Std 12 Computer Chapter 4 Introduction to Ecommerce (Part 1 Introduction and Application of ecommerce) by Nuzhat Memon

1. CHAPTER NO. 4

2. Introduction to E-Commerce
 We are living in the era of information.
 Information is available from sources like radio, television,
newspaper and internet.
 The availability of Internet and mobile devices has changed
the way we used to access information.
 Earlier websites were used mainly to disseminate information
about the product or organization
 Last few decades, due to tremendous development in
telecommunication infrastructure and software technologies,
Internet has become popular among the individuals and
business organizations as well.
 Today, Internet is being used by people for various purposes like
paying bills, banking and even shopping.
 Business organizations conduct activities like marketing of the
product, selling of products, providing catalogue, trading of the
stocks and customer service. The use of Internet for
conducting business activities is known as E-Commerce.

3. What is E-Commerce
• E-commerce can be defined as buying and selling of products,
services and information using electronic media like internet.
• It is a modern business methodology that addresses to the
needs of organizations, merchants and consumers in cutting
costs while improving the quality of goods and services.
• It also increases the speed of delivery.
• It allows people to rise above the barriers of time and distance
and take the benefit of global markets and business
opportunities.
• Selling the products through the websites is the fastest growing
method of trading worldwide.
• E-commerce creates a whole world of global village from where
anyone can buy anything, anytime and from anywhere.

4. Application of E-Commerce
1. Internet Bookshops
One of the first applications of E-Commerce on Internet.
First online bookstore : www.amazon.com
Customers prefer purchasing books on internet as they do not
require to be physically checked can be easily described.
Book can be easily shipped to the customers place little or no
damage to them.
Online bookstores need a good website displaying all books
category wise, picture of the cover page, description of the books
including the number of pages, price of the book, discounts and
review of other customers.
The search of a book can be made by title of the book, author’s
name or publication name.
The online bookstores may also record the customer’s interests
and inform them about new arrivals to attract and retain their
interest.
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Examples of online bookstores:
www.shopping.indiatimes.com
www.buybooksindia.com
www.bookshopofindia.com

5. 2. Electronic Newspaper
An electronic newspaper also known as E-
newspaper
It is a newspaper that exists on the Internet
in digital form.
It has advantages over the printed newspaper
and the news broadcasted on television and
radios:-
It can gives us up-to-date news on the
issues that are happening worldwide.
With the advent of digital technologies,
the browser can be set to select the news
as per the interest of the reader.
It also removes the hassle of printing
process and further help in reducing the
costs.
Example
Washington Post
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6. 3. Online Auction
One Auction is the process of buying and selling products or services by
offering the customers to bid the price and selling the products to the highest
bidder.
The traditional auctions have limited participation of people.
Today the same auction mechanism can be implemented using e-commerce
technologies which allow the people to bid on Internet, known as Online Auction.
When you place a product for auction on these sites, you are a seller. At the same
time you can also bid for a product which is place by other sellers on the site, in this
case you are a bidder.
Registration is compulsory.
 To sell an item through an online auction site, you need to first register with
the site. This is required to track the items you sell or bid on determine the
winning bids and build a database of seller and bidder feedback.
By Placing goods for auction, a person can get a good price through bidding and
once the target is reached or the time limit is over, the item is transferred to the
bidder.
The seller can get the advantage of getting best price for their products and
the bidders save the time to get the product of their choice.
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Examples :
www.eBay.com
www.mybids.in
www.ubid.com
www.onlineauction.com

7. 4. Marketing and Selling
Many companies now-a-days conduct their business of marketing &
selling of goods & services by their websites.
They provides their online product catalogue, images, videos in some
cases, brief description and features of the product.
The Customer can view the catalogue and select the products of their
choice by adding them to the shopping cart.
When finished, the final billing is done for all the products.
Similarly, in online shopping cart the customer can add the product,
review what he/she has selected, make necessary modification or
addition and finally order the products while checking out.
The payment of the purchase can also be made through Internet.
Indian Railway Website : www.irctc.co.in that gives all the information
related to various trains and provides facilities for booking tickets and
payment for it online.
Once the ticket is booked the E-copy of the ticket is send on your mail
as well as sent as an SMS on your mobile.
Examples:
homeshop18
flipkart
myntra
makemytrip
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8. 5
5. Online Billing
 In online billing, companies send their bills to customers
through E-mail.
 Once the customer receives the bills, they pay online on the
company’s website using credit card or net banking.
 Companies who need to send the bills to a large number of
customers periodically can use these facilities.
Examples : BSNL LIC
BSNL sends its customer online bills & the customers can also do online payment using internet.
6 6. Information Service
 Many organizations use the Internet to provide latest information to their
users or members.
 This includes educational institutes and universities.
 Exam results
 Online Enrolment Forms
 Examination schedule
 Seating Arrangement
 Important notices & Reminders
Another example of information services is the notices and reminders sent to
the customer by the companies or banks.

9. 77. Support Service
Today, even the simplest products utilize sophisticated electronics which
requires specialized knowledge and technical ability for maintenance and
support when any problem arise.
After selling the products, companies are providing online support to
the customers.
 For example, a company selling electronic product provides online
complaint registration to their customer, which is then forwarded
to the support engineer.
 Customers can also track the status of their complaint placed online.
 Software companies provide online support for any problem in
installation, configuration or use.
 Software vendors also allow their licensed customers to download the
recent updates of the software.
 Hardware vendors put software drives for their device so that customer
can download them by choosing proper product type and model.

10. 8. Net Banking
Net banking or Electronic banking is getting more popular day by day.
Online banking is the process of conducting the banking transactions over
the Internet.
 Check account balance at any time.
 Transfer the money from one account to other.
 Obtain statement for any credit or debit.
 Find status of transactions.
 Pay various bills online.
The customer is provided a password for online banking services with which he
logs into the bank site and performs all the banking activities from his computer
or mobile.
www.onlinesbi.comis the url of the State Bank of India
Most of the banks today provide online banking; a list of few of them is given
below:
www.centralbankofindia.co.in
www.bankofbaroda.co.in
www.iob.in
www.pnbindia.in
www.denabank.co.in
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