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Building E-Commerce and
E-Learning Models
Hassanin M. Al-Barhamtoshy
hassanin@kau.edu.sa
1/7/2007 CS 483 2
Electronic Commerce (E-Commerce)
Commerce refers to all the activities the
purchase and sales of goods or services.
Marketing, sales, payment, fulfillment,
customer service
Electronic commerce is doing commerce
with the use of computers, networks and
commerce-enabled software (more than
just online shopping)
1/7/2007 3
Brief History
 1970s: Electronic Funds Transfer (EFT)
 Used by the banking industry to exchange account information over
secured networks
 Late 1970s and early 1980s: Electronic Data Interchange (EDI) for
e-commerce within companies
 Used by businesses to transmit data from one business to another
 1990s: the World Wide Web on the Internet provides easy-to-use
technology for information publishing and dissemination
 Cheaper to do business (economies of scale)
 Enable diverse business activities (economies of scope)
CS 483
1/7/2007 CS 483 4
E-commerce applications
Supply chain management
Video on demand
Remote banking
Procurement and purchasing
Online marketing and advertisement
Home shopping
Auctions
Ecommerce infrastructure
1/7/2007 CS 483 6
Information superhighway infrastructure
Internet, LAN, WAN, routers, etc.
telecom, cable TV, wireless, etc.
Messaging and information distribution
infrastructure
HTML, XML, e-mail, HTTP, etc.
Common business infrastructure
Security, authentication, electronic payment,
directories, catalogs, etc.
The Main Elements of E-commerce
1/7/2007 CS 483 7
 Consumer shopping on the Web, called B2C (business to
consumer)
 Transactions conducted between businesses on the
Web, call B2B (business to business)
 Transactions and business processes that support selling
and purchasing activities on the Web
Supplier, inventory, distribution, payment
management
Financial management, purchasing products and
information
Advantages of Electronic Commerce
1/7/2007 CS 483 8
Increased sales
Reach narrow market segments in geographically
dispersed locations
Create virtual communities
Decreased costs
Handling of sales inquiries
Providing price quotes
Determining product availability
Being in the space
1/7/2007 CS 483 9
Disadvantages of Electronic Commerce
Loss of ability to inspect products from
remote locations
Rapid developing pace of underlying
technologies
Difficult to calculate return on
investment
Cultural and legal impediments
The process of e-commerce
1/7/2007 CS 483 10
1. Attract customers
 Advertising, marketing
2. Interact with customers
 Catalog, negotiation
3. Handle and manage orders
 Order capture
 Payment
 Transaction
 Fulfillment (physical good, service good, digital good)
4. React to customer inquiries
 Customer service
 Order tracking
Web-based E-commerce Architecture
1/7/2007 CS 483 11
•Client
•Tier 1
•Web Server
•Tier 3
•Tier 2 •Tier N
•Application
Server
•Database
Server
DMS
1/7/2007 CS 483 12
E-commerce Technologies
 Internet
 Mobile technologies
 Web architecture
 Component programming
 Data exchange
 Multimedia
 Search engines
 Data mining
 Intelligent agents
 Access security
 Cryptographic security
 Watermarking
 Payment systems
Infrastructure for E-commerce
1/7/2007 CS 483 13
 The Internet
 system of interconnected networks that spans the globe
 routers, TCP/IP, firewalls, network infrastructure, network
protocols
 The World Wide Web (WWW)
 part of the Internet and allows users to share information
with an easy-to-use interface
 Web browsers, web servers, HTTP, HTML, XML
 Web architecture
 Client/server model
 N-tier architecture; e.g., web servers, application servers,
database servers, scalability
E-Commerce Software
1/7/2007 CS 483 14
 Content Transport
 pull, push, web-caching, MIME
 Server Components
 CGI, server-side scripting
 Programming Clients
 Sessions and Cookies
 Object Technology
 CORBA, COM, Java Beans/RMI
 Visual Studio .NET 2005 (ORCAS, ASP.NET, … etc)
 Technology of Fulfillment of Digital Goods
 Secure and fail-safe delivery, rights management
System Design Issues
1/7/2007 CS 483 15
Good architectural properties
Functional separation
Performance (load balancing, web caching)
Secure
Reliable
Available
Scalable
Creating and Managing Content
1/7/2007 Cs 483 16
What the customer see
Static vs. dynamic content
Different faces for different users
Tools for creating content
Multimedia presentation
Integration with other media
Data interchange
HTML, XML (Extensible Markup Language)
1/7/2007 CS 483 17
Cryptography
 Keeping secrets
 Privacy: interceptor cannot use information
 Authentication: sender’s identity cannot be forged
 Integrity: data cannot be altered
 Non-repudiation: sender cannot deny sending
 How to evaluate cryptography
 Secret key (symmetric) cryptography; e.g., DES
 Public key (asymmetric) cryptosystems; e.g, RSA
 Digital signatures, digital certificates
 Key management; e.g., PKI
18
Public-Key Cryptography
Encrypting and decrypting a message using public-key
cryptography.
Security
1/7/2007 CS 483 19
 Concerns about security
 Client security issues
 Server security issues
 Security policy, risk assessment
 Authentication methods
 Something you know: passwords
 Something you have: smart card
 Something you are: biometrics
 Firewalls, proxy servers, intrusion detection
 Denial of service (DOS) attacks, viruses, worms
1/7/2007 CS 483 20
Payment Systems
 Role of payment
 Cash
 properties: wide accept, convenient, anonymity, un-
traceability, no buyer transaction cost
 Online credit card payment, Smart Cards
 Secure protocols: SSL, SET
 Internet payment systems
 Electronic cash, digital wallets
 Micro-payments
 Wireless devices
Transactions Processing
1/7/2007 CS 483 21
Transactions and e-commerce
Overview of transaction processing
Transaction processing in e-commerce
Keeping business records, audit, backup
High-availability systems
Replication and scaling
Implementation
1/7/2007 CS 483 22
Other System Components
Taxes
Shipping and handling
Search engines
Data mining
Intelligent agents
Inventory management, enterprise
resource planning (ERP)
Customer relation management (CRM)
23
Auction (public sale) Model
eBay home page. (These materials have been reproduced by Prentice Hall
with the permission of eBay, Inc. COPYRIGHT EBAY, INC. ALL RIGHTS
RESERVED.)
24
Public Sale (Auction) Model
Placing a bid on eBay. (These materials have been reproduced by Prentice Hall
with the permission of eBay, Inc. COPYRIGHT EBAY, INC. ALL RIGHTS RESERVED.)
1/7/2007 CS 483 25
Course Outline
Overview of e-commerce
The Internet and the WWW
E-commerce software building blocks and tools
Scalability, high-performance servers, web
caching
Basic cryptography
Security, watermarking, firewalls
Payment systems
Current and future directions

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E-Commerce 0 (1).ppt

  • 1. Building E-Commerce and E-Learning Models Hassanin M. Al-Barhamtoshy hassanin@kau.edu.sa
  • 2. 1/7/2007 CS 483 2 Electronic Commerce (E-Commerce) Commerce refers to all the activities the purchase and sales of goods or services. Marketing, sales, payment, fulfillment, customer service Electronic commerce is doing commerce with the use of computers, networks and commerce-enabled software (more than just online shopping)
  • 3. 1/7/2007 3 Brief History  1970s: Electronic Funds Transfer (EFT)  Used by the banking industry to exchange account information over secured networks  Late 1970s and early 1980s: Electronic Data Interchange (EDI) for e-commerce within companies  Used by businesses to transmit data from one business to another  1990s: the World Wide Web on the Internet provides easy-to-use technology for information publishing and dissemination  Cheaper to do business (economies of scale)  Enable diverse business activities (economies of scope) CS 483
  • 4. 1/7/2007 CS 483 4 E-commerce applications Supply chain management Video on demand Remote banking Procurement and purchasing Online marketing and advertisement Home shopping Auctions
  • 5.
  • 6. Ecommerce infrastructure 1/7/2007 CS 483 6 Information superhighway infrastructure Internet, LAN, WAN, routers, etc. telecom, cable TV, wireless, etc. Messaging and information distribution infrastructure HTML, XML, e-mail, HTTP, etc. Common business infrastructure Security, authentication, electronic payment, directories, catalogs, etc.
  • 7. The Main Elements of E-commerce 1/7/2007 CS 483 7  Consumer shopping on the Web, called B2C (business to consumer)  Transactions conducted between businesses on the Web, call B2B (business to business)  Transactions and business processes that support selling and purchasing activities on the Web Supplier, inventory, distribution, payment management Financial management, purchasing products and information
  • 8. Advantages of Electronic Commerce 1/7/2007 CS 483 8 Increased sales Reach narrow market segments in geographically dispersed locations Create virtual communities Decreased costs Handling of sales inquiries Providing price quotes Determining product availability Being in the space
  • 9. 1/7/2007 CS 483 9 Disadvantages of Electronic Commerce Loss of ability to inspect products from remote locations Rapid developing pace of underlying technologies Difficult to calculate return on investment Cultural and legal impediments
  • 10. The process of e-commerce 1/7/2007 CS 483 10 1. Attract customers  Advertising, marketing 2. Interact with customers  Catalog, negotiation 3. Handle and manage orders  Order capture  Payment  Transaction  Fulfillment (physical good, service good, digital good) 4. React to customer inquiries  Customer service  Order tracking
  • 11. Web-based E-commerce Architecture 1/7/2007 CS 483 11 •Client •Tier 1 •Web Server •Tier 3 •Tier 2 •Tier N •Application Server •Database Server DMS
  • 12. 1/7/2007 CS 483 12 E-commerce Technologies  Internet  Mobile technologies  Web architecture  Component programming  Data exchange  Multimedia  Search engines  Data mining  Intelligent agents  Access security  Cryptographic security  Watermarking  Payment systems
  • 13. Infrastructure for E-commerce 1/7/2007 CS 483 13  The Internet  system of interconnected networks that spans the globe  routers, TCP/IP, firewalls, network infrastructure, network protocols  The World Wide Web (WWW)  part of the Internet and allows users to share information with an easy-to-use interface  Web browsers, web servers, HTTP, HTML, XML  Web architecture  Client/server model  N-tier architecture; e.g., web servers, application servers, database servers, scalability
  • 14. E-Commerce Software 1/7/2007 CS 483 14  Content Transport  pull, push, web-caching, MIME  Server Components  CGI, server-side scripting  Programming Clients  Sessions and Cookies  Object Technology  CORBA, COM, Java Beans/RMI  Visual Studio .NET 2005 (ORCAS, ASP.NET, … etc)  Technology of Fulfillment of Digital Goods  Secure and fail-safe delivery, rights management
  • 15. System Design Issues 1/7/2007 CS 483 15 Good architectural properties Functional separation Performance (load balancing, web caching) Secure Reliable Available Scalable
  • 16. Creating and Managing Content 1/7/2007 Cs 483 16 What the customer see Static vs. dynamic content Different faces for different users Tools for creating content Multimedia presentation Integration with other media Data interchange HTML, XML (Extensible Markup Language)
  • 17. 1/7/2007 CS 483 17 Cryptography  Keeping secrets  Privacy: interceptor cannot use information  Authentication: sender’s identity cannot be forged  Integrity: data cannot be altered  Non-repudiation: sender cannot deny sending  How to evaluate cryptography  Secret key (symmetric) cryptography; e.g., DES  Public key (asymmetric) cryptosystems; e.g, RSA  Digital signatures, digital certificates  Key management; e.g., PKI
  • 18. 18 Public-Key Cryptography Encrypting and decrypting a message using public-key cryptography.
  • 19. Security 1/7/2007 CS 483 19  Concerns about security  Client security issues  Server security issues  Security policy, risk assessment  Authentication methods  Something you know: passwords  Something you have: smart card  Something you are: biometrics  Firewalls, proxy servers, intrusion detection  Denial of service (DOS) attacks, viruses, worms
  • 20. 1/7/2007 CS 483 20 Payment Systems  Role of payment  Cash  properties: wide accept, convenient, anonymity, un- traceability, no buyer transaction cost  Online credit card payment, Smart Cards  Secure protocols: SSL, SET  Internet payment systems  Electronic cash, digital wallets  Micro-payments  Wireless devices
  • 21. Transactions Processing 1/7/2007 CS 483 21 Transactions and e-commerce Overview of transaction processing Transaction processing in e-commerce Keeping business records, audit, backup High-availability systems Replication and scaling Implementation
  • 22. 1/7/2007 CS 483 22 Other System Components Taxes Shipping and handling Search engines Data mining Intelligent agents Inventory management, enterprise resource planning (ERP) Customer relation management (CRM)
  • 23. 23 Auction (public sale) Model eBay home page. (These materials have been reproduced by Prentice Hall with the permission of eBay, Inc. COPYRIGHT EBAY, INC. ALL RIGHTS RESERVED.)
  • 24. 24 Public Sale (Auction) Model Placing a bid on eBay. (These materials have been reproduced by Prentice Hall with the permission of eBay, Inc. COPYRIGHT EBAY, INC. ALL RIGHTS RESERVED.)
  • 25. 1/7/2007 CS 483 25 Course Outline Overview of e-commerce The Internet and the WWW E-commerce software building blocks and tools Scalability, high-performance servers, web caching Basic cryptography Security, watermarking, firewalls Payment systems Current and future directions