Marketing 245 Principles of Electronic Commerce Temple University

Fall 2000 Dr. Susan Mudambi Department of Marketing Speakman Hall Room 337 Tel: (215) 204-3561 Email: smudambi@sbm.temple.edu Home Page: http://www.sbm.temple.edu/~smudambi Office Hours: Tuesday & Thursday, 1-2 p.m. Course Prerequisite Marketing Principles (MKT 081). MIS 100 or MIS 110 is recommended. Required Text Principles of Internet Marketing by Ward Hanson, SouthWestern Publishing, 2000 Other required readings will be assigned, generally available via the course website. Recommended: Students are expected to keep themselves current with e-commerce developments by reading newspapers, business magazines, and online e-commerce news sources. Course Description The growth of the Internet continues to have a tremendous influence on business. Companies and organizations of all types and sizes are rethinking their strategies and how they run their operations. This new course in the Temple E-Marketing program challenges students to explore the realities and implications of e-commerce from a marketer's perspective. Business-to-consumer (B2C) and business-to-business (B2B) e-commerce markets are examined. The course introduces students to a wide range of electronic commerce issues for marketers, as a foundation for continual learning in the dynamic e-commerce environment. Learning Objectives To gain an understanding of the theories and concepts underlying e-commerce To apply e-commerce theory and concepts to what e-marketers are doing in "the real world" To improve familiarity with current challenges and issues in e-commerce
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Nature of the Class The class meets Tuesday & Thursday 2:40 - 4:00 p.m.. Classes may involve lectures, videos, guest speakers, small group exercises and discussions. Students are expected to attend class, participate and contribute to discussions, and keep up with ebusiness news. Class Participation I assume you are taking this class because you are truly interested in E-Commerce, and are seeking to develop your skills and understanding. This will require active participation on your part, both in class and outside of class. Because of the nature of the subject, we should be able to learn a lot from each other -- or, to use E-commerce jargon, I expect "collaborative customization" of the course, and a high degree of "member-produced content". The carrot: discussing e-commerce news items will earn you extra credit. The stick: attendance will be taken each class. Along with Temple University policies, no more than 2 absences are permitted. Each additional unexcused absence will result in a 10 point lowering of your final grade. Overview of Assessment Weight B2C Mini Project Exam #1 B2B Mini Project Exam #2 E-Commerce Group Project 30% 100% B2C Mini Project Description: Comparison Shopping This mini project provides you with the opportunity to systematically compare Internet retailing and traditional retailing shopping experiences. It is due before class on September 26. Background Shopping Comparison Recommendations Style (clarity of writing) 35% 35% 20% 10% 100%
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Deadline Wk 4: Tuesday, Sept. 26 Wk 5: Thursday, Oct. 5 Wk 8: Thursday, Oct. 26 Wk 12: Tuesday, Nov. 21

20% 15% 20% 15%

Wk 13: Thursday, Nov. 30

Pick a good or service that you (or someone you know) are planning to purchase. This could include products such as: shoes, medicine, toys, clothing, investment advice, groceries, wedding gift, insurance, sporting equipment, etc. Do NOT choose computer hardware or software, plane or event tickets, or books (these are too common). Please email me if you have any questions about the appropriateness of the product type you intend to compare and purchase. The mini project report must begin with a title page, and a one page executive summary. The body of the project should not exceed 7 pages. The first section, Background, includes (a) a description of the range of alternatives available to a potential buyer of this product; and (b) explanation of the key purchase considerations, such as convenience and price. You are expected to explicitly draw on theories and concepts presented in class and in your readings, and to apply them to this type of purchase situation. In the second section, Shopping Comparison, you will need to focus on two places to purchase the product on the Web, and two places to purchase the product in a physical retail establishment. Provide details of each of the four locations. You certainly do NOT have to complete the purchase of the product four times -- just once! You do, however, need to get far enough into the purchase process to be able to systematically compare the four purchase experiences using the key purchase considerations you identified in the first section. A summary table is expected. The final section, Recommendations, is a summary of practical recommendations for improving the purchasing process (not the entire website or store) of each of the four purchase sites. B2B Mini Project Description: B2B Exchanges This mini project will help increase your understanding of the range of B2B ecommerce exchanges available, and how companies utilize B2B exchanges. It is due before class on October 26. Background Site Analysis Recommendations Style (clarity of writing) 35% 35% 20% 10% 100%

Let's assume that when you graduate from Temple, your marketing and ecommerce skills will be highly sought after. After weighing many options, you decide to work for a small but fast-growing management consulting firm. One of your first assignments is to work with a medium sized industrial manufacturer
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(SMM Company) that is in the process of revising its e-commerce strategy. As luck has it, you know very little about that industry, and need to get up to speed quickly. Specifically, SMM is considering joining a B2B exchange, as a seller and/or as a buyer, and wants you to evaluate the leading B2B exchanges used by companies in its industry. You may choose which B2B industry SMM is in. I will provide you with a partial list of B2B exchanges in the chemical industry, the metals industry, the pharmaceutical industry, and the electronics industry. If you decide to choose an industry other than one of these four, you must clear it with me via email before Thursday, October 12. The mini project report must begin with a title page, and a one page executive summary. The body of the project should not exceed 7 pages. In addition, a list of references is expected, in standard format. The first section, Background, is (1) a description of the range of alternatives available to SMM Company, including general B2B exchanges and specific industry exchanges; and (2) a description and explanation of the key aspects or criteria the company should consider in evaluating the alternatives. Since you do not have extensive knowledge about SMM's market, make and state reasonable assumptions as appropriate. You are expected to explicitly draw on theories and concepts presented in class and in your readings, and to apply them to this type of decision. You are also expected to provide evidence that you have read about the industry of your choice. In the second section, Site Analysis, you need to focus on three of the exchanges, and systematically analyze what the sites offer, using the evaluation criteria you developed in the first section. The final section, Recommendations, is a summary of practical recommendations to SMM Company regarding the B2B exchanges. Exams Description The two exams (October 5 and November 21) will cover material from class lectures and discussion, the textbook, and other readings. They will primarily consist of questions in multiple choice or short answer format. E-Commerce Group Project Description This project provides you with an opportunity to increase and demonstrate your understanding of e-commerce theory and practice. The project is due before class on Thursday, November 30. Market Analysis E-Commerce Rationale E-Commerce Critique & Recommendations
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20% 30% 30%

Style (clarity of writing, evidence of research) In-Class Presentation

10% 10% 100%

Relatively few companies or nonprofit organizations effectively utilize the Internet in their marketing programs. Most small businesses still do not even have a website. Working with a group of 3-4 students, identify a company you believe would benefit from an improved e-commerce program. Use the class Listserv to inform me of the members of your group, the company of your choice, and why you have selected it. I will then reply as to whether the company is approved. (Deadline for your initial request is Thursday, Sept. 28). The project report must begin with a title page and a one page executive summary. The one page executive summary must be posted using the Course Listserv by the November 30 deadline (or you will lose 2 points off the project grade). The first section, Market Analysis, is a 3-4 page summary of the company, its marketing environment, its main customer market, its marketing mix, and two or three of its major competitors. Tools such as SWOT analysis, STEP analysis, and Porter's 5 Forces may be applied. Additional information may be placed in an appendix. Primary and secondary research is expected. References are expected. The second section, E-Commerce Rationale, is a 4-5 page rationale as to why the company or organization should increase and improve its e-commerce activity, given the particular nature of its marketing environment. You are expected to explicitly draw on theories and concepts presented in class and in your readings, and to apply them to the company's particular situation. The final section, E-Commerce Critique and Recommendations, is a 4-5 page critique of the company/organization's website and apparent e-commerce activity, and recommendations for improvement. The summary is to detail what the company's e-commerce priorities should be, and your proposal for how the company/organization should proceed. Additional information may be placed in an appendix. A detailed implementation plan is not expected, but you should provide enough specifics to make the proposal a substantial foundation for practical follow-up with the company. (This is especially important to those of you who aspire to be successful e-commerce consultants)! In making the recommendations, you are expected to explicitly draw on theories, concepts and readings. The In-Class Presentation is an important opportunity for you and your group to demonstrate your e-commerce understanding. The presentation should take about 10 minutes, leaving time for 5 minutes of question and discussion. It is the responsibility of the presenters to encourage at least 2 questions or comments from the audience. The presenters are expected to demonstrate good organizational and

verbal communication skills, using appropriate audio and visual aids and technology. When the project is turned in, each group member will be asked to allocate the total points for the project across the individuals in the group. Typically, each individual in the group will be allocated 100% of the final points. Alternatively, one or more persons may be judged as having made a greater contribution, with one or more other persons having made less of a contribution. I will consider how each group member allocates the points when calculating your final grade. Here's an example for a 4-person group, for which the project was awarded a grade of 80. Person A: Person B: Person C: Person D: 110% results in grade of 100% 100% 90% 88 80 80 72

Extra Credit (potential of up to 4 points added to final grade) (1) Current Articles E-Commerce is such a dynamic topic, with ever-changing issues, controversies, companies, people, and company alliances. You are expected to help keep all of us up to date by referring to relevant new articles in class. To encourage this, you are eligible for an extra credit of one percentage point on your final numeric grade for the course for each relevant new e-commerce article you bring up in class. To receive the extra credit, you must use the Course ListServe to post the article's source, the date you brought it up in class, and a one-page comment on the article within one week of the class discussion. To earn credit, your in-class comment and your written comments should go beyond simply restating the content of the article. No extra credit will be given for articles discussed after Week 11 (Thursday, November 16). Credit will be given for up to 3 articles, for a potential total of 3 percentage points added to your final numeric grade. (2) Events and Speakers Each semester, the School of Business and Management provides students with a number of opportunities to enhance their skills in a wide range of areas. The Business Awareness Events and the Marketing Club speaker series can help you enhance your potential, and help prepare you for a successful career in business. In order to encourage the development of your own marketability, you are eligible for an extra credit of one half of one percentage point on your final numeric grade for the course for each course-approved Business Awareness Event or Marketing Club speaker you attend. Notification of course-approved events will be posted on the Course webpage, through the Course Listserv, or announced
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in class. To receive the extra credit, you must submit a one-page report on the event, including: (a) a summary of the main points; (b) a discussion of how it relates to the e-commerce environment; and (c) a personal reflection on the relevance of the event to you. This report must be submitted to me within one week of the event to receive credit. Credit will be given for up to 2 reports, for a potential total of 1 percentage point added to your final numeric grade. Deadlines All assignments are to be turned in before class on the day of the deadline. Assignments turned in after the start of class, but before 5 p.m. on the deadline day, will be marked down one letter grade. Assignments handed in after 5 p.m. on the deadline day will be given a grade of zero. Handing in assignments a few days early is highly recommended. Personal Integrity Using information from other sources and not citing the source is plagiarism, a form of cheating. When you are working with other students, please remember that failing to contribute adequately to the project but taking full credit for others efforts is CHEATING and will be punished appropriately. Please refer to the Temple University Student Handbooks discussion on academic honesty. Changes E-Commerce is extremely dynamic. This course syllabus and schedule are subject to change pending notification in class, the Listserv or via the course website. Students are expected to check the course website before each class session. Weekly Schedule: See next page.

Marketing 245 Principles of Electronic Commerce Dr. Susan Mudambi, Fall 2000 Wk 1 2 3 4 Date T 9/5 Th 9/7 Tues. 9/12 Th 9/14 T 9/19 Th 9/21 T 9/26 Th 9/28 5 6 7 8 9 10 11 12 13 14 15 T 10/3 Th 10/5 T 10/10 Th 10/12 T 10/17 Th 10/19 T 10/24 Th 10/26 T 10/31 Th 11/2 T 11/7 Th 11/9 T 11/14 Th 11/16 T 11/21 Th 11/23 T 11/28 Th 11/30 T 12/5 Th 12/7 T 12/12 Topic Overview of E-Commerce and the Course Overview of E-Commerce (contd.) B2C Individuals Online B2C E-Commerce B2C E-Commerce Personalization & Customization Online Communities 9/26 Deadline for B2C Mini Project The New Economy - Economics of the Web 9/28 Deadline for Project request E-Commerce Business Models - how to make money on the Internet Exam #1 B2B Overview B2B Customer Support B2B Supply Chain Management B2B Other Internet Marketing Plans Organizing & Implementing Internet Marketing Plans 10/26 Deadline for B2B Mini Project Traffic, Brand Building & IMC Traffic, Brand Building & IMC Pricing Privacy, Security, Legal and Taxation Issues Privacy, Security, Legal and Taxation Issues Globalization of E-Commerce 11/16 Deadline for Extra Credit Articles Exam #2 No Class - Happy Thanksgiving! Careers, Future Prospects & Personal Web Sites Careers and Future Prospects 11/30 Deadline for E-Commerce Group Project Group Presentations & Discussion Group Presentations & Discussion Group Presentations & Last Day of Class ! Readings (additional readings will be assigned)
Hanson Ch.1, & pp. 114-121 in Ch.4 Hanson Ch.4, 92-114 Hanson Ch.12 Hanson Ch. 7 Hanson Ch.10 Hanson Ch.2, Ch.3 Hanson Ch.5

Hanson Ch. 6

Hanson Ch.13 Hanson Ch. 14 Hanson Ch. 9 Hanson Ch.11, Sinha Hanson pp. 422-433 Hanson pp. 422-433

Hanson pp. 433-438