2. Meaning of e-commerce
Features of e-commerce
Elements of e-commerce
Types of e-commerce
Benefits of e-commerce
Limitations of e-commerce
3. Meaning of E-commerce
Electronic commerce is an emerging concept that
describe the process of buying and selling or
exchange of products , services and information via
computer network including the internet.
4. Features of E-Commerce
Non-Cash Payment
24X 7 availability
Advertising and Marketing
Sales
5. Types of E-Commerce
• Business-to-Business (B2B)
• Business-to-Consumer (B2C)
• Consumer-to-consumer (C2C)
• Consumer-to-Business (C2B)
• Mobile commerce-M- commerce
6. Business-to-Business (B2B)
Business to Business web sites sell the product to the intermediate buyer
who takes the product to the final consumer. For example, Intel is selling
its chips to other businesses. The below fig. shows B2B transaction:
WHOLESALER
CUSTOMER
WEBSITE
BUSINESS
ORGANIZATION
ORDER PROCESSING
ORDER
7. Business-to-Consumer (B2C)
B2C is a web site where all transactions take place between a business
organization and the final consumer. The below fig. shows B2C
transaction:
CUSTOMER
RECEIVES GOODS
BUSINESS
PROCESSES
ORGANIZATION
ORDER
WEBSITE
PLACES
ORDER
8. Consumer-to-Consumer (C2C)
In this category consumers sell directly to consumers.
For example, olx.in
CUSTOMER
LOCATED IN
HISAR
CUSTOMER
LOCATED
IN NEW DELHI
PLACES AN ADVERTISEMENT
www.olx.in
RECEIVES PRODUCTS
RECEIVES MONEY
WANTS TO
SELL
WANTS TO
BUY
9. Consumer-to-Business (C2B)
In such sites, the consumer places an estimate of the amount of money he
is willing to spend for a particular service. For example, comparison of
interest rates of personal loan/ car loan provided by various banks via
website.
CUSTOMER
PROCESSES
ORDER WEBSITE
PLACES MONEY
FOR A PARTICULAR
SERVICE
BUSINESS
ORGANIZATION
RECEIVES PRODUCTS
RECEIVES MONEY
10. M-COMMERCE
M-commerce refers to the use of wireless digital devices to enable
transactions on the Web. M-commerce involves the use of wireless
networks to connect cell phones, handheld devices such Blackberries,
and personal computers to the Web.
12. Existing practices in developing countries
with respect to buying and paying online
1. Traditional Payment Methods:
•Cash on delivery
•Bank payments
2. Electronic Payment Methods:
•Innovations affecting consumers
•Innovation enabling online commerce
13. Unique features of e-commerce:
•Ubiquity
•Global reach
•Universal standards
•Richness
•Interactivity
•Information density
•Personalization/Customization
14. Benefits of E-Commerce
•Benefits to organizations
•Benefits to consumers
•Benefits to society
15. Benefits to Organizations
• Expands the market place to national and
international market
• Improves brand image
• Better customer services
• Fast access to information
• Eliminating paper
16. Benefits to Customers
24 hours shopping.
Less expensive product and services
Provide detailed information in seconds
Allows quick delivery
Customers can interact with other customers
Provides customers with more choices
17. Benefits to Society
Less travelling for shopping resulting in less traffic on
the roads and lower air pollution.
Enables people in rural areas to enjoy products and
services that otherwise are not available to them.
Facilitates delivery of public services, such as health
care, education services etc at a reduced cost and of
improved quality.
Increase standard of living of the society.
19. Technical Limitations
• Lack of system security
• Software development tools are still evolving and
changing rapidly
• Vendors may need special web servers and other
infrastructures, in addition to the network servers
• Some e-commerce software might not fit with some
hardware
20. Non-Technical Limitations
•Initial cost
•User resistance
•Security / Privacy
•Lack of touch or feel of products during online shopping.
•E-Commerce applications are still evolving and changing
rapidly.
•Internet access is still not cheaper and is inconvenient to
use for many potential customers like one living in remote
villages.
21. Future of E-commerce in
India
India's e-commerce market was worth about $2.5 billion in 2009, it went up to $6.3 billion
in 2011 and to $14 billion in 2012.
India's retail market is estimated at $470 billion in 2011 and is expected to grow to $675 Bn
by 2016 and $850 Bn by 2020.
The Indian e-commerce market is estimated at Rs 28,500 Crore ($6.3 billion) for the year
2011.
Online travel market in India is expected to grow at a rate of 22% over the next 4 years and
reach Rs 54,800 Crore ($12.2 billion) in size by 2015.
Indian e-tailing industry is estimated at Rs 3,600 crore (US$800 mn) in 2011 and estimated
to grow to Rs 53,000 Crore ($11.8 billion) in 2015.
Overall e-commerce market is expected to reach Rs 1,07,800 crores (US$24 billion) by the
year 2015 with both online travel and e-tailing contributing equally.
25. Founded- 5 July, 1994
CEO - Jeff Bezos
HeadQuater- Seattle, WA, USA
Founders- Jeff Bezos
Gross Sale- $ 1 Bn
26. Founded- 1999
CEO - Jonathan Lu
HeadQuater- Hong Kong
Founders- Peng Lie, Jack Ma
Stock Price- US$ 88.31 @ NYSE
27. Non-Technical Limitations
Cost and Justification
Lack of Trust and user Resistance
Security and Privacy
Lack of touch and feel online
Still evolving and changing rapidly.
Not yet enough sellers and buyers
Accessibility to the internet is still expensive and
inconvenient for many potential customers
Breakdown of human relationships