GENSANTOS FOUNDATION COLLEGE, INC.

Bulaong Extension, General Santos City

CHAPTER 1

INFORMATION AND COMMUNICATION TECHNOLOGIES

eCommerce and Internet Marketing

Presented to: Sir Junnie Salceda

Presented by:

Deoquino, Leslie E.

Labarete, Jhes Shiel Ann I.

Palada, Charlene P.

Villarma, Wyncess Jodie A.

February 2025
The Changing Landscape of the Earth
Planet earth has changed its face from what was once forested mountains and
valleys of thinly populated human settlement areas, the rural or countryside areas
remain agrarian in character largely dominated by family-size homes. The uses of these
devices and machines make routine tasks and home chores less burdensome.
In the urban centers and others industrial areas, landscape is totally different.
The primary forest is gone, using architectural and the engineering intervention to allow
a symbiosis of the past and the present. These urban centers are mushroomed with
concrete-based structures and skyscrapers as well as steel-based structures with
electrical/electronic cable lines.
During the last 200 years, humanity has witnessed a variety of inventions
innovation and developments. Technologies have played a vital role in developing the
utilization of human capacity. Telecommunications technologies (Digital economy or
Information age) rapid growth and massive development.
The last quarter of the 20th century has shown humanity, inventions and
innovation in the area of medicine and mechanical as well as electrical and electronic
communications. Back in the 12th century from the "Stone Age era, to agricultural
economy". 12th-16th century "Agrarian era recorded", in the 18th century "Industrialized
economies become". Eventually, the years in the 1900s nations and global are
transformed.

ENTRY OF VARIOUS TECHNOLOGIES:

• Agricultural Economy -1700 • Global Economy -1900
• Industrial Economy -1800 • Digital Economy -2000
• Service Economy -1900

INTERNET ADOPTION RATES

• Radio and television technologies -1920s-1950s in American market.
• Cable Television -1980s
• Internet Technology -1990s
• Cable and internet technology, vis-à-vis radio and television system - revealed
astonishing figures on the growth and level of adoption.
• Radio -1922 in US (united states),
-41 years and 50 million of users.
• Television System -1950s,
-31 years and 50 million users.
• Cable TV -1980s,
-10 years and 50 million of users.
• Internet Technology -1990s,
-5 years and 50 million of users.
• Shown rapid growth and means a lot challenges and opportunities.
CONCEPT OF INFORMATION AND COMMUNICATION TECHNOLOGY
• Information and communication technology
-refers to a collective and generic terms that covers the broad range of systems. Non-
government Organization (NGOs) service-oriented organization like the government
bureaucracy.
•INFORMATION TECHNOLOGY (IT)
- associated with the broader phrase information and communication technology.

BASIC FUNCTION OF INFORMATION & COMMUNICATION TECHNOLOGY

1.Capture function -using devices like scanners & cameras.
Example: Whenever a book is borrowed and check out of a computerized library, the
name (or identification number) of of the borrower and the title and the title (or call
number) of the book are captured at the stage the librarian points a scanning device to
a bar code information embedded or pasted on the book's front cover.
2.Processing function -made computers extremely popular as it is now, and expedient
processing of data. Also Processing function (information processing) is a function of
ICT that involves the transformation. Text, sound, and images.
4 variety of information processing:
a.) Word Processing -involves the creations of text-based documents. Personally
computers, word processing is done using early version of word processing software
like "Wordstar and WordPerfect".
b.) Images Processing -converting visual information. Example, of an image
processing function is scanning which converts a print or film image into a form that a
can use and further process.
c.) Voice Processing - aspects involves transformation and transmission of spoken
information. Then practical examples, Human voice, Microphone bookend and the
Window's Media Player options of Windows. And after saving or storing in the hard disk
or other medium recorded sound (audio), in digital format improved version of its
original state as recorded early on.
d.) Generation function -organization of data of information to a useful form.
Example: Downloading data/information from the internet source, creating tables and
graphs from data on file.
e.) Storage function -enables computer to keep data and information for later use.
f.) Retrieval functions -locating and copying stored data or information for further
processing or transmission to another user.

Transmission function

Transmission is a function of ICT that allows sending data and information from ane
location to another.

Two common forms of information transmission:

a) Electronic mail b) Voice messaging

Benefits of ICT

A. Speed- is directly associated with computers and ICT. Depending on the

hardware specifications, speed of computing tasks can be as fast as split-
second.
B. Consistency- Doing a particular task exactly as it was seconds, minutes, and
hours ago is too difficult if not impossible for an ordinary or even highly gifted
individual.
C. Precision- is another aspect unmatched by humans particularly in doing a
multitude of simultaneous tasks or a number of products or services at any given
time.
 D. Reliability- is another benefit that can be expected from computers given the
appropriate work environment the machines deserved.

Types of Information

a) Data- As a form of information, data refer to raw facts, figures and details.
b) Text- It comes in the form of written fie., narrative) information, which may be
typewritten, printed or handwritten.
c) Image- It is a form of information in visual form.
d) Sound- It refers to spoken information that is conveyed by way of sound.

The Notion of Computer System

a) Hardware- In context, the hardware component serves as the heart and soul of a
computer system.
b) People- They refer to the human aspect of the system that use and operate the
hardware.
c) Programs- They include the software or instructions that enable the optimal use of
the component parts of the hardware (computer).
d) Procedures- They include the rules, policies and protocols that need to be
observed or followed to be able to use the hardware and software.
e) Information- These refer to the various forms or types of information that are fed
into the hardware to be processed by the people (users).

Capabilities of ICT

a. Transactional- IT can transform unstructured processes into routine transactions.

b. Geographical- IT can transfer information with rapidity and ease across large
distances, making processes independent of geography.
c. Analytical- IT can bring complex analytical methods to bear in a process.
d. Informational- IT can bring vast amounts of detailed information into process.
 e. Sequential- It can enable changes in the sequence of tasks in a process, often
allowing multiple tasks to be worked simultaneously.
f. Knowledge management- IT allows the capture and dissemination of knowledge
and expertise to improve process.
g. Tracking- IT allows the tracking of tasks status, inputs, and outputs.
h. Disintermediation – IT can connect two parties within a process that would
otherwise communicate through an intermediary.

Role of ICT in Value Chain

Concept of Convergence
-The fusion of computer technology with telecommunication system provided an
excellent opportunity to expand its horizon resulting to application of computer beyond
the physical boundaries.
Convergence
- essentially means the integration of computers and telecommunication technologies.
- the combination or convergence covers both hardware and software components.
- it also taken to mean multimedia, as in the case of the integration of voice, data, audio,
and video into a single device or service.

Digital Convergence:
Network infrastructure
• Telephone • Satellite
• DSL (Digital Subscriber Line) • Wireless
• Cable modem

Media infrastructure
• Print • Radio • Motion picture
• Television • Music

Global information infrastructure

• Firm • Voice • Documents
• Video • Data
Borderless world
- Other high-end technologies allow swift transmission of data or information
allowing real-time business transactions on a global or worldwide.

Impact of ICT in Industry and Business

- The enormous powers and capabilities of recent of computers and the availability of
commercial software for various application.

The three-level impact of information and technologies:

1. Industry level
Information technology changes as industry's
- Product and services - Markets
- Production economics
2. Firm level
Information technology affects key competitive forces
- Buyers - Supplier - Rivals
- Substitute products - New entrants

3. Strategy level
Information technology supports a firm's strategy
- Low-cost leadership - Market specialization
- Product Differentiation

Business level impacts of Information Technology

a.) Product and services
- Computer based word processing and typesetting
b.) Production economics
- Nationwide inventory tracking
c.) Markets
- ATM's, Point-of-sale systems

Digital of Product and Services

- The speed at which technologies have been developed has greatly influenced
the extent of exploitation of natural resources of planet Earth to benefit humanity.
- Emergence of new technologies:
Industry
- Electronics - Automobile body frames
- Shoe materials - Computers
- Appliances - Medical equipment
- Airframes - TV manufacturing
- Automobile engines - Cameras
 Old technology
- Transistors - Welded pieces
- Leather - Mainframe
- Discrete controls - Stand alone-X Ray
- Steel, metal - Handcrafted
- Aluminum - Silver halide-film

New technology
- Integrated circuits - Construction
- Engineered polymer - Personal computer
- Fuzzy logic - Networked systems
- Composite materials - CT scans, MRI
- Ceramics - Automated insertion tools
- Unibody, single piece - Flash memory cards

Microchip Technology

• Integrated Circuits (IC), Microcircuit, Microchip, Silicon chip or Chip

• Microchip- miniaturized electronic circuit (consisting mainly of semiconductor
devices, as well as passive components).
• Hybrid Integrated Circuit- miniaturized electronic circuit constructed of
individual devices, as well as components, bonded to a substrate or circuit board.
• Suki Card- mercury drug, microchip stores some information about cardholder
along with purchase transactions which are then converted into “points” which
can be redeemed in form of some products or other items.
• GSK Value Health Card- issued by multination drug company
(GlaxoSmithKline) and in cooperation Mercury Drug comes a magnetic strip,
stores information about cardholder along with purchase transactions made. The
card also serves as discount card for some product items of drug company sold
at cooperating drug store.
• In retail business sector, microchips found their way to plastic products forming
part of privilege card, discount card, debit card, promo cards, SIM cards.
 • The Associated Press reported that the vision of microchips technology in the
not-so-distant future would lead to the following:
a. Microchips with Antennas- will be embedded in virtually everything you buy,
wear, drive, and read, allowing retailers and law enforcement to track
consumer items- and, by extension, consumers, wherever they go, form a
distance.
b. A seamless, global network of electronic “sniffers”- will scan radio tags in
myriad public settings, identifying people and their tastes instantly so that
customized ads, “live spam”, may be beamed at them.
c. In “Smart Homes”- Sensors built into walls, floors and appliances will
inventory possessions, record eating habits, monitor medicine cabinets- all
the while, silently reporting data to marketers eager for a peak into the
occupant’s private lives.

The Changing Roles of Television

• The advances in electrical and electronics and communications engineering have

resulted in way broadcast media sector is now doing its business- CLEAR,
FAST, and REAL-TIME GLOBAL.
• From transistorized technologies among radio and television sets back in 1960s,
these new gadgets now come in digital designs.
• In the information or digital age where eCommerce/eBusiness has set in,
television sets have metamorphosed from being an entertainment or advertising
medium into a vital tool for eCommerce/eBusiness as typified by the following:
a. Television companies particularly some cable channels (e.g., CNN,
Bloomberg, ANC Channel of the ABS-CBN group) are more concerned with
providing news and other hard information vital to building competitive
strengths of business concerns instead of simply entertaining its audience or
viewers through soap operas programs.
b. some television programs are no more monopolies of scriptwriters, directors,
and other studio-based personnel but they are now getting interactive such
that audience participation is possible even on live or real-time programs.
 c. The interactivity of the television programs and its capacity to link up with
other ICT gadgets (e.g., landline telephones, mobile phones, computers,
personal digital assistants or PDAs, radios) and other hardware as well as
software make the television a very powerful medium for business operations
beyond its traditional role of advertising/promotions and information delivery.

The Changes Roles of Telephones

• Telephone device- Nowadays is more than just audio communication

transmission machine as it results to be.
• Cellular phone- mass-based technology used for business transactions in a
variety of ways.
• An example of various roles of telephones other than facilitating transfer or
passing on audio (sounds) is transfer of digital signal that has triggered
various views or reasons on having telephone connections such as the
following situation:
a. Subscriptions to Internet service have become a major consideration in
applying for telephone line thus making Internet available not only among
business offices but also at the household level.
b. For enterprising individuals, a telephone line is now a major tool or
strategy for business options such providing commercial Internet service
(e.g., Internet cafes) and other business options.
c. Mobile or cellular phone technology particularly its short-messaging
system (e.g., text messaging) and wireless applications are doing crucial
roles in facilitating conduct of mobile commerce or more popularly known
as mCommerce.

The Philippine ICT Infrastructure

• The Philippines information and telecommunication sector is categorized by

Lallana, et al. (2002) in to following are sub-sectors:
a. Telephone b. Cable c. Satellite
 d. Broadcasting e. Print media
• Service Area Scheme (SMS)- Instituted in 1991 designed to address low
teledensity.
• The popularity of cellular phone subscribers can be attributed to two factors:
1. The introduction of prepaid services- which made cellular services more
affordable.
2. The rise of short messaging service (SMS)- more popularly known as
texting- which even more popular than voice service.

Evolving Customer Value

In many ways, ICT played a key role in evolving customer values particularly in
way ICTs used in one’s daily routine. Over time, customers value and perception have
changed a lot during the latter half of the 20th century by Aldrich (1999).

Value Creation – A Must to Embracing ICT

It is believed that any improvements or advances in technology development in

general and ICT in particular have to be adopted whenever applicable and practical.