creates new business models and is challenging bookstores music labels and film

Creates new business models and is challenging

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- creates new business models and is challenging bookstores, music labels, and film studios (B) The principal e-commerce business and revenue models are: e-commerce business models - electronic retailers, transaction brokers, market creators, content providers, community providers, service providers, and portals. The principal e-commerce revenue models - advertising, sales, subscription, free/freemium, transaction fee, and affiliate. Principal e-commerce business model: - Etailer - sells physical products directly to consumers or individuals’ businesses. - Transaction brokers - saves users money and time by processing online sale transactions and generate a fee each time. -Market creator - provides a digital environment where buyers and sellers meet, search for and display products, and establishes prices for those products. - Content provider - creates revenue by providing digital content, such as digital news, music, photos, or video over the web. - Community provider - provides an online meeting place where people interact with one another based on similar interests. - Portal - provides an initial point of entry to the Web along with specialized content and other services. - Service provider - provides web 2.0 applications such as photo sharing, video sharing, and user-generated content as services. E-commerce revenue models:
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- Advertising revenue - generates revenue by attracting a large audience of visitors who can then be exposed to advertisement. - Sales revenue - companies derive revenue by selling goods, information, or services to customer. - Subscription revenue - a website offering content or services charges a subscription fee for access to some of its offering on an ongoing basis. - Free/freemium revenue - basic services or content are free while advanced or special features cost extra. - Transaction fee revenue - a company receives a fee for enabling or executing a transaction. - Affiliate revenue - sites steer customers to an affiliate business receive a referral free or percentage of the revenue from any resulting sales. 6. The alternative methods for building information systems are: systems life cycle, prototyping, application software package. Traditional systems life cycle is oldest method for building information systems that also known as the Systems Development Life Cycle (SDLC). This is a highly structed information system design to develop a very formal process that persons to go through. This is usually a 5-6 steps process which has defined steps that are considered formal stages that a project would go through. Advantages - Straight forward model to work through - Easy system to use for novice information systems designers - Perfect match for bigger projects or ones that are complex in nature Disadvantages - This system can be expensive to implement and control - Can be very difficult to work through - Inflexible and usually requires one to go through one step in the process before proceeding to the next
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Information prototyping is cheap primary models build rapidly and inexpensively to see what works and what does not. This is useful because several iterations can be
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