Electronic Commerce

E-Business

all activities a company performs in selling & buying products & services using computers & communication technologies

E-Commerce

marketing, buying, selling, payment, delivery & serving & of products/services/information over a network

Transaction Processing System

type of information system that collects, stores, modifies & retrieves the data transactions of an enterprise

Value Chain

series of activities designed to meet business needs by adding value in each phase of the process

Primary Activities

• inbound logistics

• operations

• outbound logistics

• marketing & sales

• service

Internet

• increases the speed & accuracy of communication between suppliers, distributors & customers

• low cost means companies of any size can participate in value chain integration

E-Commerce enhances a value chain

• offers new ways to reduce costs or improve operations

  • email instead of mail

  • selling online instead of physcial

  • offering online customer service

E-Commerce Advantages

• enhances relationships w/suppliers, customers & business partners

• price transparency

• operates around the clock/globe

• gathers more information on potential customers

• increases customer involvement

• improves customer service

• increases flexibility, ease of shopping, # of customers, opportunities for collaboration w/business partners

• increases return on investment; inventory needs are reduced

• offers personalized services & product customization

• reduces administrative & transaction costs

E-Commerce Disadvantages

• bandwidth capacity problems in some parts of the world

• security & privacy issues

• accessibility

• acceptance

B2C (Business-to-Consumer )

• connects individual consumers w/sellers

• Click-and-brick e-commerce: mixes traditional commerce and e-commerce

B2B (Business-to-Business)

• Involves electronic transactions between businesses

• Electronic data interchange (EDI)

• Electronic funds transfer (EFT)

C2C (Consumer-to-consumer)

• Involves business transactions between users

• Includes the use of online classified ads or online auction sites

C2B (Consumer-to-Business)

• involves people selling products or services to businesses

Mobile Commerce (m-commerce)

E-commerce that takes place over wireless mobile devices

AR (Augmented Reality)

real world objects are enhanced by computers