Introduction to E Commerce Framework for E Commerce, Difference Between E Commerce and M Commerce, Features of E Commerce, Types of E Commerce, Types of B2C Business Models, B2B Business Models, E Business Revenue Models.

1. UNIT-2 [INTRODUCTION TO E
INFORMATION TECHNOLOGY FOR BUSINESS
INFORMATION TECHNOLOGY FOR BUSINESS
INTRODUCTION TO E
HISTORY OF ECOMMERCE
• Ecommerce actually goes back to the 1960s when companies used an electronic system
called the Electronic Data Interchange to facilitate the transfer of documents. But it wasn't
until 1994 that the very first
between friends through an online retail website called NetMarket
• The industry has gone through so many changes since then, resulting in a great deal of
evolution. Traditional brick-and
in order to stay afloat as companies like Alibaba, Amazon, eBay, and Etsy became
household names.
• These companies created a virtual marketplace for goods and ser
easily access.
• New technology continues to make it easier for people to do
can connect with businesses through
apps to make purchases. The introduction of free shipping, which reduces costs for
consumers, has also helped increase the popularity of the
MEANING OF E-COMMERCE
• Ecommerce stands for electronic commerce and refers to a digital platform and a business
model where you can buy or sell products online.
• Every time you purchase a product online, you’re participating in the eco
economy.
DEFINITION OF ECOMMERCE
"E-Commerce comprises core business processes of buying and selling, goods, services and
information over the internet".
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INFORMATION TECHNOLOGY FOR BUSINESS - II
INFORMATION TECHNOLOGY FOR BUSINESS
UNIT-2
RODUCTION TO E-COMMERCE
HISTORY OF ECOMMERCE
Ecommerce actually goes back to the 1960s when companies used an electronic system
called the Electronic Data Interchange to facilitate the transfer of documents. But it wasn't
until 1994 that the very first transaction. took place. This involved the sale
between friends through an online retail website called NetMarket.
has gone through so many changes since then, resulting in a great deal of
and-mortar retailers were forced to embrace new technology
er to stay afloat as companies like Alibaba, Amazon, eBay, and Etsy became
These companies created a virtual marketplace for goods and services that consumers can
New technology continues to make it easier for people to do their online shopping. People
can connect with businesses through smartphones and other devices and by downloading
apps to make purchases. The introduction of free shipping, which reduces costs for
consumers, has also helped increase the popularity of the ecommerce industry.
COMMERCE
Ecommerce stands for electronic commerce and refers to a digital platform and a business
model where you can buy or sell products online.
Every time you purchase a product online, you’re participating in the eco
DEFINITION OF ECOMMERCE
Commerce comprises core business processes of buying and selling, goods, services and
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INFORMATION TECHNOLOGY FOR BUSINESS - II
Ecommerce actually goes back to the 1960s when companies used an electronic system
called the Electronic Data Interchange to facilitate the transfer of documents. But it wasn't
transaction. took place. This involved the sale of a CD
has gone through so many changes since then, resulting in a great deal of
mortar retailers were forced to embrace new technology
er to stay afloat as companies like Alibaba, Amazon, eBay, and Etsy became
vices that consumers can
their online shopping. People
and other devices and by downloading
apps to make purchases. The introduction of free shipping, which reduces costs for
ecommerce industry.
Ecommerce stands for electronic commerce and refers to a digital platform and a business
Every time you purchase a product online, you’re participating in the ecommerce
Commerce comprises core business processes of buying and selling, goods, services and
-P.T. Joseph

2. UNIT-2 [INTRODUCTION TO E
INFORMATION TECHNOLOGY FOR BUSINESS
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INFORMATION TECHNOLOGY FOR BUSINESS - II
Examples of Ecommerce
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3. UNIT-2 [INTRODUCTION TO E
INFORMATION TECHNOLOGY FOR BUSINESS
WHAT IS AN E COMMERCE FRAMEWORK?
An E-commerce framework is a software used to develop e
frameworks provide all the requirements regarding the development in every category of e
commerce web application or online shop.
• With the increased demand for online s
developers has also increased. Here we have briefly discussed
frameworks in different domains.
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WHAT IS AN E COMMERCE FRAMEWORK?
is a software used to develop e-commerce stores or sites. These
frameworks provide all the requirements regarding the development in every category of e
commerce web application or online shop.
With the increased demand for online stores, the demand for e-commerce framework
has also increased. Here we have briefly discussed top e
in different domains.
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commerce stores or sites. These
frameworks provide all the requirements regarding the development in every category of e-
commerce framework
top e-commerce

4. UNIT-2 [INTRODUCTION TO E
INFORMATION TECHNOLOGY FOR BUSINESS
E-COMMERCE FRAMEWORK DEVELOPERS
E-COMMERCE PROJECT PROCESS BY DEVELOPERS
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COMMERCE FRAMEWORK DEVELOPERS
PROJECT PROCESS BY DEVELOPERS
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PROJECT PROCESS BY DEVELOPERS

5. UNIT-2 [INTRODUCTION TO E-COMMERCE] Mr.Chethan.S
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BACK-END E-COMMERCE TECHNOLOGIES
An E-commerce website cannot survive in the competitive market if the back-end does not
support well. In the back-end, the technologies are boring and pretty complex. But developers
should know what makes the development process more interesting, and that is using the
right technology to perform functions rightly.
Some back-end programming languages and databases include:
• PHP
• Python
• Java
• MySQL,
• ASP.NET, etc.
• To learn the e-commerce framework, you first need to learn basic scripted and
programming languages like HTML, XML, and CSS and then learn the back-end
programming languages. Then take the training courses of your framework to fast
track the progress.
• You can also enroll in online e-commerce framework training courses where you
can directly learn from the e-commerce framework developers with massive
experience.
• Some popular online sites to learn e-commerce framework development include:
o Udacity
o Coursera
o Khan Academy
o Udemy etc.,

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E-COMMERCE FRAMEWORK MODEL

7. UNIT-2 [INTRODUCTION TO E-COMMERCE] Mr.Chethan.S
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KEY REQUIREMENTS TO ECOMMERCE WEBSITES
• USER-FRIENDLY DESIGN: When users cannot find what they need quickly, they
need to go through the pages for a long time, which demotivates purchasing in general.
The longer customers search for the items, the less likely they are to buy the item they
want and need.
• OPTIMIZED FOR MOBILE: Today, more than half of the customers buy things using
their mobile devices. As a result, online stores should be ready and prepared for use from
mobile devices. It requires optimization for mobile devices with a responsive design.
Responsive designs adjust to the screen that the customer browses.
• SECURITY: When it comes to a secure website, it means that your customers need to be
sure that their personal and financial data are protected. It signifies establishing adequate
security policies and using security technologies to ensure that the data of customers are
not stolen from the website.
Financial and legal risks also increase when you forget your security. To enhance security,
you might:
• Purchase a Secure Sockets Layer (SSL) certificate
• Use an address verification system (AVS) at checkout
• Use credit card verification value (CVV) at checkout
10 IMPORTANT FEATURES OF ECOMMERCE WEBSITES

8. UNIT-2 [INTRODUCTION TO E
INFORMATION TECHNOLOGY FOR BUSINESS
ESSENTIALS | ELEMENTS OF E
The basic elements:
• An e-shop on server
• User (customer) with a web browse
• An Internet Connection
Additional issues:
• Visibility
• Ease of Use | Response Desig
• User-Friendly Purchasing | Order Processin
• Online Payments
• Security
• Delivery Systems
• After-Sales
• Options for Customer Car
FUNCTIONS OF ECOMMERCE
• Marketing,
• Finance,
• Supply chain
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ESSENTIALS | ELEMENTS OF E-COMMERCE
User (customer) with a web browser
Ease of Use | Response Design
Friendly Purchasing | Order Processing
Options for Customer Care
FUNCTIONS OF ECOMMERCE
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9. UNIT-2 [INTRODUCTION TO E-COMMERCE] Mr.Chethan.S
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ADVANTAGES OF E-COMMERCE
• It operates 24 hours a day, 7 days a week
• Provides a global reach
• Fast Buying Process
• Eliminates Operating Cost
• Connects far and wide
• Buyers can meet almost anytime,
• Anywhere without intermediaries,
• Personal Shopping Experience
• Gives users more options for comparison.
DISADVANTAGES OF E-COMMERCE
• Choose the cheapest and best option
• Significantly reduce paperwork
• Lack of Personal Touch
• Lack of Tactile Experience
• Security and Site crash: malware, theft
• Some items are difficult to buy online
• Price and Product Comparison
• Credit Card Fraud and Legal issues

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TYPES OF E-COMMERCE MODELS
Electronic commerce can be classified into four main categories. The basis for this simple
classification is the parties that are involved in the transactions. So the four basic electronic
commerce models are as follows,
1. Business to Business (B2B)
2. Business to Consumer (B2C)
3. Consumer to Consumer (C2C)
4. Consumer to Business (C2B)

11. UNIT-2 [INTRODUCTION TO E
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1. Business to Business (B2B)
This is Business to Business transactions. Here the companies are doing business with each
other. The final consumer is not involved. So the online transactions only involve the
manufacturers, wholesalers, retailers etc
2. Business to Consumer (B2C)
Business to Consumer. Here the company will sell their goods and/or services directly to the
consumer. The consumer can browse their websites and look at products, pictures, read
reviews. Then they place their order and the company ships the goods directly to them.
Popular examples are Amazon, Flipkart, Jabong etc
3. Consumer to Consumer (C2C)
Consumer to consumer, where the consumers are in direct contact with
company is involved. It helps people sell their personal goods and assets directly to an
interested party. Usually, goods traded are cars, bikes, electronics etc. OLX, Quikr etc follow
this model.
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INFORMATION TECHNOLOGY FOR BUSINESS - II
This is Business to Business transactions. Here the companies are doing business with each
other. The final consumer is not involved. So the online transactions only involve the
manufacturers, wholesalers, retailers etc.
2. Business to Consumer (B2C)
to Consumer. Here the company will sell their goods and/or services directly to the
The consumer can browse their websites and look at products, pictures, read
reviews. Then they place their order and the company ships the goods directly to them.
Popular examples are Amazon, Flipkart, Jabong etc.
3. Consumer to Consumer (C2C)
Consumer to consumer, where the consumers are in direct contact with each other. No
company is involved. It helps people sell their personal goods and assets directly to an
interested party. Usually, goods traded are cars, bikes, electronics etc. OLX, Quikr etc follow
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This is Business to Business transactions. Here the companies are doing business with each
other. The final consumer is not involved. So the online transactions only involve the
to Consumer. Here the company will sell their goods and/or services directly to the
The consumer can browse their websites and look at products, pictures, read
reviews. Then they place their order and the company ships the goods directly to them.
each other. No
company is involved. It helps people sell their personal goods and assets directly to an
interested party. Usually, goods traded are cars, bikes, electronics etc. OLX, Quikr etc follow

12. UNIT-2 [INTRODUCTION TO E
INFORMATION TECHNOLOGY FOR BUSINESS
4. Consumer to Business (C2B)
This is the reverse of B2C, it is a consumer to business. So the consumer provides a good or
some service to the company. Say for example an IT freelancer who demos and sells his
software to a company. This would be a C2B transaction
Example:
• writing reviews for the personal blog or website
• sharing posts on social networks
• creating photos and videos
Apart from these, there are five more models
• Business-to-Administration (B2A)
• Consumer-to-Administration (C2A)
• Business-to-government (B2G)
• Government-to-Consumer (G2C)
• Government-to-Business (G2B)
MOBILE COMMERCE
M-commerce (mobile commerce) is
wireless handheld devices such as smartphones and tablet
commerce enables users to access online shopping platforms without needing to use a
desktop computer.
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4. Consumer to Business (C2B)
This is the reverse of B2C, it is a consumer to business. So the consumer provides a good or
some service to the company. Say for example an IT freelancer who demos and sells his
software to a company. This would be a C2B transaction.
ews for the personal blog or website;
sharing posts on social networks;
creating photos and videos.
Apart from these, there are five more models
Administration (B2A)
Administration (C2A)
government (B2G)
Consumer (G2C)
Business (G2B)
commerce (mobile commerce) is the buying and selling of goods and services through
wireless handheld devices such as smartphones and tablets. As a form of e-commerce, m
commerce enables users to access online shopping platforms without needing to use a
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This is the reverse of B2C, it is a consumer to business. So the consumer provides a good or
some service to the company. Say for example an IT freelancer who demos and sells his
selling of goods and services through
commerce, m-
commerce enables users to access online shopping platforms without needing to use a

13. UNIT-2 [INTRODUCTION TO E
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DIFFERENCE BETWEEN TRADITIONAL COMMER
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DIFFERENCE BETWEEN TRADITIONAL COMMER
AND E COMMERCE
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DIFFERENCE BETWEEN TRADITIONAL COMMERCE

14. UNIT-2 [INTRODUCTION TO E-COMMERCE] Mr.Chethan.S
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DIFFERENCE BETWEEN E COMMERCE AND M COMMERCE
ECOMMERCE REVENUE MODELS
1. Sales Revenue Model
The most common of all ecommerce revenue models, here profits are achieved by selling
products or providing services online versus, or in addition to, brick-and-mortar stores. Any
business selling items through the internet, regardless of their business model, is following
the sales revenue model. While they may have other revenue streams, this tends to be their
bread-and-butter.

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2. Advertising Revenue Model
Is Bob’s Bait & Tackle ever going to get the type of traffic as, say, Facebook or Google? Of
course not. But they can advertise on those sites! The advertising revenue model is when
popular platforms allow others to advertise with them for a fee. Media sites, such as
magazines, newspapers, and TV channels also frequently use this model. While they may
charge a flat fee for advertising, generally cost is based on pay-per-click (PPC), which is the
number of people who click on the ad.
3 Subscription Revenue Model
When it comes to the subscription revenue model, a lot of people think of Netflix or Spotify.
However, there are also many popular subscription box brands like Bark Box, Hello Fresh,
Ipsy, and Harry’s. Regardless of the offering, with this model users are charged a recurring
fee (monthly or annual) for using services or having existing products replenished and
delivered regularly. Today, there are an estimated 7,000 subscription box services operating
globally!

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4. Transaction Fee Revenue Model
This model charges a fee every time a transaction is made through their platform. For
example, eBay charges sellers a fee whenever an item is sold; PayPal charges users a fee for
transferring money; eTrade gains a transaction fee whenever a stock is sold; and so on. While
fees tend to be minimal, if people are making thousands of transactions per day, the revenue
can be substantial!

17. UNIT-2 [INTRODUCTION TO E
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5. Affiliate Revenue Model
Last but not least is affiliate marketing. With this model, businesses earn revenue just by
promoting and selling another person’s (or company’s) product on their site (as opposed to
the advertising revenue model, which doesn’t allow for purchase on the host’s site). T
concept of affiliate marketing is based on revenue sharing. If a business has a product and
wants to earn more, you can promote complementary products or services of another
company that will, in turn, pay you for your referrals. It’s a win
affiliate gains a new, passive revenue stream, and the merchant gains new customers! Learn
more about affiliate marketing here
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INFORMATION TECHNOLOGY FOR BUSINESS - II
least is affiliate marketing. With this model, businesses earn revenue just by
promoting and selling another person’s (or company’s) product on their site (as opposed to
the advertising revenue model, which doesn’t allow for purchase on the host’s site). T
concept of affiliate marketing is based on revenue sharing. If a business has a product and
wants to earn more, you can promote complementary products or services of another
company that will, in turn, pay you for your referrals. It’s a win-win for both
affiliate gains a new, passive revenue stream, and the merchant gains new customers! Learn
more about affiliate marketing here.
*****
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least is affiliate marketing. With this model, businesses earn revenue just by
promoting and selling another person’s (or company’s) product on their site (as opposed to
the advertising revenue model, which doesn’t allow for purchase on the host’s site). The
concept of affiliate marketing is based on revenue sharing. If a business has a product and
wants to earn more, you can promote complementary products or services of another
win for both parties; the
affiliate gains a new, passive revenue stream, and the merchant gains new customers! Learn