Introduction to e-commerce Lecture -1 Slides for students of B.B.A, M.B.A.

1. E-COMMERCE
MUHAMMAD IMRAN MEMON

2. My Self
MUHAMMAD IMRAN MEMON
 Ph. D Scholar
 1996-2005 Teaching at different levels & institutes
(Petroman, Comsit, Al-Khair, Zenith, SiSTech, GGDC, SMA, Technocrat)
 2005-2016 MIS Manager at Sukkur Beverages (Pepsi Cola Franchise)
 2016 – Director My School Sukkur.
 2000 – External Examiner for SBTE Karachi
 izmemon@gmail.com
 0333-7105917

3. Electronic Commerce or E-Commerce
 Any form of business transaction in which
the parties interact electronically rather
than by physical exchanges or direct
physical contact.
 E-commerce is usually associated with
buying and selling or providing services over
the Internet.

4. E-Commerce
E-commerce is the use of electronic
communications and digital information
processing technology in business
transactions to create, transform, and
redefine relationships for value creation
between or among organizations, and
between organizations and individuals.
More formal definition

5. E-Commerce

6. E-BUSINESS
The transformation of an
organization’s processes to deliver
additional customer value through
the application of technologies,
philosophies and computing
paradigm of the new economy.

7. Is e-commerce the same as e-business?
 In e-commerce, information and communications
technology (ICT) is used in inter-business or inter-
organizational transactions (transactions between and
among firms/organizations) and in business-to-consumer
transactions (transactions between firms/organizations and
individuals).
 In e-business, on the other hand, ICT is used to enhance
one’s business. It includes any process that a business
organization (either a for-profit, governmental or non-profit
entity) conducts over a computer-mediated network.

8. Is e-commerce the same as e-business?

9. Is e-commerce the same as e-business?
e-commerce e-business
Subset Superset
Website Website, CRM, ERP, etc
Commercial Transaction Business Transaction

10. Key Differences Between e-commerce and
e-business
 Buying and Selling of goods and services through the internet is known as e-
commerce. Unlike e-business, which is an electronic presence of business, by
which all the business activities are conducted through the Internet.
 e-commerce is a major component of e-business.
 e-commerce includes transactions which are related to money, but e-business
includes monetary as well as allied activities.
 e-commerce has an extroverted approach that covers customers, suppliers,
distributors, etc. On the other hand, e-business has an ambivert approach that
covers internal as well as external processes.
 e-commerce requires a website that can represent the business. Conversely, e-
business requires a website, Customer Relationship Management and Enterprise
Resource Planning for running the business over the internet.
 e-commerce uses the internet to connect with the rest of the world. In contrast to
e-business, the internet, intranet and extranet are used for connecting with the
parties.

11. How are e-commerce transactions
conducted?
 Primarily through desktop computers
 Wirelessly using handheld Web-enabled devices
E-commerce that takes
place using mobile devices
is called Mobile Commerce
or M-Commerce.

12. What is a bricks-and-mortar business?
Company with a physical location,
such as Wal-Mart or Kmart.
?

13. What is a clicks-and-mortar business?
 Company with a bricks-and-mortar location as well as
an online presence. Also called Brick-and-click
 Some companies have online presence without physical
locations
Amazon.com
?

14. E-Commerce Business Models
Business to Consumer B2C
Consumer to Consumer C2C
Peer to Peer P2P
Business to Business B2B
Business to Government B2G

15. What is business-to-consumer
(B-to-C or B2C) e-commerce?
 Sale of products or services from a business to
the general public
(Customers buy products and services online)
?

16. What is consumer-to-consumer (C-
to-C or C2C) e-commerce?
 Individuals using Internet to sell products to
other individuals
– Online auction, such as eBay
?

17. What is peer-to-peer (P2P) e-commerce?
Users connect to each other’s hard disks
and exchange files directly
 Consumer can pay another consumer to
copy file

18. What is business-to-business
(B-to-B or B2B) e-commerce?
 Sale and exchange of products and service between
businesses
 Many businesses engage in both B2B and B2C
 Supply chain creates and distributes products

19. What are four basic types of B2B e-
commerce sites?
Product supplier allows
purchasing agents to use
network to shop, submit request
for quotes (RFQs), and purchase
items
Acts as middleman by
negotiating contract of
purchase and sale
Uses network to provide one or
more services to business
Provides specialized information
about suppliers and other businesses

20. What is business-to-employee (B-
to-E or B2E) e-commerce?
 Use of intranet technology to handle
activities that take place within a business
 Increases profits by reducing expenses
within a company

21. What is business-to-Government (B-
to-G or B2G) e-commerce?
 Generally defined as commerce between
companies and the public sector.
 It refers to the use of the Internet for public
procurement, licensing procedures, and other
government-related operations.

22. Some advantages of e-commerce
 Global market 24/7
 Businesses have access to billions of people with Internet access
 Customers can conduct price comparisons easily
 Feedback can be immediate
 Changing information can be available quickly
 FAQ (frequently asked questions) pages can provide easy access to
customer support
 Ability to gather customer information, analyze it, and react
 New and traditional approaches to generating revenue
 Manufacturers can buy and sell directly, avoiding the cost of the
middleman
 Distribution costs for information reduced or eliminated
 Options to create a paperless environment

23. Assignment #1
 Describe the following in your own words:
 Secure server
 Electronic storefront
 Secure checkout
 Electronic software distribution (ESD)
 Shopping bot
 Web portal
 Web hosting
 Spam
Note: Assignment should be handwritten only. Each student has to submit it on next
scheduled class. You may be called before students to brief any item.