2. INTRODUCTION TO E-COMMERCE
E-Commerce means Electronic Commerce.
Commerce –buying and selling.
E-Commerce – the buying and selling of goods or services over the
internet or via a computer connection.
A modern way of trading . The first example of E-commerce taking
place on the internet was only recorded in the mid 1990s.
3. A brief History
1994- Netscape Navigator, an internet browser, is invented. Pizza hut
offers online Pizza ordering. The first online bank opens. Cars and
bikes are available on the internet.
1995- amazon is created, an online company selling of books, DVDs
and CDs. Ebay is launched, the online auction company.
1999- PayPal launched, allowing safe and secure financial
transactions to be carried out over the internet.
4. E-COMMERCE TODAY
Almost all national and international companies offer E-Commerce.
Many companies only offer E-Commerce services.
Most major banks offer online banking.
5. Examples of E-Commerce
Direct sales –Companies selling their product or services direct to
the customer via the net
Online banking
Online auctions- Bidding against other consumers for products and
services.
Online media sales- Buying and download music, e-books, movies ,
computer software etc..
6. IMPORTANCE OF E- COMMERCE
Direct payments
Easy and speed delivery
Cut down of transaction costs
24/7 Access
Web personalization
Increase in Banking
7. DIFFERENT TYPES OF E-COMMERCE
Business to Business E-Commerce (B2B)
Business to Consumer E-Commerce (B2C)
Consumer to Consumer E-Commerce (C2C)
Consumer to Business E-Commerce (C2B)
Non Business E-Commerce
Intra-Organizational E-Commerce
8. Business - to - Business
A website following the B2B business model sells its products to an intermediate
buyer who then sells the product to the final customer. As an example, a wholesaler
places an order from a company's website and after receiving the consignment, sells
the endproduct to the final customer who comes to buy the product at one of its
retail outlets.
9. Business - to - Consumer
B2C business model sells its products directly to a customer.
The customer can choose a product and order the same.
10. Consumer - to - Consumer
C2C business model helps consumers to sell their assets like residential property,
cars, motorcycles, etc., or rent a room by publishing their information on the
website. Website may or may not charge the consumer for its services.
11. Consumer - to - Business
In this model, a consumer approaches a website sho wing multiple business
organizations for a particular service. The consumer places an estimate of amount
he/she wants to spend for a particular service. For example, the comparison of
interest rates of personal loan/car loan provided by various banks via websites.
12. Non- Business
In contrast to other types of E-commerce, non- business EC involves small scale
organizations for carrying out all the transactions.
Intra-Organizational
The sixth and final type of electronic commerce is intra organisational electronic
commerce. Here, various organizations make use of internet services for conducting
transactions.
13. Framework /Two pillars of E-commerce
The frame work of e-commerce is based on two pillars where, fist pillar deals
with various issues like public , private or legal, and second pillar deals with various
technical standards for,
(a) Electronic documents
(b) multimedia and network protocols
Between these pillars there are four building blocks