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E-Business, Advertising, Social Networks

Please answer these 5 questions:

1. Why have advertising networks become controversial? What, if anything, can be done to overcome any resistance to this technique?

2. List and describe some Web site design features that impact online purchasing.

3. What are some of the difficulties in providing services in an online environment? What factors differentiate the services sector from the retail sector, for example?

4. Name and describe the five traditional recruitment tools companies have used to identify and attract employees. What are the disadvantages of such tools in light of new online sites?

5. Why did most communities in the early days of e-commerce fail? What factors enable online social networks to prosper today?

Solution Preview

1. Why have advertising networks become controversial? Advertising networks have become controversial sometimes that are simply not beneficial. Furthermore, some advertising networks have ad misplacements. These ads are also difficult to understand how they are effectively influencing the consumer.

"When people go online they know what they want and how to do it... This makes them very resistant to highlighted promotions or other editorial choices that try to distract them. Web users have always been ruthless and now are even more so".

Source: http://econsultancy.com/blog/4114-the-future-of-ad-networks-and-display-advertising

What, if anything, can be done to overcome any resistance to this technique? Things that can be done to overcome any resistance to advertising networks are to find ways to specifically target consumers using these ad networks. Further, "New developments include not only better targeting and ground-breaking interactive video and display formats, but also new payment models such as CPE (cost-per-engagement) which has been pioneered by VideoEgg". The tired status quo ...

Solution Summary

This solution provides an explanation of how advertising networks are controversial, web site design features that impact online purchases, and difficulties in providing services online.

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