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What is e-commerce?

Electronic commerce or e-commerce refers to


a wide range of online business activities for
products and services. It also pertains to “any
form of business transaction in which the
parties interact electronically rather than by
physical exchanges or direct physical contact.
What are the different types of
e-commerce?
 Business-to-business (B2B)

 Consumer (B2C)

 Business-to-government (B2G)

 Consumer-to-consumer (C2C)

 Mobile commerce (m-commerce).


What is B2B e-commerce?

B2B e-commerce is simply defined as e-


commerce between companies. This is the
type of e-commerce that deals with
relationships between and among
businesses. About 80% of e-commerce is of
this type, and most experts predict that B2B
e-commerce will continue to grow faster
than the B2C segment.
What is B2C e-
commerce?
Business-to-consumer e-commerce, or
commerce between companies and
consumers, involves customers gathering
information; purchasing physical goods or
information goods and, for information
goods, receiving products over an
electronic network.
What is B2G e-
commerce?

Business-to-government e-commerce or
B2G is generally defined as commerce
between companies and the public sector. It
refers to the use of the Internet for public
procurement, licensing procedures, and
other government-related operations
What is C2C e-
commerce?
Consumer-to-consumer e-commerce or
C2C is simply commerce between private
individuals or consumers.
EARLY DEVELOPMENT
 Facilitationof commercial transactions
electronically, using Electronic Data
Interchange (E.D.I), and Electronic Funds
Transfer (E.F.T).
 Automated teller machines (A.T.M), and net
banking, phone banking.
 Online shopping and important concept of E-
commerce invented by Michael Aldrich in UK in
1981.
 Online banking used by companies and world
famous brands like Ford, Peugeot, Nissan
initially.
o From 1990’s E-commerce additionally
included Enterprise Resource Planning
Systems (E.R.P.S), data mining and data
warehousing.
o By year 2000 many world wide European and
American based companies offered services
through World Wide Web (WWW).
o People began to associate a word
"ecommerce" with the ability of purchasing
various goods through the Internet using
secure protocols and electronic payment
services.
TIMELINES
 1979-Online shopping invented in UK.
 1990-Tim Berners Lee writes the first web browser, World
wide web using a next computer.
 1992: J.H. Snider and Terra Ziporyn publish Future Shop:
How New Technologies Will Change the Way We Shop and
What We Buy.
 1994: Netscape releases the Navigator browser in October
under the code name Mozilla. Pizza Hut offers pizza ordering
on its Web page. The first online bank opens. Attempts to
offer flower delivery and magazine subscriptions online.
Netscape 1.0 is introduced in late 1994 SSL encryption that
made transactions secure.
 1995: Jeff Bezos launches Amazon.com and the first
commercial-free 24 hour internet. Dell and Cisco begin to
aggressively use Internet for commercial transactions. EBay
is founded by computer programmer Pierre Omidyar as
Auction Web.
 1998: Electronic postal stamps can be purchased
and downloaded for printing from the Web.
 1999: Business.com sold for US $7.5 million to E-
Companies, which was purchased in 1997 for US
$149,000. The peer-to-peer files sharing software
Napster launches. ATG Stores launches to sell
decorative items for the home online.
 2002: eBay acquires PayPal for $1.5 billion.
 2007: Business.com acquired by R.H. Donnelley for
$345 million.
 2008: US eCommerce and Online Retail sales
projected to reach $204 billion, an increase of 17
percent over 2007.
ROLE OF E-COMMERCE
IN BUSINESS
 Online Shopping
 Online Banking
 Online Office suite
 Online Payment system
 Online Electronic ticket
ROLE OF E-COMMERCE
IN BUSINESS
 Online Shopping
 Online Banking
 Online Office suite
 Online Payment system
 Online Electronic ticket
ONLINE SHOPPING
ONLINE BANKING
ONLINE OFFICE SUITE
ONLINE PAYMENT
SYSTEM
ONLINE ELECTRONIC
TICKETTING
GOVT. REGULATIONS
 In the United States, some electronic commerce
activities are regulated by the Federal Trade
Commission (FTC).
 Activities include the use of commercial e-mails, online
advertising and consumer privacy.
 The Federal Trade Commission Act regulates all forms
of advertising, including online advertising, and states
that advertising must be truthful and non-deceptive.
 Using its authority under Section 5 of the FTC Act,
which prohibits unfair or deceptive practices, including
promises about the security of consumers’ personal
information. As result, any corporate privacy policy
related to e-commerce activity may be subject to
enforcement by the FTC.
ADVANTAGES OF E- COMMERCE

ØBeing able to conduct business 24 x 7 x 365

ØAccess the global marketplace

ØSpeed

ØMarket space

ØOpportunity to reduce costs

ØAllowing customer self service and 'customer


outsourcing‘
DISADVANTAGES OF E-
COMMERCE
ØTime for delivery of physical products

ØPhysical product, supplier & delivery uncertainty

ØPerishable goods

ØReturning goods

ØPrivacy, security, payment, identity, contract

ØDefined services & the unexpected

ØSize and number of transactions


CONCLUSION
ØIt is basically a wide range of online business for
activities products and services
ØE-commerce is usually associated with buying
and selling over the Internet
ØIt has some distinction with E-Business
ØComponents for fueling E-Commerce i.e.
economic forces, market forces and technology
forces

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