Lecture 3 – The Economic Importance of Ebusiness

In this lecture you will discover how difficult it is to calculate the economic impact of ebusiness. You will also learn how businesses could consider the economic impact of ebusiness on their firms.

Concepts covered in this lecture

  • Economic measurement
  • Consumer power
  • The economic influence of ebusiness

Step 1: Review the lecture slides

Get the slides from Moodle and review them together with your lecture notes.

Step 2: Video

Watch this video about economics and technology

Step 3: Reading

Read this Wikipedia page about the productivity paradox: https://en.wikipedia.org/wiki/Productivity_paradox

Step 4: Presentation

Run through this presentation about “free” software and think about the “hidden costs” such free software has. In this example of the City of Munich, “free” software actually cost 35 million Euros

Step 5: Reading

Read p380-386 of E-commerce by Laudon and Traver

Alternatively, read p43-55 of E-business by Jonathan Reynolds

Step 6: Website analysis

Look at http://www.netcomposites.com and try to work out how they make their money

Step 7: Reading

Read the article at this page: http://www.supplychainquarterly.com/columns/scq201102monetarymatters/

Step 8: Research

Conduct your own research on the potential economic benefits of e-business to individual businesses as well as the wider economy.

 

Further Reading

The Death of Distance by Frances Cairncross

https://en.wikipedia.org/wiki/Standard_of_living_in_the_United_States

https://en.wikipedia.org/wiki/Human_Poverty_Index