15-01-2014, 03:19 PM
Overview of E-Commerce
What is E-Commerce?
E-Commerce is the buying and selling of products, information and services over internet
Products: Electronics, books, furniture
Information: Job sites, market statistics (Forrester)
Services: Banking, Medical, legal advice, stock trading
What is E-Business?
E-business is a broader category or super set of ECom. Transaction may or may not be commercial
All transactions part of EC belong to EB
Ex
Free sample video clips
conducting e-learning
conducting e-transactions within an organization etc.
Benefits/Advantages
Distance does not matter
Online store works round the clock
Extends reach beyond physical outlets
Cost of e-com website less than opening a store
Easy to add/remove products (no new brochure needed)
Access to global customer base (new markets)
Disadvantages
Can not touch, feel the merchandise
Companies don’t know how to setup an e-store
No sales person to guide
Computer use is not common in developing nations
Target group not universal– young & educated mostly
Lack of universally accepted security standards
Perception that EC is unsecure
E-Commerce Life Cycle
Order & Demand capture
Sourcing
Procurement
Fulfillment
Logistics
Payment
Customer Relationship Management