2.2) E - business & E - Commerce

E - Business

Conducting all the business activeities electronically

Sub sections of E- Business

• E- Commerce (Main sub section)

• E - Communication

• E- Banking

• E- Money

• E- Retail

• E- marketing

E - Commerce

Using electronic systems such as the internet and other computer networks to buy & sell goods or services

E- Commerce could be categorized such as (Highly tested)

• Business to business (B to B)

  Ali Baba

• Business to Customer (B to C)

  Ali express

• Customer to Customer (C to C)

  Facebook market place

• Business to Government (B to G)

• Government to Business (G to B)

• Government to Citizen (G to C)

Process of e- commerce

• Business facilities (websites, electronic payments)

• Infrastructure related with e- commerce (internet, email)

• Parties involve with e commerce (buyers & sellers), delivery

• Others (Partners, Government)

Steps involved in implementing an e- commerce platform

1. Development

2. Customer visits (explores)

3. Transactions (exchange)

4. Delivery (courier)

Characteristics os an e- commerce transaction

• The product can not be examined physically

• Mode of language is English in most cases

• Electronic signatures and cash are used (e-money)

• Product will be delivered through courier services

Benefits of e- commerce to business

• Business will have access to wider market (local & International)

• Can operate 24/7

• Can eliminate over head cost such as rent, electricuty and many more

• Can generate high revenue and profit

• Business can grow and expand

• Can maintain direct relationship with customers

Benefits of e- commerce to customers

• Can transact 24/7

• Increase convenience

• Greater variety of products available

• Product is delivered to customer’s door step

• Payments ca be made elctronically

• Products can be purchased at a low price

• CUSTOMER REVIEWS AND FEEDBACKS WILL BE AVAILABLE

Benefits of e- commerce to society

• New job opportunities can be created

• Generates BUSINESS opportunities to many Sri Lankans

• Increasing living standards

• Urbanaization can be minimized

Limitations of e-commerce

TECHNOLOGICAL LIMITATIONS	NON TECHNOLOGICAL LIMITATIONS
High initial investment	No physical inspection of products
Complications involved with hardware & software (tech requirements)	No real time shopping experiences
System failures (technical issues)	No opportunities to negotiate or bargain
Cyber crime (hacking & viruses)	Lack of knowledge & awareness about ecommerce systems

reasons that lead to rapid development & popularity of E-commerce

• Technological advancement

• Globalization

• Increase computer literacy

• Effiicient business activities

• Increased convenience to consumers

• Emergence of global market space

• Minimizing operation cost