By Keith T. Brown

So much e-commerce specialists agree that "click-and-buy" purchasing cart websites are speedy turning into something of the previous. quickly, the single e-businesses that would topic can be these which permit shoppers to customized layout the goods they buy.At Ford, the Ford-Oracle AutoExchange web site reworked Ford's offer chain from one in response to forecasts and development for stock to a real-time, build-to-order version. during this sensible advisor to the way forward for e-business. BuildNet, Inc. Chairman Keith T. Brown truly explains why the main winning business-to-consumer e-businesses, now and within the years forward, are these outfitted on interactive business-to-business systems that combine web expertise into all levels of commercial operations. And he fingers readers with the information and abilities had to create good interactive company plans.

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That’s what we call low switching costs, and you will see throughout this book that Internet-enabled low switching costs are having a profound effect on how products are produced, bundled, and priced. See Figure 2–2. 3 trillion in 2003, accounting for more than 90 percent of the dollar value of e-commerce in the United States by 2003. Being Controlled 45 walls and barriers the old-fashioned economy put between the customer and the limitless choices open to them? If not, you’d better think of retooling to make your company interactive and ebusiness–enabled.

Since the car has been preassembled on a computer, or is comprised of components that can be individually priced out, it’s relatively easy for computer systems to predict how much the car will cost, long before it is built. You price each component, and add those costs together to obtain the total material cost. You price out your labor by adding up units of work expended. This is a relatively straightforward calculation, because the same tasks are repeated over and over again, day after day. Add the material and labor costs to- 48 Chapter 2 gether, and you have your total hard costs for the car.

But part of it was also used to muster armies. A minimally successful community could afford a standing army of defense, while a truly successful community could afford an imperial army that could conquer others, and take advantage of even more subjugated peoples’ ability to create, but not retain, wealth. What was the means of economic exchange among the average citizens, the people who had little or no money? It was often barter, where products and services were exchanged for other products and services, in small-scale arrangements involving limited numbers of people who often knew one another.

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