Introduction to E-Commerce

1. E-Commerce
Computer 9
Teacher Justine Therese A. Zamora

3. Teacher Justine Therese A. Zamora

4. E Commerce
1- E commerce is an act of
selling products or services
over the Internet.
2- It refers to the use of the
Internet and the Web to
transact business between
and among organizations
and individuals

5. Consists of:
Buyers - these are people
with money who want to
purchase a good or service.
Sellers - these are the people
who offer goods and services to
buyers.
Producers - these are the
people who create the products
and services that sellers offer to
buyers.
E Commerce

7. 3-The Merchants performing e-commerce
as “e-tailers” and their websites as
“cyberstore”. A cyberstore is composed of
the following System Components and
Functions:
• Store Front
• Shopping Cart
• Payment Gateway
E Commerce

8. System Components and Functions
1. Store Front is the website that
list the products and their details.
Below is a sample of Shopee Store Front.

9. System Components and Functions
2. Shopping Cart
is the web
application that is
incorporated into
the storefront that
allows customers
to put items in the
“shopping
basket”.
a sample of Shopee Shopping Cart

10. System Components and Functions
3. Payment
Gateway is a
system that
processes credit
card payments
made by the
customers.

11. System Components and Functions
Before the Gateway
processes the transaction,
billing information is
usually requested first
from the user. This is to
allow the e-tailer to
validate the order ad the
use the information for
deliveries.
a sample of Shopee Shopping
Billing Information

12. System Components and Functions
A set of payment options is
given to the user. When
paying a credit card, the
following details are
recquired.
• Credit Card Owner
• Credit Card Number
• Credit Card Code
• Credit Card Expiration Date
a sample of Shopee Shopping
Billing Information

13. Teacher Justine Therese A. Zamora
BRIEF HISTORY

14. Brief History of E-Commerce
 1970s
E- commerce meant the facilitation of
commercial transactions electronically, using
technology such as Electronic Data
Interchange (EDI) and ElectronicFunds
Transfer (EFT), allowing businesses to send
commercial documents like purchase orders
or invoices electronically.

15. Electronic Data Interchange (EDI)
Brief History of E-Commerce (1980s)

16. Electronic Funds Transfer (EFT)
Brief History of E-Commerce (1970s)

17. Brief History of E-Commerce
 1980s
 The growth and acceptance of credit
cards
 Automated teller machines (ATM)
 Telephone banking
 Airline reservationsystem

18. Credit Card and ATM card
Brief History of E-Commerce (1980s)

19. Airline reservation system
Brief History of E-Commerce (1980s)

20. Brief History of E-Commerce
 1990s
 The Internet commercialized
and users flocked to
participate in the form of dot-
coms, orInternet start-ups
 Innovativeapplications
ranging from online direct
sales to e-learning
experiences

21. Brief History of E-Commerce
 2000s
 Many European and American business
companies offered theirservices through
the World Wide Web.
 Since then, People began to associatea
word “e- commerce”

22. Brief History of E-Commerce
 Began in 1995 and grew
at an annual rate of 16 %
 Rapid growth led to market
bubble
 While many companies failed, many
survived with soaring revenues
 E-commerce is the fastest growing
form of retail trade in U.S.,
Europe,Asia

23. Teacher Justine Therese A. Zamora
Features

24. E Commerce Features
• Global Reach
• Richness
• Interactivity
• Information Density
• Improved Sales
• Support
• Inventory Management
• Communication improvement
• Global Reach

25. Global Reach
The technology
reaches across
national boundaries,
around Earth

26. Richness
Supports video,
audio, and text
messages

27. Interactivity
The technology
works through
interaction with
the user

28. Information Density
Vast increases in
information
density—the total
amount and
quality of
information
available to all
market
participants

29. Non-Cash Payment
—− E-Commerce enables
use of credit cards, debit
cards, smart cards,
electronic fund transfer
via bank's website and
other modes of
electronics payment.

30. 24x7 Service availability
—− E-commerce
automates business
of enterprises and
services provided by
them to customers
are available anytime,
anywhere.

31. Advertising / Marketing
—− E-commerce
increases the reach of
advertising of
products and services
of businesses.

32. Improved Sales
—− Using E-Commerce,
orders for the
products can be
generated anytime,
anywhere without any
human intervention.

33. Support
—− E-Commerce provides
various ways to provide
pre sales and post sales
assistance to provide
better services to
customers.

34. Inventory Management
—Using E-Commerce,
inventory management
of products becomes
automated.

35. Communication Improvement
—− E-Commerce
provides ways for
faster, efficient,
reliable
communication with
customers and
partners.

36. Types of Electronic
Commerce
(B2C) (B2B) (C2C)

37. Business-to-consumer (B2C)
Business that sells
products or
provides services
to end-user
consumers.

38. Business-to-business (B2B)
Business that sells
products or
provides services
to other
businesses.

39. Consumer-to-consumer (C2C)
In internet commerce,
means through which
consumers interact
with other consumers
through online
auctions.

40. Customer Intimacy
OInteractive marketing
and personalization
OCustomer Self
Service

41. Advantages and Disadvantagesof
e-commerce
Advantages
Disadvantag
es

42. Advantages
 Faster buying/selling procedure, as well as easy to
find products.
 Buying/selling 24/7.
 More reach to customers, there is no theoretical
geographic limitations.
 Low operational costs and better quality of services.
 Customers can easily select products from different
providers without moving around physically.

43. Disadvantages
 Any one, good or bad, can easily start a business.
And there are many bad sites which eat up
customers’ money.
 There is no guarantee of product quality.
 Mechanical failures can cause unpredictable effects
on the total processes.

44. References
• Advantages and Disadvantages of Ecommerce . (2010). Retrieved November 23, 2011, from
eSalesTrack : http://www.esalestrack.com/blog/2008/09/advantages-and-disadvantages-
of.html
• eCommerce Growth. (2011). Retrieved October 29, 2011, from Strategic eCommerce
Solutions: http://www.sescommerce.com/ecommerce-growth.asp
• The Many Flavors of E-Commerce. (2011). Retrieved October 29, 2011, from asaresearch:
http://www.asaresearch.com/ecommerce/ecommerce_types.htm
• Types of E-Commerce. (2011). Retrieved October 13, 2011, from EzineArticles:
http://ezinearticles.com/?Types-of-E-Commerce&id=2002490
• Unique Feature of E-Commerce Technology. (2011). Retrieved October 13, 2011, from
OoCities: http://www.oocities.org/zaruliskandar/ecom8.htm
• What is E-commerce website. (2011, July 26). Retrieved November 10, 2011, from YouTube:
http://www.youtube.com/watch?v=1LD70pUE7O4
• Harvey, M. J. (2002). E-commerce. Retrieved October 29, 2011, from Encyclopedia:
http://www.encyclopedia.com/topic/e-commerce.aspx