theories related to online business

The Ansoff Matrix Balanced Scorecard . Two particular perspectives have emerged in recent years that relate to organizations and they include the chaos theory and the complexity theory (Millet B. et al, 1998). Many conspiracy theories relate to clandestine government plans and elaborate murder plots. According to market segmentation theory, to better serve the customers, the market is divided along some similarities. (2007). Toward a definition of 'virtual worlds'. State of the virtual world - Key metrics. Thus, system theory provides a framework for identifying the subject entity, creating a formalized model of the entity and thereby enabling the ability to study the entity by which groups of elements and their properties may be studied jointly in order to understand results. They have evolved considerably over time from traditional top-down authoritarian paradigms to more human-centered contemporary adaptations. Theories and Frameworks for Online Education: Seeking an Integrated Model 167 of a theory or model is to propose the answers to basic questions associated with a phenomenon. "Trust Theories and Models of E-Commerce." Graham, Henrie and Gibbons (2013) reviewed this issue as related to instructional technology and Thus, system theory may be applied to understand the issue of trust in e-commerce. E-Business Theory. The system dependent uncertainty may arise either from the open technological infrastructures or from the transaction-specific characteristics of the trading parties (Grabner-Krauter S., 2003). The risks associated with the system-dependent uncertainty enhance the role of trust in the transactions carried out in online (virtual) environments (Grabner-Krauter S. et al., 2003). Business organizations and their behavior have often been investigated using what is termed as ‘system’s approach’. This is used when objectives are set to evaluate the Strengths, Weaknesses, Opportunities and Threats facing the organisation. Most teachers in the k-12 sector will be familiar with the main theories of learning, but because The most commonly held views or theories are discussed below and have been developed over the last 100 years or so. Link. Early theories focused on understanding economic growth, and attempted to find general determinants of growth that could be applied to any instance under consideration. This theory states that you must consider how fast your product or service is produced or delivered in comparison to your competitors'. By Kar Feb 24, 2011 Digital Marketing, ... Related. Barriers To Exit. Douglas McGregor’s X Y Theory is nearly the polar opposite of Weber's Bureaucratic Theory. 2012-07-27T12:34:00Z The letter F. An envelope. Retrieved March 25, 2009, from http://www.nytimes.com/2007/06/17/magazine/17lootfarmers-t.html?_r=1&pagewanted=all, Linden, Z. Management theories are visions of different ways to run a business based on differing assumptions about how people and systems operate. Chaos theory is “… the proposition that systems are neither open or closed, but so complex that minute changes to the system can cause complex and unpredictable change” (Smither, Houston & McIntire, 1996). The technology related to the web applications and software, the computational power of the hardware, and the speeds at which users access the Internet have all changed in very noticeable ways. The life of the Chinese gold farmer. The following are a few theories that are particularly relevant to key areas such as business models, marketing, operations and customer relationships. The basic advantage of the system approach is that it encompasses many concepts of system theory such as inputs, outputs, boundaries, feedback and control, etc. These traits are distinguishable and often long lasting quality or a characteristic of a person that makes him different from the others. The IS as a sub system that works with other sub systems of the business system that acquires the resources, supports business processes and produces the outcomes that represent business performance (Lomerson et al., 2007). However, the complexity theory emphasizes on planned change instead of chaotic processes of “self-organization that produce unpredictable emergent change” (Shaw, 1997). Marketing strategy indicates the company's approach to marketing. "Trust Theories and Models of E-Commerce. How can organizations utilize Web 2.0 technologies to build a new business model? Journal of Virtual Worlds Research, 1(1), 1-5. It advocates continued adaptation and realignment instead of freezing an organization to a state of rigidity (Dawson, 1994; Crossan, White, Lane & Klus, 1996). Post navigation. These principles Theory X posits that employees are apathetic or dislike their work. Bell, M. W. (2008). Technological advances allow moving from mass markets to segments of one. Internet technologies for e-commerce, education, information services, and gaming are now 3-dimensional, service-oriented, and user-centered. In, InfoSci-Business Knowledge Solutions – Books, Trust and Technology in B2B E-Commerce: Practices and Strategies for Assurance. Development theories attempt to explain the conditions that are necessary for development to occur, and weigh up the relative importance of particular conditions.. Virtual worlds have also developed user bases large enough to inspire marketing efforts. Some recommendations could decide the success of a business or possibly even someone’s life. Managers who adhere to Theory X are often authoritarian and will micromanage everything because they don’t trust their employees. Digital Marketing – Theories, Strategies and Frameworks. Many organizations seek to become marketing-driven. To Support Customers in Easily and Affordably Obtaining the Latest Peer-Reviewed Research, Copyright © 1988-2020, IGI Global - All Rights Reserved, Additionally, Enjoy an Additional 5% Pre-Publication Discount on all Forthcoming Reference Books, In Lee. (2007). In, InfoSci-Business Knowledge Solutions – Books, Electronic Commerce Management for Business Activities and Global Enterprises: Competitive Advantages, http://gigaom.com/2007/05/20/virtual-world-population-50-million-by-2011/, http://www.nytimes.com/2007/06/17/magazine/17lootfarmers-t.html?_r=1&pagewanted=all, https://blogs.secondlife.com/community/features/blog/2007/02/09/, http://secondlife.com/statistics/economy-data.php. In the context of trust in e-commerce, the complexity theory underlines the need for planned and deliberate steps in the direction of realigning the information practices. The Communications Mix . Boston House, 214 High Street, Boston Spa, West Yorkshire, LS23 6AD Tel: +44 0844 800 0085 Fax: +44 01937 842110 Arbitrage. The core of the theory posits that consumers act on behavior based on their intention to create or receive a particular outcome. The following paragraphs provide a brief description of the perspectives of trust in e-commerce emerging from these theories. Aify June 16, 2020 ... 2020, 8:33 am. According to the theory, specifi… Economic statistics (raw data files). + The State of the WWW describes the evolutions and current state of web technology. This theory is very significant in the management of software development. Retrieved March 27, 2009, from https://blogs.secondlife.com/community/features/blog/2007/02/09/, Second Life. These factors have led to the development of online environments that greatly widen the potentials of e-commerce. Retrieved March 27, 2009, from http://secondlife.com/statistics/economy-data.php. Au, W. J. Marketing theories, in turn, shape the manager's frame of mind regarding the market. Marketing Strategy Theories. For instance, Coca-Cola has developed a section of the virtual world There.com called MyCoke. This theory widely used by many scholars to determine the intention of individual behaviour in a multidisciplinary area. SWOT Analysis. Reflecting both the technical and social elements of virtual worlds, Bell (2008) defines a virtual world as “a synchronous, persistent network of people, represented as avatars, facilitated by networked computers” (p. 2). ", Muneesh Kumar , and Mamta Sareen. (2009). Inter-temporal Choices The New York Times. Aimee Groth. After completing this chapter, you will be able to: Understand various foundation theories in e-commerce; Understand the roles of online intermediaries; Describe emerging web 2.0-based business models; Discuss interaction dynamics between emerging Web 2.0-based businesses and existing businesses. The virtual world population is expected to reach 50 - 60 million by 2011 (Au, 2007). Adverse Selection. An image of a chain link. ... Business Fundas is an educational initiative on business & management. The worldwide virtual world economy is valued at approximately $1.8 billion (Dibbell, 2007). Click a link above to be taken to a full blog on the marketing model/theory of your choice. In Second Life, users are called “residents.” Many residents of Second Life use the virtual world to interact socially with other residents, run businesses, or learn how to do things in the real world. In Second Life, as of 2007, there was an estimated 3.1 million registered residents (Linden, 2007). (2007, June 17). To Support Customers in Easily and Affordably Obtaining the Latest Peer-Reviewed Research, Copyright © 1988-2020, IGI Global - All Rights Reserved, Additionally, Enjoy an Additional 5% Pre-Publication Discount on all Forthcoming Reference Books, Muneesh Kumar and Mamta Sareen. What are the impacts of e-commerce on transaction costs? Journal of Virtual Worlds Research, 1(1), 1-3. "Foundations of E-Commerce: Theories, Online Intermediaries, and E-Commerce Business Models. Marketing Mix – The 4 P’s of Social Marketing . In this analysis, consumers are rational actors who choose to act in their best interests. A system may be, typically defined as a set of several independent and regularly interacting or interrelating units or subsystems that work together to accomplish a set of pre-determined objectives. In 1960, McGregor defined Theory X as the idea that workers were just cogs in a wheel who needed to be bullied and punished in order to do their work accurately (which sounds like he was referring to Weber's theory). Avatars are the representations of users in virtual worlds, often graphically displayed as 3-dimensional characters and are central to the way that users interact with people and objects in virtual spaces. Regardless of the factors involved, we resort to set theories, consciously or unconsciously, to arrive at the decisions we make. "Foundations of E-Commerce: Theories, Online Intermediaries, and E-Commerce Business Models." Barriers To Entry. It indicates the ability to send an email. After reading this chapter, you will be able to answer the following: How can organizations generate value from web-based business models? Virtual worlds persist in virtual reality spaces (Schroeder, 2008). Conspiracy theories usually deny consensus or cannot be proven using the historical or scientific method and are not to be confused with research concerning verified conspiracies such as Germany's pretense for invading Poland in World War II. ", In Lee. There are a number of different views as to what motivates workers. Based on marketing efforts from Coke and other companies, it seems clear that companies are very interested and relatively optimistic about the idea of using virtual world for promotion and branding. This is a list of conspiracy theories that are notable. Two particular perspectives have emerged in recent years that relate to organizations and they include the chaos theory and the complexity theory (Millet B. et al, 1998). These factors have led to the development of online environments that greatly widen the potentials of e … A virtual world, in a variety of implementations, is becoming more popular every day. Growth and development theories. The researches in the area of trust in e-commerce have drawn heavily from a set of existing theories. Unfortunately these theories do not all reach the same conclusions! This site features large promotional displays, Coke-branded virtual clothing, and activities for visitors. Since, the transactions in e-commerce are computer mediated, they are subject to risks arising out of system-dependent uncertainty. Some are as mundane as deciding which lettuce to use in a salad, while other options are more complex. One user can make an alteration (such as buying land and building a store) and that alteration will persist unless it is acted upon by the same user or other users. Retrieved March 27, 2009, from http://gigaom.com/2007/05/20/virtual-world-population-50-million-by-2011/. System Theory, first proposed by Ludwig von Bertalanffy in 1945 has been used for decades as an analytical approach to understand how complex physical, biological, economic and social systems operate. 15 Business Theories That Will Improve Your Life. The systems approach to building trust in e-commerce would focus on effectively deploying a set of appropriate practices in order to achieve an environment that is trusted. + Roots of E-Business will address E-Business in the context of workflow automation, reengineering, and cooperative processing. An Information System (IS) is a typical example of a system that conforms to the system theory. First, the theories indicate that the business success or failure processes are related to certain business management principles or theories to which business owners need to adhere in order to stay in business (Beaver & Jennings 2005:9). This book is one of the first to present scholarly theory and research to help explain and predict online consumer behavior. In internet marketing, just like any other business, theories abound. The virtual world, Second Life, is one of the largest user-created, 3D virtual world communities. Absolute Advantage. Chaos theory is “… the proposition that systems are neither open or closed, but so complex that minute changes to the system can cause complex and unpredictable change” (Smither, Houston & McIntire, 1996). Trait Theory Definition: The Trait Theory asserts that an individual is composed of a set of definite predisposition attributes called as traits. According to Chaos theory, it is not possible to forecast future events in an organization because small change in the environment can have a snowball effect (Smolowitz, 1996) and may have significant consequences. Schroeder, R. (2008). Virtual world population: 50 million by 2011. R. Edward Freeman, an American philosopher and business management professor, was the first to introduce the stakeholder theory in his 1984 book “Strategic Management: A Stakeholder Approach” to provide a framework for addressing the moral and ethical obligations of business organizations. The first theory in this context is called the theory of speed. Theory Y posits that employees are self-motivated, responsible, and want to take ownership of their work. Theories Applied on Knowledge Sharing 3.1 Theory of Reasoned Action (TRA) Theory of Reasoned Action (TRA) is a social psychology model, which explained the intention behaviour reasons (Ajzen, 1985). Kim R Halbwachs October 1, 2020, 2:28 am. The 7 P's of the Marketing Mix . Defining virtual worlds and environments. 4. An e-commerce, being a sub system of IS, uses appropriate information practices in order to achieve customer acquisition, customer loyalty, cost savings channel optimization and value capture (Epstein, 2004). Dibbell, J. In a virtual world, it is possible for users to interact using avatars. There is also much user activity in Second Life with 1.4 million residents logged in within the last 60 days from March 25, 2009 (Second Life, 2009). Created by Martin Fishbein and Icek Ajzen in the late 1960s, the Theory of Reasoned Action centers its analysis on the importance of pre-existing attitudes in the decision-making process. that are useful in understanding business situations. The Internet of today is greatly different from the Internet of ten years ago. The technology related to the web applications and software, the computational power of the hardware, and the speeds at which users access the Internet have all changed in very noticeable ways. Attention Economics. Business practitioners, students and marketers are trying to understand online consumer experiences that help instill brand loyalty. Of even greater interest is the revenue generated at the virtual world business sector. + Current State of E-Business covers a variety of topics that provide an overview of the opportunities present. any suggestion theory for health issues emerging from online class to the student pls badly need help. The Literature Review has led to some important conclusions. The theory of the business becomes “culture.” But culture is no substitute for discipline, and the theory of the business is a discipline. Any suggestion on a theory that I can use on “How online friendship boosts small business on Instagram”, Link. And will micromanage everything because they don’t trust their employees some important conclusions from markets... Management theories are visions of different ways to run a business based on differing assumptions about how people and operate! 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