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E-COMMERCE
Heena Pruthi
E-Commerce Overview
Definition of E-Commerce
Brief History of E-Commerce
1
Heena Pruthi
Definition of E-Commerce
E-Commerce or Electronic commerce is a process of
buying, selling, transferring, or exchanging products,
services, and/or information via electronic networks
and computers
Heena Pruthi
Definition of Commerce
The exchange of goods and services for money
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.
Heena Pruthi
Brief History of E-Commerce
1970s
 E- commerce meant the facilitation of commercial
transactions electronically, using technology such as
Electronic Data Interchange (EDI) and Electronic Funds
Transfer (EFT), allowing businesses to send commercial
documents like purchase orders or invoices
electronically.
Heena Pruthi
Need of E-Commerce
An ecommerce website is a website which allows
your business to sell products and services to their
online audience.
These days, an increasing number of consumers
prefer making most of their purchases online
Heena Pruthi
Need of E-Commerce
Wider customer reach
Ability to be open 24/7
Better conversion rates
Easier to set up
Reduced risk
Increased profitability
Heena Pruthi
Brief History of E-Commerce (cont)..
1980s
The growth and acceptance of credit cards
Automated teller machines (ATM)
Telephone banking
Airline reservation system
2Heena Pruthi
Brief History of E-Commerce (cont)..
1990s
The Internet commercialized and users flocked to
participate in the form of dot-coms, or Internet start-
ups
Innovative applications ranging from online direct sales
to e-learning experiences
Heena Pruthi
Brief History of E-Commerce (cont)..
2000s
Many European and American business companies
offered their services through the World Wide Web.
Since then, People began to associate a word “e-
commerce”
Heena Pruthi
Types of Commerce
Commerce
Electronic
Commerce
Physical or Traditional Commerce
Internet
Commerce


Business
focused
e-commerce
Consumer focused
e-commerce
Heena Pruthi
Different types of E-Commerce
Business
(organization)
Customer
(individual)
Business
(organization)
Customer
(individual)
B2C
(e.g Amazon)
C2B
(e.g Priceline)
C2C
(e.g eBay)
B2B
(e.g TPN)
Heena Pruthi
Examples
B2C: www.amazon.com,Snapdeal,flipkart
C2C: www.eBay.com,OLX,Quiker
B2B: www.tpn.com
C2B: www.priceline.com
Let’s visit these web sites in turn and discuss its
features.
Heena Pruthi
What are the advantages of e-
commerce?
To consumers (think about the consumer buying
process: search, evaluate and execute):
To businesses (think about the common objective of
every business):
Heena Pruthi
Discussion
How should different departments participate in an
e-commerce project?
Management
Marketing
Production
Finance
Procurement
Customer support
Heena Pruthi
Transformation of a Compartmentalized
Organization into Integrated Organization
Management
Production
Department
Finance
Department
Marketing
Department
Personnel
Department
Management
Production Marketing
Finance Personnel
Heena Pruthi
Three-tier Technical
Model
Client side Service system Backend system
Server side
Heena Pruthi
Architecture of Web-
based E-Commerce
System
Backend system
Firewall
Internet
Server side
Intranet
(Secure)
Web Server Application Server
Database
Service system
Client side
Heena Pruthi
THE PROCESS OF E-COMMERCE
Heena Pruthi
E-Commerce Categories
Two major categories
Other categories
3
Heena Pruthi
Two Major Categories
Business-to-consumer (B2C) :
Online transactions are made between businesses
and individual consumers. E.g. Amazon.com,
eBay.com.
Business-to-business (B2B):
Businesses make online transactions with other
businesses.
Heena Pruthi
Other Categories
Consumer-to-consumer (C2C)
Mobile commerce (m-commerce)
4
Heena Pruthi
Benefits of E-Commerce
Benefits to organizations
Benefits to consumers
5
Heena Pruthi
Benefits to organizations
Global reach
Cost reduction
Extended hours: 24/7/365
Customization
Improved customer relations
Heena Pruthi
Benefits to consumers
More products and services
Cheaper products and services
Instant delivery
Information availability
Heena Pruthi
Business applications
Email
Instant messaging
Online shopping and order tracking
Online banking
Shopping cart software
Teleconferencing
Electronic tickets
Heena Pruthi
Online Shopping
Online shopping is the process of buying goods and
services from merchants who sell on the Internet
Online consumers are evenly split between men and
women and tend to be better educated, younger, and
more affluent than the general population
Heena Pruthi
Online Shopping (cont)..
Advantages:
24-hour access
Ability to comparison shop
The in-home privacy
Variety
6
Heena Pruthi
Online Shopping (cont)..
Favourite websites for shopping include those
featuring:
Event tickets
Online periodicals subscription
Flowers and gifts
Consumer electronics
Travel
Heena Pruthi
Online Shopping (cont)..
How do you buy something
7
Heena Pruthi
Interesting Facts and Statistics
Every 1.2 seconds, a Canadian makes a purchase with their
PayPal account
In India it is 10 sec
Almost 20 per cent of Indians make three or more online
purchases per month (till 2014).
In future it must increases…………………….
8
Heena Pruthi
Summary and Conclusion
The Internet has lead to the birth and evolution
E-commerce. E-commerce has now become a key
component of many organizations in the daily
running of their business.
As the Internet and in turn E-commerce has
developed, and continues to evolve and grow, it is
vital that any organization, in any particular
industry, must base its strategic planning around
such a rapidly growing medium.
Heena Pruthi
Model of an Electronic Exchange
Heena Pruthi
Heena Pruthi
Electronic Payment Systems (continued)
Electronic wallet: a computerized stored value that
holds credit card information, electronic cash,
owner identification, and address information
Credit card
Debit card
Smart card
Online banking and Cash On Delivery.
Heena Pruthi
ServicesOffered
Heena Pruthi

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E commerce-1,2

  • 2. E-Commerce Overview Definition of E-Commerce Brief History of E-Commerce 1 Heena Pruthi
  • 3. Definition of E-Commerce E-Commerce or Electronic commerce is a process of buying, selling, transferring, or exchanging products, services, and/or information via electronic networks and computers Heena Pruthi
  • 4. Definition of Commerce The exchange of goods and services for money 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. Heena Pruthi
  • 5. Brief History of E-Commerce 1970s  E- commerce meant the facilitation of commercial transactions electronically, using technology such as Electronic Data Interchange (EDI) and Electronic Funds Transfer (EFT), allowing businesses to send commercial documents like purchase orders or invoices electronically. Heena Pruthi
  • 6. Need of E-Commerce An ecommerce website is a website which allows your business to sell products and services to their online audience. These days, an increasing number of consumers prefer making most of their purchases online Heena Pruthi
  • 7. Need of E-Commerce Wider customer reach Ability to be open 24/7 Better conversion rates Easier to set up Reduced risk Increased profitability Heena Pruthi
  • 8. Brief History of E-Commerce (cont).. 1980s The growth and acceptance of credit cards Automated teller machines (ATM) Telephone banking Airline reservation system 2Heena Pruthi
  • 9. Brief History of E-Commerce (cont).. 1990s The Internet commercialized and users flocked to participate in the form of dot-coms, or Internet start- ups Innovative applications ranging from online direct sales to e-learning experiences Heena Pruthi
  • 10. Brief History of E-Commerce (cont).. 2000s Many European and American business companies offered their services through the World Wide Web. Since then, People began to associate a word “e- commerce” Heena Pruthi
  • 11. Types of Commerce Commerce Electronic Commerce Physical or Traditional Commerce Internet Commerce   Business focused e-commerce Consumer focused e-commerce Heena Pruthi
  • 12. Different types of E-Commerce Business (organization) Customer (individual) Business (organization) Customer (individual) B2C (e.g Amazon) C2B (e.g Priceline) C2C (e.g eBay) B2B (e.g TPN) Heena Pruthi
  • 13. Examples B2C: www.amazon.com,Snapdeal,flipkart C2C: www.eBay.com,OLX,Quiker B2B: www.tpn.com C2B: www.priceline.com Let’s visit these web sites in turn and discuss its features. Heena Pruthi
  • 14. What are the advantages of e- commerce? To consumers (think about the consumer buying process: search, evaluate and execute): To businesses (think about the common objective of every business): Heena Pruthi
  • 15. Discussion How should different departments participate in an e-commerce project? Management Marketing Production Finance Procurement Customer support Heena Pruthi
  • 16. Transformation of a Compartmentalized Organization into Integrated Organization Management Production Department Finance Department Marketing Department Personnel Department Management Production Marketing Finance Personnel Heena Pruthi
  • 17. Three-tier Technical Model Client side Service system Backend system Server side Heena Pruthi
  • 18. Architecture of Web- based E-Commerce System Backend system Firewall Internet Server side Intranet (Secure) Web Server Application Server Database Service system Client side Heena Pruthi
  • 19. THE PROCESS OF E-COMMERCE Heena Pruthi
  • 20. E-Commerce Categories Two major categories Other categories 3 Heena Pruthi
  • 21. Two Major Categories Business-to-consumer (B2C) : Online transactions are made between businesses and individual consumers. E.g. Amazon.com, eBay.com. Business-to-business (B2B): Businesses make online transactions with other businesses. Heena Pruthi
  • 22. Other Categories Consumer-to-consumer (C2C) Mobile commerce (m-commerce) 4 Heena Pruthi
  • 23. Benefits of E-Commerce Benefits to organizations Benefits to consumers 5 Heena Pruthi
  • 24. Benefits to organizations Global reach Cost reduction Extended hours: 24/7/365 Customization Improved customer relations Heena Pruthi
  • 25. Benefits to consumers More products and services Cheaper products and services Instant delivery Information availability Heena Pruthi
  • 26. Business applications Email Instant messaging Online shopping and order tracking Online banking Shopping cart software Teleconferencing Electronic tickets Heena Pruthi
  • 27. Online Shopping Online shopping is the process of buying goods and services from merchants who sell on the Internet Online consumers are evenly split between men and women and tend to be better educated, younger, and more affluent than the general population Heena Pruthi
  • 28. Online Shopping (cont).. Advantages: 24-hour access Ability to comparison shop The in-home privacy Variety 6 Heena Pruthi
  • 29. Online Shopping (cont).. Favourite websites for shopping include those featuring: Event tickets Online periodicals subscription Flowers and gifts Consumer electronics Travel Heena Pruthi
  • 30. Online Shopping (cont).. How do you buy something 7 Heena Pruthi
  • 31. Interesting Facts and Statistics Every 1.2 seconds, a Canadian makes a purchase with their PayPal account In India it is 10 sec Almost 20 per cent of Indians make three or more online purchases per month (till 2014). In future it must increases……………………. 8 Heena Pruthi
  • 32. Summary and Conclusion The Internet has lead to the birth and evolution E-commerce. E-commerce has now become a key component of many organizations in the daily running of their business. As the Internet and in turn E-commerce has developed, and continues to evolve and grow, it is vital that any organization, in any particular industry, must base its strategic planning around such a rapidly growing medium. Heena Pruthi
  • 33. Model of an Electronic Exchange Heena Pruthi
  • 35. Electronic Payment Systems (continued) Electronic wallet: a computerized stored value that holds credit card information, electronic cash, owner identification, and address information Credit card Debit card Smart card Online banking and Cash On Delivery. Heena Pruthi

Editor's Notes

  1. Sellers are generally recognized in two different forms: retailers who sell directly to consumers and wholesalers or distributors who sell to retailers A producer is always, by necessity, a seller as well. The producer sells the products produced to wholesalers, retailers or directly to the consumer. and other businesses.