20/80 Flashcards
(45 cards)
How does IT impact marketing?
Key Technologies:
* SEO (Search Engine Optimization)
* Email Marketing Platforms
* Social Media Marketing Tools
* Benefits:
* Targeted Campaigns
* Real-Time Interaction
* Improved Customer Loyalty
what is Globalization
Globalization refers to the increasing interconnectedness and interdependence of businesses across borders, with IT playing a key role in facilitating international trade, communication, and operations
How does globalization impact business?
Characteristics:
- Global reach through technology
- Outsourcing capabilities
- Cultural diversity considerations
Benefits:
- Access to global markets
- Lower production costs
- International collaboration
Challenges:
- Currency/trade issues
- Regulatory differences
- Cultural barriers
What is a Business?
A business is an organization that provides goods or services to meet customer needs, typically for profit. Businesses are the backbone of economies, generating employment, fostering innovation, and addressing societal needs.
What role does IT play in financial management?
Key Tools:
- Accounting software
- Cloud-based platforms
- Automated invoicing
Benefits:
- Real-time insights
- Cost reduction
- Enhanced accuracy
What is Cloud Computing?
Key Types:
1. laas (Infrastructure as a Service)
- Full control over infrastructure
- Example: AWS
2. Paas (Platform as a Service)
- Platform for development
- Example: Google App Engine
3. Saas (Software as a Service)
- Software via internet
- Example: Microsoft Office 365
What is the role of cloud computing in business?
Benefits:
- Scalability
- Cost-efficiency
- Accessibility
Examples:
- Microsoft Azure
- Google Cloud
- AWS
What are the key IT-
enabled business models?
- E-commerce: Online selling of products/services
- Subscription Models: Recurring revenue (Netflix)
- Freemium Models: Basic free, premium paid
- Sharing Economy: Resource sharing platforms (Uber)
What are the four main industry sectors?
- Primary Sector: Natural resource extraction (agriculture, mining)
- Secondary Sector: Manufacturing and production
- Tertiary Sector: Services (retail, healthcare, hospitality)
- Quaternary Sector: Knowledge-driven
(IT, R&D, education)
What are the main types of business ownership?
- Sole Proprietorship: Single owner, simple setup, high personal risk
- Partnership: Shared ownership between multiple individuals
- Corporation: Separate legal entity owned by shareholders
- LLC: Combines benefits of corporations and partnerships
- Cooperatives: Owned and operated for member benefit
What are the three main components of business environment?
Internal Environment
* External Microenvironment
* External Macroenvironment
What is PESTLE Analysis?
A framework for analyzing external business environment factors:
* Political: Regulations, trade policies, political stability
* Economic: Inflation, unemployment, exchange rates
* Social: Demographics, cultural norms, consumer behavior
* Technological: Innovation and industry evolution
* Legal: Laws, regulations, IP rights, labor laws
* Environmental: Sustainability, climate change, waste management
What is SWOT Analysis?
A strategic tool to evaluate:
* Strengths: Internal factors providing competitive advantage
* Weaknesses: Areas where company faces challenges
* Opportunities: External trends or market gaps
* Threats: External risks that may hinder success
What is Porter’s Five
Forces?
A model analyzing competitive forces in an industry:
* Industry Rivalry: Competition among existing players
* Threat of New Entrants: Ease of market entry
* Bargaining Power of Suppliers:
Supplier influence on pricing
* Bargaining Power of Buyers:
Customer influence on pricing
* Threat of Substitutes: Availability of alternatives
PRE-RATE
What are key considerations for Strategic Decision-Making in IT Businesses?
Set Clear Objectives: Define measurable goals
* Leverage Data Analytics: Identify market trends
* Invest in Training: Update employee
IT skills
* Enhance Agility: Adopt scalable IT solutions
What is a Business Model?
A business model outlines how a
company.
- Creates value
- Delivers it to customers
- Generates revenue
Key components:
- Value Proposition
- Customer Segments
- Revenue Streams
- Key Resources
What is the Role of IT in Business Models?
IT is critical for:
- Automation of repetitive tasks
- Enabling global reach
- Data-driven decision making
- Supporting innovation and scalability
- Improving operational efficiency
What are the Types of Business Models?
Product-Based (e.g., Apple)
* Service-Based (e.g., Uber)
* Subscription Model (e.g., Netflix)
* Freemium Model (e.g., LinkedIn)
What are Traditional
Business Models?
Characteristics:
- Physical storefronts
- Face-to-face interaction
- Localized markets
- High overheads
- Limited market reach
- Fixed operational costs
- Product-centric focus
PRE-RATE
What are Digital Business
Models?
Key features:
- Online platforms
- Automation
- Scalability
- Global reach
- Data-driven operations
- Cost-effective
- Minimal physical infrastructure
What is E-Commerce?
Types:
- B2B (Business to Business)
- B2C (Business to Consumer)
- C2C (Consumer to Consumer)
- C2B (Consumer to Business)
Models:
- Marketplace
- Retailer
- Subscription-Based
What are the key
Differences Between
Traditional and Digital
Models?
Traditional:
- Physical stores
- Face-to-face transactions
- High operational costs
- Limited scalability
- Local markets
Digital:
- Online operations
- Automated processes
- Lower operational costs
- High scalability
- Global reach
- Data-driven decisions
What are business processes?
A set of structured activities aimed at achieving specific organizational goals, like a “recipe” for business operations.
What is the role of HR in business?
Recruiting, training, and managing employees.
