E-commerce model with example

Design ,development ,marketing ,sales, delivery , service support & payment for goods & services by use of electromechanical devices connected to any network called E-commerce. The E-commerce process model can be categorize into 4 major categories 5/26/12

Advantages of E-commerce

Effort & time is saved Larger target customer range via internet Minimize setup inventory cost Common platform for larger & smaller business unit in a common area Flexible payment option

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Limitations of Ecommerce

Higher chances f commercial fraud No chances of product bargaining No on-site evaluation of the product

Risk of linkage of 5/26/12 electronic account

1.B2C[business to customer]-in this model , business organizations offers information about products to the customer by use of electronic means 2.B2B- buyer & seller parties are both business org. 3.C2B- the customer initiates actions for E-commerce after login on to the website of the business org.eginternet banking process where each transaction initiated by the customer
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Mercantile process model

E-commerce frame work

1. The core framework of e-commerce is based upon three major components.

Electronic market:-virtual market plateform running over a network where bussiness activities can perform without any physical presence of buyer or seller.

-The principle function offer an electronic market is to facilitate the search for required product or service.eg:-Airline booking system. 2.EDI[electronic data interchange]:-it provides efficient transaction of concurrent trade activies between commercial organization and customers. Eg:-EDI is used by retail companies and home appliances companies for trading with their suppliers.
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3.INTERNET COMMERCE:-The internet and other

E-commerce applications
1.

Order placement Transaction process On-line receipt generation Insurance claims Travel booking & payments Online marketing and promotion[virtual stores] Content selling[auction of articles,music,images,videos] Online service & support Virtual communities among bussiness & customers Feedback & complains [online]

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E-commerce system architecture

Physical network-networks of computing devices running on various technologies composed the physical network for Ecommerce

1.Ethernet technologies 2.ATM[asynchronous transfer mode] 3.Infrared & Bluetooth networks

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World wide web

Set of software services running over the hardware infrastructure of internet are collectively called WWW Components of WWW

1.Client components-web browser, chat clients,IP telephone interface [Skype] 2.Server components-web 5/26/12 servers,email,file servers

E-marketing and their uses

Various market platform running over a network where business activities can perform without any physical presence f buyer or seller. The principle function offer an emarket is to facilitates the search for required product or service Eg- airline booking system

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Various online pay methods

Credit cards- maximum credit limit & validity time must be available Debit cards- minimum balance must be available Customer loyalty cards- points are rewarded on every purchase Digital tokens-physical/virtual tokens for virtual money 5/26/12 exchange with allowances.eg-

Payment system in Ecommerce

1)Payment by cheque- cheque no. is digitally transferred for online completion of the transaction . The hard copy printout of the online submission is posted along with cheque for completion of actual transaction 2)Payment by credit cards- A software application called card payment gateway services acts as 5/26/12

Payment system in Ecommerce

3. E-cash payment/Payment via E-cash It is an online service run by a company e-cash based in USA. this company provides online a/c both to business and customer parties by charging a fix percent of transaction fees during any e-commerce 5/26/12

Risk involved in E-payment system

1.Hardware software failure 2.Chances of forgery 3.Hacking 4.Social engineering 5.Accidental loss of digital money

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Electronic Data interchange[EDI] and its components Transfer of structure data over predefined
message standards between two electronic system over a network generally to solve an enterprise purpose is called EDI. EDI is composed of 4 components

1.Structured data[quotes , values & text standards under a Strictly defined business purpose] 2.Predefined message standards-set of protocols commonly agreed between all trading partners upon national/international level. 3.Electronic systems-these systems may be computers, servers or mobile machines that send & receive electronic data 5/26/12

Security of E-commerce:v

Symmetric Encryption:- A single password is required for encoding & decoding a message is also called public key cryptography. Asymmetric encryption:- Different password are required to encode & decode a message. It is also called private key cryptography. Digital signature:- A digital code generate by electronic devices used for certifying the authencity of a digital document called a digital signatures. Digital signatures are used for authenticating the correctness of e-mail messages and ecommerece transactions.

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Certification authority:- A trusted third party can act as the supervision of the password key

Direct advantage of EDI

Reduced order processing time Cost cutting Improved accuracy Faster & better response Better invoicing Flexible payment
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Indirect advantages of EDI

Smooth cash flow Better business opportunities Customer loyalty Reduced inventory

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Value added network

Any data network with set of advantages that add value to its services of communication[value added data services] Eg-1)privacy & security

2)Reliability of data transfer 3)Establishing a community 4)Message validation

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Work Flow automation

A quantity or efforts applied in a business processes from manufacturing and distribution process can be minimized by automating each phase of business by use of automated tools Automation can be performed at following stages in a business process 5/26/12

continued
3)Sales- inventory generation and receipt printout 4)EDI techniques for payment over internet & cellular networks
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Internal commerce

Intake & distribution of wealth by business or. Among different department to manage various phases of business activity is called internal commerce The management of internal commerce is a part of ERD software which manages the revenue & profits of the org.
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Supply chain management

Sequence of stages composed of people & machines involved in servicing the customer to achieve a business goal is called supply chain Major supply chain functions are marketing, manufacturing, suppliers, procurement operations , inventory, warehousing, distribution & sales & support Supply chain is driven by 3 major inputs 1. information 2.funds 3. goods Management of these 3 inputs in a supply chain to maximize its value is called supply 5/26/12

Digital documents

Set of electronic documents that ensure virtual proof or identity in a transaction is called digital document A large collection of digital documents containing multiple files in digital format to facilitate enterprise activities is called diital document library
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Types of Digital document

Digital portfolio Websites Electronic cards Business cards SMS/MMS Email & attachments
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Corporate data warehouse

Corporate Data Warehouse:Large depositers containing all the bussiness data enterprises in soft/hard copy format can be called corporate data warehouses.They act as achieves for absolute bussiness data. The major function of these warehouse is to generate information for a genuine user at 5/26/12 required time.

Information base Marketing

Information based marketing:marketing of product and services according to previous and current bussinesss trends & market response can be called IBM. Eg:-marketing consultants that work on the basis of analysed trends generally follow IBM strategy. 5/26/12

Advertising on internet

Website & portals Social networking websites Online forums Online communities Web logs [blogs] Online auction
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Market Research

Market Research:- collection storage and analysis of corporate data to predict market trends in combination of market responses, called MR. MR is useful for:Forecasting demands Investment estimation Risk management planning strategy making

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Information search and retrieval methods

Search engines Data mining algorithm[ wallmart] Customized search machines for enterprise[ Google gadgets] The index of various business resources maintain by an enterprise for future reference is called commerce catalog
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Multimedia

The protocols & algorithm for secure storage of digital data in compressed format is called a multimedia format for a specific file type Multimedia formats Joint photographic expert group-.jpeg[images]

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2)

Motion pictures expert 5/26/12 group-.mpeg [video]

Processing & transmission of audio/video signals of a life coverage at a point to another site by use of internet protocols and hardware is called desktop video conferencing Uses of DVC

Survey, remote monitoring 5/26/12 ,live telecast, deferred live