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MODULE 13
ELECTRONIC COMMERCE
Contents
1. MOTIVATION AND LEARNING GOALS
2. LEARNING UNIT 1
What is E-Commerce?
3. LEARNING UNIT 2
Electronic Data Interchange
4. LEARNING UNIT 3
Security of E-Commerce
5. LEARNING UNIT 4
Payment in E-Commerce
6. REFERENCES
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ELECTRONIC COMMERCE
Motivation
With the emergence of internet and the world wide web new methods of
carrying out business transactions using the world wide web began to be
explored. Electronic Commerce emerged as a very important application of
the world wide web. Today it is difficult to find an isolated computer.
Computers in an organization are interconnected to form intranets and
Intranets of the cooperating organizations are interconnected to form
extranet. It is cheaper and faster to carry out business transactions within an
organization and among organizations electronically using the network
connection. Thus it is important to understand how business transactions are
carried out electronically reliably and securely. When designing information
systems it is essential to understand the emerging web based transactions. A
number of organizations are exploring how to carry out all day-to-day
operations electronically using the intranet in a so-called paperless system. It
is thus important for a student to understand how to design such systems.
Learning Goals
At the end of this module you will know:
The basics of Electronic Commerce abbreviated as e-commerce
The advantages and disadvantages of e-commerce
Architecture of e-commerce systems
Electronic Data Interchange in e-commerce
The need for security in e-commerce transactions and how to ensure it
How Electronic payment schemes work in e-commerce.
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LEARNING UNIT 1
What is E-Commerce?
DEFINITION
Sharing business information, maintaining business relationships and
conducting business transactions using computers connected to a
telecommunication network is called E-Commerce
CLASSIFICATION
CLASSIFIED AS : BUSINESS TO BUSINESS (B2B)
BUSINESS TO CUSTOMER (B2C)
CUSTOMER TO CUSTOMER (C2C)
E-commerce Applications-example
•RETAIL STORES - Books, Music
•AUCTION SITES
•COOPERATING BUSINESSES –Placing orders, paying invoices etc.
•ELECTRONIC BANKING
•BOOKING TICKETS - TRAINS, CINEMA, AIRLINES
•ELECTRONIC PUBLISHING
•FILLING TAX RETURNS WITH GOVERNMENT DEPT.
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