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Introduction to E-Commerce


Aashish Roll No.-1 RM-I

Electronic Commerce Electronic commerce (e-commerce) Electronic business (e-business)

E-commerce vs E-business
E-commerce involves :

Digitally enabled commercial transactions between organizations and individuals. Digitally enabled transactions include all transactions mediated by digital technology. Commercial transactions involve the exchange of value across organizational or individual boundaries in return for products or services.

E-commerce vs. E-business

E-business involves : Digital enablement of transactions and processes within a firm, involving information systems under the control of the firm E-business does not involve commercial transactions across organizational boundaries where value is exchanged

Categories of Electronic Commerce

Five general e-commerce categories:
Business-to-consumer Business-to-business Business processes Consumer-to-consumer Business-to-government

What Does a Small Business need to do to start eCommerce?

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Secure a Domain Name and Hosting

Design an eCommerce Store Establish Policies Allocate Staff to Online Presence Market the eCommerce Site

Advantages of Electronic Commerce

Electronic commerce can increase sales and decrease costs If advertising is done well on the Web, it can get a firms promotional message out to potential customers in every country Using e-commerce sales support and ordertaking processes, a business can:
Reduce costs of handling sales inquiries
Provide price quotes

Advantages of Electronic Commerce (continued)

It increases purchasing opportunities for buyers
Negotiating price and delivery terms is easier

Disadvantages of Electronic Commerce

Perishable grocery products are much harder to sell online
It is difficult to:
Calculate return on investment
Integrate existing databases and transactionprocessing software into software that enables ecommerce

Cultural and legal obstacles also exist