Chapter 5 Blog

In this chapter, we focused much of our discussions on using such technologies as B2B e-marketplaces to create tighter supply chain managements, thereby driving out costs. If you refer back to Chapter 2, another major business initiative is that of customer relationship management (CRM). How can B2C e-commerce businesses utilize the Internet to further enhance their CRM initiatives? How can B2B e-commerce businesses utilize the Internet to further enhance their CRM initiatives? Will become easier to harder to maintain relationships with customers as businesses move toward more “electronic” commerce? Why or why not?

B2C e-commerce occurs when a business sells products and services to customers who are primarily individuals. CRM systems use information about customers to gain insights into their needs, wants, and behaviors in order to serve them better. B2C businesses can utilize the Internet to further enhance their CRM initiatives by looking at what customers are buying on the Internet, and finding similar products to recommend to them. B2B e-commerce occurs when a business sells products and services to customers who are primarily other businesses. In order for B2B businesses to utilize the Internet to further enhance their CRM initiatives, they can see what businesses want which products, then sell them the products they will be interested in. Electronic commerce is commerce, but it is commerce accelerated and enhanced by IT, in particular the Internet. I think it will become easier to maintain relationships with customer as business move toward more “electronic” commerce because it enables customers, consumers, and companies to for new relationships with the new technology.