E-Commerce

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E-Commerce
Thuyduong Nguyen IT 3700-02 Spring 2003 April 28,
2003
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Introduction

• E-Commerce is sharing business information,
  maintaining business relationships and conducting
  business transaction by means of
  telecommunications network
• It is conducting the exchange of information
  using a combination of structures and
  unstructured messages across the entire range of
  networking technologies
• The Internets WWW has been the prime driver of
  contemporary E-commerce
• E-commerce enables organizations of all sizes and
  in all market sectors to improve their
  competitiveness

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Traditional vs. Electronic

• Traditional commerce
• Firms engages in many other activities in
  addition to buying and selling their product
• Traditional commerce include buyers and sellers
  using old fashion method to do business

• Electronic Commerce
• Firms has used various electronic communications
  tools to conduct different kinds of business
  transactions.
• Electronic Commerce use technology to moves
  people around the world

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Advantages of E-Commerce

• Increase sales and decrease sales costs
• A small firm's promotional message out to
  potential customers in every country in the world
  with good ad
• Reach narrow market segments that are
  geographically scattered
• Increases sales opportunities for seller, it also
  increases purchasing opportunities for the buyers
• Businesses can identify new suppliers and
  business partners
• Provides buyers with a wide range of choices than
  traditional commerce

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Benefits for general welfare of society

• Electronic payments of tax refund, public
  retirement, and welfare support cost less to
  issue and arrive securely and quickly when
  transmitted over the Internet
• Electronic payments can be easier to audit and
  monitor than payments made by check, providing
  protection against fraud and theft losses
• Electronic commerce enables people to work form
  home

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Disad. of Electronic Commerce

• Many products and services require that a
  critical mass of potential buyers be equipped and
  willing to buy through the Internet.
• Costs and benefits have been hard to quantify
• Many firms have had trouble recruiting and
  retaining employees with the technological,
  design, and business process skills needed to
  create an effective electronic commerce
• Firms also have difficulty of integrating
  existing database and transaction-processing
  software designed for traditional commerce into
  the software that enables electronic commerce
• Firms also face cultural and legal obstacles to
  conducting electronic commerce
•  

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Main Areas of E-Commerce

• Business to Business (B2B)
• Business to Consumer (B2C)
• Business to Government/Government to Business
  (B2G/G2B)

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Benefits of E-Commerce

• The market for a Web based is not bound by any
  geographical constraints
• The transaction cost go down tremendously in a
  well set up site
• Better, more inviting, convenient and
  comprehensive presentation of goods is conducive
  to greater sales
• Small and large firms alike have the opportunity
  to set-up and conduct business on the internet.
• An inexpensive advertising medium for
  organizations, it allows organizations an
  opportunity for publicizing their products and
  services at minimal cost.

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Barriers to E-Commerce

• Access and Connectivity
• Authentication and Standardization
• Cyber Laws
• Technology

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Promise Threat

• Impact and Issues of Electronic Commerce
• The business, societal, and research problematic
  of E-commerce spans an immense range, which
  reflects the depth of change being caused by this
  rapidly expanding mode of doing business.
• Limitations and Asymmetries of Infrastructure
• The infrastructure of the Internet, which acts as
  the current global information infrastructure,
  has acknowledged problems.
• The issues turn on the provision of sufficient
  band width for the surging use that is also
  moving to multimedia transmissions, and on the
  problems fostered by the decentralized nature of
  the Internet.

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Risks in E-Commerce

• Business practices
• Information protection
• Transaction Integrity
• Privacy and Trust
• Global Efforts Towards Retaining Privacy
  Building Trust
• Web Trust
• TRUSTe
• P3P (Privacy Preferences Project)

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E-commerce Statistics
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B2C
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E-commerce Statistics
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Tradnl vs. Online Graphs
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E-commerce Statistics
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Worldwide E-commerce Revenues
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E-commerce Statistics
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Commerce Enabled Web Sites
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Preferences

• Business and Technology Electronic Commerce
  (http//www.e-centre.org.uk/products_buiness
  tech_ecommerce.htm)
• Western Australia E-Commerce Centre
  (http//www.ecommercecentre.online.wa.gov.au/gover
  nment/egov-what.htm)
• E-commerce Security (http//www.ftc.gov/bcp/menu-
  internet.htm)
• Business to Business Marketplace
  (http//www.traderinasia.com/b2bverticalmarketplac
  e.html)