Definitions of e-business based on Jelassi and Enders (2004)

Name: Grendy  Segolden, 2301870211

Definitions of e-business based on Jelassi and Enders (2004)

Since the beginning of its time, business computing, financial services companies have become the main users of innovative IT(technology information). In particular, banks have used IT internally to improve their efficiency and effectiveness and externally to improve customer service and competitiveness. However, they usually limit their IT use on financial applications. IT can be used to offer e-business services outside of financial applications, seamlessly integrating the services of business and government providers. Nordea Bank, headquartered in Stockholm, Sweden, has done just that and distinguishes itself from its competitors. It has added to its e-banking portfolio by adding an e-business platform that offers value-added e-business services to its personal and corporate customers from e-identification, electronic signatures, electronic bills, electronic salaries, and electronic payments. Some of these electronic services have become the standards widely used in the Nordic region. The evolution of Nordea Bank services teaches seven lessons about moving to e-business:

• start new IT initiatives early and with a simple investment,
• combining high-tech services with high touch capabilities
• lure customers to move to cost-effective channels
• pro-actively manage online/offline channel conflicts
• leverage your existing online customer base to get new online customers
• reduce the risk of fraud by using instant electronic payments
• Use existing technologies to create new value for and companies.

Because of the    above, companies  large  and  small  must  change  from  physical  to  computerized  because  sooner  or  later  the  times  will  change  as  initially  banks  use  IT  because  Its use  is  easy  and  provides high  efficiency   compared to the old  way for  its customers.  Let’s    take  a  simple  example  where  a  company is born from the process of computerization  and  digitization that is  E-Commerce, EC  is  an  electronic  trade  referring to  the  trade  of  goods. Or  services   done    online. EC  can also be interpreted  as  any  type of  transaction   carried out  by  both    parties (sellers  and  buyers)  who  communicate  with  all  types of  electronics  and  do not   meet.  Or  physical  contact.

EC is growing    rapidly  from  year to year  in Indonesia alone every  5  years  internet  users increase by at least  5  million  users  which  makes  Indonesia  as one  of  the  social  media users.   The highest  in the world. According to  a report  from  McKinsey,  Indonesia’s  EC  sector has generated  more  than  $5  billion   from formal e-tailings  business and more than    $3  billion    from informal trade.  In  Indonesia, e-tailing businesses for example are Tokopedia, Bukalapak, JD.id, Lazada, and Shopee. In contrast, informal trading involves buying and selling goods through unofficial means such as the use of social media and messaging platforms such as WhatsApp and Facebook. Things like this in Indonesia are commonly referred to as online shops. Among the reasons e-commerce is experiencing such a rapid increase in Indonesia is the rapid increase in smartphone use. Smartphones are much more affordable than computers and laptops which makes them easily accessible to most Indonesians. There are about 70% of the country’s internet users are smartphone users. The McKinsey report highlights that nearly 75% of online shoppers in Indonesia use smartphones.

Reference

Tawfik Jelassi, and Albrecht Enders. “Leveraging Wireless Technology for Mobile Advertising”. Association for Information Systems AIS Electronic Library(AISeL).  Ecis  2004 proceedings. Google  Scolar (acessed  on April 3,    2021)

Enders, Albrecht; Obviously, Tawfik; Harald, Bo. “FROM E-BANKING TO E-BUSINESS AT NORDEA BANK”. MIS Quarterly Executive. 2006, Vol. 5 Issue 1, p31-42. 1. Google  Scholar(  acessed on April 3,    2021)