International Marketing Management: A Global Localization Perspective

Author: Zhang Furong
Publisher:
Publish Date: 2005-01-01
Features: The business model of e-commerce has influenced the operational methods of many traditional industries, but it has also created more emerging businesses. The operational models of different e-commerce businesses vary. From the perspective of the services they provide and their motivations, they can be broadly categorized into the following types:
1. Serving Existing Customers
The Internet possesses characteristics such as commonality, standardized interfaces, and a large user base, so many businesses use this new channel to serve customers, even in B2B contexts. Companies like Cisco and Boeing primarily focus on this purpose. Since businesses already have a cooperative foundation with their existing customers, the Internet can make their collaboration more pleasant and foster greater trust between them. Consequently, their transaction costs are also significantly reduced. If such a network system operates smoothly, one certainty is that both parties will see a substantial increase in benefits. In the B2C sector, serving existing customers is common in industries such as finance or services, such as Citibank, Fubon Securities in Taiwan, and Pacific Properties. The main goal of such services is to provide customers with more diverse products and meet their online usage needs.
2. Businesses with Similar Business Profiles Going Online
Companies in this category primarily engage in direct sales, so they can directly interact with customers through the Internet. As a result, it is relatively easy to move their business online or consider it an extension of their direct sales channels, such as Dell and Gateway. These businesses use the Internet to provide services to customers, aiming to increase different channel systems to enhance customer engagement. For example, Dell's direct sales of personal computers evolved from telephone and fax to the Internet, embodying this idea. Additionally, game software companies often use the Internet to establish new channel systems, though they may sometimes face conflicts with traditional networks.
3. Emerging Internet-Based Companies
Some emerging companies use the Internet as their marketing channel. A famous example is Amazon. These companies have small teams, and as long as their logistics operations run smoothly, they have significant growth potential. However, without established reputation and financial resources, it is difficult to build a truly customer-friendly channel.
4. Additional Services for Well-Known Websites
One of the most important assets in the Internet is popularity. Without it, few businesses can sustain operations. Many popular websites develop online advertising or shopping malls based on their reputation. CNN and Oracle once offered personalized news services (CNNCustomNews) at the Comdex computer exhibition. Nearly 300 news items were available for personal selection, and users could set up real-time stock market reports based on their preferences. This service was free, sponsored by Citibank. In addition to advertising, organizing user information can also become a source of revenue for companies. Amazon Online Books considers itself an information intermediary, where customer preferences and preferences can serve as references for marketing target selection, making many advertising companies or businesses interested.
5. ISP-Derived Businesses
In e-commerce, ISPs include virtual hosting services, building online shopping malls for businesses to rent, acting as a fair third party in electronic transactions, and serving as certification units for both parties in transactions.