Advanced Electronic Commerce

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Advanced Electronic Commerce
This Course Guide has been taken from the most recent presentation of the course. It would be useful for reference purposes but please note that there may be updates for the following presentation.

BIS B422
Advanced Electronic Commerce



Introduction

BIS B422 Advanced Electronic Commerce is a one-year, ten-credit higher level course. You are strongly advised to complete BIS B322 Networking Applications and Electronic Commerce before enrolling in this course.

The major aim of the course is to provide students with a broader knowledge background of electronic commerce and a deeper understanding of problems and solutions in developing electronic commerce strategies and systems for business organizations. The course covers various topics on electronic commerce, including electronic commerce concepts, transaction protocols, security strategies and solutions, global marketing strategies and methods, electronic government, legal issues and laws.

The study units, textbooks, supplementary readings, activities and self-test questions will help you understand various topics on electronic commerce over a period of 32 weeks.

Purpose of this Course Guide

By now, you have completed other OUHK courses, so you are familiar with the study skills for distance learning, and the organization of OUHK courses. Even so, you should read this Course Guide thoroughly before looking at the study units and reading materials. It gives you useful information about BIS B422 Advanced Electronic Commerce.

The Course Guide tells you briefly what the course is about and how you can work your way through the materials. It suggests the amount of time you need to spend on the course materials, and gives you a general guide about when your assignments are due. For detailed information on your assignments, due dates and cut-off dates for work to be submitted, see the Assignment File. You will probably wish to refer to this Course Guide throughout the course to help clarify important points about studying with the OUHK.

Course aims

BIS B422 Advanced Electronic Commerce aims to:

  1. Give you a concrete knowledge foundation on electronic commerce, state-of-the-art methods and supporting technologies.

  2. Develop in you the capability of applying the learned knowledge and methods to design and develop an electronic commerce system with well-defined solutions.

  3. Develop in you the ability to identify, evaluate, and design alternative electronic commerce solutions and strategies for business organizations in order to increase organizational effectiveness and competitive advantage.

Course learning outcomes

Upon completion of this course, you should be able to:

  1. Analyse the essential concepts, problems, strategies and solutions in electronic commerce.

  2. Discuss various state-of-the-art electronic commerce strategies, alternative solutions, and real-world practice.

  3. Explain and evaluate marketing strategies and methods for electronic commerce in business organizations.

  4. Evaluate alternative management strategies for electronic commerce in business organizations.

  5. Examine the protocols and classifications of electronic commerce, and essential key factors in transaction processing.

  6. Identify and evaluate various security problems and strategies in electronic commerce.

  7. Discuss the role of government in electronic commerce.

  8. Discuss the legal issues and laws in the implementation of electronic commerce solutions and systems for business organizations.

Course overview

The following table gives a general overview of the course structure.

Unit Title Weeks Assessment activity
(end of unit)
1 Electronic commerce overview 3  
2 Electronic commerce marketing strategies 3 Assignment 1
3 Marketing strategies and tools for electronic commerce 4  
4 Management of electronic commerce 3 Assignment 2
5 Payment systems for electronic commerce 3  
6 Security issues in electronic commerce I 3  
7 Security issues in electronic commerce II 3 Assignment 3
8 Electronic government 3  
9 Legal issues and laws on electronic commerce 3  
10 Future of electronic commerce 3  
  Revision 1  
  TOTAL 32  
Course materials

In addition to this Course Guide are the following important components. At this time, please ensure that you have all of these materials. If you do not have any of the OUHK-produced materials, please contact the OUHK immediately. You are responsible for purchasing the textbooks.

Study units

BIS B422 Advanced Electronic Commerce has ten study units. Each unit takes three or four weeks to complete. The course is structured so that each unit builds on previous ones. Each unit includes directions for study, and highlights the key points on which tutorials and self-tests are designed. When you complete the self-test at each stage, you can check your progress and improve your understanding of the material.

Each unit includes four types of useful information and material to help you study:

  • The study unit, which provides useful information about each specific subject or topic. The well-structured information helps you clarify and understand the important key points, concepts, issues, methods, and solutions covered in each unit.

  • Reading assignments, which ask you to read the appropriate chapters or pages from your textbooks or recommended reading materials.

  • Self-tests, which help you check how well you understand the covered materials.

  • Assignments and activities, which require you to think, analyse, observe, or conduct some hands-on activities to apply your learned knowledge and methods.

Readings

You may be instructed in the study units to read articles or other supplementary materials. These will be available online or provided as hard copies at the backs of the study units.

E-Library E-Reserve readings

You may be instructed to read articles in the E-Library E-Reserve. To read these items, go to the OUHK E-Library and click on 'E-Reserve'. Log in, click 'Accept/Agree' on the Copyright Restrictions page, fill in the 'Course Code' box, and click 'Search'.

Assignment File

Assignment details for this course are contained in the Assignment File included in your course folder. You are required to complete your assignments and submit them to your tutor in accordance with the due dates specified in the Assignment File.

Set textbook

You must purchase the following textbook:

Turban, E, King, D, Lee, J, Liang, T and Turban, D (2012) Electronic Commerce 2012: A Managerial and Social Networks Perspective, Upper Saddle River, NJ: Prentice Hall.

Presentation Schedule

The Presentation Schedule for BIS B422 Advanced Electronic Commerce is available on the Online Learning Environment (OLE). Follow the suggested study schedule in order to guard against falling behind in your work.

Course assessment

Course assessment consists of assignments and a final examination deigned to assist you in learning the materials covered. Self-tests help check your understanding of the materials you have just studied.

Assignments

There are four assignments, which test your understanding of the prescribed materials. You will be asked to apply your learned concepts, methods, and solutions to identify and analyse given problems, or answer given questions according to the selected textbook chapters, recommended readings and other supporting materials.

No tutorial facilities will be required for the assignments. You will be able to complete all forms of assessment based on the provided information and materials in study units. It is recommended you read more information provided in the references to examine different viewpoints and gain a deeper understanding on the subjects. The list of assignments is given below.

  • Assignment 1 evaluates materials covered in Units 1 and 2.

  • Assignment 2 evaluates materials covered in Units 3 and 4.

  • Assignment 3 evaluates materials covered in Units 5, 6 and 7.

How to submit assignments

You must use Microsoft Word and Microsoft Access to prepare the assignments, and submit the assignments via the Online Learning Environment (OLE). All assignments must be uploaded to the OLE by the due date.

Failure to upload an assignment in the required format to the OLE may result in the score of the assignment being adjusted to zero.

Assignment extension policy

The assignment policy of the University as stated in the Student Handbook should be observed. Students are required to submit assignments for a course in accordance with the dates communicated by the course coordinator. Students may apply for a submission extension on the grounds of illness, accident, disability, bereavement or other compassionate circumstances.

Applications for extensions of up to seven days should be submitted to the tutor. The tutor shall consider valid and unexpected emergencies on an individual basis. Normally, documented proof of the extenuating circumstances is not required for extensions of up to seven days. The tutor shall decide and advise the student of the revised date for submission.

For extensions of over seven days, students should note the following:

  1. If students require an extension of more than seven days on the grounds of illness, accident, disability, bereavement or other compassionate circumstances, they are required to complete an 'Application Form for Assignment Extension over seven days' and submit it to the Course Coordinator.

  2. Supporting documents must be submitted along with the application for extension of over seven days to justify the claim.

  3. Applications for extension should normally be lodged before or on the due date.

  4. Applications are considered by:
    • the Course Coordinator for extensions of 8 to 21 days; and
    • the Dean for extensions of over 21 days.

After an assignment is submitted via the OLE, it is your responsibility to check that the assignment has been successfully submitted. Extension applications due to any problem with uploading will not be accepted. The University cannot accept any responsibility for assignments that are not received by your tutor due to any problem with submission via the OLE. As a precaution, you are advised to keep a copy of each assignment you submit.

According to the University's policy, no extension of the due date will be allowed for the final assignment. This policy will be strictly enforced. Any late submission of the final assignment will result in the score of the assignment being adjusted to zero.

Final examination and grading

You will have three hours to complete the final examination of BIS B422 Advanced Electronic Commerce. Your final examination grade is worth 60% of your total course grade. Before taking the final examination, it is a good idea for you to review all course materials, self-tests and tutor-marked assignments and comments.

The scope of the final examination includes all materials covered in the course. The questions in your final examination are similar to the ones in your self-tests and tutor-marked assignments. The examination will not contain 'trick' questions. You will be provided with a specimen examination, similar in format to the final examination but containing different questions.

To get a passing grade for the course, you must submit tutor-marked assignments, and receive a passing grade on the three assignments and on your final examination.

Course marking scheme

Assessment type Percentage of marks
Assignment 1 12%
Assignment 2 14%
Assignment 3 14%
Final examination 60%
Total 100%
Use of case studies

Case studies are a useful and increasingly popular form of learning and assessment in the OUHK's School of Business and Administration. In this section we will look at why case studies are used and then suggest some learning strategies that you can use to approach case studies. We will also briefly discuss some problems that you may encounter as you learn from case studies.

What is a case study approach to learning?

One main purpose of a case study is to explore an issue or a number of issues in relation to an organization. The intention is to get you to carefully diagnose an organization; to focus on key problems, and to suggest how these might be resolved. Often the case is a real-life account of an organization which you are required to analyse in order to focus on a problem. Usually, the information that is provided is incomplete and you are often expected to observe developments in the organization over a period of time. The case study approach is an excellent opportunity to actively apply material that you have read and conceptual knowledge to the reality of an organization.

At the OUHK, case studies may be used as part of TMAs, exams, study units, or day-school exercises. You normally are given some information about a company (this could be both text and graphical information, such as figures and tables). You are then asked to think about some problems related to the company and to use concepts and apply theories that you have learned in your course to propose possible solutions for the company.

Let's have a look at two kinds of case study questions that you might be asked to work through in your courses. The first example is quite structured, while the second is much more open-ended.

Two examples of case study questions

  1. Read the case study entitled 'ABC Consultants' and consider the following issues:
    • Using your understanding of the resource-based model, what measures could be taken to improve ABC's returns?
    • Drawing on your broad understanding of the consultancy industry, assess ABC's relative competitiveness and its profit potential.
    • To what extent do internal factors account for ABC's financial weaknesses?
    • Based on your assessment of ABC's financial weaknesses, formulate a new strategic intent and develop a mission statement for ABC.
  2. Read the case study entitled 'XYZ Industries'.
    • Identify the key problems that are currently faced by XYZ's management.
    • Propose viable solutions to these problems.

Why case studies?

As you can see from the above examples, a case study approach to learning requires a great deal of thinking and often will not easily yield a quick 'wrong' or 'right' answer. However, case studies are also good preparation for dealing with real-life business problems. Cases may be short and relatively simple, or longer and complex. The purpose is the same for both types: to give you an opportunity to develop your skills in analysing the strengths and weaknesses of the organization under examination, to consider the processes at work within the organization, and to make decisions about future actions.

Case studies are not meant to replace textbooks, but rather to ask you to draw connections between theories and practice and to apply abstract ideas, concepts, and principles to specific concrete situations. Consequently, case analysis develops a number of skills that are crucial in business. In particular, they help you to:

  • analyse complex, unstructured, sometimes ambiguous situations;

  • identify critical issues and problems;

  • question your own and others' assumptions;

  • improve your problem-solving skills;

  • develop your ability to find alternatives and make informed decisions;

  • make decisions with incomplete information and think strategically;

  • self-educate yourself and draw on a broad range of resources and knowledge; and

  • present and justify recommendations in writing.

You may find that there are many possible 'right' answers to the questions in a case study. This illustrates that there is often no single best way to responsibly manage and solve real-life business problems.

Some guidelines for analysing case studies

The following strategies should help you to successfully analyse case studies:

1 Read the case and become familiar with the facts

First, skim read the case to obtain a general understanding of the main point(s). Highlight or underline the pertinent points as you read.

Read the case again, and this time note down critical facts (such as names, time sequences, and where events occurred). Try to understand how events have influenced decisions. Identify the important individuals or stakeholders, and try to assess the importance of supporting information in the case. How reliable is this supporting information? Are there any gaps in the information that is given?

Make a note of any questions that you have as you read the case.

2 Assess the context of the case

Try to understand the environment of the organization and the wider context of the case.

Ask yourself questions about:

  • The state of the organization: What is the state of this organization: good, bad or in-between? Usually this involves thinking about interpersonal relationships, and assessing production or financial problems.

  • Key players and systems: How do systems and people operate in this organization? Why do they operate like this? Are the systems undergoing change? How successful are the changes? Is there someone who could sabotage any future strategy? Is there someone who can ensure the success of a future strategy?

  • Significant trends: How does this industry operate? What are the main or unique characteristics of the industry? What were they five or ten years ago, and what are they likely to be in the future? What impact are trends likely to have on the organization under investigation? How does this organization's performance compare with that of competitors?

  • Constraints: Clearly identify all constraints in the case. A constraint may be viewed as anything (usually beyond the control of the organization) that may prevent an otherwise feasible course of action from becoming a success. What is outside the control of individuals in the case study? For example, it is unlikely that any company or individual in Hong Kong could prevent a foreign government from imposing tariff barriers on imports.

A SWOT analysis is a good way to get a better understanding of the organization and the context or environment in which it is operating. A SWOT analysis considers the Strengths and Weaknesses of the organization, and the Opportunities and Threats which the organization faces in the external environment.

3 Recognize the case's symptoms

Read the case again and as you read, try listing all the symptoms of the case. The symptoms of a case are not the problems, but they may help you to identify the problems. Symptoms are all the things that are undesirable or that are not as expected. For example, falling sales could be a symptom of several problems such as poor market segmentation, poor product quality, or problems in a supply chain. At this stage of your analysis, you should just try to observe all the symptoms, and avoid prematurely identifying problems or suggesting solutions. Like a doctor who consults a patient, you first need to observe and note all the symptoms before you can give a definite diagnosis of the problem. Think about how the symptoms may be interrelated. Relationship diagrams, like the one below, may help you to see the relationships between symptoms.

4 Diagnose the case's problems

After you have a good sense of the symptoms, you're ready to determine key issues that need to be analysed more closely. You are now diagnosing the situation, like a doctor diagnosing a patient's symptoms. Ask yourself 'what seems to be the trouble in this organization?' and make a list of what you now perceive to be the key problem(s). You will probably need to go back to the details of the case and as you do this, you may add to or refine your list of potential problems.

If there are several problems, you need to order and prioritize them. You might want to number problems according to how you perceive their importance, or make a matrix, like the one below, which shows relationships between various criteria and each problem.

Criteria Problem #1 Problem #2 Problem #3
Importance: what will happen if the problem is not addressed?      
Urgency: how quickly must this problem be solved?      
Centrality: To what extent does this problem cause others?      
Solvability: Can this problem actually be solved?      

Also try to establish if there are relationships or themes in common among the various problems. Perhaps different problems in your list are actually variations of a broader central problem.

Ask yourself what assumptions you have made about the case. Are these assumptions reasonable, and are they supported by the facts? Would other people objectively suggest the same problems, based on the facts that you have? Are you suggesting problems that are not supported by the facts of the case?

After you have considered and put into order the possible problems and questioned your assumptions relating to these problems, you should write a statement of the problems as you perceive them. Avoid suggesting solutions at this stage.

Once you have a problem statement, you need to find evidence in the case to support your problem diagnosis. Also, try to identify ideas, concepts and theories from your textbook and course units which help to explain what is happening in the case.

5 Formulate criteria for a 'good' solution and identify possible constraints to solutions

Before you propose a solution, you need to consider the characteristics of a 'good' solution. Obviously, your solution should bring benefits such as improved productivity, reduced costs or greater profits. However, it also needs to be viable and to accommodate the constraints that you have already identified, i.e. Is the solution legal? Is there a budget for this solution? Does it conflict with the organization's culture?

Try to brainstorm alternative solutions. Aim to generate a broad and creative range of options and then try to rate each according to various criteria.

The following matrix demonstrates how this can be done.

  Cost Ease of implementation Impact on organization culture Impact on profits
Option 1 *** * * **
Option 2 * *** *** **
Option 3 ** * * ***

Also refer to ideas, concepts and theories from your course materials as you consider and assess each possible solution.

It's often wise to propose a solution that allows for plausible alternatives if it should fail. Managers use the term satisfice when they are considering acceptable alternative solutions, that is, the solution is able to satisfy the situation while also making some realistic sacrifices to existing constraints. Therefore, it is a satisficing rather than a maximizing solution.

Finally, don't forget to consider the possibility of taking no action. What will actually happen if no action is taken? Are any (or all) of the solutions less viable than taking no action at all?

6 Recommend a viable solution

After you have assessed the merits and pitfalls of each alternative solution, select the best solution for the situation.

Remember that the solution needs to be viable. Can the recommended solution be introduced? Are there the resources and the willingness to implement it? Be realistic about what may work. Explain why it is the best solution within the constraints of the existing context and explain how it can be applied to the organization. Suggest a time-frame for the solution's implementation.

Outline possible strategies for implementing your solution, either partially or completely. As many feasible courses of action as possible should be considered before you choose the one that seems the most likely to succeed. The more ideas you have, the greater your chance will be of finding a solution that will work well. The complexity of most organizational problems means that it is highly unlikely that one idea alone will correct the situation. Usually a combination of actions is required, and these need to be funded differently, timed carefully and staffed as necessary.

7 Present your solution as a written recommendation

Review your final solutions and then prepare a set of written recommendations. These should clearly outline your proposed solution in relation to the problems that you have identified. Your recommendations should also include details of why these solutions are the most appropriate given the circumstances and constraints of the case. Finally, you need to clearly state how and when your proposals will be implemented.

Your tutor and your course Assignment File can provide some guidelines on how to present your recommendations.

Some mistakes to avoid as you analyse cases

When you first tackle case studies, you should be careful to guard against the following mistakes:

  1. One of the most common mistakes made in case analysis is repeating or simply summarizing the facts of the case. Your tutor is already very familiar with the case details, so you do not have to restate them. You are required to use and analyse the facts, not repeat them. Your analysis should contain only enough case material to support your arguments. Therefore, be analytical!

  2. You may often be tempted to just deal with symptoms and ignore the causes of the problem. It is very important to analyse the background of the case (and the climate in which the events of the case unfold).

  3. Avoid discussing problems in isolation and do not overlook their interrelatedness. If you try to think in terms of 'systems' rather than in terms of individual problems, you are more likely to avoid this pitfall.

  4. Students often fail to state the assumptions underlying their analysis. If any important assumptions have been made, have you questioned them and are they reasonable and appropriate? Avoid selectively using and interpreting case material in order to justify a preconceived solution.

  5. Practical limitations and constraints may sometimes be overlooked. For example, a recommendation that a whole team be fired is probably unrealistic.

  6. A very common mistake is poor integration of the facts in the case with the concepts, principles, and theories in the textbook. Such integration is vital. Ask yourself if relevant theories from your course have been fully and constructively applied.

  7. Finally, recommendations are too often not spelled out in detail or are unrealistic. A timetable for implementing them is also often not given.

Analysing cases poses many challenges, and this is one reason the case study method is so rewarding. It is a very active form of learning. It offers you a risk-free opportunity to gain managerial and organizational experience and should greatly increase your confidence to make informed decisions in the real world.

Good luck and we hope you enjoy working through the cases that you encounter!

Student support

Supplementary lectures, tutorials and surgeries

There are ten three-hour face-to-face sessions, each typically including a one-hour supplementary lecture immediately followed by a two-hour tutorial. They are organized for each of the ten study units respectively. The supplementary lectures are mass lectures conducted by one of the tutors (not necessarily yours) and aim to consolidate your understanding of the key concepts of the course. You are expected to read each of the study units in advance so that you can benefit most from the lecture. The notes for each lecture will be uploaded to the OLE for your reference.

During the tutorial time, you will meet your own tutor to discuss self-test questions and case studies in the course material to ensure your understanding of the concepts. This is also the time to ask questions and to clarify your understanding.

Before the end of the course, a two-hour face-to-face surgery will be conducted to better prepare you for the final examination. At the surgery, a tutor will be available to meet with any student who turns up with problems to discuss. Students are free to drop in any time during the surgery and to leave after they have solved their problems.

Although not compulsory, it is strongly recommended that you attend these face-to-face sessions. They will provide considerable assistance in your studies, and help you make contact with other learners who are studying through the OUHK.

Tutors

You will be assigned a tutor for this course. Before the course commences, you will be informed by the OUHK Registry about your tutor's name, address and phone number. Your tutor will:

  • conduct the tutorials for your group;

  • assess your assignments; and

  • be available by phone at specified times for consultation. (You will be advised of these times separately.)

Your tutor will mark and comment on your assignments, keep watch on your progress and on any difficulties you might encounter and give you any help you need during the course. Your tutor is also your first point of contact with the OUHK. If you need any information or have any problems, please talk with him or her before you contact your Course Coordinator.

Tutors are required to start face-to-face sessions on time. If a tutor fails to turn up 30 minutes after the scheduled starting time, students may assume that the session is cancelled and they should report the case to the Course Coordinator so that a make-up session can be arranged.

Online Learning Environment (OLE)

This course is supported by the Online Learning Environment (OLE). You can find course material and the latest course information from the OLE. Through the OLE, you can also communicate with your tutor, the Course Coordinator as well as other students. For details about the OLE and how to access it, please refer to the Online Learning Environment User Guide.

The following are the components that you can access online:

  • News

  • Course Information -- Course Details, Course Coordinator Profile, Course Schedule

  • Course Material -- Course Guide, Study Units, Specimen Exam Paper, Web Links

  • Assignments -- Assignment File, Submission and Extension

  • Interactive Tools -- Discussion Board, Chat Room, Email

  • Personal Folder -- Course Calendar, Users' Profiles, My Progress

  • Evaluation -- Evaluation Questionnaire, Suggestion Box

  • Help -- FAQs, User Guide, Technical Enquiries

You will receive the print course materials (including Assignment File). However, you will NOT receive print copies of the supplementary materials such as Stop Press, Tutorial Information, Specimen Exam Paper, etc. You are required to obtain these materials through the OLE system.

Using the OLE, you can enjoy the following benefits:

  • quick and easy online access to course news and course information;

  • online communication with other students, tutors and the Course Coordinator via the discussion, chat and email tools; posting/viewing messages and participating in online discussions;

  • planning and monitoring your study using the Course Calendar; and

  • direct links to websites that are recommended in the study units.

Conclusion

BIS B422 Advanced Electronic Commerce is designed to provide you with a broad scope of the most up-to-date knowledge and technologies of electronic commerce. It covers the important concepts, problems and solutions in many subjects on electronic commerce, including marketing strategies over the Web, management process, transaction protocols, security concerns and solutions, electronic government, and legal issues and laws on electronic commerce. It also shows you how to find and evaluate enterprise electronic commerce solutions for business organizations.

Good luck, and enjoy the course!

A note about the developers of the course

Richard T Watson, PhD, is a professor in the Department of Management Information Systems, The University of Georgia, Athens, Georgia, and Director of the Center for Information Systems Leadership at Terry College at the University of Georgia. Twice recognized as one of the top ten most productive MIS researchers, Professor Watson has published more than 50 refereed articles and written books on electronic commerce and data management. His work has been translated into Italian, Portuguese, Chinese, German, and Dutch, and he has given invited presentations in more than a dozen countries.

Professor Watson is a senior editor for MIS Quarterly, the leading journal in his field, co-conference chair for the 2004 meeting of the International Conference on Information Systems, the pre-eminent MIS conference, and Vice-President for Communications for the Association of Information Systems, the major academic society for MIS faculty.

Professor Watson received his MBA from Monash University in Australia and his PhD from the University of Minnesota, where he studied on a Fulbright scholarship. In addition, he holds a Diploma in Computation and a Bachelor of Science in Mathematics from the University of Western Australia.

Thilini Ariyachandra is a PhD candidate in the Department of Management Information Systems, University of Georgia, Athens, Georgia. She is a graduate of the University of South Alabama where she completed a Bachelor of Science Degree in Finance and Banking, with a minor in Computer Information Systems. Ms Ariyachandra's research interests include electronic commerce and data warehousing technology.

Deferment of studies

If you wish to defer your studies of this course until a later date, you should apply for deferment of studies. For the regulations governing deferment of studies, please refer to Section 14, 'Regulations for Admission, Registration and Maintenance of Status', in your Student Handbook. If you have applied for deferment of studies you should continue with your studies of this course and submit the required assignments until formal approval is given by the University. Should you have difficulties in submitting an assignment, you are advised to liaise with your Course Coordinator and apply for an assignment extension. Students who have been granted deferment of studies will not be allowed to submit assignments due before the date that their application for deferment of studies is received by Registry.

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