E-Commerce:

Fundamentals and Applications

Chapter 1 : Introduction

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

Outline

Electronic commerce and physical commerce

The DIGITAL phenomenon
Looking at e-commerce from different perspectives
Different types of e-commerce
Examples of the types of e-commerce
Some e-commerce scenarios
Effect of e-commerce
Advantages of e-commerce
Myths about e-commerce development and implementation
System model of this book

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

Types of Commerce
Commerce

Electronic
Commerce

Internet
Commerce

Business
focused
e-commerce

Physical or Traditional Commerce

Consumer focused
e-commerce

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

Digital Phenomenon

What do you think?

What are the drivers of e-commerce?
Data networks
Intense competition
Globalization
Information age
Technologies
Automation
Low cost high quality products/services

DIGITAL

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

E-commerce from different perspectives

Three layer models for e-commerce (e.g. Zwasss

model).
E-business: a wider perspective than e-commerce.
E-commerce improves the value chain.
E-commerce provides an effective tool for building,
managing and enhancing these relationships.

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

Different types of E-Commerce

Business
(organization)

Customer
(individual)

Business
(organization)

B2B
(e.g TPN)

B2C
(e.g Amazon)

Customer
(individual)

C2B
(e.g Priceline)

C2C
(e.g eBay)

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

Examples

B2C: www.amazon.com
C2C: www.eBay.com
B2B: www.tpn.com
C2B: www.priceline.com

Lets visit these web sites in turn and discuss its features.

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

E-commerce scenarios

Retailing
Servicing
Publishing
Supply chain management

Discussion: How are they changing?

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

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):

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E-Commerce: Fundamentals and Applications

Wiley and the book authors, 2001

Discussion

How should different departments participate in an ecommerce project?

Management
Marketing
Production
Finance
Procurement
Customer support

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Transformation of a
Compartmentalized Organization into
Integrated Organization

Production

Management

Marketing

Management
Production
Department

Marketing
Department

Finance
Department

Personnel
Department
Personnel

Finance

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Three-tier Technical Model

Server side

Client side

Service system

Backend system

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Wiley and the book authors, 2001

Architecture of Web-based ECommerce System

Backend system

Service system
Web Server

Application Server

Database

Internet

Intranet
(Secure)

Firewall

Client side

Server side

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Wiley and the book authors, 2001