M-Commerce revision guidelines
Time: 2 HRS
Section A MC 10Q (total 20 Marks)
Section B SQ 5Q (4 marks each, total 20 Marks)
Section C LQ 5>3 (total 60 marks, 20marks each)
Section A MC (study by yourselves! @>@)
Section B (4 marks each)
1. What is MMS? Give one example
Multimedia Messaging Services (MMS) is the capability to send and receive
messages, utilizing the same media type. They are text, image, audio, video and
any combination of the above.
For example, video streaming service is MMS.
2. What is Location based service? Give one example used by a company
Location services are generally services that depend on knowledge of the
geographic location of a mobile station. For example, the customer has his
preferable movie, and then the cinema line can inform him of his most near
3. What is Bluetooth? What is it for business use?
Bluetooth is a replacement for a cable. It gets rid of cable to use simple PC/
PDA to handset connections to implement in office LAN Access. Therefore,
Bluetooth can assist the office staffs to work more efficient.
Bluetooth is A replacement for a cable.
Basic: Low Power RF - 1mW
10 metre Range (100 metre option)
721 kBps Data Transfer Rate
Synchronous & Asynchronous transmission
One-to-one and Piconets
2.45 GHz, worldwide availability
Spread spectrum, frequency hopping
4. What are the differences between 2G and 2.5G (GSM and GPRS)?
2G Since 1993
9.6K circuit switching
2.5G 115bps support packet switching
5. What are the advantages of J2ME?
- write Once, Run anywhere
- Cross platform compatibility
Dynamic delivery of applications and services
Enhanced user experience
Developer productivity and availability
Section C (5 choose 3, 20 marks each)
1. What is the future service of 3G?
Describe an example
What is the business model? E.g. Revenue and cost
What are their partners?
Video Streaming Platform enables encoding, decoding and the transmission
of multimedia for streaming full motion video over wireless devices and
Streaming mean – content stored at servers with the operator are being
streamed. Sent on the fly. To the end users player
Application: employee education, sales and customer training, meetings,
product launches, collaboration, and customer service
Cost: a server for streaming
Data transmission costs
Portable media players
Revenue: Only a data transmission fee is charged for users
Content provider may be required to pay system construction cost
Mobile Network Operators
2. Can I-mode success in Hong Kong? What are the reasons of success or not
success in Hong Kong?
Reasons for I-mode success in Japan:
5.Why I-mode success:
Packet Switched Characteristics
deliver a high volume of access at low costs.
the majority of content focusing on text only, so 9.6Kbs can suffice
for today’s need.
Low Internet penetration rate
home PC & internet haven’t taken off.
i-Mode offers an attractive alternative.
Read news and see pictures of their favorite movie stars and
favor in cartoons and icons.
crazy in new technology/product. (PS2, Game boy Advance)
youth market - most loyal users are teenage girls.
easy to access the Internet “just one button”.
extremely small size handset with large displays, color screens
and polyphonic ringing tone.
The “Killer” Application
keep track of their email, news from daily newspaper.
enables downloads of the Bandai character, including a new image
over 2 million subscribers, each paying about HKD20 per month
NTTDoCoMo gets benefit in NTT brand penetration & recognition.
strong negotiation power to build fruitful relationship with other
significant influence with telco hardware manufactures - handset
are best optimized for i-Mode.
NTT owns the right to form of cHTML that is used in i-Mode
All handset manufactures must gain NTT approval before
launching any new product or services.
Have certain level control over the handset design
- color LED displays
- 10 lines data screen
Partner Relationship Management
flexible and open approach to partnership.
content plan should be approved by NTTDoCoMo - approval
depend on perceived quality, consumer desirability & have sufficient
staff for backup. (evaluation is about 6 months)
doesn’t charge fees for presence on i-Menu.
all premium service must use DoCoMo billing engine for which
there is a 9% commission.
Japan has relatively lower Internet penetration rate as compare to Hong Kong
Internet access is more expensive than I-mode, then Japanese turn to use I-mode
to check their emails and web browsing
Customers use I-mode in “niche time”, which mean they use about 3 minutes
session and three to four times a day especially during their commute in train
Flexible and open approach to partnership
Doesn’t charge fees for presence on I-menu
All premium service must use DoCoMo billing engine for which there is a 9%
Reasons for I-mode NOT success in Hong Kong
Internet penetration rate is higher in Hong Kong and the monthly payment is
relatively low because of the great competition of Internet Service Providers
The traveling time is short and quick in Hong Kong
Mobile operators charge much higher commission fees for content providers than
in Japan, then this will discourage content providers to provide more different
services to customers
3. Please discuss the major obstacles of delivering mobile video services
currently by the mobile operators in the world. When will it be successfully
The major areas of obstacles are as follow:
The first one is the bandwidth. The amounts of data that can be transmit from the
host server to the handheld device in a period of time. For the current GPRS, the
bandwidth is not wide enough to support the transmission of the large size video
The second one should be the development of the technology level of mobile
handheld devices. Such as the short lasting hour for the battery screen size is too
small, resolution of the color displays is low, and the limited small storage spaces
of the large file size video clips.
Although the advance level of the development of handheld devices can support
the video streaming and display, the device penetration is an obstacle. Since the
devices usually cost a relatively high price in the early stage that released to the
market, so, there may have only a small amount of the users which can apply or
interested in the mobile video services.
Another obstacle is about the cost. Cost from the service fee charged by the
mobile operators. Since the file size for video is usually large and the low
bandwidth which takes a long time for transmitting the video file. The service
charge according the downloading time will be high.
The last one is the compatibility problems. Different cell phone models may
support different file formats. Besides, there should have an agreement on open
standard media formats. (e.g. MPEG4, ISMA).
With the development of the higher mobile technology level and the increasing in
demand of different mobile services of the consumers, the estimation time for the
mobile video services will be launched is about 1 to 2 years later.
-Different between video streaming and download ---property right
-Straming- Content stored at servers with the operator are being streamed send on the
fly to the end users player.
-downlopad- For content download the streaming server will reply the HTTP get
requests content wrapped in the MP4 file format.
Device features & Price---Screen size, screen dimension, battery life, cost.
Agreement on open standard media formats---MPED, SGPP,ISMA
Service portfolio that match market segments.
Error-prone network- Deliver required Oos
Business models- The end-to-end approach
Digital rights management
4. What are the differences among wireless, 3G and Bluetooth?
Features Bluetooth 1.1 Wireless LAN 3G (UMTS)
Data rate 1 MBPS 11MBPS 2MBPS
Range of use 10M(actually within 2-8 km National
Implementation As build-in or As add-on PC cards Handset /PC cards
add-on and build-in
Power consumption low high Low
Devices Device peripherals: Device peripherals: Mobile phone
Notebook, mobile Notebook and PDAs
handset and PDAs
Potential market PC and electrical Private: SoHo, Mobile
appliance residential PC
Device cost Moderate (US$150) Moderate (US$150) High (US$700)
Accessing point Not necessary -Business class expensive
cost indoor: US $1000
outdoor access point
License No No Yes
Timing Currently use Currently use In the near future
5a. Why SMS services in Hong Kong cannot as popular as other countries? Give
reasons to explain.
Although SMS services is popular in the country like Philippine, this service is
not so popular in Hong Kong, and this can be explained by the reasons below.
The services charge for SMS in different mobile operators are similar, usually
charged by a monthly fee plus usage fee, for example, each SMS message charge
$1. Compared with other countries, the services charge is higher in Hong Kong.
The second reason is the inconvenient input of text by using mobile phone. In
order to send a Chinese message, sender has to input the text by using some
special input method, like T9. Not all the users know how to input the Chinese
text, since the input process is quite complicated and time consuming, compared
with English. In addition, different mobile have different input methods, these
would cause the SMS not successfully launch in Hong Kong.
5b. List out the critical successful factors of M-commerce.
Capital- the mobile operators have sufficient amount of capital to support the
investment on improvement on the current services. Further research and
development of the innovative ideas which have market vales, this also drive to
Technology- high technology level on both mobile services and the cellular phone
For mobile services, new service launch to stimulate the
customer demand (e.g. Video streaming)
Improve the security level (Confidential, Integrity, and
For the cellular phone, higher color resolution displays, longer
battery life, multi-functional
Marketing- Penetration of the service used and the mobile phone. This can be
improved by a well marketing plan and effective promotion.
Compatibility- with an agreement on the standard of network, programming
language, hardware, and file formats.