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eCommerce

eCommerce. Presented By: Henry Vasquez Collene Kelly Vinh Phan Tanya Lastrilla . Outline. History of Ecommerce Online Ecommerce Sites SCM & Its Technologies Security of Ecommerce Demand of Ecommerce Pros & Cons of Ecommerce. What is eCommerce?.

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eCommerce

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  1. eCommerce Presented By: Henry Vasquez Collene Kelly Vinh Phan Tanya Lastrilla

  2. Outline • History of Ecommerce • Online Ecommerce Sites • SCM & Its Technologies • Security of Ecommerce • Demand of Ecommerce • Pros & Cons of Ecommerce

  3. What is eCommerce? The Buying and Selling of goods over the internet.

  4. History • 1960 - Computers first made their way into commercial applications in the with ERMA (the Electronic Recording Machine Accounting). • 1970s and 1980s - businesses extended their computing power beyond the company's walls, sending and receiving information with business partners and suppliers electronically via EDI. - 1984 – EDI or electronic data interchange guarantees that companies would be able to complete transactions with one another reliably.

  5. History continued… • 1992 - offers online retail products to its customers. This gives people the first chance to buy things off their computer. • 1994 - arrived. Providing users a simple browser to surf the Internet and a safe online transaction technology called Secure Sockets Layer. • 1995 - Two of the biggest names in e-commerce are launched: Amazon.com and eBay.com.

  6. Supply Chain Management

  7. Reason to Adapt SCM • Meet customers’ satisfaction • Reduce Cost • Gain competitive advantage

  8. Supply Chain Management • Sharing inventory with its loyalty suppliers. • The suppliers use the same software that Dell use to manage its inventory. • Share demand forecast with suppliers on monthly basis.

  9. I2 Technology • i2 technology is the new tool for the new generation of supply chain management. • Visibility: Providing a clear, unobstructed view of operations up and down a supply chain is critical for success • Planning: include demand-driven, constraint-based tools designed to improve sales and operations planning and factory planning, while also helping companies manage risk • Collaboration: Improved collaboration with supply chain partners can break down the walls separating companies, enabling an extended supply chain to compete as a single system • Control: successfully monitor and manage the system will improve decision-making and have the ability to rapidly replan based on changing business dynamics.

  10. i2 Customers • Automotive and Industrial: Toyota, Volvo, Ford, etc.. • High Tech: Dell, IBM, LG, etc.. • Consumer Industries: Unilever, Sunbeam, 3M Canada, etc.. • Retail: Best Buy, Payless Shoes Sources, Louis Vuitton, etc..

  11. What is a Secure Site? • uses the HTTPS protocol to ensure that information cannot be stolen by a third party • SSL Certificate • allows the web browser to verify the identity of a secure site before sending private personal information

  12. What is a SSL Certificate? • Secure Socket Layer • create endpoints for communication and make connections between those ends • SSL encryption allows the seller to verify the identity of the buyer the business transaction is being negotiated with

  13. Popular Products

  14. Ebay.com Yahoo.com Amazon.com Google.com Buy.com According to a Forrester Inc. report, online retail sales will grow at a 25% annual growth rate over the next five years. Online retail sales will reach nearly $230 billion and account for 10% of total US retail sales by 2008. On Ebay, more than 430,000 people are making a full- or part-time living from the auction site. Online sales including travel will rise to $172.4 billion this year."  -- Forrester Biggest Five Online E-Commerce Sites 2006

  15. Some Ask… Why the Hype?

  16. "...the estimate of U.S. retail e-commerce sales for the third quarter of 2005, adjusted for seasonal variation and holiday and trading-day differences, but not for price changes, was $22.3 billion, an increase of 5.7 percent (±1.7%) from the second quarter of 2005."--  U.S. Census Bureau Demand

  17. …and more Demand • "Online ad growth of 33.7 percent is expected in 2005 to $12.7 billion, raising a previous estimate of $11.5 billion for the year. eMarketer had estimated 2004 ad revenue at $9.5 billion." --  eMarketer

  18. Decrease in Store Sales. -Shipping Stores -Brick-and-Mortars -Movie Rentals Online Visits Increase Store Sales Online Coupons Positives and Negatives

  19. Questions? Thank You

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