Limited access to electronic trade or "eTrade" | PCs are still too complex and expensive for a large proportion of the world population, even within developed countries. How will the growth of interactive television and the emergence of PC-type devices with limited functionality open up world markets? How will this change in the next two to five years? |
The legal and regulatory issues relating to international trade are discussed in more detail later in the course.
It is not the purpose of this course to predict when these problems will be resolved, but it is important for you to recognize that the environment of eBusiness is constantly changing, and that changes are taking place at an ever-faster rate.
Designing for flexibility
It is not the purpose of this course to predict when these problems will be resolved, but it is important for you to recognize that the environment of eBusiness is constantly changing, and that changes are taking place at an ever-faster rate.
The key learning here is that no eBusiness design and solution exists that will not require ongoing maintenance. If the design is to
continue to meet its purpose from both a technical and regulatory perspective, upgrading and enhancement should be built into the
process.
The standards for the Internet and eBusiness are part of a hotly debated argument as old as the Internet itself. Should there be
additional standards placed on eBusiness? If so, who should control them? What do you think?
Do standards provide more consumer protection? Do they regulate the provenance, reliability, security, and privacy of digitally transferred information, or do they restrict development and curtail innovation in an area that has developed well on its own--with few controls?
In the next lesson, we identify and differentiate between the various primary models of eBusiness.
Do standards provide more consumer protection? Do they regulate the provenance, reliability, security, and privacy of digitally transferred information, or do they restrict development and curtail innovation in an area that has developed well on its own--with few controls?
In the next lesson, we identify and differentiate between the various primary models of eBusiness.
