An Introduction to E-commercePresented By: Anubha

INDEXS.NO. PARTICULAR SLIDE NUMBER 1. What is Commerce? 2 2. Types of Commerce 3 3. What is E-Commerce 4-5 4. Evolution of E-Commerce 6 5. E-Commerce v/s Traditional 7 Commerce 6. Categories of E-Commerce 8 7. B 2 B 9-10 8. B 2 C 11-12 9. Comparison 13-1410. C 2 B 15 11. C 2 C 16-1712. Other Categories 18-1913. Success Stories 20-2114. Conclusion 22-2315. Bibliography 24

Types of Commerce

Commerce

Electronic Commerce

Internet Commerce

Private Network(witho

ut internet), Phone Based Transaction

Physical or Traditional Commerce

What is E-commerce?

• Commonly known as Electronic Commerce

• It consists of buying and selling of goods and services over an electronic system such as internet and other computer networks.

• E-commerce refers to any form of business transaction in which the buyers and sellers interact electronically using tele-communication network rather than through physical contact or exchange.

Definition

• The term commerce is defined as trading of goods, services, information, or anything else of value between two entities.

• It is a division of trade and production which deals with exchange of goods and services from producer to final consumer.

What is involved in E-commerce?

Evolution of E-commerce

E-commerce vs. Traditional businessTRADITIONAL E-COMMERCE

Face to face No personal contact

Printed and written documents

Documents on the web

Telephone communication Web pages personalized for particular customer

Postal mail Email or webmail communication

Payments by Cash ,Cheque or CC

Payment: Credit card, Direct withdrawal, Fund transfer (Paytm)

Ads : Print media, radio, TV Ads: Web, Radio, TV

Merchandise deliver immediately

Merchandise deliver home 2-5 days

Categories of E-commerce

SELLER

BUYERBUSINESS CONSUMER

BUSINESS B2B B2C

CONSUMER C2B C2C

1.Business to Business(B2B)

• B2B is a commercial transaction between two or more business via INTRANET.

• An Intranet uses internet technology to allow employees to view and use internal websites that are not accessible to outside world.

• This is a type of E-commerce that deals withy relationships between and among businesses.

Applications• Logistics- transportation, warehousing and

distribution (e.g., Procter and Gamble)• Application service providers- deployment,

hosting and management of packaged software from central facility (e.g., Oracle and Linkshare)

• Outsourcing- web hosting, security and customer care solutions (e.g., eShare, NetSales)

2.Business to Consumer(B2C)

• B2C is selling of goods and services to a customer and the transaction takes place through Internet

• It is the direct trade between the company and consumers.

• It includes virtual malls, which are Web sites that host many online transactions.

Examples of B2C model

• www.amazon.com• www.flipkart.com• www.sony.com• www.bestbuy.com• www.jabong.in

Comparison between B2B and B2CFeatures B2B

Type of relationship

Business to BusinessA representative of business uses company’s web browser to order products or to inquire via another business (e.g., suppliers) websites.

Consumer to BusinessConsumer uses PC browser to order products via the merchant Website.

Level of procurement

Get raw material or unfinished product.

Get finished product.

Level of trust Trusted partners. May not be trusted partners.

Nature of need based segmentation

More focused that B2C e.g., An automobile company buys only motor parts not aircrafts.

Not very focused, e.g., a B2C website can sell various types of gift items.

Features B2B B2C

Flow of information a. Online procurement

b. Tracking order status

c. Executing payments

d. Managing promotions,returns,catalog information

e. Fulfilling orders

a. Placing ordersb. Executing

paymentsc. Fulfilling ordersd. Browsing of

merchant’s catalog

e. Sending feedback or email messages

Nature of control Mutual agreement among businesses.

Unidirectional relationship defined by the merchant.

Sales complexity Complex supply choices.

Not very complex.

Types of network Intranet or extranet. Internet based.

3.Consumer to Business(C2B)

• Consumer-to-business (C2B) is a business model in which consumers (individuals) create value and businesses consume that value. For example, when a consumer writes reviews or when a consumer gives a useful idea for new product development then that consumer is creating value for the business if the business adopts the input.

• It is also called “reverse auction” or “demand collection model” which enables buyers to name their own prices, often biding, for a specific good or service generating demand. The website collects the “demand bids” and then offers the bids to the participant sellers. For examples, priceline.com (travel, telephone, mortgages)

4.Consumer to Consumer(C2C)

• With C2C model, consumers sell directly to other consumers via online classified ads and auctions, or by selling personal services and expertise on-lie.

• It allows unknown, untrusted parties to sell goods and services to one another.

• e-bay's auction service is a great example of where person to person transactions take place everyday since 1995.

Summary of E-business Transaction Models

Model Description ExamplesB2B Sells products and

services to other businesses or brings multiple buyers and sellers together in a central market place

Metalsite.com, verticalnet.com, shop2gether.com

B2C Sells products or services directly to consumers

Amazon.com, pets.com, ediets.com

C2B Consumers fix price on their own, which business accept or decline

Priceline.com

C2C Consumers sell directly to other consumers

Ebay.com, inforocket.com

Other categories• Business-to-Government(B2G): It is 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.

• Business-to-Employee(B2E): This model uses an intrabusiness network which allows companies to provide products and/or services to their employees. Typically companies use B2E network to automate employee-related corporate processes.

SUCCESS STORIES

• The eight-year old company was

founded by Mohit Saxena, Abhay Singhal, Amit Gupta and Naveen Tewari.

• Founded in 2007 by Sachin Bansal

and Binny Bansal.

• Co-founded by Kunal Bahl and Rohit Bansal.

• Founded in 2010 by Vijay

Shekhar Sharma• Zomato was founded in 2008 by Deepinder Goyal and Pankaj Chaddah • Founded in 2010 by Ankit Bhatia and Bhavish Aggarwal

“E-commerce is an evolution”

• By using electronic technology through the internet, it achieved.

• More competitions, more marketplaces, faster transactions, and more advanced technologies

• To make activities between customers and producers more active.

• We as customers and internet users are responsible to keep our e-commerce healthy and safe so that e-business can be more reliable in the future

BIBLOGRAPHY• Madan,S. (2014), E-commerce, Scholars

Publications (India)

• Slide 3-4 http://www.forbes.com/sites/steveolenski/2015/12/29/the-evolution-of-ecommerce/#115febc328cf