Components of Business Models

Profit Model (How to make money)
Customer Value (why)
Scope (to whom, what to offer)
Pricing model
Internet activities
Implementation (organization, people, …)
Sustainability (competitive advantage)
Cost Structure

Case Studies
1. Software business models: Skype, Firefox
2. eLearning Business Models: CyberMBA, Credu, SCU

Topics:
The Internet Value Network
Properties of the Internet
Impacts of the Internet on 5-Cs
A Taxonomy of Business Models

Portal Business Model

"Great ideas come from relaxed minds."

Campaign

Google

–Search Engine

–Sponsorship (Paid listing) *

–AdWords*

–AdSense * * (business stream for news, blog)

•Content colocation, ad sharing *

•Direct traffic through ads *

•Co-branding *

•Text ad *

•Paid registration*

Business models of mobile commerce

Shovel

1. Test equipment

2. AP sales

3. Wi-Fi Skype phones, VoIP over wireless

4. WiMAX cellular for vocal, multimedia

Focal point: Competitive advantage, unfair advantage

Aggregator

5. Global/National Roaming

Examples: Boingo, iPass, GRIC

Focal point: fragmented markets

6. Access Service Operators (Chain stores, café, hotel, …)

NB maybe wrong target; WiMAX WiFi Handset better

Content

7. Game over Wireless

8. Content over Wireless

Nonprofit Web 2.0

10 Ways to Use Web 2.0 to Change the World. Marnie Webb.
10 Ways Nonprofits Can Use Blogs and Bloggers to Support Their Cause. Britt Bravo.

Recent Major Acquisitions on Internet Businesses

• Google acquired Writely, Mar. 2006
  
• Google acquired Youtube, Oct. 2006
• eBay acquired Skype, Sep. 2005 (more about Skype)
  
• Google acquired Blogger, 2003

A metric of Social Learning in blogs for higher education

• Yao-Jen Chang, Yao-Sheng Chang, Shu-Yu Hsu, Chiu-Hui Chen, Social Network Analysis to Blog-based Online Community, presented in International Conference on Convergence Information Technology 2007, Gyeongju, Korea. November 21~23, 2007. (EI)

Although the use of blogs has grown extensively in the past 5 years, our understanding of how to use blogs in an effective and meaningful way is still limited. In particular, acquiring more cohesive and useful information on the use of blogs is partially dependent on developing a consistent, comprehensive, theory-driven metric to assess quality and effectiveness. Considerable research has been carried out on the educational use of blogs. However, the use of blogs in education or knowledge management is more or less experimental and its effectiveness is far from clear. Research methods such as user survey and ethnography have been used in assessment but the perspective differences in surveys and methodological differences make it difficult to combine the results into a cohesive base of knowledge that can guide practice and education. Therefore, it is argued that a more comprehensive, theory-driven assessment tool is needed to advance our understanding of how to best use blogs in education. The purpose of this study, then, was to research, develop and test a multicomponent, theoretically driven metric to assess the effectiveness of blogs.

Method
Sample
The sample tested consisted of 36 undergraduate students enrolled in an introductory computer science course at a university in a metropolitan area. The students, mostly males with 5 females, ranging from sophomores to seniors. The data were collected and analyzed a month after the students finished the course.

Procedure
The blogs were part of a regular face-to-face course that met once a week for 180 minutes. Participation in social learning was worth 1/30 of the final grade, to minimize the negative impact of being graded yet provide incentives to become involved in the social learning through blogs. The blogs were intended to be student-led, and the teacher would only intervene if there were problems that students could not resolve, such as severe controversies and name calling.

Ordering a cup of coffee from your cellular phone

QuickOrder

Homework 2-23-2008

1. List the companies Google acquired year by year.Briefly describe the strategic implications of each acquisition.

2. Summarize the What Is Web 2.0 by Tim O'Reilly
in one page.

3. Reading Assignment: Read TS Ch. 1~2.

Getting started with blogs

Please go to the instructions (in Chinese).

For English instructions, please visit http://www.blogger.com

Discussion Point: Microsoft's intention to take over Yahoo

Microsoft's intention to take over Yahoo

1. Software as a product or a service, free or not. (Product/Price/Place)

• online presentation
• Google Docs for documents
  

2. The death of portal and mass media (the press)

• Google Personal Portal, iPortal
  

3. The disappearance of mass market and the emergence of niche markets (Travel industries, Magazine & TV)

4. Collective wisdom

• labels/tags, social bookmarking (digg, del.ci.ous)
• search ranking

5. Web 2.0 (slides in Chinese)

Further readings:

• Major Internet business acquisition in the 21th century
• Robert X. Cringely comments on Google: When Being a Verb is Not Enough: Google wants to be YOUR Internet.
  
• Examples of Web 2.0