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E-commerce

Please discontinue use of cell phone and turn off ringer. Chapter 8. E-commerce. Roots of E-commerce Overview of Electronic Commerce E-commerce Applications Mobile Commerce E-commerce Implementation. E-commerce.

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E-commerce

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  1. Please discontinue use of cell phone and turn off ringer Chapter 8 E-commerce Roots of E-commerce Overview of Electronic Commerce E-commerce Applications Mobile Commerce E-commerce Implementation

  2. E-commerce • E-Commerce refers to systems that support electronically executed business transactions • Although e-commerce covers all forms of electronic transactions, it is typically used in reference to Internet-based transactions.

  3. E-commerce Food for thought and discussion… www.arcticways.com How do you think ArcticWays.com has impacted the life of villagers in bush Alaska and benefited the world?

  4. Key Terms • E-commerce • Electronic Data Interchange (EDI) • Transaction • Transaction Processing System (TPS) 7.1 The Roots of E-commerce

  5. E-commerce History

  6. Electronic Data Interchange (EDI) • EDI uses private communications networks called value-added networks (vans) to transmit standardized transaction between partners and suppliers. Many EDI applications are moving from VANs to the Internet

  7. Transaction Processing • A transaction is an exchange or transfer of goods, services, or funds • A Transaction Processing System (TPS) is an information system that supports and records transactions.

  8. Transaction Processing • Data collected in Transaction Processing Systems feeds into more sophisticated Management Information Systems (MIS’s) to provide useful information.

  9. Transaction Processing Cycle • Data Collection • Data Editing • Data Correction • Data Manipulation • Data Storage • Data Output

  10. Transaction Processing Systems • There are a variety of TPS’s that serve various functions within an organization.

  11. Key Terms • Business-to-consumer E-commerce (B2C) • Business-to-business E-commerce (B2B) • Consumer-to-consumer E-commerce (C2C) • Supply Chain Management 7.2 Overview of E-commerce

  12. Types of E-commerce • Business-to-consumer (B2C) • Business-to-business (B2B) • Consumer-to-consumer (C2C) Which is used most?

  13. B2B Rules!

  14. Buyer’s Perspective Consider how these activities are supported in e-commerce.

  15. Seller’s Perspective Consider how these activities are supported in e-commerce. • Market Research • Product/Service Production • Marketing and advertising • Payment support • Delivery • After-sales support Supply Chain Management

  16. Benefits and Challenges • Farmyard Nurseries -Taking the business online expanded its market from primarily local customers to customers all around the world. • Consider how this must have effected operations. www.farmyardnurseries.co.uk

  17. Benefits and Challenges • In order to save its technology-threatened business, Kodak changed its image from a film company to a digital picture company. www.kodak.com

  18. Key Terms • E-tail • Electronic Exchange 7.3 E-commerce Applications

  19. Retail E-Commerce • E-tailing has dramatically influenced the way people shop by providing customers with product information and the ability to comparison shop. www.mysimon.com www.nextag.com www.dealtime.com www.pricescan.com www.pricegrabber.com

  20. Online Clearinghouses, Auctions, and Marketpaces • Online clearinghouses, Web auctions, and marketplaces provide a platform for businesses and individuals to sell their products and belongings. www.ubid.com www.ebay.com

  21. B2B Global Supply Management • Global supply chain management (GSM) provides methods for businesses to find the best deals on the global market for raw materials, and supplies needed to manufacture their products. www.ariba.com

  22. Electronic Exchanges • An electronic exchange is an industry specific Web resource created to provide a convenient centralized platform for B2B e-commerce among manufacturers, suppliers and customers. www.covisint.com www.worldwideretailexchange.org

  23. Marketing • The Web is used for unsolicited advertising, solicited product information, and market research. The Web empowers marketers (www.doubleclick.com) …

  24. Marketing • The Web is used for unsolicited advertising, solicited product information, and market research. …and consumers.

  25. Banking, Finance, and Investment • Many banking, finance and investment transactions now occur online.

  26. Key Terms • M-commerce • Proximity payment system 7.4 Mobile Commerce

  27. M-commerce • M-commerce is a form of e-commerce that takes place over wireless mobile devices such as handheld computers and cell phones. www.luckymag.com • Popular m-commerce products and services include ring tones, games, music, videos, messaging services, etc.

  28. M-commerce Technology • Wireless Application Protocol (WAP) used to create m-commerce applications. • Wireless Markup Languages (WML) used to create Web pages and applications for small displays. • Infrared and Bluetooth for close range, device-to-device communications.

  29. M-commerce Delivery • Through cell phone service provider • Over the mobile Web • Through SMS Texting • Through short-range wireless data communictaions U.S. wireless music market to surge to $1.2 billion by 2009. GPS technology will lead to location-based m-commerce applications.

  30. Proximity payment systems • Proximity payment systems make use of Infrared, Near Field Communication (NFC), or RFID technologies to support contactless payments using a cell phone. www.vivotech.com/products/vivo_wallet

  31. Key Terms • E-commerce host • Web services • E-cash • Smart card • Digital Certificate • Encryption 7.5 E-commerce Implementation

  32. E-commerce Host • An e-commerce host is a company that takes on some or all of the responsibility of setting up and maintaining an e-commerce system for a business or organization. $49.95 per month

  33. E-commerce Host • Office depot contracted IBM to design and implement its B2B/B2C system.

  34. E-commerce Implementation • E-commerce implementation requires investment in: • Infrastructure • Hardware and Networking • Software E-tailers like Amazon custom build their Web sites for each registered visitor.

  35. Web Services • Web services are programs that automate tasks by communicating with each other over the Web. www.w3.org/2002/ws/ http://en.wikipedia.org/wiki/Web_service http://msdn.microsoft.com/webservices/ http://java.sun.com/webservices/

  36. Building Traffic 3 C’s – Content, Community, & Commerce

  37. Payment Systems • Credit card transactions

  38. Payment Systems • E-cash is a Web service that provides a private and secure method of transferring funds from a bank account or credit card to online vendors or individuals for e-commerce transactions. www.paypal.com

  39. International Markets www.landsend.com http://www1.landsend.co.jp http://www1.landsend.de Through a process called localization, companies hire international Web developers to assist with translating Web site content into different languages for different cultures.

  40. Security Issues • Identity Verification • A digital certificate is a type of electronic business card that is attached to Internet transaction data to verify the sender of the data. [www.verisign.com] • Encryption uses high-level math functions and computer algorithms to encode data. Cardswipe Keyboard

  41. Don’t forget to turn your phone on!! Chapter 8 Questions?

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