Matakuliah : J0474 International Marketing
Tahun
: 2009
The Digital Revolution
and The Global E-Marketplace
Chapter 25
Learning Outcome
• Convergence
• Value Networks and Disruptive Technologies
• Global E-Commerce
• Web Site Design and Implementation
• New Products and Services
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Convergence
The digital revolution is causing dramatic changes in industry structure.
Convergence is a term that refers to the coming together
of previously separate industries and
product categories.
1999
New technologies
affect the business
sectors in which a
company competes.
Telephones
Computers
Consumer
Electronics
What
business
is Sony
in?
Photography
2008
Photography
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Consumer
Electronics
Computers
Telephones
4
Value Networks and Disruptive Technologies
In every industry, companies are embedded in a value network.
Each value network has a cost structure associated with it
that dictates the margins needed
to achieve profitability.
Sustaining
technologies
Or
Disruptive
technologies ??
Christensen has developed five
principles of disruptive innovations:
1.
2.
3.
4.
5.
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Companies depend on customers and
investors for resources.
Small markets don’t solve the growth
needs of large companies.
Markets that don’t exist can’t be
analyzed.
An organization’s capabilities define its
disabilities.
Technology supply may not equal market
demand.
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Global E-Commerce
Benefit of Global marketing
Web sites can be classified by
purpose :
1. Promotion sites
2.
Content sites
3.
Transaction sites.
E-commerce activities can be
divided into three broad
categories :
Business to consumer (B2C),
Business to business (B2B),
Consumer to consumer (C2C)
The term e-commerce refers
to the general exchange of goods and services
using the internet as a marketing channel.
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Web Site Design and Implementation
To fully exploit the internet’s potential, company executives
must be willing to integrate interactive media into their marketing mixes.
Web sites can be developed in-house, or an outside firm can be contracted
to do the job. During the past few years, a new breed of interactive
advertising agency has emerged to help companies globalize
their internet offerings.
Domain names Arranging payment
Localizing sites
Addressing privacy
issues
Setting up
a distribution
system
Whichever approach a
company adopts, several
issues must be
addressed when setting
up for global ecommerce.
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New Products and Services
As a result of the digital revolution, a variety of companies
in all parts of the world are developing a new generation of
product, services and technologies.
A new generation of
products, services and
technologies,
include broadband
networks,
mobile commerce ,etc.
……. wireless
connectivity
“ smart” cell phones,
and internet phone
service.
Wow…
I proud with
its
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New Products and Services
Broadband
Broadband internet
allows users to
access streaming
audio,
streaming video,
and
streaming media.
What opportunities does
broadband offer to companies
outside the
telecommunications industry?
A broadband communication system
is one that has sufficient capacity to carry multiple voice,
data, or video channels simultaneously.
Bandwidth determines the range of frequencies that can
pass over a given transmission channel.
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New Products and Services
Mobile Commerce and Wireless Connectivity
A mobile
communication
technology known
as Bluetooth,
Is well suited to use
with cell phones.
Many companies are
developing ways to provide
internet access without the
need for a wired
broadband connection.
Wireless fidelity (Wi-Fi) permits
laptop and PDA users to
establish high speed wireless
connections to the internet and
corporate intranets via’ hot
spots’ located in airports, cafes
or other public places.
Wi-Fi networks have a
limited range;
An improved technology
known as WiMax,
Is being deployed in many
parts of the world.
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New Products and Services
Smart Cell Phones
Now, advertisers are taking
advantage of this capability by using
short message service (SMS)
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The record
companies prepare
to make original
recordings available
….Ring tunes….
11
Summary
• The digital revolution has created a global electronic
marketplace . The digital revolution has resulted in a
process known as convergence.
• In this environment, the innovator’s dilemma means that
company management must decide whether to invest in
current technologies or try to develop new technologies.
• E-commerce is growing in importance for both consumer
and industrial goods marketers.
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