Korea Advanced Institute of Science and Technology

Graduate School of Management

MGT645: Electronic Commerce

 

                                                                       Fall 2001

 

              Instructor: Lee, Jae Kyu  Rm: S206, Tel:958-3612, jklee@kgsm.kaist.ac.kr

              Teaching Assistant: 

                             Sung Yong Park (mascon@kgsm.kaist.ac.kr; 958-3652; Rm S207)           

Jong Han Park (john2878@kgsm.kaist.ac.kr; 958-3652; Rm S207)

              Class Hour: T, Th 10:30-12:00 am

              Language: English

                                  

1. Course Objectives

             

              This course learns about doing business with the Internet. Lectures will be delivered to teach the fundamental concept, strategies, and key trends in e-commerce. It will cover exchanges, e-tailing, e-procurement, B2B supply chain, e-payment and other important topics. However, this area changes so rapidly that cultivating students the skill to learn by themselves is even more important. To facilitate the self-learning, cases will be discussed with students¡¯ interactive participation and the team role-play will be preformed and presented.

 

To help the understanding about the e-commerce industry in Korea, industrial experts will be invited to describe the happenings in the real world. It is recommendable that students seek the up-to-date commercial electronic commerce sites as much as possible.

 

Concerning the term project, MBA students are welcome to in depth study on any interesting topics. They can perform the project in-group of three at most. However, MS and Ph.D. student¡¯s projects are required to include the review of at least five self-selected academic papers concerning the topic, and the paper review should be submitted individually although they may perform the project as team.

 

 

2. Assignments

 

1) Reading Assignments: Textbook and Handouts.

 

2) Role-Play Game:

Students are required to play a role among the suggested topics, and establish a business strategy. Each team will present their strategies in the class and classmates will challenge to their strategies. The classmates will score each team¡¯s presentation. Students are expected to cultivate a real world problem.

 

 

3) Term Project: Survey the literature, software, and case

 

Possible topics of term projects are a review of literature, solutions, cases, or commercial sites on a selected subject. It may be related with the topic of role-play.               

 

MBA students can perform the project in-group of three at most.

 

MS and Ph.D. students are required to review at least five self-selected academic papers to cultivate the term project, and required to prepare the paper individually.

                                          

3. Grading Policy

             

              In Class Final Examination                                25%

              Role Play Presentation                                                   15%

              Role Play Report                                            15%

              Term Project Reports                                                     25%

              Class Activities                                                               20%                                   _________________________________________________

              Total                                                                      100%      

 

             

4. Prerequisites

 

              This course will assume the students have taken the prerequisite course of MIS or equivalent.

 

5. Text Book and Reading Materials

 

1) Textbooks:

Turban, Lee, King and Chung, Electronic Commerce: A Managerial Perspective, Prentice Hall, 2000, Version 1 (Denoted by Ch**)

 

Turban, Lee, King and Chung, Electronic Commerce: A Managerial Perspective, Prentice Hall, 2001, Version 2 (Denoted by T**)

 

Lee, et al., Principles of Electronic Commerce, Bupyoung Publishing Co, 1999

(Denoted by L**, In Korean)

 

2) Handouts

              Papers and additional materials may be distributed in the class.   Please keep a copy of syllabus file and modify the list as the additional materials are collected.

 

 

3) Online Resources:

 

¡¤         BtoB Magazine: www.netb2b.com

 

¡¤         InternetWeek: www.internetwk.com

 

¡¤         InformationWeek: www.informationweek.com

 

¡¤         TechWeb: www.techweb.com

 

¡¤         CIO: www.cio.com

 

¡¤         McKinsey Quarterly: www.mckinseyquarterly.com

 

¡¤         AMR Research: www.amrresearch.com

 

¡¤         Forrester Research: www.forrester.com

 

¡¤         Gartner: www4.gartner.com

 

¡¤         eMarketer: www.emarketer.com

 

¡¤         eCommerce Times: www.ecommercetimes.com

 

¡¤         InfoWorld: www.infoworld.com

 

¡¤         Computer World: www.computerworld.com

 

¡¤         Internet: www.internet.com

¡¤         News.com : news.cnet.com

 

6. Course Composition

 

1) Lectures: 17 units

Introduction and relationship with MIS

e-Strategies

Direct Marketing and Manufacturer¡¯s e-Transformation

Retailing and Consumer¡¯s Behavior

e-Market Building Exercise

EC Technologies and XML

Search, Comparision and Agent Based Commerce

Auction and Reverse Auction

Exchanges and B2B Portals

SCM, Private Exchange and Collaborative Commerce

E-Procurement and BPR/ERP

E-Payment and Security

E-Service Industries

Community, Advertisement, and M-Commerce

Implementation of EC Systems

Other Issues

 

2) Case Discussion: 3 units

Exchange

SCM

E-Procurement

 

3) Role-play: 7 units

3 Persons per team * 20 teams

See the appended list for the selection of topic.

 

4) Industrial Speakers: 2 units

Guest Speaker

ICEC Workshop

 

5) Final Examination: 1 unit

 

 

                                  Illustrative Topics of Role Play Projects

 

 

             

              Direct Marketing Manufacturer:

 Dell Computer, Cisco, LG and Samsung Electronics

 

              Automobile Marketing

                             Direct vs. Indirect (in cooperation with dealers) in the USA

                             Covisint, Toyota Aftermarket Private Exchange

 

              e-Retailer and Department Store:

              Hansol CS Club, Amazon.com, Wal-mart.com

 

              Search Engine Portal

Yahoo, Google

             

              Comparison Agents

                            Personalogic

 

              Exchanges

                             e-Steel, Covisint, Chemmatch, GlobalNeteXchange,

 

              Auction and Reverse Auction

                             e-Bay, Auction Ltd.,

Supply Administration ROK for governmental acquisition

 

              Supply Chain Management

                             I2, mySAP, RetailLink

 

              e-Procurement

                             Ariba, Commercial One, mySAP, MS Market, Kosa, Cisco

B2B Solution Models

                             CommerceOne, Ariba, i2, mySAP, Siebel

 

              Delivery                                      

                             UPS, FedEx

 

              Electronic Payment

                             Credit Card, Debit Card, Electronic Cash

 

              Smart Card and E-Cash

                             KACH, Transportation Card

 

              CyberBanking

                             Citibank, Wells Fargo, H&CB, Kukmin Bank

                            

              Certificate Authority

                             Official CA and private CA as a partner of VeriSign

               

              Cyber Stock Market

                             E*Trade Korea vs. Daeshin Securities

 

              Insurance Industry

 

              Realty

 

              Travel Agency and Ticketing

 

              Any Other Good Applications


 7. Course Schedule

 

1.      (Sept 4, T)  Overview

2.      (Sept 6, Th) Overview

Taxonomy

Key Trends

e-MP Structures

Clicks and Mortar

Relationship with MIS

 

Ch 1, [Refer: Ch11: Infrastructure; Appendix A and B] [L1, 7]

 

Cases Ch 1: Intel, Happy Puppy (Game)

          A1.1: Egghead

A1.2: Walmart (CFAR)

A1.3: HBO (Intranet)

A1.4: FedEx

A1.5: FDA (Document)

Real: Grocery

 

3.      (Sept 11, T) e-Tailing

Market Structure of e-Tailing

Disinter mediation & Re-intermediation

Business Models

Stages of e-Tailing

 

Ch 2 [T3], [L2, 3, 7]

 

Cases Ch 2.1: Amazon and BarnsandNoble.com

          A2.1: Auto,

Ch 2.5 Direct Marketing : Dell, Ford

Ch 2.7 Intermediary: Cyber CD

Ch 2.8 Reactive Department Stores: JC Penney

          Real World : Buy.com

 

e-Tailing Case Discussion

Amazon and Barnes & Noble

Wal-Mart

K-Mart

 

Case Ch12: Music by N2K

            A12.1: Amazon and Barnes & Boble

            A12.2: Competition in books, music and video

 

4.      (Sept 13, Th) Internet Consumer¡¯s and CRM

eCustomers Behavior Modes

Demographics

CRM; Data Warehouse, Data Mining

One-to-One Marketing

 

Ch 3 [T4]

 

Case Ch 3.1: Ritchey¡¯s Bike Online

          A3.1: Honda Motor

          A3.2: America Airline Personized

          A3.3: Canadian Tire Acceptance Integrated Call Center

          A3.4: 1-800-Flowers Customer Service

          A3.5: Marketing Research on the Internet

          A3.6: Brithish Telco Data Mining

          Real: Kansas City Power and Light Co.

 

 

5.      (Sept 18, T)  B2B EC & Exchanges

B2B EC Overview

Exchanges: Public, Private

Key Trends

Extranet

 

Ch 6, Ch 7, [L9]

Lee, ¡°B2B EC¡±, Encyclopedia of Information Systems, forthcoming

[T6, T7]

 

Ch6.1: GE¡¯s TPN and Ch 6.6

A6.1: Marriot International¡¯s Extranet

A6.2: MasterCard¡¯s Procurement Card

Ch6.7: Boeing¡¯s PART

Ch6.8 FedEx InterNetShop

A6.3: National Semiconductor¡¯s On-time Delivery

A6.4: FreeMarket

Real: Fruit of the Loom¡¯s Distributors

 

6.      (Sept 20, Th)  Exchange Case Discussion

 

7.      (Sept 25, T)  SCM

Business Models of SCM

Evolution of SCM

 

T15, [L10]

 

Case T15.1 The Y2K Toys Order Fulfillment Problem

     A15.1: Grocery Supermarket (Woolworths of Australia)

     A15.2. Can Fish Survive Online Logistics?

     A15.3. Littlewoods Stores improved its SCM

     A15.4. Getting Suppliers Online (Caltex)

     A15.5. UPS provides Broad EC Services

     A15.6. Warner-Lambert applies an Integrated Supply Chain

     A15.7. mySAP.com

     Real: Quantum Corp streamlined its supply chain

Dell Computer provides superb customer service

 

8.      (Sept 27, Th)  SCM Solutions and Case

 

9.      (Oct 2, T) Thanksgiving day

No Class

 

10.  (Oct 4, Th)  eProcurement

 

Lee and Turban, ¡°Planning B2B E-Procurement Marketplace¡±, Handbook of e-Biz, CRC Publishing, 2001

[T6] [L8]

 

   11. (Oct 9, T) eProcurement Case Discussion

 

12. (Oct 11, Th)  => (Oct 12, Friday) ICEC Workshop

 

Attend ICEC Workshop on eTransformation at Oct. 12 (9:00 am – 5:00 pm) that will be held in KAIST.

Submit Report about Workshop Attendance.

 

Workshop Proceedings

 

13. (Oct 16, T)  e-Strategies

Buyer Side

Seller Side

e-Market Ownership

Strategic Options

Evolutions in e-Solutions

 

Ch 9, [T 16]

 

Case Ch 9: IBM¡¯s e-Business Strategy

                A9.1: Value Analysis Questions

                A9.2: Lockheed Martin

                A9.3: Marriot¡¯s Analysis Emphasize Shareholder¡¯s Values

                A9.4: Competitive Intelligence on the Internet

                A9.5: Examples of Market Leaders

                A9.6: Strategic directions at Schubb Corp

                A9.7: AT&T Cyberspace Solution

                Real: Wizards of the Coast

                     SkyMall¡¯s EC Strategy

 

14. (Oct 18, Th)  Search and Comparison Shopping

Purchasing Procedure

Comparison Methods

 

Ch 2.10-2.11, [T3], [L4]

 

15.  (Oct 23, T)  Agents & XML

 

Ch 3.8, Appendix C, A3, T9

Lee, ¡°UNIK-AGENT¡±, HICSS-97

[L11]

 

16. (Oct 25, Th)  Auction & Reverse Auction

 

T9, [L5]

 

Case T9.1

    C2B Reverse Auctions: Dandelion Moving & Storage

    B2C and C2C Forward Auction: Dell Computer

 C2C Forward Auction: e Bay

 

A9.1 Finding when and where an item is auctioned

A9.2 Issue in auction aggregation

A9.3 Reverse Mortgage Auctions in Singapore

A9.4 SOLD of Australia

Real: FreeMarkets.com

 

17. (Oct 30, T)  Role Play Slot 1

Move to Oct 27 (Sat)

 

18. (Nov 1, Th)  Role Play Solt 2

Move to Oct 27 (Sat)

 

19. (Nov 6, T)  e Payment & Security

e Payment

Security

Smart Card

 

Ch 8, [L12, 13]

 

Case Ch 8: SET

          A8.1: Multiple Payment Options

          A8.2: 10 tips of selecting CA

          A8.3: Bank Online and Security Tips

          A8.4: Mondex

          A8.5: Smart Toll way - Highway 91

          Real: Transportation Card

 

20. (Nov 8, Th)  Cyberbanking

 

Ch 5.7, [L14]

 

Case A5.6: Wells Fargo

A5.7: Security at Bank of America Online

Real: Intranet – Cushman and Wakerfield

                    Banking to Sea

 

21. (Nov 13, T)  e-Service Industry

Stock Trading

Travel Agent

Employment Placement

Real Estate

 

Ch 5, [L15, 16, 17, 18]

 

Case Ch5: Order Journals

                 A5.1: Carlson Travel and American Express automate corporate travel

A5.2: Zeus Tours and Yatch Cruises

A5.3: Job Match in Philippines

A5.4: Finding Super Deals

A5.5: Collider¡¯s Arnold – the Realtor

 

22. (Nov 15, Th)  Community/Portal/Ad/Market Research

Ch 4, Ch 3.7, [L6]

 

Case Ch 4: CD-Max e-Mail List to Advertise

                A4.1: Proter & Gamble¡¯s Interactive Marketing

                A4.2: Double Click¡¯s Targeted Advertisement

                A4.3: Entice Web Surfers to read Internet Ads

                A4.4: Fujitsu¡¯s Agents for Targeted Advertisement in Japan

                A4.5: AMP¡¯s Online Catalog

                A4.6: Boise Cascade¡¯s B2B Electronic Catalog

                A4.7: Audit Report

                Real: Chevron¡¯s Car

 

23. (Nov 20, T)  Role Play Slot 3

Move to Nov. 24 (Sat)

 

24. (Nov 22, Th)  Role Play Slot 4

Move to Nov. 24 (Sat)

 

25. (Nov 27, T)  Policy, Digital Economy, Regulation

 

Ch 10, [L19, 20]

 

Case Ch10: Contractual Issues in EC

          A10.1: Microsoft and Geocities Privacy Policies

          A10.2: Copyright Protection and Free Speech

          A10.3: Ticketmaster¡¯s Suit

          A10.4: David Lee was cheated by an international investment group

          A10.5: Internet Shopping Rights

 

Ch 12

A12.3: Small Business and Global Trade

          A12.4: Korean Government

          Real: Chemdex in Chemical Market

               Dutch Flower Market

 

26. (Nov 29, Th)  m-Commerce

Invited Speaker

 

T19

 

27. (Dec. 4, T)  Role Play Slot 5

Move to Dec 8 (Sat)

 

28. (Dec. 6, Th)  Role Play Slot 6

Move to Dec 8 (Sat)

 

29. (Dec. 11, T)  Role Play Slot 7

Move to Dec 8 (Sat)

 

30. (Dec. 13, Th)  Concluding Lecture

EC Implementation

Research Issues

 

Ch 9.6-9.6, Ch 12

 

31. (Dec. 18, T) Final Exam