LNCT UNIVERSITY, BHOPAL

BCA (AI&DA)
NOTES
Web Technology (BAI-401)
UNIT-5

(What is E-Commerce?)
E-commerce is made up of two words e and commerce. The full name of E - commerce is electronic
commerce. e means electronic network i.e. internet and commerce means buying and selling of goods / goods
or services . Thus, e-commerce means buying and selling of goods and services through the Internet .
Today there are many big e-commerce companies in the market . Such as :- OLX , Amazon , Flipkart ,
eBay, Paytm etc. Which provides facility to do business through internet .
We mostly use e-payments to buy and sell goods and services such as: credit card, debit card, internet banking,
e-wallet etc.
(Types of E-Commerce)
There are 6 following types of e-commerce:-
1. B2B (business to business)
2. B2C (business to consumer)
3. C2B (consumer to business)
4. C2C (consumer to consumer)
5. B2A (business to administration)
6. C2A (consumer to administration)

B2B (business to business)

In this type of e-commerce, both the seller and the buyer are business organizations . That is, one business
organization sells its product to another business organization .
For example, a manufacturer sells his goods to a wholesaler and the wholesaler sells those goods to a retailer.
Here manufacturer, wholesaler and retailer all three have their own businesses.

The picture above is a B2B model. There are three businesses in it:- manufacturer, wholesaler and retailer. The
manufacturer has its own website from where the wholesaler buys goods from the manufacturer.
When a wholesaler orders goods through the website, the manufacturer comes to know about the order through
the website and sends the goods to the wholesaler. After receiving the goods, the wholesaler can sell the goods
to the retailer. This type of business is called B2B model.
 B2C (business to consumer)
In this type of e-commerce, the organization or company sells its product online directly to the consumer. This
is the most used e - commerce .

In this, the customer can view the product on the online website and order it. After the company receives the
order information, the company ships the product directly to the customer.
Example :- Amazon, Flipkart, Mynt Ra etc. Nowadays we use them in daily life.

C2B (consumer to business)

Consumer to business e-commerce is an e-commerce in which consumers provide products or services to the
business organization. This is the complete opposite model of B2C model.

In C2B, the customer sells his product or service to the company. For example, if you are a graphic designer then
you can design your graphics and sell them to companies.
You can sell your graphics through fiverr and freelancer websites. If the company likes your graphic then it can
buy the graphic directly from you.

C2C (consumer to consumer)

In this type of e-commerce, both seller and buyer are consumers . That is, one consumer sells his product to
another consumer through the website .
That is, if you have any product like:- car, laptop, bike or other electronic goods etc. then you can sell this product
to other consumers online through the website.
Example :- OLX , Quicker etc. are its examples .
Here in the above picture there is consumer1 and consumer2. In this consumer1 wants to sell his goods. He
publishes the details of his products on the OLX website. And consumer2 sees the details of that product in the
website and if he wants to buy that product then he can directly contact consumer1. And in this way that product
will be sold.

B2A (business to administration)

Business to administration e-commerce is also called business to government (B2G) e-commerce.

In B2A, business organization and government agency exchange information through website.

C2A (consumer to administration)

C2A (consumer to administration) e-commerce is also called consumer to government e-commerce.

In this, information is exchanged between the consumer and the government agency through the website.

Advantage of E-commerce
Its benefits are as follows:-
1. Through e-commerce we can transact our business in national and international markets.
2. Before purchasing any product, we can know about the quality of that product by reading reviews and
comments about that product, which makes it easier for us to buy the product.
3. We can use e-commerce 24 * 7 hours.
4. In e-commerce, all the work is done between the organization and the consumer, there is no need of a
third party, which directly benefits the organization .
 5. We can buy any item online sitting at home. We do not need to go out and buy goods.

Disadvantages of E-commerce
Its disadvantages are as follows:-
1. High speed internet is required for e - commerce, sometimes due to low speed the e - commerce website
does not work.
2. For e - commerce, it is necessary to have knowledge of computer, mobile and internet .
3. When we buy any item, it takes 2-3 or more days for the item to arrive .
4. Security has to be taken care of . Because when we make online payment , it is necessary to have security,
otherwise the account can be hacked or our information can be hacked .
5. When any unknown website of e - commerce comes into the market , it becomes a little difficult to
trust that website .
Components and examples of e-commerce
1. Online – Shopping :- Online shoppingis a great example of e - commerce market . Becausethere is a lot
of craze for online shopping in the e - commerce market . In online shopping, we can easily buysmall
to big things for home and office, for this there are many online shopping companies like :- myntra,
flipkart etc.
2. Electronic Payments:- When we buy any item or goods online, wemake payment for it
through internet . Which we call electronic payments . We make this payment through credit and debit
cards or other methods . There are different ways to make electronic payments . 1. Pre-Paid 2. pay-now
3. Pay later
3. Net Banking:- Net Bankingalsocalled Internet Banking , Online Banking . Net banking is such a
service provided by every bankthrough which wecan access our bank account with the help of internet
while sitting in our home office and can easily avail or complete services like passbook , apply for ATM
etc., moneytransfercan do
4. Online – Ticket:- Through internet wecan buy tickets online for any movie show or any big program ,
cricket match etc.

The Trade Cycle

The trade cycle refers to the process of buying and selling goods and services. It typically consists of several
stages, including sourcing, production, distribution, and consumption.
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1. Sourcing: In this stage, raw materials and other inputs are acquired for use in the production process.
2. Production: In this stage, the raw materials and other inputs are transformed into finished products.
3. Distribution: In this stage, the finished products are transported to retail locations or directly to consumers.
4. Consumption: In this stage, the products are purchased and consumed by the end consumer.
The Stages of the Trade Cycle in Electronic E-commerce
The trade cycle in electronic e-commerce follows a similar pattern to the traditional trade cycle, but with some
key differences.
1. Sourcing: In electronic e-commerce, sourcing may involve the purchase of raw materials or finished
products from suppliers located around the world. This can be done through online marketplaces or by
contacting suppliers directly through their websites.
 2. Production: In electronic e-commerce, production may involve the assembly of finished products from
pre-made components or the creation of digital products such as software or e-books.
3. Distribution: In electronic e-commerce, distribution typically involves the shipment of products directly
to consumers or to third-party fulfillment centers for storage and shipment. This can be done through a
variety of shipping methods, including postal services, courier services, or specialized delivery
companies.
4. Consumption: In electronic e-commerce, consumption typically involves the purchase of products
through online stores or marketplaces. This can be done through a variety of payment methods, including
credit cards, PayPal, or other digital payment platforms.
Conclusion
Electronic e-commerce has revolutionized the way that goods and services are bought and sold, offering a
convenient and accessible way for consumers to shop and for sellers to reach a global audience. Understanding
the trade cycle and the different stages involved in electronic e-commerce is essential for anyone looking to
succeed in this growing industry.

• What is e-marketing? (Online Marketing, Digital Marketing)

• Types of e-marketing –
o 1. Email Marketing –
o 2. Social Media Marketing –
o 3. Apps Marketing –
o 4. Affiliate Marketing –
o 5. Search Engine Optimization (SEO) –
• Benefits of e-marketing –
• Disadvantages of e-marketing –
• conclusion -
• Some FAQs related to E-Marketing –

What is e-marketing? (Online Marketing, Digital Marketing)

E-Marketing is called Electronic Marketing. E-marketing can also be called online marketing, digital
marketing or internet marketing. It is used to fulfill marketing objectives through Electronic Communication
Technology. The components used under this technology like Internet, e-mail, e-books, database and mobile
phones etc. play a vital role.
Various business organizations take the help of internet technologies to market their products. Especially for this,
organizations prepare their organization's website and upload complete information about their products on the
website. They make information about their products like features, prices, quality etc. available to their users
through the website. Are.
There is no need for any company to spend much money to market its product. In the present time, there are many
such means which we can use at any time. Once a website is created, it needs to be uploaded to the web server
from the Internet. Earlier in time, a company had to spend more money to market its product. In today's era, many
types of technical systems are available every moment. E-Marketing has become a very simple, cheap and
attractive facility in this era.
What is E-Marketing? Explain the types and advantages of e-marketing.
Types of e-marketing –
There are many types of e-marketing, some of which are given in the following medium –
1. Email Marketing –
Email is also very special in email marketing. Email is a medium through which promotions or advertisements
are easily sent to users. Email can be called an easy and cheap platform, any company can do marketing
comfortably through email.
2. Social Media Marketing –
In today's time, social media is quite trending. Social media is a good example for online business. By using some
social media apps like Facebook, Instagram, WhatsApp, YouTube etc. one can easily market their product in less
time.
3. Apps Marketing –
Apps marketing is a very good option for marketing. In today's era, almost everyone has a smartphone in every
house and they must be using all the applications, hence the main objective of big companies is to market their
products as much as possible by making apps. An example of apps marketing like Flipkart.
4. Affiliate Marketing –
In this, traders get great help from websites, blogs and social media profiles etc. Through these, one can also
advertise the products and also get salary. That is called affiliate marketing.
5. Search Engine Optimization (SEO) –
SEO also performs well in e-marketing. SEO is such a technical medium by which your website can be ranked
highest in search engine results, then you can market your product more and more.
Benefits of e-marketing –
Let us try to know some benefits of e-marketing through the following means –
• Internet has gained a lot of popularity and internet supports e-marketing in a special way. Internet is a very
good medium to build customer relationship in the world and with its help your customer can buy or order the
product at any time.
• You can sell your products and services without any hassle by sitting at home using e-marketing.
• Things like Facebook, Instagram etc. are quite famous. With the help of these social media apps, you can easily
advertise or promote your product.
• Email updates to your registered customers for marketing. Any company can easily do marketing or advertising
with the help of email.
Disadvantages of e-marketing –
There is a possibility of loss in some situations through e-marketing. Come friends, let us know through the
following –
• Running an attractive advertising campaign online costs you money.
• E-marketing mostly requires internet. Sometimes due to slow internet you may have to face big problems.
• Online platforms, websites and emails etc. play a very good partnership in e-marketing. But in today's time,
you must have heard about cyber attacks due to which your data theft, system hacking etc. can cause problems.

EDI :-
The full name of EDI is electronic data interchange. It is a communication system in which data is
transferred electronically from one computer to another.
Because there is no paperwork involved in transferring data, it does not require any human intervention.
Nowadays EDI is mostly used in B2B e-commerce. A lot of data is transferred through EDI, due to which the
data is organized in bidirectional format.
Fig:-Working system
Advantage of EDI:-
Its benefits are as follows:-
1:- It takes very less time to transfer documents because the data is transferred in electronic form.
2:- Because data entry is done in computer, there is very less scope for mistakes in it.
3:- In this, data can be exchanged easily, that is, technical complexity is reduced in it.
4:- In this, data transfer is done at low cost.
5:- There is no need to do paperwork in this.
6:- In this, exchange of data is better and accuracy is higher.

EDI working (its working):-

Its functioning consists of the following steps:-
1: – First of all, we prepare the documents or data to be transferred, that is, the data is collected and organized.
2:- Then these documents are translated into EDI format through translator software.
3:- When we translate the documents into EDI format, the documents are ready to be exchanged. Then we connect
with our business partner and exchange documents. Documents are transferred using HTTP, HTTPS and FTP
protocols communication methods.
4:- These documents remain in the recipient mailbox until he views and processes the documents from the
mailbox.
Digital signature:-
We can easily understand digital signature on the basis of following points:-
1:-Digital signature is a mathematical technique that is used to ensure the authenticity and
integrity of a message or electronic document.
2:- Digital signature is similar to the signature made by hand but the signature made by hand
does not have that much reliability and security whereas the digital signature has security.
3:-Digital signature ensures that the message or any other electronic document is original and
the person who sent the message has not been altered.
4:-Digital signature is based on the method of public key cryptography. Two keys are used in
this. The key to encrypt the message is kept public and the key to decrypt the message is kept
secret.
5:-Digital signature is mostly used for e-commerce websites like:- OLX, shopclues and online
banking so that our transactions can be secure.

what is m commerce :-

Mobile commerce or M-Commerce is a combination of wireless personal digital assistants (PDAs) and network
technology. It was created by Kevin Duffy in 1997 with the idea of putting electronic commerce capabilities directly into
the hands of the user anytime, anywhere through wireless technology. The idea was expected to be used primarily in
banking and shopping. Nowadays many mobile users make purchases through their phones.

Introduction of M-Commerce :-

Mobile commerce can be generally understood as the buying and selling of products or services using wireless mobile
devices such as mobile phones, smartphones, tablets personal digital assistants (PDAs), smart wearables, etc. The
technology behind M-commerce is based on Wireless Application Protocol (WAP) and is expected to surpass e-
commerce as an alternative to online transactions very soon.

The M-commerce industry is estimated to be worth approximately USD 230 billion by 2016 and is expected to grow to
USD 700 billion by the end of 2017 worldwide.

India and other Asian countries together contribute about 50% of this economy, and while there is still a large portion of
the population yet to be covered, there is real promise in developing countries.
There are approximately 46 crore people connected to the internet in India (December 2016) and this is expected to
increase to 75 crore by the end of 2020 and India's potential has really attracted the attention of major smartphone
companies like Samsung, Motorola. Micromax and many other Indians to make smartphones while keeping it as the key
point of their business.

Competition is not only among Mobile Device Providers, but competition also exists among Internet Service Providers
(ISP) for customer acquisition. Example: Lyf smartphones established by Reliance JioInfocomm Limited (RJIL) and
Reliance Jio SIM which offered free calling, free data and successfully acquired more than 50 million customers. It is
backed by Reliance Group and has invested money in this area, which no other company has invested globally, to
provide people access to data at the cheapest price.

To take advantage of the potential mobile commerce market, mobile phone manufacturers such as Nokia, Ericsson,
Motorola, and Qualcomm are working with carriers such as AT&T Wireless and Sprint to develop WAP-enabled
smartphones. Smartphones offer fax, e-mail and phone capabilities in addition to basic phone capabilities such as
calling.

Since the launch of the iPhone, mobile commerce has moved away from SMS systems and real applications. SMS has
critical security vulnerabilities and congestion problems, although it is widely available and accessible. Improvements in
the capabilities of modern mobile devices place a greater burden of resources on mobile devices.

Financial Services:-

Mobile Banking, Mobile Brokerage, and Money Transfer etc.

Information Services:-

News updates, match scores, traffic updates, weather forecast etc.

Services:-

Renting a taxi, booking tickets, hotels etc.

retail :-

Buying products online, ordering food online, etc.

History of M-Commerce:-

The term mobile commerce was first coined by Kevin Duffy on 10 November 1997 at the launch of the Global Mobile
Commerce Forum, where he was elected as Executive Chairman, by which he meant "the delivery of electronic
commerce capabilities directly into the hands of the consumer." ,Anywhere through wireless technology."

Mobile commerce services were first delivered in 1997, when the first two mobile-phone enabled Coca-Cola vending
machines were installed in the Helsinki area in Finland. The machines accepted payment through SMS text messages.
This work evolved into several new mobile applications such as the first mobile phone-based banking service launched
in 1997 by Merita Bank of Finland, using SMS. Finnair Mobile Check-in was also a major milestone, first introduced in
2001. M-Commerce Server was developed by Kevin Duffy and Andrew Tobin at Logica in late 1997, winning the Financial
Times award for "Most Innovative Mobile Product" in 1998. With De La Rue, Motorola and Logica. The Financial Times
praised the solution for "making mobile commerce a reality". The trademark for m-commerce was filed on 7 April 2008.

In 1998, the first sales of digital content as downloads to mobile phones became possible, when the first commercial
downloadable ringtones were launched in Finland by Radiolinja. The early 2000s saw a rapid proliferation of mobile-
commerce related services. Austria begins offering train ticketing via mobile devices. Japan also offered mobile
purchase of airline tickets.
In April 2002, building on the work of the Global Mobile Commerce Forum (GMCF), the European Telecommunications
Standards Institute (ETSI) appointed Joachim Hofmann of Motorola to develop official standards for mobile commerce.
PDAs and cellular phones have become so popular that many businesses (Flipkart, Ola, OLX and banks) are starting to
use mobile commerce as a more efficient way to communicate with their customers.

Advantages and Disadvantages of M-Commerce:-

Advantages of Mobile Commerce :-

This M-Commerce is beneficial for both large scale and small scale businesses. Mobile users are increasing day by day,
so through mCommerce, businesses get a larger and growing market space for a wide range of goods and services.

1. Cover Widedistance:- Mobile is a technology that has now become almost an integral part of any person's social and
commercial life, much more common than traditional computers. Therefore, it is easy to reach users through M-
Commerce.

2. Consumer Deals:- As more users use M-Commerce, a lot of companies use M-Commerce platforms to reach out to
customers by luring them with different and better deals than their competitors.

3. Saving:- Companies are increasing their reach directly to the consumer through M-Commerce, so users do not have
to go to the store physically and ultimately it saves the user's time and money. Companies like Amazon, Flipkart etc. are
examples of this.

4. Easy to use:- No need of smart consumer. Shoppers can view thousands of items on their cell phones and there is no
need for an online checkout process. Most companies invest heavily in keeping the experience of their site/application
easy and pleasant.

Disadvantages of Mobile Commerce:-

1.Smartphone Limitation:- Mobile does not have a big screen like desktop or laptop, so sometimes users try to navigate
more and more to choose just one item out of thousands. This affects purchasing rates.

2. Habituate:- Every new technology has some problem in the initial phase. Since M-Commerce is a new application,
sometimes people are hesitant to accept it because they are used to buying products from e-commerce.

3. Risk Factor:- Every business has its own risk. Whereas mobile commerce is an emerging field and investing too much
in this field becomes risky. Because technology keeps changing day by day. Furthermore, wireless networks have less
security, so there is a higher possibility of hacking in data transfer.

4. Connectivity:- Connectivity is generally not available in all areas, and in areas where it is available, connection speed
becomes an issue. It often becomes quite hectic for the user to go through the entire product purchasing process.

Difference between M-Commerce vs. E-Commerce :-

1. E-commerce is the performance of business activities with the use of the Internet. When any type of commercial
transaction is done/initiated using mobile cellular devices, it is known as m-commerce .

2. E-commerce started in the 1970s while m-commerce started in the 1990s.

3. M-commerce was originally developed on the lines of e-commerce. It can be said that m-commerce is a subset of e-
commerce.

4. E-commerce activities take place with the help of computers and laptops, whereas in m-commerce smartphones,
tablets, iPads, PDAs (Personal Digital Assistants) etc. are used.

5. The connectivity of m-commerce is comparatively larger than that of e-commerce.

6. M-commerce devices are easy to carry anywhere as they are light weight which is not possible with e-commerce.

Services of m-commerce in Hindi:-

Mobile money transfer:-

Can transfer money to each other through mobile. First done by a multimillion shilling company in Kenya.

Mobile ATM service:-

Connecting mobile money platforms and providing bank grade ATM quality.

Mobile ticketing:-

Tickets can be sent to mobile phones and users can instantly access their tickets by showing their mobile phone at the
ticket check. This technology can also be used for vouchers, coupons and loyalty cards.

Mobile Content purchase and delivery:-

This includes the sale of ring-tones, wallpapers and games for mobile phones. Purchase and delivery of full-length music
tracks and videos is possible in mobile phones. A mobile with 4G network makes it possible to buy movies on a mobile
device in a few seconds.

Location-based services:-

Through mobile it is possible to know some local information like local discount offers, local weather, tracking and
monitoring of people etc.

Information services:-

A wide variety of services like news, sports scores, financial records, traffic reporting etc. are possible in mobile in the
same way as it is delivered to PC.

Mobile Banking or M-banking:-

Allowing customers to access account information and conduct transactions, such as buying stocks and sending money.

Mobile shopping:-

Customers can shop online through mobile without sitting at their personal computer.

Mobile Marketing and Advertising:-

Companies can advertise and publicize their products through mobile, which gets better feedback than traditional
campaigns.