Building the Internet Business
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1 Building the Internet Business Jack Powers Director, International Informatics Institute Conference chairman, Internet World US Instructor, New York University internetworld.com Agenda The Dot-Com Bubble The Focus on Business Building the Internet in Argentina INTERNET TIMELINE We are six years into a twenty year revolution in the way humans live, work, play... and do business. Agenda The Dot-Com Bubble The Focus on Business Building the Internet in Argentina Copyright 2001 by Jack Powers, jpowers@ 1
2 Statistics Today: 377 million people online 153 million in in the US 100 million Internet hosts 2.4 users per host Online workers average 8 hrs/wk 800 million hrs/yr personal surfing Exploding electronic commerce US: 46% of of Americans shop online IBM: $ 1 billion per month Dell: $15 million per day The Dot.Com Bubble Too much ignorant investment money chasing too few good ideas Start-ups traded profit for market share The lure of the Initial Public Offering The interesting vs the important Interesting Internet issues Web banner advertising 0.3% click-through rate Consumer portals Yahoo vs Starmedia vs AOL vs... Online privacy Credit cards on the Web Online pornography Streaming media Important Internet issues Intranets Extranets Supply chain automation E-Marketplaces Application Service Providers Data mining Immersive IP ROII : Return on Internet Investment Copyright 2001 by Jack Powers, jpowers@ 2
3 Agenda The Dot-Com Bubble The Focus on Business Building the Internet in Argentina The Focus on Business Corporate investment, not IPO money Business-to-business Practical applications, not grand global strategy Making the most of current assets, including human assets Web Evolution FIRST GENERATION: INSTITUTIONAL SITE Annual Report/Business Card/Phone List SECOND GENERATION: MARKETING SITE Brochureware, Catalogs, Transactions THIRD GENERATION: INTEGRATED E-BUSINESS SITE The whole company runs online Customer service FedEx Web Site Cost of telephone customer contact $2.00 Cost of online contact.07 David Roussain, FedEx vice vice president for for e-commerce marketing Corporate intranet Copyright 2001 by Jack Powers, 3
4 Virtual private networks Electronic commerce Sales automation Customer relationship management 1-to-1 marketing Online bill presentment and payment Copyright 2001 by Jack Powers, 4
5 E-Marketplace Supply chain automation Vendor/buyer collaboration E-Marketplace News, Pricing and Community Features Catalog Aggregator Request for Quotation Clearinghouse Auction Management Supply Chain Coordination Project Management Financial Services Collaborative Product Development E-Marketplace Explosion Aerospace Aerospace and and defense defense Aerospan Aerospan (aerospan.com) (aerospan.com) Aeroxchange Aeroxchange (aeroxchange.com) (aeroxchange.com) AirNewco AirNewco (airnewco.com) (airnewco.com) MyAircraft MyAircraft (myaircraft.com) (myaircraft.com) Exostar Exostar (exostar.com) (exostar.com) Agriculture Agriculture Pradium Pradium (pradium.com) (pradium.com) Rooster.com Rooster.com The The Seam Seam (theseam.com) (theseam.com) Covisint Covisint (covisint.com) (covisint.com) Rubbernetwork Rubbernetwork (rubbernetwork.com) (rubbernetwork.com) AllianceChem.com AllianceChem.com Elemica Elemica (elemica.com) (elemica.com) Envera Envera (envera.com) (envera.com) ElastomerSolutions ElastomerSolutions (elastomersolutions.con) (elastomersolutions.con) Omnexus Omnexus (omnexus.com) (omnexus.com) PolymerAdditives PolymerAdditives (polymeradditives.com) (polymeradditives.com) Trade-Ranger Trade-Ranger (trade-ranger.com) (trade-ranger.com) Computers Computers e2open e2open (e2open.com) (e2open.com) Ec4ec Ec4ec (ec4ec.com) (ec4ec.com) ehitex ehitex (ehitex.com) (ehitex.com) Construction Construction HomeBuildersXchange HomeBuildersXchange Mercadium Mercadium (mercadium.com) (mercadium.com) C-StoreMatrix C-StoreMatrix (c-storematrix.com) (c-storematrix.com) Enporion Enporion (enporion.com) (enporion.com) Intercontinental Intercontinental Exchange Exchange (intcx.com) (intcx.com) Pantellos Pantellos Group Group (pantellosgroup.com) (pantellosgroup.com) PetroCosm PetroCosm (petrocosm.com) (petrocosm.com) Tradespark Tradespark (tradespark.com) (tradespark.com) Upstreaminfo Upstreaminfo (upstreaminfo.com) (upstreaminfo.com) Copyright 2001 by Jack Powers, 5
6 E-Marketplace Explosion Financial Financial MuniCenter MuniCenter (themunicenter.com) (themunicenter.com) Food Food and and beverage beverage Avendra Avendra (avendra.com) (avendra.com) CPGMarket.com CPGMarket.com Dairy.com Dairy.com Electronic Electronic FoodService FoodService Network Network Novopoint Novopoint (novopoint.com) (novopoint.com) RetailersMarketXchange RetailersMarketXchange Seafood Seafood Alliance Alliance (seafoodalliance.com) (seafoodalliance.com) UCCnet.com UCCnet.com (uccnet.org) (uccnet.org) Worldwide Worldwide Retail Retail Exchange Exchange Health Health care care Global Global Healthcare Healthcare Exchange Exchange NewHealthExchange NewHealthExchange Legal Legal Lawcommerce.com Lawcommerce.com Manufacturing Manufacturing Manufacturing Manufacturing Central Central (namb2b.com) (namb2b.com) CorProcure.net CorProcure.net Cyberlinx Cyberlinx Procurement Procurement Services Services Metals Metals and and mining mining Global Global Steel Steel Exchange Exchange (gsx.com) (gsx.com) MetalSite MetalSite (metalsite.com) (metalsite.com) MetalSpectrum MetalSpectrum (metalspectrum.com) (metalspectrum.com) MiningXchange MiningXchange (miningxchange.com) (miningxchange.com) Quadrem Quadrem International International (quadrem.com) (quadrem.com) ScrapSite ScrapSite (scrapsite.com) (scrapsite.com) WorldMetal WorldMetal (worldmetal.com) (worldmetal.com) E-Marketplace Explosion Paper Paper ForestExpress ForestExpress (forestexpress.com) (forestexpress.com) Real Real estate estate Constellation Constellation Real Real Technologies Technologies Octane Octane Office Office Technology Technology Consortium Consortium Transportation Transportation and and freight freight Freightwise Freightwise (freightwise.com) (freightwise.com) LevelSeas.com LevelSeas.com OceanConnect OceanConnect (oceanconnect.com) (oceanconnect.com) Transplace.com Transplace.com TruckXchange TruckXchange (truckxchange.com) (truckxchange.com) ecommerce Business research Field force automation M-Commerce Immersive Internet Protocol Embedded Internet Copyright 2001 by Jack Powers, 6
7 Immersive IP Commercial artificial intelligence Agenda The Dot-Com Bubble The Focus on Business Building the Internet in Argentina The Success of the Internet Economic conditions Deregulation Infrastructure Business Culture Executive education Copyright 2001 by Jack Powers, 7
8 U.S. U.K. Japan Germany Argentina Spain U.S. U.K. Japan Germany Argentina Spain U.S. Japan Germany Argentina U.K. Spain Infrastructure Cheap, always on IP Competitive telecom environment Access to new technologies Interest in new technologies Business Culture Technology as the competitive edge Internet heroes in in business suits ROII: Return on Internet Investment Vision and talent is more important than capital, labor, regulated markets or other traditional business advantages. Executive Education Professional analysis and reporting Experienced Internet teachers Successful practitioners and smart analysts Best practices learned from around the world Creating communities of Internet buyers and sellers Teaching the visionaries who are changing the world Copyright 2001 by Jack Powers, 8
9 INTERNET TIMELINE We are six years into a twenty year revolution in the way humans live, work, play... and do business. What a great time to be alive! Jack Powers, Director International Informatics Institute jpowers@ PHONE FAX Copyright 2001 by Jack Powers, jpowers@ 9
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