Pune University Digital Business Unit III

Digital Business Ecosystem: Electronic Commerce
Mechanisms, Online Purchasing Process, E-Marketplaces -

Types, Components and Participants, Disintermediation and
Reintermediation; Customer Shopping Mechanisms -
Webstores, Malls, and Portals, Webstores, Electronic Malls , Web
(Information) Portals. Intermediaries: Roles of
Intermediaries in E-Marketplaces, Merchant Solutions:
Electronic Catalogs, Search Engines, and Shopping Carts,
Electronic Catalogs, E-Commerce Search Activities, Auctions -
Traditional Auctions Versus E-Auctions, Dynamic Pricing.
Changing Supply Chains: Structure of the Supply Chain, EC
Order Fulfillment Process, Speeding Up Deliveries, Partnering
Efforts and Outsourcing Logistics, Order Fulfillment in Make-to-
Order (MTO) and Mass Customization. Digital
Payments: Smart Cards, Stored-Value Cards, EC Micropayments,
Payment Gateways, Mobile Payments, Digital and
Virtual Currencies, Security, Ethical, Legal, Privacy, and
Technology Issues. (7+2)
Digital Business Ecosystem
 Electronic Commerce Mechanisms
 Online Purchasing Process
 E-Marketplaces :
“ The E-commerce marketplace or the online e-
commerce marketing is a place or a website where one
can find different brands of products coming from
multiple vendors, shops or person showcased on the
same platform.”
E-Marketplaces
E-Marketplace Components and Participants
 Customers  Infrastructure
 Sellers  Front end
 Products and services  Back end
 digital products  Intermediaries
Goods that can be Third parties that
transformed to digital operates between sellers
format and delivered over and buyers
the Internet  Other business partners
 Support services
Types of E marketplace
 Buyer-oriented e-marketplace
 Supplier-oriented e-marketplace ((CCO) Cisco
connection Online)
 Vertical (Quill.com) and horizontal e-
marketplaces (Amazon.com)
 Independent e-marketplace (Alibaba.com,
eBay.com )
Disintermediation and Re-intermediation
 Example: Notable examples of disintermediation
include Dell and Apple, which sell many of their
systems direct to the consumer—thus bypassing
traditional retail chains, having succeeded in creating
brands well recognized by customers, profitable and
with continuous growth.
Re-intermediation
Customer Shopping Mechanisms -
Webstores
 Webstore (storefront)
A single company’s website where products or
services are sold; usually has an online shopping
cart associated with it.
Many Webstores target a specific industry and find
their own unique corner of the market.
Ex. Raliance trends or shopppers stop
Customer Shopping Mechanisms: Storefronts,
Malls, and Portals
 e-mall (online mall)
An online shopping center where many online stores are located
 TYPES OF STORES AND MALLS

 General stores/malls
 Specialized stores/malls
 Regional versus global stores
 Pure-play versus click-and-mortar stores
Customer Shopping Mechanisms: Storefronts,
Malls, and Portals
 Web (information) portal
 A single point of access, through a Web browser, to critical
business information located inside and outside (via
Internet) an organization
 Types of Portals
 Commercial (public) portals
 Corporate portals
 Publishing portals
 Personal portals
 mobile portal
A portal accessible via a mobile device.
 voice portal
A portal accessed by telephone or cell phone.
Intermediation and Syndication in E-
Commerce
 Intermediaries (brokers) provide value-
added activities and services to buyers and
sellers
 Intermediaries in the physical world are
wholesalers and retailers
 Infomediaries:
electronic intermediaries that control
information flow in cyberspace, often
aggregating information and selling it to others
Electronic catalogs
 An electronic catalogue is an online publication, that
is to say a graphic interface -generally an html page in
which the products and services offered by a company
are showed
 Unique: these are catalogues that offer products or
services on a website. They are called unique because
they are not accompanied by other catalogues.
 E-malls:
they are present on a website. E-malls are a collection of
various catalogues offering a wide range of services or
products. This type of e-catalogue contains a searcher, so
that consumers can choose the products or services
category they want to consult.
 Incrusted catalogues: they are part of a company’s website.
They are called incrusted because they are found into a
company’s website and not in a different one. This type of e-
catalogue is often useless to sell products or services, but they are
useful as marketing or advertising tools, where consumers can
get rid of any doubt about products or services.
 Catalogues through e-mails: this type of e-catalogues is sent

to a particular addressee, previously selected- it can be either a
company’s customer or professionals in a specific field.
Companies create a target group directory, so that a more
personalized catalogue can be sent to each addressee. E-mail
templates are good options to send catalogues through e-mail in
a professional, smart and personalized way.
Search Engine
 Crawler Based Search Engines.
 Directories Search Engines.
 Hybrid Search Engines.
 Meta Search Engines.
Four Components of Search Engine
 A database of references to webpages

 An indexing robot that crawls the WWW
 An interface
 Enables users to submit queries
 Displays results
 Information retrieval system
Database
 Where user's query is matched
 Contains only essential parts of pages

 Only includes pages that were indexed
 Search engines are always out of date
18
Web Crawler
 A robot that follows links
 Records data it finds
 Words in the webpage
 Metadata
19
Search interface
 A user-friendly interface located on a web site that
allows a user to issue queries to a database.
Type of search Interface:
 command line (cli)
 graphical user interface (GUI)
 menu driven (mdi)
 form based (fbi)
 natural language (nli)
SEO
 Def:
SEO stands for Search Engine Optimization, which is the
practice of increasing the quantity and quality of traffic to
your website through organic search engine results.
Uses for Business:
 User-Friendly Websites
 Bring in MORE Customers
 Better Conversion Rates
 Build Brand Awareness
 Bypass Competition
E commerce search Activitites
 Breadcrumb negation - allows a customer to remove
previous selections from the query without going back
to the start.
 Category facets
 Category snapping - allows the search engine to
understand the query better, resulting in a more
satisfying user journey. For example, "Nike Sneaker red
12" probably means Brand:Nike ShoeType:Sneaker
Color:Red Size:12.
 “Did you mean?”
 Facet negation
 Personalization
 Query completion
 Query fall backs
 Relevancy ranking
 Results pagination
 Spell correction
Changing Supply Chains: Structure
of the Supply Chain
 EC Order Fulfillment Process, Speeding Up Deliveries,
Partnering Efforts and Outsourcing Logistics, Order
Fulfillment in Make-to- Order (MTO) and Mass
Customization.
EC Order Fulfillment Process
1) Receive online order
2) Process order in your back-office system (example:
an ERP)
3) Notify customer that order has been received
4) Send request for fulfillment to the warehouse
5) Order is picked
6) Order is packed
7) Order is shipped
8) Shipping notification is sent to the customer
9) Order arrives
 Demand seamless integration
 Enable end-to-end order visibility
 Choose the right shipper
 Enable exception-based order management
 Be smart about your warehouse locations
 Communicate with your customer
 Accept returns & refund like a champ
 Digital Payments:
 Smart Cards
 Stored-Value Cards
 EC Micropayments
 Payment Gateways
 Mobile Payments
 Digital and Virtual Currencies
Ethical, Legal, Privacy, and
Technology Issues.
 Web Tracking
 Privacy
 Legal issues:
1. Fraud on the internet
2. Domain name
3. Copyright
Public Policy Issues in E commerce
 Information rights: What rights to their own personal information do
individuals have in a public marketplace, or in their private homes, when
Internet technology make information collection so pervasive and efficient?
What rights do individuals have to access information about business firms
and other organizations?
 Property rights: How can traditional intellectual property rights be enforced
in an internet world where perfect copies of protected works can be made and
easily distributed worldwide in seconds?
 Governance: Should the Internet and e-commerce be subject to public laws?
And if so, what law-making bodies have jurisdiction - state, federal, and/or
international?
 Public safety and welfare: What efforts should be undertaken to ensure
equitable access to the Internet and ecommerce channels? Should governments
be responsible for ensuring that schools and colleges have access to the
Internet? Is certain online content and activities - such as pornography and
gambling - a threat to public safety and welfare? Should mobile commerce be
allowed from moving vehicles?

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Digital Business Ecosystem: Electronic Commerce

Mechanisms, Online Purchasing Process, E-Marketplaces -

 TYPES OF STORES AND MALLS

 Catalogues through e-mails: this type of e-catalogues is sent

 A database of references to webpages

 Contains only essential parts of pages

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