A Presentation
on
E-COMMERCE
By…
R.SIVA NAGESWARA RAO
III B.Com
Table of Contents
1. E-Commerce overview
1.1 Definition of e-commerce
1.2 Brief history of e-commerce
2. E-Commerce categories
2.1 Two major categories
2.2 Other categories
3. Benefits of e-commerce
3.1 Benefits to organizations
3.2 Benefits to consumers
4. Business applications
5. Online shopping
6. Interesting facts and figures
7. Summary and Conclusion
E-Commerce Overview
Definition of E-Commerce
Brief History of E-Commerce
1
Definition of E-Commerce
E-Commerce or Electronic commerce is a process of
buying, selling, transferring, or exchanging products,
services, and/or information via electronic networks
and computers
Definition of Commerce
The exchange of goods and services for money
Consists of:
Buyers - these are people with money who want
to purchase a good or service.
Sellers - these are the people who offer goods
and services to buyers.
Producers - these are the people who create
the products and services that sellers offer to
buyers.
5
Brief History of E-Commerce
1970s
E- commerce meant the facilitation of commercial
transactions electronically, using technology such as
Electronic Data Interchange (EDI) and Electronic Funds
Transfer (EFT), allowing businesses to send commercial
documents like purchase orders or invoices
electronically.
Brief History of E-Commerce (cont)..
1980s
The growth and acceptance of credit cards
Automated teller machines (ATM)
Telephone banking
Airline reservation system
2
Brief History of E-Commerce (cont)..
1990s
The Internet commercialized and users flocked to
participate in the form of dot-coms, or Internet start-ups
Innovative applications ranging from online direct sales
to e-learning experiences
Brief History of E-Commerce (cont)..
2000s
Many European and American business companies
offered their services through the World Wide Web.
Since then, People began to associate a word “e-
commerce”
Types of Commerce
Commerce
Electronic Physical or Traditional Commerce
Commerce
Internet
Commerce
Business Consumer focused
focused e-commerce
e-commerce
Different types of E-Commerce
Business Customer
(organization) (individual)
Business B2B B2C
(organization) (e.g TPN) (e.g Amazon)
Customer C2B C2C
(individual) (e.g Priceline) (e.g eBay)
Examples
B2C: www.amazon.com,Snapdeal,flipkart
C2C: www.eBay.com,OLX,Quiker
B2B: www.tpn.com
C2B: www.priceline.com
Let’s visit these web sites in turn and discuss its features.
What are the advantages of e-
commerce?
To consumers (think about the consumer buying
process: search, evaluate and execute):
To businesses (think about the common objective of
every business):
Discussion
How should different departments participate in an e-
commerce project?
Management
Marketing
Production
Finance
Procurement
Customer support
Transformation of a Compartmentalized
Organization into Integrated Organization
Production Marketing
Management
Management
Production Marketing Finance Personnel
Department Department Department Department
Finance Personnel
Three-tier Technical
Model
Server side
Client side Service system Backend system
Architecture of Web-
based E-Commerce
System
Service system Backend system
Web Server Application Server
Internet Database
Intranet
Firewall
(Secure)
Client side Server side
THE PROCESS OF E-COMMERCE
E-Commerce Categories
Two major categories
Other categories
3
Two Major Categories
Business-to-consumer (B2C) :
Online transactions are made between businesses
and individual consumers. E.g. Amazon.com,
eBay.com.
Business-to-business (B2B):
Businesses make online transactions with other
businesses.
Other Categories
Consumer-to-consumer (C2C)
Mobile commerce (m-commerce)
4
Benefits of E-Commerce
Benefits to organizations
Benefits to consumers
5
Benefits to organizations
Global reach
Cost reduction
Extended hours: 24/7/365
Customization
Improved customer relations
Benefits to consumers
More products and services
Cheaper products and services
Instant delivery
Information availability
Business applications
Email
Instant messaging
Online shopping and order tracking
Online banking
Shopping cart software
Teleconferencing
Electronic tickets
Online Shopping
Online shopping is the process of buying goods and
services from merchants who sell on the Internet
Online consumers are evenly split between men and
women and tend to be better educated, younger, and
more affluent than the general population
Online Shopping (cont)..
Advantages:
24-hour access
Ability to comparison shop
The in-home privacy
Variety
6
Online Shopping (cont)..
Favourite websites for shopping include those
featuring:
Event tickets
Online periodicals subscription
Flowers and gifts
Consumer electronics
Travel
Online Shopping (cont)..
How do you buy something
Interesting Facts and Statistics
Every 1.2 seconds, a Canadian makes a purchase with their PayPal
8
account
In India it is 10 sec
Almost 20 per cent of Indians make three or more online
purchases per month (till 2014).
In future it must increases…………………….
Summary and Conclusion
The Internet has lead to the birth and evolution E-
commerce. E-commerce has now become a key
component of many organizations in the daily
running of their business.
As the Internet and in turn E-commerce has
developed, and continues to evolve and grow, it is
vital that any organization, in any particular
industry, must base its strategic planning around
such a rapidly growing medium.
Model of an Electronic Exchange
Principles of Information Systems, Seventh Edition 32
Online
Stores
Electronic Payment Systems (continued)
Electronic wallet: a computerized stored value that
holds credit card information, electronic cash,
owner identification, and address information
Credit card
Debit card
Smart card
Online banking and Cash On Delivery.
Principles of Information
34 Systems, Seventh Edition
Services Offered
Thank You
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