0
3.7kviews
Summarize the differences between adoption of Internet access for consumers and businesses and give reasons for these differences.
1 Answer
1
78views

1.Consumer Internet Adoption:

i. Consumers adopt Internet for various activities such as:

  • Using e-mail
  • Searching for information about goods, services, travel and accommodation.
  • General Browsing and surfing.
  • Buying goods, tickets or services.
  • Internet Banking
  • Reading or downloading online news.
  • Playing or downloading activities.
  • Other educational activities.

ii. Various drivers of Internet adoption for consumers include:

  • Content: Internet offers in-depth and detailed information which support the buying process for transactional or relationship building sites.
  • Customization: Customization can be defined as delivering customized content to groups of users through web pages or emails. E.g. Amazon recommends similar books according to what others in a segment have offered, or if it sends similar email to customers who had an interest in a particular topic such as e-commerce. This approach is sometimes referred to as collaborative filtering.
  • Convenience: This is the ability to select, purchase and in some case use products from your desktop at any time. The service can be availed 24 * 7* 365.
  • Choice: Web gives a wider choice of products and suppliers via conventional distributional channels.
  • Cost Reduction: Internet is perceived as a low cost place of purchase. Customers expect to get a good deal online as they realize that online traders have a lower cost base as they have a lower staff and distribution costs.

iii. Various barriers to Consumer Internet adoption include:

  • No perceived benefit
  • Lack of trust
  • Security problems
  • Lack of skills
  • Cost

2.Business Internet adoption:

i. Business adopt Internet for various activities such as:

  • E-mail: Send/receive E-mail messages to/from the Internet (with or without document attachments).
  • Navigation: WWW services as necessary for business purposes, using a hypertext transfer protocol (HTTP) browser tool.
  • File Transfer Protocol (FTP): Send data/files and receive in-bound data/files, as necessary for business purposes.
  • Telnet: Standard Internet protocol for terminal emulation.
  • Provide product information.
  • Provide online services.

ii. Various drivers of Business Internet adoption include:

  • Potential for increased revenue arising from increased reach to large customer base.
  • Encourage loyalty and repeat purchases among existing customers.
  • Cost reductions achieved in form of reductions in staff costs, transport costs and cost of materials such as papers.
  • Reduced sales, purchasing and operations cost.
  • Improving range and quality of services offered.
  • Increased speed with which supplies can be obtained.
  • Increased speed with which goods can be dispatched.

iii. Various barriers for Internet adoption in business include:

  • Set up cost and running cost.
  • Lack of time/resources.
  • Reluctance of Staff
  • Lack of knowledge
  • Difficulty integrating IT systems.
  • Lack of board interest.
  • Security/ protection concerns.
  • Reluctance of suppliers.
  • Current bandwidth restrictions
  • Insufficient government guidance.
Please log in to add an answer.