For SME Foundation Class

1. Last Update:24 OCT, 2014
•10/24/14 •For SME Foundation •1

2. e-Commerce
• E-commerce describes the process of buying and selling or
exchanging of products, services and information via
computer networks including Internet.
• E-commerce covers outward-facing processes that touch customers,
suppliers and external partners, including
– sales,
– marketing,
– order taking,
– delivery,
– customer service,
– purchasing of raw materials
– and supplies for production
– and procurement of indirect operating-expense items, such as office
supplies.
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3. e-business
• E-business includes e-commerce but also
covers internal processes such as
production, inventory management,
product development, risk management,
finance, knowledge management and
human resources.
• E-business strategy is more complex,
more focused on internal processes, and
aimed at cost savings and improvements
in efficiency, productivity and cost savings.
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4. •10/24/14 •For SME Foundation •4

5. CCaatteeggoorriieess ooff EE--CCoommmmeerrccee
• Categories of e-Commerce in use today are
classified based on the nature of the
transactions.
• These include:
– Business to Consumer (B2C)
– Business to Business (B2B)
– Consumer to Consumer (C2C)
– Consumer to Business (C2B)
– Nonbusiness and Government
– Organisational (Intra Business)
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6. BBuussiinneessss ttoo CCoonnssuummeerr ((BB22CC))
• In the B2C type of e-Commerce activity
businesses sell their products or services
directly to consumers.
• Example: Amazon.com
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7. BBuussiinneessss ttoo BBuussiinneessss ((BB22BB))
• B2B is also all about electronic
transactions among and between
businesses.
• Example www.covisint.com
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8. CCoonnssuummeerr ttoo CCoonnssuummeerr ((CC22CC))
• C2C type of e-Commerce activity is all
about consumers / individuals selling
goods and services to one another using
the Internet and Web technologies
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9. CCoonnssuummeerr ttoo BBuussiinneessss ((CC22BB))
• C2B type of e-Commerce activity is all
about consumers selling goods and
products to businesses.
• Example: web designers advertising their
services to businesses is a good example
of this type of e-Commerce activity
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10. NNoonnBBuussiinneessss aanndd GGoovveerrnnmmeenntt
• The e-Commerce activity amongst
governmental and non-business
organisations are on the rise.
• Most government agencies have e-
Procurement guidelines (many published
on the Web) and are using the web
channel for their procurement activity
• Example:
– www.bangladeshbank.org
– www.cptu.gov.bd •10/24/14 •For SME Foundation •10

11. Organisational aanndd IInnttrraa--bbuussiinneessss
• This type of e-Commerce activity is all
about electronic commerce transactions
that takes place within an organisation.
• Example: Group of companies
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12. BB22CC EE--CCoommmmeerrccee CCyyccllee
• The B2C E-Commerce Cycle can be
summarised as:
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13. a E-commerce apppplliiccaattiioonn iinn BBaannggllaaddeesshh
• Online ticketing
• Online Banking
• Online Hotel booking
• Ready mate garment
• Seasonal Fruits sale
• Households items sales, purchase and
auctions
• Procurements
• etc
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14. WWhhaatt PPeeooppllee aarree oonnlliinnee??
•10/24/14 •For SME Foundation •14

15. e-commerce size
•15
• Global E-commerce Industry
– World B2C e-commerce industry generated
between $400 billion and $600 billion in 2010
-according to yStats.com, which estimates the
market will generate somewhere from $700
billion and $950 billion in 2015.
Ref: http://techworldbd.com
•10/24/14 •For SME Foundation

16. e-commerce size
• Bangladesh E-commerce Industry
– Right now more than 6.5 million people are using Internet in the
country with the help of around 200 registered ISPs and dial-up
services
– The increasing number of user of Internet creates more opportunity of
e-commerce in the recent years.
– Around 100 million people use mobile services and 15 or 20 percent
people take mobile banking services.
– According to data of Bangladesh Bank, about 1 million mobile users
take the mobile banking services and roughly over 100 core
transaction is made through the mobile banking every month.
– We have more than 2500 ecommerce website and 1000000
digital buyer overall and 50% of them are form Asia Market
•16
Ref: http://techworldbd.com
•10/24/14 •For SME Foundation

17. Po Top Most Poppuullaarr EE--ccoommmmeerrccee WWeebbssiittee
iinn BBaannggllaaddeesshh
• www.Bikroy.com
• www.CellBazaar.com
• www.Rokomari.com
• www.ClickBD.com
• www.Boi Mela.com
• www.Akhoni.com
• www.Chorka.com
• www.Bangladeshbrands.com
• www.Ajkerdeal.com
• www.Priyoshop.com
• www.Amargadget.com
Visit
These
website
•17
•10/24/14 •For SME Foundation

18. SME Opportunities in Bangladesh
• SME cell has been created in 2003 in the Ministry of
Industries (MoI)
• Project INSPIRED lunched (
http://euinspired.org.bd/index.php/en/
SME development strategy by GOV
SME Credit Policy and Programmes
BB Policy on agri based industry and SME
SME sectors identified by BB (List Included)
SME based training (By SME foundation and others)
Downsize ICT cost day by day
Free online Social Media Marketing
Promotional seminar and other activities by GOV •10/24/14 •For SME Foundation •18

19. SME Opportunities in
Bangladesh
The following funds are now in operation
in Bangladesh
1. Bangladesh Bank Fund:
2. EGBMP/IDA Fund:
3. ADB Fund
4. EEF Fund
 Incentive Support for SMEs
1. VAT exemption on import of capital machinery
2. Lowered duty on import machinery
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20. •10/24/14 •For SME Foundation •20

21. ee--CCoommmmeerrccee SSWWOOTT AAnnaallyyssiiss
Strength:
1) 24 hrs a day, 7 days in a week your business in operation.
2) You can do your business globally by sitting at your office, home or
in bedroom.
3) The products reach to customers directly from the producers at a
lower price than the market value.
4) It is fast and effective.
5) By visiting different websites one can within a short time can
compare the price and buy on the best deal.
6) Advertising your product is cost effective in compare with
conventional offline system.
7) Low staff cost.
8) Financial transaction through electronic fund transfer is very fast and
can be done from any part of the world.
9) Can be started with very low investment. •10/24/14 •For SME Foundation •21

22. ee--CCoommmmeerrccee SSWWOOTT AAnnaallyyssiiss
Weakness:
1) There is no direct interaction between the
customer and the seller. Therefore, the scope of
convincing the customer does not exist.
2) Many times, we prefer to buy the product by
reaching personally to the market rather than
purchasing through Internet.
3) Sometimes, transportation cost increases the
product cost.
4) No. of potential customers who can buy through
Internet is still not enough.
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23. ee--CCoommmmeerrccee SSWWOOTT AAnnaallyyssiiss
Opportunity:
1) Worldwide number of Internet users is increasing in a
rapid way.
2) World wide customer fell more comfortable to buy
products through Internet only.
3) Opening door for international e-payments system
Threat:
1)Dishonest persons entering in this field which damage
the confidence and faith of common people on marketing
through Internet.
2)Hacking
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24. CCoonncclluussiioonn
• Using SWOT analysis on a regular basis,
perhaps once or twice a year, will give you
a broad overview of ecommerce industry
trends
• Show you where you stand in relation to
your competitors, and provide insights into
mitigating your weaknesses and building
on your strengths.
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