An important element of business gaining importance to consumers, business organization and society. Having its limitations, though widely used.

1. Mrs. LUBNA SURAIYA MBA., M.Com., DIT., M.Phil., (PGDE).,
Former Assistant Professor,
Department of Commerce,
Loyola College, Vettavalam,
Thiruvannamalai District.
Email : lubnasadiyah@gmail.com

2. INTRODUCTION TO E COMMERCE

3. TERMINOLOGY
Commerce
A division of trade i.e.., the activity of buying and selling or exchange
of goods and services and production on a large scale which deals with
producers to final consumers.
E- Commerce
Commercial transactions of buying and selling of goods and services
online, transmitting of funds / data over an electronic network primarily the
internet allowing the consumers with no barriers of time and distance using
technologies like Mobile Commerce, Internet Marketing, Inventory
Management, Electronic Data Interchange (EDI) , Automated Data Collection,
Electronic Fund Transfer (EFT), e-mail, Supply Chain Management (SCM)
etc.

4. E-COMMERCE Vs E-BUSINESS
Basis of Comparison E-Commerce E-Business
Meaning
Trading of merchandise
over the internet
Running business using
internet
Nature of Transactions Commercial Business
Approach Extroverted Ambiverted
Requirement Website Website, CRM, ERP etc
Network Internet Internet, Intranet and
Extranet
Set Subset Superset
Monetary based Yes No

5. BIRTH OF E-COMMERCE

7. 8 FEATURES OF E-COMMERCE
1. Ubiquity: The commercial transaction is available at any time from
anywhere in the world 24X7.
2. Global Reach: Across Cultural/ National boundaries.
3. Universal Standards: Operates on standard platforms with agreed methods
and systems.
4. Information Density: Updated content available on internet and used by
the consumers.
5. Interactivity: Relationship and two-way communication to the consumer
like SMS, Voice Messages, Videos, text, pictures, sound links etc.
6. Richness: Pop-Up Advertising with animations.
7. Social Networking: Using Social media according to changes in the
industry.
8. Customization: Personalization.

8. IMPACT OF E-COMMERCE
Eliminate
Middlemen /
Mediation
Process
Faster
gaining of
Technical
Knowledge
Develop
Product
Lines and
identify
growth areas
Small & Medium
size Enterprises

9. ADVANTAGES OF E-COMMERCE
Organization
Consumers
Society
Advantages

10. I BENEFITS TO ORGANIZATION
Expand markets nationally and internationally with minimum capital investments.
Improve the brand image of the company.
Simplify business process faster and efficiently.
Reduces much of the paper work.
Able to retrieve digitalize the information.
Locate more customers and business partners across the globe.
Uses Just In Time (JIT) system of manufacturing.
Increases competitions among other organizations.
Track on Consumers’ buying habits and scalability of market segments.
Products get automated and instant report generated.
Improved Sales version.

11. II BENEFITS TO CUSTOMERS
24X 7 customers can do transactions an also make an enquiry.
Offer Product Datasheets ( Online Product Catalog).
Readily available information.
Provides options for virtual auctions.
Quicker delivery of products.
Can see the review comments of other customer before making a final buy.
Provides substantial discounts frequently.
Decrease the cost (advertising, marketing, personnel, allowance and inventory
management by direct sales).
Customer Engagement and centric.
Non-Cash Payment uses debit cards, credit cards, smart cards, electronic
fund transfer via bank’s website and other electronic mode of payments.

12. III BENEFITS TO SOCIETY
No need to travel and minimum usage of transport avoiding air pollution.
Economical affluent people can also buy.
Enabled rural areas.
Provides employment opportunities by being at home.
Reduces regional imbalances (revenue is generated).
Availability of goods and no shortage cited.
Fosters expansion in National Income (NY) due to volume of production.
Promotes cordial relationships by exchanging gifts, messages and being united.
Source of entertainment and relaxation by downloading music, videos and movies.
Aiding Government to deliver public services like healthcare, education and other
social services.

13. DISADVANTAGES OF E-COMMERCE
Internet Connection Required Access to some Device

14. Site Crash / Connectivity Problems
Downloading Problems

15. Pop-Up Ads Wrong Product Description
Substandard Quality

16. Delay in delivery Non-accessability in Remote Areas
S
E
C S
U E
R U
I S
T S
Y I

17. Hidden Costs Unexpected Locations

18. VIDEO ON
ENTREPRENEURS
USING E-COMMERCE

19. DIAGRAMATIC SKETCH ON TYPES OF E-COMMERCE
1. BUSINESS TO BUSINESS (B2B)
When transactions take place between 2 business.
Example : 1) Intel selling microprocessor to Dell.
2) Heinz selling ketchup to Mc Donalds.
Wholesalers
Business
Customers
Website
Sells
Orders
OrderProcessing

20. 2. BUSUNESS TO CONSUMERS (B2C)
When a business sells products or services to consumers directly over the internet.
Examples : Walmarrt, IKEA
Business
WebsiteCustomers
Orders
Order
Processing

21. 3. BUSINESS TO GOVERNMENT
When a Government company uses the internet to purchase goods and services from
a business.
Example : Digital India
Business Organization
Website
Government

22. 4. CONSUMER TO BUSINES (C2B)
When a consumer selling products or services to business.
Example : Online survey regarding the opinion about the product.
5. CONSUMER TO CONSMER (C2C)
When a consumer sells products to another consumers.
Example : e-bay
Customer 1 Customer 2
Receives the product
Receives money
Website
Places
Ad

23. 6. CONSUMERS TO GOVERNMENT (C2G)
When a consumer provide their services to the Government .
Examples : Car Renewal, Registration, Aadhaar Cards, Applying for Community,
Nativity, Income Certificate , Passport Seva Kendra etc.
7. GOVERNEMET TO CONSUMERS (G2C)
When a company pays for the Government could be goods, services or fees online .
Example : Business paying taxes using the internet .
Government Website
End-
Users

24. 8. GOVERNMENT TO BUSINESS (G2B)
Government
Website Business
Organization
When Government uses the online mode or the websites of business
organizations to avail products or services.

25. TRADITIONAL Vs E-COMMERCE

26. PROCESS OF E-COMMERCE

27. DRIVEN FACTORS FOR E-COMMERCE
Internal / Micro Factors
• Value System ( Regulatory
Framework)
• Capital Structure of Companies
• Missions and Objectives
• Mutual relationships
• Internal Strata (Brand)
• Suppliers
• Political Structure
• Economic Reforms
• Social Cultural Changes
• Technological Advancements
• Industrialization
• Globalization
• Innovation & Creativity
• Demographic Sequence
• Taxonomy & Exchange Rates
• Increased Production
• Marketing Intermediaries
• Competitors
External / Macro Factors

28. STATISTICAL DATA ON E-COMMERCE

29. VIDEO
OF
TWO YOUNG INDIAN

30. E-COMMERCE GROWTH IN INDIA

31. E-COMMERCE INDIAN MARKET

32. CONCLUSION
The e-Commerce sector has seen unprecedented growth in 2014 driven by
rapid technology adoption. Furthermore, favoured demographics and a growing
internet users, the competition is expected to intensify at international players such as
Flipkart, Snapdeal, Amazon and Alibaba. Indian companies realizing on innovative
multiple customer touch points companies experimenting the Indian government’s
ambitious Digital India project and the modernization of India Post will also affect the
e-Commerce sector. The programme will give a strong boost to the e-Commerce
market as bringing the internet and broadband to remote corners of the country will
give rise to an increase in trade and efficient warehousing and will also present a
potentially huge market for goods to be sold. More e-Commerce companies from
India entering the coveted billion-dollar club. For India Post, the government is keen
to develop its distribution channel and other e-Commerce related services as a major
revenue model going ahead, especially when India Post transacted business worth 280
crores INR in the cash-on-delivery (CoD) segment for firms such as Flipkart,
Snapdeal and Amazon.

33. ABC LEARNING
1. The best products o sell in B2C e-commerce are
(a) Digital Products
(a) Small Product
(b) Specialty Products
(c) Fresh Products
2. Which type of e-commerce application does application auctions is
(a) C2B
(b) C2C
(c) B2B
(d) B2C
3. Before developing website, you must know about the site’s target
________________.

34. 4. In SET protocol a customer encrypts credit card number using
(a) Private Key
(b) Bank’s Private Key
(c) Bank’s Public Key
(d) Merchant’s Public Key
5. The best example of B2C is _______________.
6. Facebook is both the leading social ______________ and social ___________
site.
7. M-Commerce stands for ________________.
8. The total amount and quality of information available to all market
participants is called ______________.