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E Commerce

This document provides an overview of electronic commerce (e-commerce). It defines e-commerce as the buying and selling of goods and services over electronic systems like the internet. The document then discusses the brief history of e-commerce from the 1970s to modern day. It also outlines the main types of e-commerce including business-to-business, business-to-consumer, and consumer-to-consumer. Both the pros and cons of e-commerce are mentioned. Finally, the document suggests that e-commerce will likely become the dominant form of commerce in the future.

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Ivan Bendiola
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523 views46 pages

E Commerce

This document provides an overview of electronic commerce (e-commerce). It defines e-commerce as the buying and selling of goods and services over electronic systems like the internet. The document then discusses the brief history of e-commerce from the 1970s to modern day. It also outlines the main types of e-commerce including business-to-business, business-to-consumer, and consumer-to-consumer. Both the pros and cons of e-commerce are mentioned. Finally, the document suggests that e-commerce will likely become the dominant form of commerce in the future.

Uploaded by

Ivan Bendiola
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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CONTENTS

WHAT IS COMMERCE ?
WHAT IS E-COMMERCE ?
WHY USE E-COMMERCE ?
BRIEF HISTORY OF E-COMMERCE ?

CONTENTS
PROCESS OF E-COMMERCE.
TYPES OF E-COMMERCE.
PROS & CONS OF E-COMMERCE.
FUTURE OF E-COMMERCE

What is Commerce ?
Commerce is a division of trade or
production which deals with the
exchange of goods and services from
producer to final consumer.
It comprises the trading of something
of economic value such as goods,
services, information, or money
between two or more entities.

What is E-Commerce ?
Commonly known as Electronic
Marketing.

What is E-Commerce ?
It consist of buying and selling
goods and services over an electronic
systems Such as the internet and
other computer networks.

What is E-Commerce ?
E-commerce is the purchasing,
selling and exchanging goods and
services over computer networks
(internet) through which transaction
or terms of sale are performed
Electronically.

Why use e-Commerce?

Why use e-Commerce?


Low Entry Cost.
Reduces Transaction Costs.
Access to the global market.
Secure market share.

Brief History Of E-Commerce

o 1970s: Electronic Funds Transfer (EFT)


o Used by the banking industry to exchange account
information over secured networks.

o Late 1970s and early 1980s: Electronic


Data Interchange (EDI) for ecommerce within companies
o Used by businesses to transmit data from one
business to another.

o 1990s: the World Wide Web on the


Internet provides easy-to-use
technology for information publishing
and dissemination
o Cheaper to do business (economies of scale).
o Enable diverse business activities (economies of
scope.

Process of e-Commerce

THE PROCESS OF ECOMMERCE


A consumer uses Web browser to connect
to the home page of a merchant's Web
site on the Internet.

CONTINUE: The consumer browses the catalogue of


products featured on the site and selects
items to purchase. The selected items are
placed in the electronic equivalent of a
shopping cart.

When the consumer is ready to complete


the purchase of selected items, she
provides a bill-to and ship-to address for
purchase and delivery

When the credit card number is validated


and the order is completed at the
Commerce Server site, the merchant's
site displays a receipt confirming the
customer's purchase.

The Commerce Server site then forwards


the order to a Processing Network for
payment processing and fulfilment.

Type of e-Commerce
Business-to-Business (B2B)
Business-to-Consumer (B2C)
Business-to-Government (B2G)
Consumer-to-Consumer (C2C)
Business-to-Employee (B2E)
Mobile Commerce (m-commerce)

Business-to-Business (B2B)
B2B stands for Business to Business. It
consists of largest form of Ecommerce.
This model defines that Buyer and seller
are two different entities. It is similar to
manufacturer issuing goods to the retailer
or wholesaler.

Example
Dell deals computers and other
associated accessories online but it is
does not make up all those products. So,
in govern to deal those products, first
step is to purchase them from unlike
businesses i.e. the producers of those
products.
Heinz selling ketchup to Mc Donalds.

Business-to-Consumer (B2C):
It is the model taking businesses and
consumers interaction. The basic concept
of this model is to sell the product online
to the consumers.

B2c is the direct trade between the


company and consumers. It provides
direct selling through online. For example:
if you want to sell goods and services to
customer so that anybody can purchase
any products directly from suppliers
website.

Example
Dell selling me a laptop.

What is B2G ecommerce?


Business-to-government e-commerce or
B2G is generally defined as commerce
between companies and the public sector.
It refers to the use of the Internet for
public procurement, licensing procedures,
and other government-related operations

Example
Business pay taxes, file reports, or
sell goods and services to Govt.
agencies.

Business-to-Employee (B2E)
Business-to-employee (B2E)electronic
commerce uses an intrabusiness network
which allows companies to provide
products and/or services to their
employees. Typically, companies use B2E
networks to automate employee-related
corporate processes.

Example
Online Insurance Policy Management
Corporate Announcement Dissemination
Online Supply Request
Special Employee Offers
Employee Benefits Reporting
reference: www.wikipedia.com

Consumer-to-Consumer
(C2C)
There are many sites offering free
classifieds, auctions, and forums where
individuals can buy and sell thanks to
online payment systems like PayPal where
people can send and receive money online
with ease. eBay's auction service is a
great example of where person-to-person
transactions take place everyday since
1995.

Example
Online Auction

reference: www.wikipedia.com

What is m-commerce?
M-commerce (mobile commerce) is
the buying and selling of goods and
services through wireless technologyi.e., handheld devices such as cellular
telephones

Example
Mobile Ticketing
Information Services
Mobile Banking

PROS and CONS of eCommerce

PROS

No checkout queues.
Reduce prices.
You can shop anywhere in the world.
Easy access 24 hours a day.
Wide selection to cater for all consumers.

CONS

CONS

Unable to examine products personally.


Not everyone is connected to the Internet.
There is the possibility of credit card
number theft.
On average only 1/9th of stock is available
on the net.

40

Need for E-Commerce


Increased competition
Reduction time to market
Improvement in payment process
Electronic data interchange
Popular with consumers and suppliers
To improve productivity and to
generate profit

Interdisciplinary nature of eCommerce


Marketing
Computer sciences
Consumer behavior
Finance
Economics

MIS
Accounting and auditing
Management
Business laws and ethics

Forces fueling e-commerce


Economic forces
Market forces
Technology forces

In Future
While E-Commerce may not
completely replace other forms of
Commerce, it is likely to be the
dominant mode of the commercial
transactions in the future.

End of
Presentation

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