If your answer is incorrect, please refer to TECHNOLOGY BASICS AND OUTLOOK OF E-COMMERCE AND E-BUSINESS in Chapter 2 in your book.
E-business solutions are interactive and thus enable companies to engage consumers on a global scale. This way, both parties (seller and consumer) become able to communicate with each other.

If your answer is incorrect, please refer to TECHNOLOGY BASICS AND OUTLOOK OF E-COMMERCE AND E-BUSINESS in Chapter 2 in your book.
Increases in data volume and analytical tools enabled companies to focus on data and related analysis techniques. By doing so companies all over the world became able to understand customer behavior and take actions in a much shorter time period.

If your answer is incorrect, please refer to TECHNOLOGY BASICS AND OUTLOOK OF E-COMMERCE AND E-BUSINESS in Chapter 2 in your book.
Cloud computing systems increase productivity by decreasing costs and increasing computing and storage capacities. Thus, overall cost of cloud computing is less than overall cost of de-centralized computing solutions.

If your answer is incorrect please refer to TECHNOLOGY BASICS AND OUTLOOK OF E-COMMERCE AND E-BUSINESS in Chapter 2 in your book.
Artificial intelligence can provide efficiency by improving decision making around purchases and the automation of several tasks etc. and is expected to improve customer relations in B2C and B2B.

If your answer is incorrect please refer to TECHNOLOGY BASICS AND OUTLOOK OF E-COMMERCE AND E-BUSINESS in Chapter 2 in your book.
Electronic data interchange enables companies to transmit data that contains information and documents such as invoices and orders between the computer systems in different organizations.

If your answer is incorrect please refer to TECHNOLOGY BASICS AND OUTLOOK OF E-COMMERCE AND E-BUSINESS in Chapter 2 in your book.
By the utilization of EDI, a significant reduction can be acquired at the following topics:

• Document
  preparation and
  processing time
  
• Lead times
  
• Order cycle times
  

• Inventory carrying
  costs
  
• Personnel costs
  
• Ordering costs
  

• Information float
  
• Shipping errors
  
• Returned goods
  

If your answer is incorrect please refer to INFRASTRUCTURE AND ARCHITECTURAL ISSUES IN E-BUSINESS AND E-COMMERCE İN Chapter 2 in your book.
E-business services and application layer is the first layer in a 5-layer model and contains CRM, supply chain management, data mining and content management systems.

If your answer is incorrect please refer to SECURITY ISSUES, SOLUTIONS AND STANDARDS IN E-BUSINESS in Chapter 2 in your book.
Denial of service prevents legitimate users from reaching online services and/or resources. A DoS attack renders an online service inaccessible and useless.

If your answer is incorrect, please refer to SECURITY ISSUES, SOLUTIONS AND STANDARDS IN E-BUSINESS in Chapter 2 in your book.
Security systems regarding e-commerce and e-business focus on;
I. Client security
II. Server security
and
IV. Communication channel security.
Payment system security is a concern of banking system security.

If your answer is incorrect please refer to MOBILE E-COMMERCE (MCOMMERCE) AND MOBILE E-BUSINESS in Chapter 2 in your book.
Borders and differences between e-commerce and mobile commerce has become blurred while mobile e-commerce applications are easy to find, download and install. Location tracking has become extremely important as mobile devices often provide users with geographical positioning systems. Also, the market for electronic purchases via mobile has been growing along with the market for electronic purchases.

Universal Standards: There exist technical standards of the Internet and, therefore, the technical standards for conducting e-commerce are universal standards which reduce market entry costs for companies and search costs for consumers.

Internet

A technical standard for accessing information over a mobile wireless network.

DSS focuses on problems that are unique and rapidly changing, for which the procedure for arriving at a solution may not be fully predefined in advance.

E-business Infrastructure is identi ed in ve layers which are (1) Services and applications layer (2) Systems software (operating systems, utility systems), (3) Network Layer, (4) Storage Layer and (5) Data Layer which all must be managed effectively
Layer 1- E-Business Services: Applications are continually affecting trends and prospects for business over the Internet, indicating the purpose of e-Business applications. E.g. Supply Chain Management, e-procurement, secure online ordering, customer relationship management

INFRASTRUCTURE AND ARCHITECTURAL ISSUES IN E-BUSINESS AND E-COMMERCE
In layer 3, the network layer, network type, is defined as intranet or extranet or Virtual Private Network or the public Internet, and the outsourcing decision is sought. Hardware standardization is vital in enabling the connectivity of all users. is layer is also known as the information superhighway, in which the data ow from sender to receiver. e network service layer includes e-mail, WWW (World wide web), HTTP (HyperText Transfer Protocol), HTML (HyperText Markup Language), XML (Extensible Markup Language), SE (Search Engines), and SA (Software Agents).

Groupware: Facilitate the automation and streamlining of business processes not implemented in legacy/ERP systems. Group communications and information sharing enabling collaboration between teams and individuals

Internet Domain Name Service (DNS): DNS facilitates the unique identification of an organization or entity on the Internet. DNS maps the domain name of an organization to its IP addressOn the other hand, the all-in-one e-commerce or e-business platform solutions integrating all technological tools have become more popular with online merchants, providing the core e-commerce platform plus hosting, accounting, analytics, and marketing tools such as e-mail management

As a key application empowering e-business (Gartner Group, 2011), Electronic Data Exchange (EDI) is the electronic transmission of the information and the documents (such as invoices or purchase orders) between computer systems in di erent organizations. It acts as information technology and an essential application of business- to-business electronic commerce

TP (File Transfer Protocol): It provides the facility whereby files can be downloaded into a computer from another computer on the Internet. Although there are several utilities for le transfer, most users now employ browsers for this via FTP links.

Universal Standards: There exist technical standards of the Internet and, therefore, the technical standards for conducting e-commerce are universal standards which reduce market entry costs for companies and search costs for consumers.

AI can improve the efficiency of businesses through improving decisionmaking around purchases, and the automation of several tasks, provide critical insights, free-up several working hours behind procurement, and making business purchases intelligent and low cost. Hence in B2C and B2B, it is expected to improve customer relations and customization by providing predictive patterns to companies.
Apart from product recommendations, artificial intelligence in the eCommerce industry is being utilized by online retailers for providing chatbot services, analyzing customer comments, and providing personalized services to online shoppers. The use of artificial intelligence in online shopping is transforming the E-commerce industry by predicting shopping patterns based on the products that shoppers buy and when they buy them.
Intelligent Product Recommendations: Among the major applications of artificial intelligence in eCommerce, personalized product recommendations for online shoppers increase conversion rates by 915% and average order values by 3%. With big data, AI in eCommerce is impacting customer choices thanks to its knowledge of previous purchases, searched products, and online browsing habits. Product recommendations provide multiple benefits for eCommerce retailers, including a higher number of returning customers, Improved customer retention and sales, A personalized shopping experience for online shoppers, Enable a personalized business email campaign.
AI Personalization in Ecommerce: Rated among the most effective modes, personalization is at the core of AI in E-commerce marketing. Based on specific data gathered from each online user, AI, and machine learning in eCommerce derive important user insights from the generated customer data.

As a key application empowering e-business (Gartner Group, 2011), Electronic Data Exchange (EDI) is the electronic transmission of the information and the documents (such as invoices or purchase orders) between computer systems in different organizations. It acts as information technology and an essential application of businessto-business electronic commerce (Yunitarini and Santoso, 2018). Transaction processing or communication data for customers are organized in a standard and machine-readable form.
EDI changed how organizations conduct business with their suppliers and customers (Jansenss, 2011). As the most prevalent form of electronic commerce, the use of EDI has the natural effect of increasing inter-organizational coordination activities and increasing the integration that occurs between supply chain members (Lim and Palvia, 2001). EDI adds value to channel relationships through an increase in the efficiency of transaction processing, facilitation of related systems (manufacturing and marketing), and an improvement in coordination and communication systems (O’Callaghan et al., 1992; Yunitarini ve Santoso, 2018).

Challenges of EDI integration:
a. In EDI integration, organizations should consider legal issues and integration issues and keep pace with shifting government regulations, standards, and updates.
b. The legal issues concern that an EDI message may trigger specific actions like the shipment of products, which involve a change of ownership. For example, an inventory management system recognizes a re-order point for a type of material, and this event may trigger a purchase request to be sent to create a (semi)-automatically created purchase order. A similar message will be sent to a supplier’s distribution system where it triggers in a (semi)automatic way the delivery of the requested materials. A purchasing contract may be concluded and settled without human involvement (Jansenns, 2011)
c. EDI needs to accommodate the complexities of global business needs. For example, each trading partner in a B2B network can present unique requirements, such as unique formatting requirements that need to be supported (IBM 2019).
d. Despite its advantages, internet-based EDI bears online security problems increasing the EDI business cost, blocking many potential users (Jansens, 2011). Virtual private networks (VPNs) occur as a remedy. In addition to that, enforcing the regulative framework and legal constraints, creditors and shareholders’ rights, and market technology integration can assure on-line business benefit and increase the on-line business amounts. Hence EDI legal rules are required at the global level (Jansenns, 2011).
Hardware and software components are part of the requirements of EDI implementation, not the challenges it faces.

E-Wallet technology is a must: In addition to boosting sales and conversion rates for merchants, eWallet usage provides customers with ease of use and increased security. They no longer need to enter credit card information on websites or give their credit cards to cashiers; plus many eWallets offer or require dual authentication before use. OECD (2019) also reports that: “Three innovative forms of holding and conducting payments could facilitate e-commerce going forward: digital wallets, mobile money, and cryptocurrencies. These mechanisms are not necessarily discrete -indeed, mobile money and cryptocurrencies can both be stored in forms of digital wallets -and together, they have the potential to drive future developments in the e-commerce landscape.”

Cognitive supply chain management gains momentum: eCommerce companies are increasingly seeking distribution and inventory management systems that are self-learning, predictive, adaptive, and intelligent, known as cognitive supply chains. They result in an improved, personalized customer service and decreased inventory. These systems can also help to mitigate risk, improve insight and performance, and increase transparency.

Kitabın bu bölümünde hata var. Hem Figure 2.4 şekli yanlış, hem de içerikte "5 Layer" belirtildikten sonra sadece dördü noktalar ile ayrılarak açıklanmış (şekilde hatalı bir şekilde de olsa yer almasına rağmen).
The data layer or content layer is where the data is maintained and stored to provide web content and transaction, i.e. web content for intranet, extranet and internet sites, customers’ data, transaction data, clickstream data (Chaffey, 2011).

E-business Infrastructure is identified in five layers which are (1) Services and applications layer (2) Systems software (operating systems, utility systems), (3) Network Layer, (4) Storage Layer and (5) Data Layer (Chaffey, 2011) which all must be managed effectively:
• Layer 1- E-Business Services: Applications are continually affecting trends and prospects for business over the Internet, indicating the purpose of e-Business applications. E.g. Supply Chain Management, e-procurement, secure online ordering, customer relationship management.

Application servers typically fulfill the business rules and applications function, and transaction servers perform the business applications. The client request is passed along to an application server that handles all application operations between a user and an organization’s back-end business systems.

Communication Channel Security: This deals with protecting private or sensitive information in transit from an unauthorized third party. Any unauthorized party may intercept the sensitive or private information and tempered with or misuse the information. The main remedial action for such problems is using a cryptography algorithm to protect the data and the information while in transit.

If your answer is incorrect please refer to E-BUSINESS ENVIRONMENT in Chapter 3 in your book.
The economics of electronic platforms are dominated by two main features of economics of scale and network effects.

If your answer is incorrect please refer to E-BUSINESS ENVIRONMENT in Chapter 3 in your book.
Technological innovations are the main reason for the rise of information technologies and their widespread use. This has made it possible for e-business applications and e-commerce to rapidly evolve. Yet, technological innovations are not one of the e-business interaction areas; they are the reason behind e-business.

If your answer is incorrect please refer to E-BUSINESS ENVIRONMENT in Chapter 3 in your book.
Globalization has helped e-businesses thrive in many aspects. The most important of them is the global reach, increases in market size and thus, increased returns.

If your answer is incorrect please refer to E-BUSINESS ENVIRONMENT in Chapter 3 in your book.
According to Kotler (1998), new customer insights consist of

• The customer becomes selective with the increase of the conscious customer,
  
• Increasing customer expectations regarding goods and services,
  
• Decreased tendency to shop due to the importance of time,
  
• The spread of e-commerce,
  
• Decreasing loyalty to the brand and also to the product,
  
• The formation of group markets with market classification,
  

and

• International shopping.
  

If your answer is incorrect please refer to E-BUSINESS ENVIRONMENT in Chapter 3 in your book.
According to Odabasi (2000) to become an adequate player in e-business applications, the first thing that an enterprise needs to do is to ensure customer satisfaction.

If your answer is incorrect please refer to E-BUSINESS IN TERMS OF ECONOMICS in Chapter 3 in your book.
All the opportunities given are also the opportunities that small businesses face thanks to e-business applications.

If your answer is incorrect please refer to E-BUSINESS IN TERMS OF ECONOMICS in Chapter 3 in your book.
All the arguments given are correct in terms of the effects of e-business on cost and price. Positive economic outcomes arising from the utilization of e-business applications create a cost reduction while making it easier to reach beyond borders. Thus, a significant reduction in prices becomes possible.

If your answer is incorrect please refer to ETHICAL ISSUES IN E-BUSINESS in Chapter 3 in your book.
"Failure of ethical rules to keep up with the speed of change of internet and similar technologies" emphasizes the adjustment lag in ethical rules.

If your answer is incorrect please refer to E-BUSINESS TERMS OF LEGAL REGULATIONS in Chapter 3 in your book.
All the issues given before the question are tone primarily addressed in terms of the development of a new e-commerce based economy. In addition;

1. Electronic signature / Electronic contracts / Digital certificate
   
2. Responsibilities and obligations of internet service providers
   
3. Cyber crimes
   
4. The legal arrangement for telecommunications
   

are also among that list.

If your answer is incorrect please refer to E-BUSINESS IN TERMS OF SECURITY in Chapter 3 in your book.
With its 26% level, the lack of confidence in commerce was showed to be the greatest obstacle for engagement in e-business activities.

E-business has made progress in parallel
with two important development processes.
The first is the developments in the information
and communication sectors, and the second is
the globalization process in the markets and the
acceleration of liberalization. The first factor
expands the scope of e-business by making the
interactive multimedia services and computer
communication and media industry an integral
whole. The second factor, interacted with
e-business, globalization of the markets accelerated
the development of e-business, and the feature of
e-business that eliminates the borders of the country
and eliminates customs has increased globalization.
The developments in the information
and communication sectors.

With the inclusion of businesses in e-business
processes, time and space limitation has been
eliminated in order to carry out activities with
less cost by providing much easier and faster
access to global markets. The basis of the
innovations occurring today is the conversion
of data into information.
The basis of the innovations occurring
today is the conversion of data into information.

Organizational culture
is one of the most important determining
factors for businesses to exceed customer focus.
Customers are close to businesses that will adopt
their own wishes. E-business is an area that
enables organizations to adapt with customers.
Businesses, which cannot fulfill the obligation
to keep up with the change in the cultural and
managerial field, which is the first step of the
customer-oriented approach, and which cannot
be integrated in the business, are inadequate
in e-business activities. In this process, the first
thing that an enterprise needs to do is to ensure
customer satisfaction.
Changing organizational culture for e-business

We can list the activities that businesses affect
in economic life, especially e-commerce, as well
as e-business activities:
• Faster, effective marketing for more people
with digital marketing, sales and promotion,
• Pre-sale, subcontracting, procurement,
• Financing and insurance,
• Commercial transactions (order, delivery
and payment),
• Service and maintenance,
• Joint product development and work,
• Using public and private services,
• Public transactions (tax, customs, etc.),
• Delivery and logistics,
• Public procurements and tenders,
• Accounting,
• Automated trading of products in electronic
environment,
• Disputes solution
Fashion design

E-business leads to a decrease in costs for
businesses, a reduction in market entry barriers.
In addition, e-business enables economic
units to access information more easily and
to make consumers more conscious. Under
these conditions, the competitive environment
intensifies and companies have to reconsider their
market strategies. The fact that the conditions of
entering the market over the internet are the same
for each company strengthens the competition
between the companies. Thus, both small and
medium enterprises and multinational companies.
have equal conditions at the time of entering
the market.

All enterprises,
regardless of private or public, have increased
productivity and the emergence of different new
sectors thanks to their use of technology. Countries
have started to give more importance to information
technologies compared to other investments due to
higher returns on technology investments.
Investments in information technologies have
shown the effects of economies in every national
and international sector. The most important factor
in the emergence of information stems from the
process of externality.
E-business influence on inflation and growth

There are no legal
practices to protect individuals related to
cybercrime. In some countries, the lack of
any legal practices related to the crimes on
the internet affects the frequency of use of
e-business negatively.
Lack of legal regulations related to
electronic commerce

According to Franzakvd, there
are rules to be observed to minimize ethical
problems caused by the problems related to the
confidentiality of personal information. These are:
• Informing: The consumer should be
informed that their information is collected
and for what purpose this information will
be used.
• Choice: The consumer must have the
right to decide whether the information
collected from him or her will be used for
the specified purposes.
• Access: The consumer should be able to see
all the information collected from him or
her at any time.
• Security: Businesses are responsible for the
security of the information they collect.
To prevent this information from being
obtained by unauthorized persons, it
should take the necessary precautions and
otherwise they put up with some sanctions.
• Regulations: To ensure compliance with
the above rules, legal regulations and selfregulatory rules of th
The consumers should be able to see
all the information collected from him or
her at any time.

Using e-mails together with individuals in their businesses,
the increase in unauthorized commercial e-mail
messages called spam caused individuals to be
exposed to this problem very frequently. The
“Direct Marketing Association” defines the concept
as “sending commercial e-mail to a person’s address
without any commercial or personal relationship
or without prior permission “. 50% of emails received in recent years
are in commercial e-mail class without permission.

While going for deeprooted legal arrangements and additions for the
development of a new e-commerce based economy,
the issues that should be addressed primarily are:
1. Electronic signature / Electronic contracts /
Digital certificate
2. Probative force of electronic records
3. Criminal liability
4. Applicable law and competent court
5. Consumer protection
6. Protecting brand unfair competition and
intellectual property
7. Personal data protection and privacy
8. Responsibilities and obligations of internet
service providers
9. Cyber crimes
10.The legal arrangement for telecommunications
Web design

The increasing importance of technology and developments since the 1980s contributed to the elimination of national borders and paved the way for a global competition. E-business allows businesses to reduce their costs in commercial processes and make the competition in many businesses in the global market stronger with faster and quality product outputs.
Along with the importance of globalization, the understanding of competition in businesses has started to differ. Competition covers not only the national region where the business operates, but also the whole world. For this reason, businesses should produce products and services with strategies that can survive not only in the region they are in, but also in the world, and they should make pricing by considering the competition. Enterprises that produce products and services at the appropriate standard that can be accepted all over the world.
Thus, a national company does not necessarily gain competitive advantage over international companies in its respective country. The correct answer is E.

E-business is not only used in business functions such as production, marketing, financing human resources, public relations and R&D, but also management functions such as planning, organizing, directing, coordination and supervision. Management models used in the enterprise were also affected by the developments in information technologies.
Nowadays, businesses have created an organizational structure that diverges from classical management, creating an opportunity for businesses that understand the most important information. Thanks to this new organizational structure, the expectations of the consumers were better met and the opportunities in the market were seen better.
An innovative approach to business is a significant part of organizational culture, allowing the business to respond better to customer needs and thus develop more effectively.
The correct answer is A.

The contribution of e-business to productivity is at the forefront in the service sector. Within the service sector, information technologies are used most intensely, especially in the banking sector. Thanks to customers who prefer to purchase services through the internet, especially in banking services, transaction costs are reduced and banking services can be performed more quickly. Thanks to the online services carried out over the internet, customer concentrations that may cause over-capacity work within banks can be reduced to a lesser extent.
The correct answer is B.

Internationally, the obstacles encountered in e-business can be listed as follows: the international market is not well known, the parties are in different countries, there are many brokerage firms, uncertainty and risk are higher than the local market.
Difficulty in the provision of customer support is not one of the disadvantages of e-business as online customer support is quite easy and effective in e-business.
The correct answer is D.

According to Franzakvd (2001: 639), the actions to be taken to minimize ethical problems related to the confidentiality of personal information are as follows:
Informing: The consumer should be informed that their information is collected and for what purpose this information will be used.
Choice: The consumer must have the right to decide whether the information collected from him or her will be used for the specified purposes.
Access: The consumer should be able to see all the information collected from him or her at any time.
Security: Businesses are responsible for the security of the information they collect. To prevent this information from being obtained by unauthorized persons, it should take the necessary precautions and otherwise they put up with some sanctions.
Regulations: To ensure compliance with the above rules, legal regulations and self-regulatory rules of the business are required.
Thus, the correct answer is E.

Junk e-mails are unauthorized commercial e-mails that do not cause harm to the user or the user’s computer.
The correct answer is C.

The purpose of the Law No. 5809 is to establish effective competition through regulation and supervision in the electronic communications sector, to observe consumer rights, to spread services across the country, to use resources effectively and efficiently, encouraging technological development and new investments in the field of communication infrastructure, network and service, and the determination of the relevant procedures and principles.
The correct answer is E.

In Turkey, there is a wide range of legal instruments that contribute to the regulation of e0business including the Law on Regulation of Electronic Commerce No 6563, Electronic Communication Law No 5809, law on regulation of publications on the internet and suppression of crimes committed by means of such publications No 5651, and Electronic Signature Law No 5070 and Consumer Protection Law No 4077.
Thus, the correct answer is A.

In the International E-Commerce Survey conducted in 2000, WITSA found that the obstacles to e-business were as follows:

• Lack of confidence in e-commerce 26%,
  
• Lack of knowledge about e-commerce and couldn’t comprehend of subject 21%,
  
• Transitiontoe-commerceandimplementation costs 10%,
  
• Unsuitablenessofexistingoperatingprocedures to e-commerce 10%,
  
• The inadequacy and ineligibility of employees’ hardware and information in e-commerce 10%,
  
• Regulations on issues such as taxes 8%,
  
• Institution budgets 7%,
  
• Technological limitations %1,
  
• Other obstacles are explained as 6%.
  

Thus, the correct answer is C, lack of confidence in e-commerce.

E-business contributed to the elimination of geographical and physical boundaries by enabling small firms to enter the global market more easily. Thus, smaller enterprises are able to compete with international firms. This provides them with competitive advantage.
The correct answer is D.

E-business is the most important
element of e-economy after Suarez Villa (2001:
5) expresses e-economy as “an economic system
based on information technology, where people do
business with brain power rather than body power,
and where global competition is experienced
with the opportunities provided by information
technologies”

Developments in information and communication
technologies have caused the borders to be abstract.
These developments contributed to the globalization
process. With globalization, workforce, money and
many elements have gained an international status.
Globalization generally refers to the international use
of products and services

Kotler (1998) lists new customer
insights as follows (Kotler, 1998: 32):
• The customer becomes selective with the
increase of the conscious customer,
• Increasing customer expectations regarding
goods and services,
• Decreased tendency to shop due to the
importance of time,
• The spread of e-commerce,
• Decreasing loyalty to the brand and also to
the product,
• The formation of group markets with
market classification,
• International shopping

When small businesses are involved in
e-business activities, either through direct sales
to customers or as a link in the supply chain; it
has the chance to increase its market share across
the country and the world. Small businesses face
the following opportunities thanks to e-business
(Akın, 2001: 99):
• Relatively low costs when entering the market,
• Customer potential and customer diversity
at the global market scale,
• Customizable Products and Opportunities
Encountered by E-Business

In addition, people can work in their homes and
produce services over the internet with a working
system called home office (www.e-ticaretmerkezi.
net ). In this way, it is possible to support the
participation of the economy by providing activities
such as counseling, games, and report preparation in
the internet environment for people with physical
disabilities as well as those mentioned. Thanks to
the e-business, money and time spent on reaching
the workplace are saved, thus improving business
conditions

E-business leads to a decrease in prices by
reducing costs in sectors. In addition, with the e-business
activity, the distribution services that develop and
get cheaper every day reduce the shipping costs of
the companies. Facilitated by electronic commerce
in taking orders, tracking inventory records results
in cheaper product prices

E-business ethics
cannot be considered separately from the ethical
rules in general, but it is also an issue that should
be emphasized since it contains different features
that need attention. E-business ethics is expressed
in the literature as “netiket” (Netiquette), which
can be defined as internet ethics in some studies
(Odabaşı, 2002: 44).

Problems related to the security of
data in the databases of businesses: The
unauthorized capture of the information
contained in the business database

According to Franzakvd (2001: 639), there
are rules to be observed to minimize ethical
problems caused by the problems related to the
confidentiality of personal information. These are: Informing, Choice, Access, Security, Regulations

In the International E-Commerce Survey
conducted in 2000, WITSA determined the
obstacles to e-business, which is an e-business
process, and their relative weights. These
determinations and weights. (http://www.witsa.
org/papers/EComSurv.pdf ). These detections and
weights are;
• Lack of confidence in e-commerce 26%,
• Lack of knowledge about e-commerce and
couldn’t comprehend of subject 21%,
• Transition to e-commerce and implementation
costs 10%,
• Unsuitableness of existing operating procedures
to e-commerce 10%,
• The inadequacy and ineligibility of
employees’ hardware and information in
e-commerce 10%,
• Regulations on issues such as taxes 8%,
• Institution budgets 7%,
• Technological limitations %1,
• Other obstacles are explained as 6%. The
other 1% argued that there is no obstacle to
e-commerce

In the literature related to procurement management, there are different definitions. Procurement, with the most general state of it, can be defined as the process to obtain quality in the right time and the right price from the right resource.

In this scope, in industrial procurements and e-procurement, the process is executed as follows:
• Needs Recognition
• Needs Identification
• Source Selection
• Price Comparison
• Placing an Order
• Order Follow-up
• Keeping Records
• Professional Supplier Relationship

In this scope, in industrial procurements and e-procurement, the process is executed as follows (Zenz, 1994: 10-13; Dobler and Burt, 1996: 62).
• Needs Recognition
• Needs Identification
• Source Selection
• Price Comparison
• Placing an Order
• Order Follow-up
• Keeping Records
• Professional Supplier Relationship

Cost limiting provides large benefits about quality, delivery, flexibility, and innovation.

Procurement is one of the most basic functions of every kind of processes and organization. Procurement, as a result of its activities, is a basic and integrative function of business management. To become successful, it is necessary for any business to perform at full capacity in its main segments, such as production finance, marketing, distribution, human resources. These functions can perform well if the procurement department perfectly performs its activities. Procurement provides benefits to business and has a great importance

There are three e-procurement strategies. The first strategy, in which a business signs a long term contract with a single supplier, is strategic partnership. The second strategy is online call up, in which the internet is used to select suppliers to be placed an order. In this case, it is assumed that unit price randomly occurs; however, distribution is previously known, and it is assumed that the number of suppliers made contact for price offer has a function. The third strategy is a united strategy, in which a supplier is used as a long term partner, however, a second resource can be selected through the internet.

First Generation Commodity Exchanges (communities and offer demand facilitators): First Generation Commodity Exchanges are information and content centers. E-procurement applications stand out the developed B2B portals called commodity exchange. This exchange contains functions such as online trade magazines, industrial news and trends, product information, classified contents of sectoral participants, and technical examinations.

Internet market exchanges: They are websites bringing together more than one purchasers and sellers and enabling them to sell with a dynamic price identified according to exchange market rules

Strategic Advantages are in the way of
• Realizing procurement applications that will provide more discount and better service,
• Accelerating information flow between purchasers and suppliers,
• With reducing administrative hours, directing staff to the other tasks, and
• Accelerating participation in new markets, where competition is high, and reaction to competitors.
Opportunity advantages are
• Developing business image and institutional trade relationships,
• Developing purchaser-supplier relationships,
• Possibility to access to more accurate information.
Operational Advantages
• Facilitating financial audition
• Eliminating document costs
• Providing that personnel and supervisors follow movements of orders through the system, increasing supervision and security.
• Shortening delivery time by eliminating the need to wait for paper documents by mail
• Removing impediments of time slice
• Reducing inventory levels.
• Reducing workload, cycle time delays, stocks and errors, increasing effectiveness in each stage
• Allowing for flexible access in every time and every place
• Providing delivery in time

All other options except for the one in option E are disadvantages of e-procurement procedures.

Supply is much more comprehensive than procurement
that expresses purchasing goods and service in
exchange of money or any payment. The concept
of supply is a process including the concepts
of power and loot, in which there are different
ways of obtaining something.

Many factors such as global
economic fluctuations, developing strategies
that can be obtained by competitive advantage,
desire to reduce costs, and rapid developments
in technology played a role in emergence and
becoming widespread of e-procurement.
Family size

E-procurement is examined by dividing
into two as between businesses (inter-business)
and in markets. Inter-business e-procurement
is made in the form of goods and service supply
and providing resources between two businesses
through the internet .
Markets are institutional media, which provide
customers and suppliers to announce their purchase
and sale intentions. This can also be made official in
a purchase or sale action and all relevant activities
through the internet as real time. Business world
and e-procurement are related to each other oneto-one. Markets bring together more than one
purchaser and seller in a virtual market.
It is in the form of more than one
purchaser and seller in a virtual market.

A typical procurement process begins with
the definition of procurement needs according
to the demand of the final consumers of a business
and it ends with the report
of receiving the good in a satisfied way by the
procurement department.
Definition of procurement needs according
to the demand of the final consumers of a business.

Follow up of the procurement of an
order includes to make regular communication
with a supplier such as if the order is clearly
accepted and delivery time is committed. At this
point, if required, the procurement department
can try to accelerate order, identify, and remove
barriers in front of delivery
Order follow-up stage

Procurement department should identify and select competitive
suppliers. At the same time, it should identify the
suppliers exhibiting better performance and develop
better relations with them and improve performance
of the existing suppliers. A procurement department that can effectively
manage this process can achieve a reduction in
product costs and different advantages in quality,
technology, delivery and new product development.
It identifies and selects competitive
suppliers.

Procurement department, reduces business
activities, increases savings, establishes sustainable
relationships, and encourages innovation. It
increases quality and prestige, plays a role in
product design and introduction to the market,
and makes contribution to competitive advantage.
Although there are many activities provided
advantage to business, the most remarkable one of
these is reduction in costs. The remarkable point
here is how such a function reduces millions of
dollars and costs.
It motivates employees for success.

When there are no welldefined solutions, it is a strategy that
has higher risk and income expectation.
Aggressive strategy requires considerably
investing to obtain a leadership or quickly
proceed to e-procurement strategies.
Businesses basically adopt these strategies
to provide costs to be properly managed
and margins to be improved. In general,
businesses having aggressive strategies
seem to be better positioned in market or
predictable market environments.

First Generation Commodity Exchanges are
information and content centers. E-procurement
applications stand out the developed B2B portals
called commodity exchange. This exchange
contains functions such as online trade magazines,
industrial news and trends, product information,
classified contents of sectoral participants, and
technical examinations. The aim of B2B commodity
exchanges is to create a market for all participants
without permitting the prevailing interest of
any participant in the exchange market.
This exchange contains functions such as online trade magazines,
industrial news and trends, product information,
classified contents of sectoral participants, and
technical examinations.

Data taking place in e-procurement systems include prices of materials, and these prices and even
discounts should be regularly updated. In case that system is not continuously updated, problems
for business can arise.

All the definitions except E are among the definitions of procurement. The definition in option E refers to supply: The concept of supply is a process including the concepts of power and loot, in which there are different ways of obtaining something

E-trade is a process, in
which information exchange and communication
between people are provided without geographical
limitation. E-trade has played a considerably
important role in development of e- procurement

Needs Recognition
Procurement process begins with the recognition
of job needs and requirements. In a process, in
which a purchaser needs something, when any
difference is perceived between real case and desired
case, the procurement process begins by identifying
problems and determining the needs. This stage is
also qualified as a problem identification and needs
recognition stage

The next step in the procurement process is to
select resource/s (for the element demanded). In this stage, it is important to
select supplier resources which meet user demands

In this scope, in industrial procurements and
e-procurement, the process is executed as follows
(Zenz, 1994: 10-13; Dobler and Burt, 1996: 62).
• Needs Recognition
• Needs Identification
• Source Selection
• Price Comparison
• Placing an Order
• Order Follow-up
• Keeping Records
• Professional Supplier Relationship

Most procurement departments have responsibility to
confirm. Follow up is necessary for the seller to
place an order. It is necessary for the two parties to
agree on the price and conditions mutually and,
most importantly, it is necessary to deliver the
products as demanded.

In order to be successful in quality management, there are
four functions: identifying standards, assessment,
control, and security

E-procurement strategies
are examined in three groups; Wait and See Strategy, Passive strategy, Aggressive strategy

From another point of view, in a study carried
out by Peleg et al. (2002: 459), there are three
e-procurement strategies. The first strategy, in
which a business signs a long term contract with a
single supplier, is strategic partnership.

- EDI (electronic data interchange) Networks:
Large businesses, making connections through
special networks called EDIs (electronic data
interchanges) with their suppliers, provide time
and cost saving

Procurement expresses a process, in which a business or organization purchases goods from other businesses to perform its targets just in time and at lower cost (Quayle, 2006: 34).
Procurement is a process, in which all necessary materials, service, labor force, and information is supplied as outsourcing for businesses to be able to make their activities more effective and sustain their entities in the market (Weele, 2014: 9).

The car dealership conducting privately arranged business with the car rental company for courtesy vehicles rather than providing customers vehicles from the dealership fleet is an inter-business e-procurement. For example, in Turkey, the vehicle manufacturer Fiat has an agreement for it's official dealers (Birmot) to procure courtesy cars from their partner and car rental company Avis. Avis thus provides the vehicles to Fiat customers because Fiat does not want to provide their own vehicles, and the Avis and Fiat systems are integrated with each other to simplify and manage this process.
The other choices are all market situations with multiple buyers and suppliers. Inter-business e-procurement is made in the form of goods and service supply and providing resources between two businesses through the internet (Turban et al., 2002: 217). Markets are institutional media, which provide customers and suppliers to announce their purchase and sale intentions. This can also be made official in a purchase or sale action and all relevant activities through the internet as real time. Business world and e-procurement are related to each other oneto-one. Markets bring together more than one purchaser and seller in a virtual market.

After a need is accepted, it should be accurately identified. This must be coordinated with inventory units and supply management. Inventory units evaluate the lists coming from procurement units according to the inventory control system of business. As a result of these, two main problems that may be experienced in procurement processes could be eliminated. (i) Is it in the warehouse now? First it has to be confirmed if the materials included in the need lists are in the warehouses of business now. This confirmation would eliminate unnecessary inventory.

After a need is accepted, it should be accurately identified. For providing adequate and perfect identification of needs, procurement personnel should have comprehensive information about elements and functions in the organization (Zenz, 1994: 11). Identifying the specifications of products or materials to be purchased has a great importance. These specifications will be identified according to the information that will come from the marketing department. Since the desires and needs of the final consumer are considered during the product design, information that will come from the marketing department play an important role in identifying the specifications and amounts of materials to be purchased. While specifications of products are generally identified their functional and technical specifications are also identified (Otterheim and Strand, 2007: 19-20).

Procurement can contribute to business performance in two ways. Procurement can lower costs or, helps to introduce products that are compatible with customers’ desire quickly which in turn makes it possible to increase sales.
Cost related performance measurement will contribute to the evaluation of procurement expenditures. Therefore, it is necessary to measure various elements of distribution cost for completing distribution between the different transportation and storing modes. ii) total storing cost: stock is one of the largest hidden costs for many businesses. Almost half of the existing assets of a business can be attributed to stock.
Procurement unit, making cooperation with suppliers, can develop both mutual relationships and innovation strategies both parts can utilize. Besides, cooperation and compliance that can be made with suppliers can affect quality level in producing products, and enables sustainable growth to be experienced. Thanks to cooperation with two parts, a trust environment is formed, and it makes contribution to developing innovative ideas (Monczka et al., 2009: 275). Based on the experience, material and consumption knowledge of suppliers, innovative products and ideas can be promoted by businesses. Suppliers play important roles from producing products to transporting them to the final customer. Therefore, it is necessary to find the best supplier and form sustainable relationships that will provide mutual benefit.
An effective procurement management can be succeeded not only by reducing costs but also by supplying high quality products and materials. Purchasing low price products can be the first option but it should not be ignored that the quality of these products may be low. The main point here is to be able to have the appropriate quality at the proper price.
Procurement unit plays an important role in the relationships of business with its suppliers and undertakes the duty of the agent. From where and how businesses purchase its inputs are two important factors for the prestige of business. Avoiding the activities that will leave negative effects on the society and consumers such as employing child labor and polluting natural environment is important for businesses.
Since procurement plays a mediatory role between suppliers and production, it can make a contribution to developing product designs. It was observed that businesses that included its suppliers in product design and decision stages were more effective on average 20% in the input cost, input quality, and product development process (Monczka et al., 2009: 7).

This is an example of a united strategy, in which a supplier is used as a long term partner, however, a second resource can be selected through the internet.

Ünitenin tekrar dil ve içerik editörlüğünden geçmesi gerekmekte. Tedarik modelleri ile ilgili kısmı ana dili İngilizce olan öğretim üyesi anlamakta zorlanırken öğrencilerin bu soruları yanıtlamalarını beklemek ciddi bir sorun.
First Generation Commodity Exchanges are information and content centers. E-procurement applications stand out the developed B2B portals called commodity exchange. This exchange contains functions such as online trade magazines, industrial news and trends, product information, classified contents of sectoral participants, and technical examinations. The aim of B2B commodity exchanges is to create a market for all participants without permitting the prevailing interest of any participant in the exchange market.

One of the biggest obstacles to rapid adoption of e-procurement is the gap between expectations about how the two parts of the process, suppliers and buyers, behave in the market. On the one hand, purchasers adopting e-supply, due to more largely adopting just-in time applications, shorter order cycles, increase of contribution of suppliers to product development, etc., gradually become more dependent on suppliers.

In a study carried out by Davila et al. (2003: 13), there are four special e-procurement technological models as e-procurement software, market change, inter-business open biddings, and procurement consortiums.

Attaran and Attaran (2002: 18) divide advantages of e-procurement into three different categories. These are institutional changes and strategic advantages that are related to market advantages; opportunity advantages, developed with the existing and even new suppliers and related to discovered relationships; and operational advantages meaning cheaper and more effective procurement processes. The contents of advantages presented in this way are:
Strategic Advantages are in the way of
• Realizing procurement applications that will provide more discount and better service,
• Accelerating information flow between purchasers and suppliers,
• With reducing administrative hours, directing staff to the other tasks, and
• Accelerating participation in new markets, where competition is high, and reaction to competitors.
Opportunity advantages are
• Developing business image and institutional trade relationships,
• Developing purchaser-supplier relationships,
• Possibility to access to more accurate information.
Operational Advantages
• Facilitating financial audition
• Eliminating document costs
• Providing that personnel and supervisors follow movements of orders through the system, increasing supervision and security.
• Shortening delivery time by eliminating the need to wait for paper documents by mail
• Removing impediments of time slice
• Reducing inventory levels.
• Reducing workload, cycle time delays, stocks and errors, increasing effectiveness in each stage
• Allowing for flexible access in every time and every place
• Providing delivery in time

Thanks to the new digital developments the product and service options in digital channels have increased; the businesses have the opportunity to reach target audiences at low cost and they have also had the chance to develop fast. The businesses have had more interactive and more targeted communication options and they are able to offer various payment and delivery alternatives.

Examples of Web 2.0 applications are Youtube, Wiki, Flickr, Facebook and others.

Digital marketing formerly referred to as e-marketing or Internet marketing is at the heart of digital business - getting closer to customers and understanding them better, adding value to products, widening distribution channels and boosting sales through running digital marketing campaigns using digital media channels such as search marketing, online advertising and affiliate marketing etc.

According to Chaffey and Chadwick (2016), the digital marketing strategy has many similarities to the aims of traditional marketing strategies. Some of these aims are as follows:

• 
  Provide a future direction to digital marketing activities;
  


• 
  Involve analysis of the business’s external environment, internal resources and capabilities to inform strategy;
  


• 
  Define digital marketing objectives that support marketing objectives;
  


• 
  Select strategic options to achieve digital marketing objectives and create sustainable differential competitive advantage;
  

According to Chaffey and Chadwick (2016), the digital marketing strategy has many similarities to the aims of traditional marketing strategies. Some of these aims are as follows:

• Provide a future direction to digital marketing activities;
  
• Involve analysis of the business’s external environment, internal resources and capabilities to inform strategy;
  
• Define digital marketing objectives that support marketing objectives;
  
• Select strategic options to achieve digital marketing objectives and create sustainable differential competitive advantage;