OPIM 207 Lecture Notes Business Planning

 

Outline

2.3 Business Planning

2.3.1 Revenue Generation

2.3.2 Financial Transactions

2.3.3 Write the Business Plan

 

Notes

2.3.1 Revenue Generation (Miletsky: Chap. 4)

 

Business Basics:

Marketshare

Gross sales / net profit / Profit margin

Hard / soft costs

Sources of Revenue

Direct sales over the web

In conjunction with brick & mortar establishment

Memberships / subscriptions

Commissions (e.g., auction sites)

Selling a (e-)mailing list

Advertising

Click through ads

Banner ads

Pop up/under ads

Brand ad (e.g., product placement within a site)

Integration with other media (e.g., TV)

Sponsorships

Tracking Data

Ad distribution

Cost per thousand

Pay per click

Pay per purchase

Interpreting Web Traffic

Hits

page views

# visitors

dwell time

repeat visitors

clickpath

 


2.3.2 Financial Transactions (Dietel: Chap. 4)

 

Types of transactions:

Credit Cards

Transaction Process

Fraud

Cybercash

Digital Currency

e-wallet

Peer-to-peer payments

Smart Cards

Micropayments

B2B transactions

B2C transactions (e.g., e-billing)

 

 

2.3.3 Write the Business Plan