“ The Future of E-Commerce in Bangladesh” 2015 Premier University,Chittagong

PreparedBy MD.Ariful IslamSaimonChy.
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“The Future of E-Commerce in Bangladesh”
+
Faculty of Business Studies
Term Paper Report On
“ The Future of E-Commerce in Bangladesh”
Submitted to,
Ms.Tanbina Tabassum
Assistant Professor
Department Of Finance
Faculty of Business Administration
Premier University
Chittagong
Submitted By,
MD.Ariful Islam Saimon Chowdhury
ID-1021114412
Finance-A
22nd Batch
Session: November 2010
Premier University
Date of Submission: 16 August 2015
Premier University
Chittagong City Corporation

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The Future of E-Commerce in Bangladesh

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Letter of Transmittal
Ms.Tanbina Tabassum
Supervisor of the term paper
Department Of Finance
Faculty of Business studies
Premier University Chittagong
Subject: Submission of Term Paper Report.
Dear Madam,
I am very glad to submit a Term Paper Report titled as “Futur of E-Commerce in Bangladesh” The
qualitative report is submitted as a partial fulfillment as a part of BBA course. the preparation of the
report has give me insightful experience and in-depth knowledge about the E-Commerce in Bangladesh
I have tried my best to gain practical experience in E-Commerce in Bangladesh and also tried to reflect
the same in report with my limited scope and knowledge. I have gathered about realistic awareness
throughout this report preparation. I hope that I have been able to fulfill our academic necessities.
I wish your hearty consideration, if there is any deviation in my report and also thank you for your
friendly cooperation.
Yours sincerely
__________
MD.Ariful Islam Saimon Chowdhury
ID-1021114412
Finance-A
22nd Batch
Session: November 2010
Premier University

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Acknowledgement
It really was a great challenge for us to prepare the term paper. First of all, we present our due regards to
the Almighty, who has provided us the brilliant opportunity to build and complete this Term paper
report successfully with good health & sound mind. Our course instructor, Ms.Tanbina
Tabassum,Assistant Professor, Department of Finance, Premier University helped us all the way
through. He also gave proper guideline about this term paper and also by not getting irritated with
our unlimited questions. We really want to express our gratitude to him for giving valuable advice and
time, which helped immensely in preparing this term paper.

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Executive Summary
The Dictionary meaning of E-Commerce is “The conducting of business communication
and transactions over networks and through computers”. E-commerce refers to the
buying and selling of products or services over electronic systems through Internet and
other computer networks. In fact, E-commerce is a way of conducting business over the
Internet. Though it is a relatively new concept, it has the potential to alter the
traditional form of economic activities. Already it affects such large sectors as
communications, finance and retail trade and holds promises in areas such as education,
health and government.

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Table of content
Chapter Contents Page No
Chapter 1 Introductory Aspect 1-5
1.1 Introduction 2
1.2 Objectives of the study 3
1.3 Methodology 3-5
1.5 Limitations 5
Chapter 2 Theoretical Aspects 6-14
2.1 E-Commerce Concept 7
2.2 History 8
2.3 Why e-Commerce for Bangladesh 9
2.4 Some E-Commerce shop in Bangladesh 10
2.5 Future in Bangladesh in E-Commerce 10
2.6 Goal of an E-Business 10
2.7 E-commerce Concept & Types of E-Commerce 11-12
2.8 E-Commerce in Different Sector in Bangladesh 12
2.9 Electronic Commerce Applications 13-14
2.10 Traditional and Electronics Business Transaction 14
2.11 Challenges of E-Commerce for Bangladesh 14
Chapter 3 Practical Aspects 15-38
3.1 Bangladesh: Profile 16
3.2 Objectives of E-commerce 17
3.3 The aim of the research is to investigate the challenges of
implementation of
E-commerce in Bangladesh
17
3.4 These positive indicators are favoring the prospects of e-
commerce in Bangladesh
18
3.5 E-Banking 19-21
3.6 E-Banking Objective 22-23
3.7 E-commerce Organizations Practice in Bangladesh 24
3.8 Historical Background of E-commerce Organizations 25-26
3.9 Vision and Mission Statement 27
3.10 Goals, Objectives, Targets, Commitments and Strategies 28-32
3.11 Principal Activities 32-33

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3.12 Constrains of E-commerce implementation in Bangladesh 34
3.13 Overcome of E-commerce implementation in Bangladesh 35-36
3.14 SWOT Analysis 37-38
3.15 Cost Benefit Analysis (CBA) 38
Chapter 4 Conclusionary Aspects 39-42
4.1 Recommendation 40-41
4.2 Conclusion 42
Chapter 5 Ending Matters 43-45
5.1 Bibliography 44
5.2 References 45

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Chapater 1
Introductory Aspects
This chapter Includes:
1.1 Introduction
1.2 Objectives of the study
1.3 Methodology of the study
1.4 Limitations of the study

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1.1 Introduction
Background of the Study
This is the era of information and communication technology. The leading concern of electronic
revolution in this 21st century is to establish and ensure a better, easy and comfortable way of
management, communication and development with the use of information technology. E-
commerce has become a buzzword of present information technology. It is the process of conducting
all forms of business through computer network and digital communication. Increasing domestic and
global competition, economic downturn, rapidly changing market trends, and volatile financial markets
have all added to the pressure on organizations to come up with effective responses to survive and
succeed. Furthermore, easing of international trade barriers, economic liberalization, globalization, and
deregulation have led to several challenges for organizations in developing and newly industrializing
economies like Bangladesh. E-commerce is widely used in performing B2B operations in different part
of the world. Copping up the ongoing threats and opportunities Bangladesh’s business organization`s
should comply with the advancement. E-commerce consists of all internet users of the world. The
members of the community can interact with each other at any time without considering the distance
gap. Time, place and national boundary do not make any obstacle to build and maintain the
relationship. The internet has opened up a new horizon for commerce, namely electronic commerce
(e-commerce). It entails the use of the internet in the marketing, identification, payment and delivery
of goods and services. At present internet facilities are available in Bangladesh. Slowly, but steadily
these facilities are holding a strong position in every aspects of our life. E-commerce is one of those
sectors which need more attention if we want to be a part of global business. Bangladesh is far-far
away to adapt the main stream of e-commerce application. Though government is shouting to take the
challenges of e-commerce, but they do not take the right step, that is why e-commerce dose not make
any real contribution in our socio-economic life. A question frequently strikes our mind: “Is the realities
in the developing countries like Bangladesh, where access to modern technologies is very limited, meet
the philosophy of e-commerce?” This paper aims at examining whether there is any gap between the
philosophy of the e-commerce and the reality in the developing countries like Bangladesh and
identifies the factors lies behind this gap. Then this paper suggests some measures to be taken to
minimize the gap

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1.2 Objectives of the study:
Primary Objective:
To get experience in e-commerce practice, this will give us an opportunity to understand the
electronic transaction system and its limitations as well as the way to overcome them.
Secondary Objectives: The specific objectives of my whole study are as follows:
1. To fulfill the requirement of my B.B.A in Premier University.
2. To examine infrastructural situation of the country to prosper electronic commerce system in
Bangladesh;
3. To learn various departmental operations like Web developing, E-commerce
Networking.
1. To present my observation and suggestions about E-commerce in Bangladesh.
2. To make myself more confidant and active in future to handle my job.
3. To provide some recommendations so that e-commerce can bring fruitful results in the
country.
1.3 Methodology
The study undertook exploratory and empirical research approaches. The purpose of the study refers to
perform qualitative and quantitative statistical analysis using both primary and secondary data.
i) Study Setting
The paper first attempted to address the e-business adoption behavior. Thus the study first, determined
benefits of e-commerce adoption then investigates which of them are perceived strongly by the E-Business
and finally looks challenges and opportunities of successful e-commerce implementation.
ii) Research Design
The research revealed that business organizations in different types and Natures have different states of
intention to adopt electronic means in managing their day to day operations as well as searching customers
and performing transactions. It depend on many factors, organizations skills in handling the digital technology,
nature of business and compatibility of the technology with the ongoing activities and existing values.
iii) Population and Sampling Plan
The study investigated perceptions of different business organizations from different location of Dhaka
Division in Bangladesh. Using judgment sampling technique the study included a number of organizations from
different locations with different nature, business character, size and profitability.
iv) Sources of Data
Both primary and secondary sources were used for the research purpose. The secondary data sources were-
journal, books, internet etc. Primary data was collected through household survey by using appropriate
research instrument.

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Data Collection Procedures: Data were collected in two ways.
-Primary ways
-Secondary ways
Primary Source: Primary data have been collected from few executives of the E-commerce organizations. I
asked them some questions by visiting a branch & through mobile phone. Observation method has also been
used.
Secondary Source: Beside primary data, necessary secondary data have been collected from the websites,
textbooks on e-commerce practice. I also used data from several e-based companies’ annual report.
Primary ways of collecting data:
Secondary ways of collecting data:
The secondary data are those which have already been collected by someone else and which have
already been passed through the statistical process. From my report purpose, secondary data
were collected mainly from internet to collect annual reports as well as financial highlights of the
company. Another important source was the annual reports of the companies and also from the
Year book of Leasing finance association which publishes financial data. So it has been shown in
diagram below-
Primary Ways
Conversationwithpersonnel
of users
Financial Data(NotPublicly
Published)
Internet
Articles Secondary Ways Business
Magazine
Company
Wed side

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v) Data Collection Procedures
Primary data are collected by administering a survey with direct interview approach. A
structured questionnaire was used to get customers opinion on different issues. The
questionnaire is be divided into two parts; first part contains some structured questions and the
second part includes questions for understanding respondent’s demographic variables and
future intention.
vi) Data Analysis
Data purification and analysis were carried out through SOWT analysis and CBA.
Results and Discussion
Basically the research was of descriptive in nature. Qualitative data are analyzed critically using
judgment. Several statistical and analytical methods and tools were used for analyzing the
gathered data from the survey. Pie chart and bar diagram have been used to show the analysis of
data. The package used in the study was: Microsoft Word, Microsoft Excel
This paper highlights various constraints to commerce and trade in general and ecommerce in
particular. Many of these constraints are endemic across the business sector and demands major
reforms through strong political commitment and an ability to implement policy changes
This study is mainly based on secondary data related to E-commerce. Secondary data and
information have gathered from Internet browsing, Books, Journals, Research paper etc. Primary
data and information also have collected through using observation and interview method.
1.4 Limitations of the study
Maximum effort was given to make the study a successful one, but it suffers from some
limitation those were apparently unavoidably. The major ones were:
 Shortage of time period: The major limitation faced to carry out this project was mainly time
constraints. It hindered the course of vast area and time for preparing a report within the
mentioned period is really difficult.
 Secrecy of Management: The authority of the organisations did not disclose much
information for keeping the organization confidential. So, some data could not been collected
for confidentiality or secrecy of management.
 Busy working environment: The officials had some times been unable to provide information
because of their huge routine work. So, we could not gather vast knowledge about the critical
issues. It is really difficult to gather data from the place where people do not know me for a
long time.
 Lack of information: In the website, information of e-commerce practice in several
companies were limited

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Chapter 2
Theoretical Aspects
This Chapter Include:
 Commerce Concept
 History
 Why e-Commerce for Bangladesh
 Some E-Commerce shop in Bangladesh
 Future in Bangladesh in E-Commerce
 Goal of an E-Business
 E-commerce Concept & Types of E-Commerce
 E-Commerce in Different Sector in Bangladesh
 Electronic Commerce Applications
 Traditional and Electronics Business Transaction
 Challenges of E-Commerce for Bangladesh

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Theoretical Aspect
2.1 E-Commerce Concept
e-Commerce is refers the buying and selling of products or services over electronics systemthrough
internet or others computer networks. Day by day e-Commerce business in Bangladesh is growing
gigantically. e-Commerce combines few range of processes, such as:
 Electronic data interchange(EDI)
 Electronic mail (Email)
 World Wide Web (WWW)
 Internet applications
 Network applications
It does not include transaction over the telephone or fax but online banking system can be acceptable
with visa or master cards. There are also some others purchase available in the world wide. For
example,
 1950 companies started to begin the computer store and process transaction records.
 1960 the large volume business started transaction on purchase card.
 1968 transaction data Co-ordination Committee (TDCC) was formed by some company.
 1979 ANSI (American National Standards Institute) chattered a new committee to develop
uniform EDI (Electron Data Interchange).
 1979 the online shopping was invented in the UK by Michael Aldrich
 1982 the Minitel was introduces in nationwide in France by France telecom and started online
ordering.
 1984 the world first B2C online was home shopper and Mrs. Jane Snowball uses the gates head
SIS/Tesco system to buy groceries.
 1987 Swreg begins to provide software to support online system.

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2.2 History
Beginning of E-Commerce in Bangladesh:
E-Commerce started in Bangladesh in the late 90s. The earlier E-Commerce sites were actually gift sites
targeted towards the Non-Residential-Bangladeshis (NRB) living in abroad. All the sites were based in
abroad and had branches in Bangladesh. NRBs would buy various products for their families or loved
ones and pay incredit cards. The site would then deliver the product to their families or friends in
Bangladesh.
Now a day’s use of technology in each and every sector has been very common. In this era of
globalization we can hardly find any sector operating without using technology. So there is no doubt
and it is quite natural that business world will also use technology effectively as well as efficiently and
take the greatest advantage which is offered by technology. Internet is one of the largest blessings of
technology, which enables people from the distant parts or county to interact or communicate easily.
It has made the whole globe a single village.
A new horizon has been opened up for trade and commerce, namely electronic commerce (e-
commerce) by none other than one and only internet. E-commerce entails the use of the Internet In
the marketing, identification, payment and delivery of goods and services all are done by e-commerce
using internet. This paper highlights the future of e-commerce and constraints to e-commerce
development in Bangladesh. Here the challenges in implementing e-commerce in Bangladesh are
discussed. Major legal, regulatory and institutional constraints to e-commerce are needed to be
identified to make the implementation of E-commerce success. Specific policy changes aimed at
bringing improvements to the legal and regulatory environment affecting e-commerce is another
important issue.
The advancement of technology is a continuous process. In recent age it has given birth to a digital age.
Now the buyers and sellers both have much power because of the massive use of many powerful
technology as well as internet. Most of the business today’s are operating under the e-commerce
criteria over digital networks. Internet connects the people with companies.
2.3 Why e-Commerce for Bangladesh

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With the increasing diffusion of ICTs, more specifically the Internet, the global business community is rapidly
movingtowardsBusiness-to-Business (B2B) e-Commerce. The buyers/ importers gain a clear advantage when
the Internetgivesthemaccess to the global market, by which they can compare prices across regions, find out
whether prices vary by order fragmentation, get awareness about alternative products. Consequently, the
exportersmake sure thattheyare well portrayedinthe cyber world through websites and portals. Like buyers,
sellers also benefit from increased and more efficient access to the global market through the Internet.
Bangladesh is pursuing an economic policy of export-led growth. With the rising forces of globalization, it is
becoming increasingly important that the private sector, particularly the export sectors are well prepared to
meet the requirements and expectations of the importers and also stand out in the competition against
exportersinothercountries.Insucha scenario,twoissuesare becomingparticularly important for Bangladeshi
export sectors
one, whether businesses are automating their internal processes with the use of ICTs to become increasingly
efficient and competitive in a global context, and two, whether businesses have effective presence and
participation in the cyber world. International organizations such as UNCTAD have, over the lastseveral years,
put muchemphasisonthe importance of e-Commerce fordeveloping countries. UNCTAD has special programs
to facilitate developingcountries to transition into e-Commerce. The WTO has also developed rules
andguidelines for global e-Commerce transactions.
One of the pioneers in this regard is www.munshiji.com.
Now a days, there are several e-commerce sites in
Bangladesh like-
 www.BanglaCommerce.com : An e-commerce site with lots of product.
 www.e-bangla.com : An one-stop Bangladeshi shopping mall on the net.
 www.ecommercebank.org : First e-commerce bank in Bangladesh.
 www.bdbazar.bigstep.com : Premier Bangladeshi shopping site for Bangladeshis who are living
abroad.
 www.littlebangla.com : An e-commerce site for every types of business develops by FedEx and
Aarong.
 www.bengalcommerce.com : An e-commerce site for sending gifts/flowers/cards etc to loved
and dead ones.
 www.sonalibangla.com : It provides with most affordable Internet presence for Bangladeshi
Business on the Web and helping to create Business Home Page,Publishing press release,
 advertising items and buy/sell.
 www.emrex.com : offers Internet and e-commerce solutions and sells handicrafts,books and
clothing.
 www.bajna.com : A site for music and books shopping.
 www.bdjobs.com : An employment site.Various products/items can be purchased through these e
2.4 Some E-Commerce shopin Bangladesh

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 www.rokomari.com
 www.webbangladesh.com
 www.haatbazar.com
 www.number1shop.com
 www.bdbazar.com
 www.bengalcomme.com
 www.sonarmarketplace.com
 www.upoharbd.com
 www.bdgift.com
 www.cellbazaar.com
 www.bikroy.com
2.5 Future inBangladeshin E-Commerce
Now a day’s use of technology in each and every sector has been very common. . In this era of
globalization we can hardly find any sector operating without using technology. So there is no
doubt and it is quite natural that business world will also use technology effectively as well as
efficiently and take the greatest advantage which is offered by technology. Internet is one of the
largest blessings of technology, which enables people from the distant parts or county to
interact or communicate easily. It has made the whole globe a single village. A new horizon has
been opened up for trade and commerce, namely electronic commerce (e-commerce) by none
other than one and only internet. E-commerce entails the use of the Internet In the marketing,
identification, payment and delivery of goods and services all are done by e-commerce using
internet. This paper highlights the future of e-commerce and constraints to e-commerce
development in Bangladesh. Here the challenges in implementing e-commerce in Bangladesh
are discussed.
To discover the future of e-commerce in Bangladesh, we must have a clear idea about what e-
commerce is currently there is some field where e-commerce is running successfully in
Bangladesh. Although this sectors are operating in our country in very limited operations due to
the lacks of adequate customer still it has many potentials to be pervasive. Anyway the sectors
are: 1. Online banking, Hotel booking, Airline ticket booking, Readymade garments, Oil and Gas
Sector. After all we will use it properly after few years in Bangladesh.
2.6 Goal of an E-Business
The goal of any e-Business project is to create value. Value can be created in different manners:
 Positioning on new markets
 Increasing the quality of products or service
 Prospecting new clients
 Increasing customer loyalty
 Increasing the efficiency of internal functioning

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2.7 E-commerce Concept & Types of E-Commerce
E-commerce is a narrower part of e-business dealing with the purchase and sale of goods and
services over the internet, including support activities such as marketing and customer support.
The ability to made transaction for personal or professional use over the internet is known as
electronic commerce or e-commerce (Coursaris, et al., 2003).Chaffey (2007) defined e-commerce
as “The exchange of information across electronic networks, at any stage in the supply chain,
whether within an Organization, between businesses, between businesses and consumers or
between the public and private sector, whether paid or unpaid.”
Types of E-Commerce
Adam (2003) categorized e-commerce in 4 categories which are
1) Business-to-Business (B2B)
Business-to-business e-commerce deals between the businesses or among the businesses. Most of
B2B applications are used in the area of distribution management, inventory management, channel
management,suppliermanagementandpaymentmanagement. Anotherexampleincludesabusiness
that buys its products from a wholesale company.
2) Business to-Consumer(B2C)
Business-to-Consumerecommerce isinvolvedbetweenthe businesses and the consumers. Most of
B2C e-commerce deals with purchasing of physical goods like books or any consumer product,
informationgoodslikesoftware,e-book,games,songetc.,andpersonal finance managementlikee-
banking Many customers purchase health insurance, auto insurance and similar products online.
One reasonfor the popularityof B2C ecommerce isconsumersenjoythe convenience of purchasing
products and services online.
Example: CDs, Books, Software, downloadable music etc.
3) Consumer-to-Consumer (C2C)
Consumer-to-Consumere-commerce dealsbetween individual consumers. Online auction and peer-
to-peersystem for money or file exchange could be the examples of C2C e-commerce. Business-to-
Governmente-commerce isinvolved between the business organizations and the government.exp :
Bikroy.com
4) Business-to-Government (B2G)
B2G is generally used for licensing process, public purchasing and other government operations.
Thoughthistype of ecommerce isinsignificantcompare tootherkindof e-commerce,butitcouldbe a
driving force for operating public sectors which is refer as e-governance. EC technologies
Others Forms of E-Commerce:
On some platforms, ecommerce has shown the promise of explosive growth. Two such examples are:
1. M-commerce:
a. M-Commerce is short for "mobile commerce." The rapid penetration of mobile
devices with Internet access has opened new avenues of ecommerce for retailers
2. F-commerce:
F-commerce is short for "Facebook commerce." The immense popularity of Facebook
provides a captive audience to transact business.

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Other e-commerce classifications can ar
i) Government-to-Business
ii) Government-to- Government
iii) Government-to-Customer
iv) Customer-to-Business
v) Customer-to-Government and
vi) M-Commerce
2.8 E-Commerce in Different Sector inBangladesh
Despite being a under developed country, selected segments of the Bangladeshi business community
has embraced technology with reasonable success. Personal computers and the Internet are also
emerging as day-to-day business tools. These positive indicators are favoring the prospects of e-
commerce in Bangladesh.
 RMG Sector
 Banking on the Web (Online Banking)
 Online Shopping
 Web Hosting, Domain
 Online cards, gifts
 Pay Bill
 Education
Electronic business: Electronic is any information system or application that empowers
business processes. Today this is mostly done with web technologies.
Some common applications relatedtoelectronic commerce are the following:
 Email
 Enterprise content management
 Instant messaging
 Newsgroups
 Online shopping and order tracking
 Online banking
 Online office suites
 Domestic and international payment systems
 Shopping cart software
 Teleconferencing
 Electronic tickets

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2.9 Electronic Commerce Applications
 Direct Marketing
 Stocks, Job
 Online Banking
 Procurement and Purchasing
 Malls
 Auctions
 Travel
 Online Publishing
 Customer Services
 Intra business Transactions
Dimensions of E-Commerce
 Market Models
 Communication Protocols
 Product Ontology
 Marketplace Visualizations
 Personalization
 Trust & Reputation
 Privacy & Security
 Payments & Transaction
 Procession Intermediaries
 Legal Issues
Advantages of E-Commerce
The primary advantages of ecommerce revolve around the fact that it eliminates limitations
of time and geographical distance. In the process, ecommerce usually streamlines operations
and lowers costs.
 Remain Open All the Time .Buying/selling 24/7/365.
 Low operational cost and better quality of services.
 Overcome Geographical Limitations.
 Gain New Customers with Search Engine Visibility.
 Locate the Product Quicker.
 Eliminate Travel Time and Cost.
 Provide Comparison Shopping.
 Enable Deals, Bargains, Coupons, and Group Buying.
 No need to physical company set-ups.
 Easy to start and manage a business.
 Provide Abundant Information.
 Create Targeted Communication & Information sharing, convenience, and control.
 Create Markets for Niche Products & Higher Margins
 Improved customer service to clients it results in higher satisfaction and more sales.
Lowerstelecommunicationscostsbecause the Internetismuchcheaperthanvalue-added

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networks(VANs).
Limitations of E-Commerce:
 There is no guarantee of product quality.
 Ecommerce Lacks That Personal Touch.
 Ecommerce Delays Goods.
 Many Goods Cannot Be Purchased Online.
 Ecommerce Does Not Allow You to Experience the Product Before Purchase.
 Anyone Can Set Up an Ecommerce Website.
 Customer Relations Problems
 Anyone can easily start a business, and there are many bad sites which eat up customers’money.
 There are many hackers who look for opportunities, and thus an e-commerce site, service,
payment get ways; all are always prone to attack.
 Lack of universally accepted standards for quality, security, and reliability.
 Lack of national and international government regulations and industry standards.
 Perception that EC is expensive and unsecured.
 Unresolved legal issues
2.10 Traditional and Electronics Business Transaction
The business processes are broadly divided into five main categories namely:
 Market product and services,
 Sell and deliver products and services,
 Process payments,
 Manage relationship,
 Manage the enterprise.
2.11 Challenges of E-Commerce for Bangladesh
*Network Infrastructure
Intra-bankandInter-bankConnectivity
Local and Global
Bank-ClientConnectivity
Securityof transaction
*Banking mechanism
Automation
Convertibilityof the Bangladeshcurrency
Retentionquota
International creditcards
*Capacity Building:Human, Technical and Regulatory
QuickSettlement,Online creditInformation,Skillede-Manpower,RegulatoryFramework
*Investment
*Legal Infrastructure
*CurrencyConvertibility:AccesstoGlobal Finance
*E-Culture

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Chapter 3
Practical Aspects
This Chapter Included:
 Bangladesh: Profile
 Objectives of E-commerce
 The aim of the research is to
investigate the challenges of
implementation of
 E-commerce in Bangladesh
 These positive indicators are favoring
the prospects of e-commerce in
Bangladesh
 E-Banking
 E-Banking Objective
 E-commerce Organizations Practice
in Bangladesh
 Historical Background of E-commerce
Organizations
 Vision and Mission Statement
 Goals, Objectives, Targets,
Commitments and Strategies
 Principal Activities
 Constrains of E-commerce
implementation in Bangladesh
 Overcome of E-commerce
implementation in Bangladesh
 Cost Benefit Analysis (CBA)

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Practical Aspect
Bangladesh: Profile
Geographic location : 20°34’ &26°38’ North Latitude
88°01’ & 92°41’ East Longitude
Area (sq km) : 147570
Standard time : GMT+ 6 hours
Inflation (May, 2015) : 6.46%
GDP (2013-2014) : 6.01
Per capital National Income (in TK) : 35904
Total Internet user : 42.766 million at the end of January, 2015.
Internet coverage : 64 districts
E-Commerce in Bangladesh : 250 e-commerce organizations in Bangladesh
Role of GDP : Online transactionforbankingwillincreases1% of the GDP
(GrossDomesticProduct)
Finance MinisterAMA Muhitproposeda 4% VATon e-Commerce transactionsadecisionthathasraised
concernsregardingdevelopmentof the E-commerce sector.

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3.2 Objectives of E-commerce
Objectives give the business a clearly defined target. Plans can then be made to achieve
these targets. This can motivate the employees. It also enables the business to measure
the progress towards to its stated aims. E-commerce facilitates the very process of
international transaction; this involves securing and finalizing a contract, delivery of the
product, and finally payment for performance of the contract. The movement of goods and
services, as well as the payment mechanisms within a country and more so outside a
country, are governed by regulatory and legal issues. Hence, the regulatory environment is
at the core of e-commerce development.
 Save time
 Improve service
 Reduce process errors
 Reduce the cost of core service provision
 Free staff to provide value added service
 Improve morale
 Give people the tools and time they need
 Profit maximization
 Profit satisfying
 Sales growth
 Growth versus profit
 Short-term versus long-term
3.3 The aim of the researchis toinvestigate the challenges of implementation of
E-commerce in Bangladesh
E-commerce has grown tremendously worldwide and also grown in Bangladesh. The
impact of this growth is also influencing societies and businesses. So, this article is
prepared with some objectives i.e.-
 To find out the origins and growth of e-commerce.
 To know the major types of e-commerce websites.
 To explain the evaluation of e-commerce.
 To analyze the different e-commerce websites in Bangladesh.

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3.4 These positive indicators are favoring the prospects of e-commerce in Bangladesh
Banking on the Web
(Online Banking)
Education
Online cards, gifts
Web Hosting, Domain
Online Shopping
RMG Sector
Pay Bill

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3.5 E-Banking
Present Status of e-Banking
E-banking at per international standard is yet to develop in Bangladesh. At present, several private
commercial banks (PCBs) and foreign commercial banks (FCBs) offer limited services of tele-banking,
internet banking, and online banking facilities working within the branches of individual bank in a closed
network environment. As a part of stepping towards e-banking, the FCBs have played the pioneering role
with adoption of modern technology in retail banking during the early 1990s whereas the state-owned
commercial banks (SCBs) and PCBs came forward with such services in a limited scale during the late
1990s. Moreover, the banking industry as a whole, except for the four specialized banks (SBs), rushed to
offer technology based banking services during the middle of the current decade. The existing form of e-
banking that satisfies customer demand in banking activities electronically throughout the world are PC
banking or PC home banking that include online banking, internet banking, mobile banking, and tele-
banking.
PC banking or PC home banking:
PC banking refers to use of personal computer in banking activities while under PC home banking
customers use their personal computers at home or locations outside bank branches to access accounts for
transactions by subscribing to and dialing into the banks' Internet proprietary software system using
password. PC banking or PC home banking may be categorized into two types such as online banking and
Internet banking.
Online banking:
Transactions in online banking are performed within closed network for which the customer use specialized
software provided by the respective bank. International standard online banking facilities are expanding in
Bangladesh. At present, 29 scheduled banks offer any branch banking facilities through their respective
bank online network that provides facilities like transaction through any branch under the respective bank
online network; payment against pay order or pay order encashment, demand draft encashment, opening or
redemption of FDR from any branch of the same bank; remote fund transfer, cash withdrawal, cash deposit,
account statement, clearing and balance enquiry within branches of the same bank; and L/C opening, loan
repayment facility to and from any branch of respective bank under its own online network. Inter-bank
transactions or transaction between inter bank branches are yet to expand
Internet banking:
Internet banking refers to the use of internet as a remote delivery channel for banking services which
permits the customer to conduct transactions from any terminal with access to the internet. It is the WWW
through which banks can reach their customers directly with no intermediaries. Internet banking in true
sense is still absent in Bangladesh. Only 7 out of 52 banks are providing some banking services via internet
that include account balance enquiry, fund transfer among accounts of the same customer, opening or
modifying term deposit account, cheque book or pay order request, exchange rate or interest rate enquiry,
bills payment, account summary, account details, account activity, standing instructions, loan repayment,
loan information, statement request,cheque status enquiry, stop payment cheque, refill prepaid card,
password change, L/C application, bank guarantee application, lost card (debit/credit) reporting, pay credit
card dues, view credit card statement, or check balance. The core banking activities like fund transfer to
third party, cross border transactions and so on are still uncovered by internet banking offered by the
scheduled banks in Bangladesh..

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Tele-banking
Tele-banking is a form of remote banking which is essentially the delivery of branch financial
services via telecommunication devices where the bank customer can perform retail transactions by
dialing a touch-tone telephone or mobile communication unit, which is connected to an automated
system of the bank by utilizing Automated Voice Response (AVR) technology. Tele-banking has
been in Bangladesh since 1990s. The use of Tele-banking is easy and confidential. All our need is a
push button telephone, our account number, and our Personal Identification Number (PIN), which
we select on our first call and can change at any time. information about products or services, ATM
card activation, cheque book related service, bills payment, credit card service and so on. Funds
transfer between current, savings and credit card account, stock exchange transactions etc are still
inaccessible through tele-banking in Bangladesh. Tele-banking will provide us the following
services:
Checking account balance
Interest rates related information etc.
Prospects of e-Banking
E-banking is now a global phenomenon. Apart from the developed countries, the developing
countries are experiencing strong growth in e-banking. The Bank of Thailand has created an
industry payment body to involve other stakeholders, in particular from commercial banks which
take leading responsibility for the development of e-payment system and technologies. Internet
banking in Korea has increased at a rapid pace. Korea is also leading in online brokerage and
mobile banking. In Southeast Asia, internet banking is also developing rapidly in Thailand,
Malaysia, and Singapore and to a lesser extent in Philippines (Mia et. al. 2007). In Nepal, ATMs are
the most popular electronic delivery channel for banking services but only a few customers are
using internet banking facilities. Among others, Nepal's commercial banks have adopted Credit
card, tele-banking, and SMS-banking.
Remittance (Electronic Way)
Today’s fast changing electronic banking channels have massively improved the flow of remittance
across the world. In Bangladesh, Banks have grown up relations with many international financial
agencies, or intermediaries to master the inflow of remittance into the country from the expatriates
working in foreign countries. A few such operators working in Bangladesh are: Western Union
Money Transfer, Money Gram, and XPress Money.
Call Center
Call center is a streamlined customer interface and offers a range of banking services through its
call center agents. Customers are now getting improved services at a reduced cost in an exciting
manner. Available services at call center are:
Account related services:

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Balance inquiry, transaction inquiry, duplicate statement, cheque book request, ATM/Debit card hot
listing, and loan outstanding etc.
Product Information:
Deposit accounts, Personal loan, Savings and current accounts, Debit card, Rates and tariff
Inquiry, exchange rates, lending rates, deposit rates, tariff etc.
Automated TellerMachine (ATM)
An ATM is simply a data terminal with two input and four output devices. Like any other data
terminal, the ATM has to connect to, and communicate through, a host processor. The host
processor is analogous to an Internet Service Provider (ISP) in that it is the gateway through
which all the various ATM networks become available to the cardholder (the person wanting the
cash). ATM has two input devices- card reader and keypad. An ATM has four output devices-
Speaker, Display screen, Receipt printer, cash dispenser.
SMS Banking
SMS Banking allows doing some banking enquiries on our mobile phone. SMS Banking is
developed to provide transactions related to client’s card account via SMS.
After having registered the service SMS-Banking, a (mobile Phone) subscriber should send an
SMS to 611(say) with a request for appropriate transaction. The above SMS must contain (with
space between commands):
Type transaction
o Individual access code for working with “SMS-Banking”
o A sum to be paid (if payment transaction)
o Identifier of payment (debt)
o Identifier of data.
o Mini-statements and checking of account history
o insurance policy management; pension plan management;
o status on cheque, stop payment on cheque;
o ordering check books; balance
o checking in the account; recent transactions;
o due date of payment (functionality for stop, change and deleting of payments)
o PIN provision, change of PIN and reminder over the internet; blocking of (lost/stolen)cards;
o domestic and international fund transfers
o micro-payment handling; mobile recharging; commercial payment processing;
o bill payment processing; peer to peer payments;
In reply the subscriber will receive a message reporting the result of the transaction made.
It is possible to use “SMS-Banking” abroad provided that international calls and roaming are
activated. SMS must be written in Latin letters. There is no subscription fee for the service. The
SMS-s to number 611 is charged in accordance with the company tariffs.The mobile company
may charge for SMS and Bank may charge for service.

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Other Services: Complaints handling, account opening procedure, Bank Information, change
3.6 Objective of e banking
The objectives of this paper are as follows:
 To describe the different types of electronic banking system
 To highlight the importance of electronic banking
 To give the status of electronic banking system in Bangladesh
 To give the idea of different electronic payment system of electronic banking
 To identify the problem areas of electronic banking in Bangladesh
 To measure the customer satisfaction of the electronic banking in Bangladesh by talking
with industry experts and bank officials.
 To make the necessary recommendations to solve the problems of electronic banking
system.
Navigator is utilized and any normal Internet connection is suitable. No special software or
hardware is usually needed.
1. Receivingtimelyandinstant
information’s,suchas –Balance statement,
Accountstatement,
2. Transactionstatement.
3. Abilityto depositandwithdraw of money
flawlesslywithinshorttime andatlower
cost.
4. Advantageouslymakingpaymentsforthe
goodsand services.
5.Stayingat home or outside,availingthe
facilitylike openingL/C,makinginvestment,
obtainingloanfacilityand above all making
fundtransferwiththe helpof e-banking.
6. Securingthe advantage of maintaining
secrecyof accounts of the clients.
7. Enjoyingutmostprotectionof the
accounts maintainedundere-banking.
1. Provide retail servicesatreducedcost
throughbrace network.
2. Reductionof administrativeexpensesby
reducingthe numberworkerswiththe helpof
electronicbanking.
3. Reductionof the volume of the paperwork
withthe helpof e banking.
4. Increase of income throughdifferenttypes
of feeslike debitcardfee,creditcardfee etc.
5. Strengtheningthe positionof inthe
competitiveenvironment.
6. Expandingthe servicesinthe remote areas
From client’s point of viewFrom Banker’s point of view
Objectives of Electronic Banking
BankikBanking

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E-Banking
The following chart exhibits the definition of E-Banking.
 ATM Services
 Any branch banking
 Internet Banking
 Virtual Banking
 SMS banking
 Wireless Application Protocols
 Telephone Banking
 Electronic Fund Transfer (EFT)
 SWIFT ChannelSociety for Worldwide Interbank Financial Telecommunication
 Other electronic delivery channels are E-Banking.
3.7 E-commerce Organizations Practice in Bangladesh
E-Commerce
E-Finance E-Money
E-Banking Other on line Financial Services and
Products

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E-commerce in Bangladesh actually stated in the year of 1999 based in USA with some non-
resident Bangladeshis. This people opened some Bangladeshi sites focused on providing local
news and some transactional things like sending gift items to Bangladesh. www.munshigi.
com is the first ever Bangladeshi e-commerce web site.
List of different e-commerce-type web sites
i) www.chorka.com
ii) www.hutbazar.com
iii) www.cellbazar.com
iv) www.muktabazaar.com
v) www.bikroy.com
vi) www.banglacommerce.com
vii) www.bdjobs.com
viii) www.premium.com
ix) www.shoppingcard.com
x) www.Ecommercebank.org
xi) www.kroybikroy.com
xii) www.kholabazar.com
xiii) www.bestway.com
xiv) www.sonalibangla.com
xv) www.e-bangla.com
xvi) www.bajna.com
xvii) www.bangladeshinfo.com
xviii) www.bdbazar.com
xix) www.bdquery.com
xx) www.quickezine.com
xxi) www.Webbangladesh.com
xxii) www.deshigift.com
xxiii) www.bangla2000.com
xxiv) www.banglabaskets.com
3.8 Historical Background of E-commerce Organizations

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a) Bdjobs.com
BdJobs.com Ltd. is the first and leading career management site in the country. Eight young
business and IT professional backed by strong command over e-business and in-depth
understanding of the needs of job seekers and employers in the country’s context started this
venture on July 2000.
Right after its launching, the site has been able to attract the Internet users in the country. The
site regularly updates Job Information (on average more than 1800 valid job news are placed
at any point of time at the site), provides facility to the job seekers for posting resume and
online application. Till now, more than 5500+ employers in the country have recruited more
than 150,000 professionals at different levels for their organizations through Bdjobs.com
service.
b) HutBazar.com
Hutbazar.com, a sister concern of Right IT Corporation, pioneered online comparison shopping
and today is one of the fastest growing shopping destinations for a comprehensive set of
products from thousands of trusted stores from across the Web. With a singular focus on
shopping, Hutbazar.com offers shoppers easy-to-use search tools, engaging content and time
saving navigation.
Hut Bazaar currently employees more than 1700 people around the world. Their employees
work in corporate offices, fulfillment centers, customer service centers and software
development centers across Bangladesh and many parts of Asia.
c) Cellbazar.com
Cellbazaar is probably the safest and most convenient choice for selling and buying all across
Bangladesh. Cellbazaar launched in 2006 as an innovative SMS service and its ecommerce
website has been in operation since 2007. The service allows anyone in Bangladesh to buy and
sell in his or her region conveniently in a very simple manner without registration and
complicated procedures.
It is completely free to post an ad on Cellbazaar. Use of the Service beyond the scope of
authorized access approved to you by Cellbazaar immediately terminates said permission or
license. In order to collect, cumulative, aggregate, copy, duplicate, display, demonstrate or
make derivative use of the website or any Content made available via this website for other
purposes (including commercial purposes) not stated herein, customers must first acquire a
license or permission from Cellbazaar.
d) Chorka.com

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Chorka.com is the first ever online shopping mall – an online platform facilitating Bangladeshi
brands and distributors to unwrap their outlets on the web and bring their products world wide,
except OFAC* listed countries. Customers can purchase products using credit or debit cards
(Both International and local). Local Bangladeshi customers can opt for “Cash on Deliver” and
“Account Deposit” besides credit card purchases. Customers have the opportunity to select their
preferred delivery method and track the delivery online. Please visit our payment section for
more information.
Chorka.com is devoted for the best shopping experience through competitive price, convenience,
and timely delivery. For your security we use “Comodo SSL” which ensures transaction security
during your shopping at chorka.com. All transactions are verified by DBBL Nexus Gateway or
“Google Checkout”. Product quality is ensured by respective vendors.
* Office of Foreign Assets Control. A US regulatory Agency that is responsible for monitoring funds
held or transferred to illegal entities. The OFAC list is a list of companies/individuals that should be
prevented from sending/receiving funds.
e) Aamra Networks Limited
Aamra networks limited (formerly Global Online Services Limited) over the last decade has
consistently provided its customers with state-of-the-art IT communication solutions. Our clients
have been able to rely on our ability to provide stable and consistent connectivity solutions.
Using the state of the art backbone and infrastructure, we have ensured that our clients have
had minimal worry when it comes to dependability of their IT Communication. That in turn has
ensured us an enviable list of blue-chip customers. When Internet and related value added
services are critical input to business, Corporate Bangladesh has but only one obvious choice-
Aamra.
The company is one of the 11 concerns of Aamra companies. The group has diversified
investment in ICT, Textile, and Lifestyle sectors in Bangladesh. Starting in 1985 the group
presently has over 500 employees.
3.9 Goals, Objectives, Targets, Commitments and Strategies

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a) bdjobs.com
Their web-site aims to explore maximum benefits of the Internet. They believe their service will
help the job seekers manage their career more efficiently. This site will also help employers
solve many of the problems associated with traditional recruiting methods and allow them to
save time and money.
b) HutBazar.com
Employees in their offices contribute in a variety of functions and jobs. They make decisions as
a company, and as individuals, based on their core values.
i) Customer Obsession:
They start with the customer and work backwards.
ii) Innovation:
Hut Bazar believes that if you don’t listen to your customers you will fail. But if you only listen
to your customers you will also fail.
iii) Bias for Action:
They live in a time of unheralded revolution and insurmountable opportunity–provided they
make every minute count.
iv) Ownership:
Ownership matters when you’re building a great company. Owners think long-term, plead
passionately for their projects and ideas, and are empowered to respectfully challenge
decisions.
v) High Hiring Bar:
When making a hiring decision they ask themselves: “Will I admire this person? Will I learn
from this person? Is this person a superstar?”
c) Cellbazar.com
Given data, information, message, file, picture, image, video, sounds, specifications, details of
the products and services (referred to as content) grant cellbazar a non-exclusive, worldwide,
perpetual, irrevocable, royalty-free, sub licensable right to exercise any and all copyright,
service mark.
i) Account
If customers access this website, they are responsible for maintaining the confidentiality of
their account and password and for restricting access to their computer or electronic device,
and they agree to accept responsibility for all activities that occur under their account or
password.
ii) External links and Third Party Content:
External links may be provided for customers convenience, but they are beyond the

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control of Cellbazaar and no representation is made as to their content. Use or reliance on any
external links and the content thereon provided is at customers own risk.
iii) Access to the Service provided by Cellbazar:
Cellbazaar grants customers a limited, revocable, nonexclusive license to access the Service for
your own personal use. This license excludes the followings:
(a) access to the Service limitedtothe users;or
(b) any collection,aggregation,copying,duplication,displayorderivativeuse of the contentnoranyuse of
data.
d) Chorka.com
Chorka.com LLC and Chorka.com Limited is strongly committed to protecting the privacy of its
customers and has taken all necessary and reasonable measures to protect the confidentiality
of the customer information and its transmission through the world wide web and it shall not
be held liable for disclosure of the confidential information when in accordance with this
Disclaimer, Privacy Policy or in Terms & Conditions, if any, with the Customers.
Chorka.com LLC and Chorka.com Limited undertakes not to disclose the information
provided by the Customers to any person, unless such action is necessary to:
 Conform to legal requirements or comply with legal process;
 Bangladesh Government and/or Bangladesh Bank requirements;
 Protect and defend Chorka.com LLC and Chorka.com Limited’s or its Affiliates’
rights, interests or property;
Aamra Networks Limited (ANL) integrates all elements of a system – new and existing – into a
single solution that addresses strategic growth, outstanding service, and community
involvement. Performance is their passion
The motivation that drives them in all business area emerges delivering higher performance
products and services to their customers. Combining technological, economic and personal
aspects of performance make the difference at aamra. Creating value with the power of ‘We’,
Aamra recognizes the power that partnership and cooperation have in achieving any goal.
They believe that by harnessing the strength of togetherness with all of their stakeholders, they
will be able to surmount any obstacle in their path and scale new height.
Products and Services
a) bdjobs.com
i) Online Job Posting/Announcement
The announced/posted job vacancies will be displayed (for max. 30 days) in a particular job
category (chosen by the employer at the time of job posting) at www.bdjobs.com
 This will allow Job Seekers to apply online for the given job vacancy at bdjobs.com’s site.

36 | P a g e
 Employers will be able to receive job applications through internet.
ii) Hot Job Announcement
Home page link for your job announcement
Here organization logo and the list of jobs are placed with links with a customized job detail
page. Maximum display time at home page
Customized Job Detail Page
The Job Detail Page (linked with home page) can contain requirements, job responsibilities, a
brief company profile, organization logo.
Add-on Support (Optional for Employer)
 Prospective candidates will be located from the Bdjobs.com online CV Bank (hosting
5,50,000 CVs.) and notified them about the vacancy through e-mail.
 Panel of recruitment expert of Bdjobs.com will shortlist a pool of CVs from online.
iii) Executive Search Service
The recruitment related tasks (job announcement, application receiving, candidate short-
listing and contact, interview, etc) makes the recruitment and selection process very lengthy for
organizations with a small HR Department.
Let Bdjobs.com take the responsibility of doing the tiresome recruitment tasks on behalf of you.
We can locate for you the best talents in the market. With the largest active network across the
job market (more than 5,50,000 Cvs hosted online).
iv) Online CV Bank Access
Online CV Bank Access gives customers instant direct access to the largest database of
professionals in Bangladesh.
 You can directly contact the prospective candidates who meet your job requirements.
 Search for the right candidates by Professional group, Age group, years of experience.
v) Resume on Demand in 48 hours
As a part of this service, Bdjobs.com recruitment experts will sort and short-list a pool of CV’s
from Bdjobs.com Online CV Bank (hosting 5,50,000 CVs) on the basis of specific job recruitments
specified by client company.
b) HutBazar.com
Hut Bazaar is the country’s leader in e-commerce. Since Hut Bazaar started in 2004, they have
significantly expanded their product offerings, international sites, and worldwide network
of fulfillment and customer service centers. Today, Hut Bazaar offers everything from books and
electronics to tennis rackets and diamond jewelry.
Buy more, pay less at hutbazar. Hutbazar is the best place to buy products in competitive price
in just seconds to send to Bangladesh. Shop the latest in women, men, baby, kids, home,
groceries, sports, toys, electronics, health and more.
c) Cellbazar.com

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It is easy to get sellers ad approved at Cellbazaar.com, they only ask customers to be honest, real
and polite
i) Marketing: It is only allowed to advertise items for sale, rentals, jobs and services.
ii) Company ad: Company classified ads on Cellbazaar.com are for companies. Cellbazaar.com
reserves the right to decide whether an ad resembles a company ad.
iii) Services: Services offered or wanted must follow applicable law and regulations of
Bangladesh for each given profession.
iv) Vehicle or property ad: vehicle or property in a single ad, except if they are to be
exchanged
v) Goods and forgeries: It includes branded products, CD/VCR/DVD, computer/game-console
software.
d) Chorka.com
Chorka.com is an online shopping platform, a venue enabling the users to buy any product listed
on Chorka.com at the price indicated on the terms and conditions indicated therein at any time
from any place.
Chorka.com is the best place to buy products in competitive price in just seconds to send to
Bangladesh. Shop the latest in women, men, baby, kids, home, groceries items (vegetables,
fish, meat, cakes, sweets etc.) sports, toys, electronics, health and more.
Aamra Networks Limited (ANL) employs more than 150 employees with diverse skill sets and
expertise. Through years of experience ANL is able to accurately assess constantly changing
customer requirements, offering the most extensive and affordable IT services available.
As a complete service solutions company, they address all aspects of a product/project
development lifecycle, ranging from preliminary analysis and design to programming, hardware
and software specification, project implementation, and training. Their team members have
extensive experience in the Financial Industry, Manufacturing, and Internet based application
services.
Management System
i) Software
 Global SMTP
 Network Monitoring Solution
 Hosted Anti-Spam Firewall

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 Online Survey Solution
 Virtual Office
 Hosted CRM Solution
ii) Infrastructure
 Data Connectivity
 MPLS
 IT Infrastructure Management
 IPLC & IPVPN
 NPLC
3.10 Principal Activities
a) bdjobs.com
Online job announcement at Bdjobs.com can reach across more than 5, 00,000 job seekers. The
number is far higher than the reach of a single insertion of job announcement at any of the
widely circulated national dailies. It is at least 10 times less costly than newspaper job
advertisement. More than 5500+ organizations in the country regularly announce job vacancies
at Bdjobs.com
Vacancy announcement for ones organization is featured at the Hot Jobs section at Bdjobs.com
home page/front page.
Bdjobs.com offers the best professional Executive Search service in the market. They define
candidate profile according to their need. They advertise at bdjobs.com & Receive applications.
They search from Online CV Bank & contact candidates. They short-list from the prospective
candidates. They take interview & written test. They select best 3-10 candidates for final
selection.
b) HutBazar.com
HutBazar.com makes order process very easy. Anybody can order in only 4 steps.
Step 1. Be a registered member. If you are already a registered member then just login.
Step 2. Choose your desired products and add to your basket.
Step 3. Provide your delivery date, time, location, and Gift Message.
Step 4. Pay in secure site (Paypal.com). It is 100% safe for your Credit Card and Bank Account.
NB: After payment, you will get an Order Confirmation Email, and after the delivery of your
products to your recipient, you will also get another Delivery Confirmation Email.
Their privacy policy covers how they use customer’s personal information. They take
customer’s privacy seriously and will take all measures to protect customer’s personal
information.

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c) Cellbazar.com
Cellbazaar is a WEB /WAP/SMS/IVR based platform that intends to assist the Visitors,
Customers, Purchaser, Sellers and Users (collectively referred to as “Users” “You” “Your”)
committing business introducing among them. This Cellbazaar website and the same WAP is
operated by Grameenphone IT Ltd. (GPIT) and the ownership of this website and/or WAP may
belong to any other third party (hereinafter referred to as “Cellbazaar” “Service” “we” “our” or
“Website”).
When seller/buyer gives data, information, message, file, picture, image, video, sounds,
specifications, details of the products and services (referred to as content), you grant us a non-
exclusive, worldwide, perpetual, irrevocable, royalty-free, sub licensable right to exercise any
and all copyright, service mark, trademark, publicity, and database rights you have in the
content, in any media known now or in the future.
d) Chorka.com
The Site is a channel of communication whereby the Users can reach a larger base to buy and
sell items or services. Chorka.com is only providing a platform for communication and it is
agreed that the contract for sale of any of the products or services shall be a strictly bipartite
contract between the Seller and the Buyer. At no time shall any right, title or interest over the
items vest with Chorka.com nor shall Chorka.com have any obligations or liabilities in respect of
such contract.. All items are offered only for a restricted time and only for the available
supply/till stock lasts.
 Chorka.com accepts no liability for any errors or omissions, whether on behalf
of itself or third parties.
 Chorka.com is not responsible and shall not be responsible for any non-
performance or breach of any contract entered into between Users.
Aamra networks limited is an ISO Certified Corporate IT Solution Provider. At Aamra networks
limited they have implemented a quality management system to ensure that, our customers
are served with professional standards. They are committed to continually improving the
effectiveness of their quality management system and services to attain maximum customer
satisfaction. To attain their objectives the management is determined to ensure the following:
 Maintaining 99% service uptime
 Ensuring at least 10% yearly revenue growth
 Converting at least 50% of the paper work to digital version Performance data of
our services are analyzed through their branded software Serve

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3.11 Constrains of E-commerce implementation in Bangladesh
Bangladesh’s Public power sector is inadequate. Overloading and lack of maintenance cause
frequent outages and necessary planned blackouts. How can a country like this be able to
provide E-commerce, when the main component, “e,” is never there. The Country’s
telecommunications services are inadequate. 60% of the lines are analog, and the quality of the
service is poor; there is a 30% connectivity rate. The followings are the obstacles in e-
commerce implementation:
i) Bangladesh’s Public power sector is inadequate. Overloading and lack of maintenance cause
frequent outages and necessary planned blackouts. How can a country like this be able to
provide E-commerce, when the main component, “e,” is never there!
ii) The Country’s telecommunications services are inadequate. 60% of the lines are analog, and
the quality of the service is poor; there is a 30% connectivity rate.
iii) Lack of e-commerce sites in their countries that offer affordable and appropriate services,
especially those with a “development-friendly” image;
iv) Difficulty of obtaining merchant accounts with e-commerce service providers, even where
these exist;
v) Lack of appropriate commercial know-how and technical skills to go about setting up e-
commerce activities;
vi) Absence of a peer group to share experiences and develop strategies and solutions for their
special brand of e-commerce, since this is such a new activity.
vii) The Internet and e-commerce is a global phenomenon, so therefore it behooves the region
to adopt international standards.
viii) Lack of appropriate trainers to teach the E-commerce Knowledge.
ix) Lack of Government’s rules and regulation.
x) Bangladeshi’s Policy for e-commerce is not adequate for good result
3.12 Overcome of E-commerce implementation in Bangladesh
Our Bangladeshi students should be more aware about Information Technology and they
should take proper decision to build their career. It will be only possible when there will be

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political commitment with better IT infrastructure, internal network, country domain and
above all a high speed fiber optic link to the Information Superhighway. The presence of the
following pre-conditions is inevitable successful e-commerce implementation:
Human Resource Development
i) IT training
IT training,includingcomputerliteracyrate,inBangladeshisrelativelyPoordue toinsufficient facilities
in both the private and public sector. IT training needs to be substantially encouraged in the nation
through formal and informal means.
ii) Establish IT University
An institute of higher learning, solely dedicated to the IT Discipline needs to be established offering
graduate and postgraduate degree programs in IT related areas.
iii) Harmonize standards for training institutes
As a resultof expandedinterestin the IT field,numerousinstituteshave beenestablishedbythe private
sector.To ensure standardandqualityof IT educationstepsneed to be taken to monitor, evaluate and
certify the training being imparted by these institutes.
iv) Larger access to computers/internet through cyber cafes
AccessibilitytoInternet,andcomputers in general, is not available for to a majority of the population.
Thisis particularlytrue forpeople notliving in major cities such as Dhaka and Chittagong. Government
and Private initiatives need to be realized and encouraged to establish cyber cafes and similar
environments to provide wider access to the computers and Internet.
Financial System
i) Computerization
Financial systems, which are currently highly hardcopy-based, should be encouraged to become a
“paperless” environment through wide scale computerization.
ii) Electronic L/C
Electronic Letters of Credits (L/Cs) should be accepted as legal documents.
iii) Problems of telecommunication line
The financial sectorishighlydependentonthe quantity and quality of lines of communication. Special
attention needs to be given to resolve the telecommunication needs of the financial sector.
iv) Domestic clearing
Domestic clearing of financial instruments needs to be encouraged and substantially improved.
v) Foreign exchange credit cards

42 | P a g e
The control of foreign exchange should be liberalized gradually, starting with the FC inflows, and
issuance of Internationally honored credit cards should be allowed. Maximum limits on credit cards
should be further liberalized, but can also be reviewed to preclude flight of capital.
vi) Venture funds
Formation of venture funds, as well as non-collateral based loans to support the IT sector should be
encouraged.
vii) International gateway
An international gateway to support the financial sector should be established.
viii)Foreign exchange limits/export definitions to be revised for export sales through E-
commerce
Accessibilityof the private sectortothe foreign exchange earned through exports should be reviewed
and liberalized. Definition of “exports” needs to be broadened to include exports through non-
traditional means,suchase-commerce,forthemtoutilize the benefitsgrantedtoexportingcompanies
(as in EPZs).
Telecommunications
i) International broadband under Ministry of Post & Telecommunication
Ministry Of Post and Telecommunication controls the entire outside plant (OSP) or cabling network,
whichisexclusivelycopper-based.Bandwidthlimitationremainsa chronic ailment to the customer and
steps need to taken to increase accessibility to wider international bandwidth.
ii) Privatize Telecommunication and Telegraph
Steps need to be taken to privatize BTTB. Private sector should be encouraged to provide basic
telephony nationwide.
iii) Independent Regulatory Authority for telecommunication
Bangladesh Telecommunications Regulatory Commission (BTRC) should be allowed to operate
independent of government influence and control.
iv) Open telecommunication market to new investment
Allow the private sector, national and international, to invest in the telecommunications sector.
v) Resell restrictions to be lifted on Grameen Fiber Optic for data transmission
The provision of obtaining permission from MOPT prior to leasing the capacity from Grameen
Phone’s optical fiber network should be abolished, particularly when the usage is for the
transmission of data.
vi) Legalize Voice Over Internet Protocol (VOIP)
VOIPenablesbypassingexpensive traditionaltelephony and helps the user utilizes the full benefits of
Internet connectivity.

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Findings
Since E-commerce emerged in our country it speeds up our economy in a cumulative way. Now-
a-days E-Commerce eases our system of transaction of money. We can now transect money from
any where from our country or even from abroad.
It change the way of our banking. Now every one can check his or her account from mobile phone
or computer. Not only can they check but also they can transect from mobile phone. Internets
banking make this happen. In some years ago we can only use Check to Draw money from a bank
account but now we can draw money by using ATM card without even not going to the bank.
It enhances the business sector of our country speed up the transaction. Now transaction of
information among different department of an organization is now a matter of time. The most
important impact of E-Commence in business is it changes the process of capital market
transaction. Some years ago selling and buying is conducted in a building by face to face auction
between Dealer and Jobber. But now one can buy and sell stocks by setting in his home.
E-Commerce eases our every day life. We can now shop by setting in home through
(www.chorka.com,www.hutbazar.com, www.cellbazar.com, www.muktabazaar.com, www.bikroy,
com etc). It saves our valuable time by offering those services.
E-Commerce has a positive impact on unemployment problem. Now we can find jobs in internet
web sits such as bdjobs.com. In some years age we can see the news for jobs only in newspapers,
but now we can search for a job in vast number of web sits. This ease of information reduce the
problem of unemployment in some extent. It not only transect information sometimes it create
jobs also. We can find much IT institution that arranges handsome jobs. But in our country E-
Commerce Facing some problems such as Lack of appropriate commercial know-how and
technical skills to go about setting up e-commerce activities; Lack of appropriate trainers. Lack
of Government’s rules and regulation. Inadequacy of public sector. And the main thing low
frequency of telecommunications. If respective bodies take the essential steps to overcome from
these barriers E-Commerce can be a lucrative site for our economy.

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SWOT Analysis
To find out the viability of a particular product we must perform a SWOT Analysis of the
product. This will analyze the Strengths, Weaknesses, Opportunities, and Threats of the
particular product. For analyzing the performance of e-commerce in Bangladesh, the
following SWOT Analysis is considered.
Strengths
 Only a few organizations are now offering internet services in solving transaction
problems.
 E-commerce is convenient as the service is available all the time at just a click away.
 Faster buying/selling procedure
 There is no theoretical geographic limitations
 No need of physical company set-ups
 E-commerce will require less manual workers.
 It is cheap both for the companies and the customers.
 In banks will be able to lower overhead costs and make more profit out of it.
 It requires less man power for banks; customers can save time and avoid hassles.
Weaknesses
 Security breakdown of the system will have a problem with the identification of the
individual who is initiating the transaction.
 The internet infrastructure of our country is not that much supportive to provide all
time access to the web.
 Lack of security and privacy
 Very minimum number of users of web sites.
 Small number of Credit Card users
Opportunities
 Non- branch business is becoming popular in our country. Many e-based companies
are now trying to offer non-branch business facilities.
 A person can withdraw or deposit money in any branch of the organization he has a
membership with them.
 Moving to internet business will allow the companies to offer non-branch business
facilities.
 The internet services are becoming very common to us. So a service offered through
the internet will be widely accepted in the near future
 Lower cost. Higher profit business. Quick and 24 hour
 Free staff to provide value added service

45 | P a g e
Threats
 People have concern about security and privacy.
 In the field of IT new technology is coming every day.
 The movement towards online business might marginalized the customers who do not
have internet access or who are not technologically sound.
 Despite the presence of online Internet service in Bangladesh,
 its scope is largely underutilized.
 Poor telecommunication systems,
 low buying power of potential clients,
 lack of institutional support.
 Lack of awareness at government level
People’s mindset are services Internet is very slow and expensive
3.15 Cost Benefit Analysis (CBA)
The main benefit of internet business is the amount of time (thus money) it saves. Although
Internet business is restricted to managing accounts and making on-line transactions, it cuts out
much of the need to personally visit the bank. Using Internet business will also increase the
efficiency of paying money as it can reduce the need for writing and sending cheques (which can
take up to 5 days to clear). Payments can be created via internet to pay such money, which is
also an efficient way of paying the companies. On-line businesses are able to offer their
customers lower cost rates than traditional offerings due to their reduced overheads. If the
popularity of Internet business takes off as predicted the companies may also be capable of
offering their Internet business customers higher interest rates (due to reduced overheads or as
and incentive). Though Internet business will require a higher initial investment, the operating
expenses will be much lower. Again customers will be satisfied through fast, accurate, easy-to-
use, comprehensive delivery of the services. So e-business will be much more beneficial to
companies as well as customers

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Chapter-4
Conclusionary Matter
4.1 Recommendation
4.2 Conclusion

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Conclusion Aspects
4.1 Recommendations
In Bangladesh, there is a great deal of interest in B2C E-commerce; however, due to various
economic, infrastructural and legal reasons it has not spread. Most important companies,
associations, chambers and now most of the government offices have set up websites. These
sites mainly provide information about the organization, and its products and services. There are
very few sites where financial transactions can be completed. Main reasons for low ecommerce
transactions are absence of legal framework for completing an electronic business or financial
payment system, low Internet usage due to lack of adequate telecom facilities, and overall lack of
confidence in the security and reliability of B2C E-commerce transactions. Several factors are
important in the online marketing compared to traditional method:-
 Pricing is an important consideration for standard products. Customers compare products
available on the Internet and usually buy the lowest total price offerings. It is also necessary to
offer prices lower than the traditional outlets to encourage buyers to shop online.
 There should be an EFT (Electronic Fund Transfer) Gateway, which will connect all finance and
banking institutions, ATMs, POS and related websites. Such Gateway will speed up the
transactions among banks, commercial institutions. This sort of infrastructure needs to be
implemented on priority basis.
 A CCG (Credit Card Gateway) should be established. A credit card gateway is a server that makes
online credit card transactions safe (Skinner, 2005). The software protocols in the CCG use the
information provided to check for availability of funds and to make sure the credit card is not
expired, lost or stolen. This takes only seconds. When the transaction is approved a receipt is
generated for the customer, and the funds are transferred to the vendor's bank account through
EFT.
 To expedite the installation of second submarine cable joining for extending high-velocity
internet facilities. Yet at present is the time to plan for the installing of third submarine cable.

48 | P a g e
 Government might invite individuals and private sectors to extend broadband joining in rural areas
under public private partnership. In that connection, NGOs working in the remote areas possibly
involved. This will then be measured as government-private-NGO Corporation.
 Mass-produced regularly purchased uniform products should be made easier to sell online than custom-
produced items. Well-known brands have an advantage as customers are aware of the product quality
and specifications.
 Urgently required items are unlikely to be ordered online due to waiting period for delivery. Some of the
products are of such nature that the customers desire to touch see or try out prior to purchase.
Therefore, these products may require to be displayed in convenient retail outlets for customers to visit
and make up their minds.
 To accept steps for cutting internet joining fees and the price of bandwidth.
 If the product and service are described in unique terms or combination of terms the searchers are likely
to use the search engines which will find that offering more easily and present it to potential customers.
 Service business is particularly suited to the Internet as their products can be more easily produced and
delivered with digital process. Digital information can be collected and disseminated over the Internet at
lowest cost.
 Most common method of payment used in B2C transaction is credit cards. Consumers must be more
familiar with it; it is easy, fast, and reasonably secure. To ensure security of credit purchases over net as
a standard called ‘Secure Electronic Transaction (SET)’ has been adopted by MasterCard and Visa that
involves the use of digital certificates to
 Bangladesh Telecommunications Regulatory Commission (BTRC) should be established independent of
the government control.
 Voice over Internet Protocol (VoIP) and private international gateway for voice and data should be
allowed.
 Government officials are to be oriented on the benefits of e-commerce. For instance short course can be
offered at training centers such as the Public Administration Training Center (PATC).
 Business associations and organizations should be made aware of the benefits of e-commerce. BGMEA
can play a significant role in this.
 Greater competition among the Internet Service Providers (ISPs) should be promoted and new ISPs
should be encouraged to come into business.

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Conclusion
Nowadays every second’s world moving so fast only used by technology positive side, Bangladesh
is a small and developing country but it’s time to changing. In the world most of the country day
by day more popular B2C E-commerce system even Asian some country; China, India, South-Korea
and Japan. B2C E-Commerce is the system of buying and selling of goods and services business to
customer over electronic medium. Only the internet connection is not enough for the
development of e-commerce. The whole infrastructure is essential for the development,
maintenance and growth of B2C e-commerce. The analysis of the B2C forces reveals that the
prevailing situation is encouraging for the implementation of e-commerce in Bangladesh. The
macro and micro economic situation is favorable to B2C e-commerce. The synopsis of the legal
and regulatory statutes indicates that Bangladesh has made significant progress in facing the
challenge of embracing e-commerce in due course of time. Even Bangladesh doesn’t require any
foreign expert to implement, execute and maintain B2C e-commerce infrastructure.
Despite the encouraging state of implementation, e-commerce can never be deployed until and
unless an Electronic Fund Transfer (EFT) Gateway and a Credit Card Gateway (CCG) have been
established. These two Gateways will eliminate the security issues in e-commerce and enhance
the e-transactions. In addition to that, creating awareness among the citizens and the business
organizations is essential for the implementation and growth of e-commerce in Bangladesh.
Synergy between telecommunications and information technology has the proven capability of
monitoring and administering the real-time transactions. Therefore, liberalizing the telecom and IT
sectors as well as reforming the country’s financial and commercial procedures is the
preconditions of successfully implementing ecommerce in Bangladesh.
Although the study will address numerous benefits, explores the state of perceptions of different
business organizational categories, it is still unanswered that which of the benefits significantly
affect, and in what extent, the intention of the adoption of e-commerce, may be considered as the
limitation of the study.

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Chapter -5
Ending Matters
This Chapter Include:
5.1 Bibliography
5.2. References

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5.1 Bibliography
I. Muhammad Mahboob Ali (2010). E-Business and on line banking in Bangladesh: an
Analysis.AIUB Bus Econ Working Paper Series, No 2010-03,
II. Mohammad Azizul Baten, PhD, E-Banking of Economical Prospects in Bangladesh,
Journal of Internet Banking and Commerce, August 2010, vol. 15, no.2
III. .Md. Abdul Hannan Mia, Mohammad Anisur Rahman, Md. Main Uddin E-Banking:
Evolution,Status and Prospects
IV. Mohammad Mizanur Rahman,E-Banking in Bangladesh: Some Policy Implications
V. Websites of concerned bank

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5.2 References:
1. BangladeshMarketplace, http://www.bangladeshmarketplace.com/
2. BusyTrade, http://www.busytrade.com/aboutus/aboutus.phpDanida B2B Programme
3. http://www.asaub.edu.bd/data/asaubreview/v5n2sl9.pdf
4. http://www.ambdhaka.um.dk/en/menu/DevelopmentIssues/Businesstobusiness(B2B)Programme/
5. http://www.clickbd.com/, electronicallyaccessedon15th
November2011.
6. http://www.velki.com/link.asp?cat=140
7. http://www.bizbangladesh.com/about-business-info-bangladesh.php
8. BGMEA B2B Portal, http://bgmea.com.bd/
9. GMG AirlinesBangladesh, http://www.gmgairlines.com/site/index.php
10. JanaOjana, http://www.janaojana.com/q-3120
11. Mobile SubscribersinBangladesh, http://www.indexmundi.com/g/g.aspx?c=bg&v=105
12. NumberofInternetusers,http://www.indexmundi.com/g/g.aspx?c=bg&v=118, http://www.internetwor
ldstats.com/asia/bd.htm
13. Radisson BluHotel, http://www.radissonblu.com/cs/Satellite?pagename=pb%2FPage%2Fpb-
listHotels&brand=RAD&skin=radisson&language=en&amp
14. The DailyStar, B2B website launched”, http://www.thedailystar.net/newDesign/news-
details.php?nid=97213
15. The Trust Bank Limited, http://ib.trustbank.com.bd/
16. The Financial Express, http://www.thefinancialexpress-bd.com/more.php?news_id=101246
17. http://www.jobsproject.org/content/publication/E-Commerce_in_Bangladesh_status.pdf
18. Laosethakul, K., Boulton, W. 2007, ‘Critical Success Factors for E-commerce in Thailand: Cultural and
Infrastructural Influences”, Electronic Journal of Information Systems in Developing Countries,
19. Vijayaraman, B. S., Bhaita, G., “A framework for determining success factors of an e-commerce
initiative”, Journal of Internet Commerce, Vol-1(2), pp 63 - 75, 2002.
20. Huang, J., Wang, H.,Zhao, C.,“E-commerce Success Factors:Exploratory and Empirical Research on the
Chinese Publishing Industry”, Journal of IEEE, Vol-18, pp 465 – 472, 2005.
21. Jennex, M.E., Amoroso, D.,Adelakun, O.,“E-Commerce Infrastructure Success Factors for Small
Companies in Developing Economies”, Electronic Commerce Research, Vol-4( 3), pp 263 – 286, 2004.
22. Award,E. M., “Electronic Commerce From Vision to Fulfillment”, Prentice-Hall of India Private Limited,
pp 5-45, 3rd Edition, 2007

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“ The Future of E-Commerce in Bangladesh” 2015 Premier University,Chittagong