avinash kumar nirala

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA.

This is to Certify that

Mr. AVINASH KUMAR NIRALA

(WRO-0550140)

has successfully completed the 100 hours

Information Technology

Training.Chairman

CA Vikrant M Kulkarni

INTRODUCTION TO E-COMMERCE

Transacting or facilitating business on the Internet iscalled E-Commerce. E-Commerce is short for“electronic commerce”. The process of buying andselling goods and services over the internet .A type ofbusiness model, or segment of a larger business model,that enables a firm or individual to conduct businessover an electronic network, typically the internet thatdoesn’t require any bargaining.

DIFFERENT TYPES OF E-COMMERCE

• B2B COMMERCE (BUSINESS-TO-BUSINESS)

• B2C COMMERCE (BUSINESS-TO-CONSUMER)

• C2C COMMERCE (CONSUMER-TO-CONSUMER)

• C2B COMMERCE (CONSUMER-TO-BUSINESS)

BUSINESS-TO-BUSINESS (B2B)

• B2B stands for Business to Business. It consists of largest form of Ecommerce.

• This model defines that Buyer and seller are two different entities.

• It is similar to manufacturer issuing goods to the retailer or wholesaler.

• It includes trading goods, such as business subscriptions, professional services, manufacturing, and wholesale dealings.

Examples:- Alibaba.com, Tradeindia.com etc.

WORKING OF B2B COMMERCE

BUSINESS-TO-CONSUMER (B2C)

• The B2C model involves transactions between business organizations and consumers.

• It applies to any business organization that sells its products or services to consumers over the Internet.

• These sites display product information in an online catalog and store it in a database.

• The B2C model also includes services online banking, travel services, and health information.

Examples:- Flipkart.com, HS18, Amazon.in etc.

PROCEDURE OF B2C BUSINESS

CONSUMER-TO-CONSUMER (C2C)

• The C2C model involves transaction between consumers. Here,

a consumer sells directly to another consumer.

• It is a business model that facilitates the transaction of

products or services between customers.

• Even if you do not run a business, you are free to sell your

product through such marketplace to the end customers.

Examples:- Quikr.com, Olx.in, Tradus.in etc.

WORKING OF C2C BUSINESS

CONSUMER-TO-BUSINESS (C2B)

• The C2B model involves a transaction that is conducted

between a consumer and a business organization.

• It is similar to the B2C model, however, the difference is that in

this case the consumer is the seller and the business

organization is the buyer.

• In this kind of a transaction, the consumers decide the price of

a particular product rather than the supplier.

For example : www.monster.com is a Web site on which a

consumer can post his bio-data for the services he can offer. Any

business organization that is interested in deploying the services

of the consumer can contact him and then employ him, if

suitable.

PROCESS OF E- COMMERCE

1. A consumer uses Web browser to connect to the home page of a merchant's Web site on the Internet.

2. The consumer browses the catalog of products featured on the site and selects items to purchase. The selected items are placed in the electronic equivalent of a shopping cart.

3. When the consumer is ready to complete the purchase of selected items, she provides a bill-to and ship-to address for purchase and delivery

4. When the merchant's Web server receives this information, it

computes the total cost of the order--including tax, shipping, and

handling charges--and then displays the total to the customer.

5. The customer can now provide payment information, such as a

credit card number, and then submit the order.

PROCESS OF E- COMMERCE (continue….

• When the credit card number is validated and the order is

completed at the Commerce Server site, the merchant's site

displays a receipt confirming the customer's purchase.

• Cash on Delivery option is also available for those who wish to

make payment after receiving the goods.

• The Commerce Server site then forwards the order to a

Processing Network for payment processing and fulfillment.

UNDERSTANDING THE PROCESS BETTER

DEMOGRAPHIC STUDY OF ONLINE CUSTOMERS

ADVANTAGES OF E-COMMERCE

Faster buying/selling procedure, as well as easy to find products.

Buying/selling 24/7.

More reach to customers, there is no theoretical geographiclimitations.

Low operational costs and better quality of services.

No need of physical company set-ups.

Easy to start and manage a business.

Customers can easily select products from different providerswithout moving around physically.

1. Unable to examine products personally.

2. Everyone is connected to the Internet.

3. There is the possibility of credit card number theft.

4. Mechanical failures can cause unpredictable effects on the

total processes.

5. Lack of sufficient system's security, reliability, standards, and

communication protocols.

DISADVANTAGES

STATISTIC SHOWING THE COMPETITION

FUTURE OF E-COMMERCE IN INDIA

• According to business world estimate near about Sixty thousand new jobs will be created for the internet world alone in the next two years.

• e-Commerce transactions are expected to cross the Rs. 5500 crore milestone in 2013-14, a jump of around 350 percent from the 2010-11.

• eBay said that consumers were trading goods worth almost three crore rupees everyday, across the globe.

• According to Forrester’s Asia Pacific online retail forecast for the years 2013 to 2018, the number of online buyers in India will reach 39 million by the end of 2014 and 128 million by the end of 2018.

FUTURE OF E-COMMERCE IN INDIA (continue…

REFERENCES

• http://www.statista.com/

• http://www.forbes.com/

• http://en.wikipedia.org/

• http://www.caclubindia.com/

• http://www.businessinsider.in/