e-commerce: tools and techniques

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E-COMMERCE RESEARCH

Prepared by: awad elsayed awad ibrahim

Contents Chapter one :overall view of e-commerce .definitions 1.1 . terminology 1.2 . applications 1.3 . forms 1.4 . types 1.5 . operations 1.6 . history 1.7 chapter two : the way to e-commerce.development of e-commerce website 2.1

.chapter three : advantages and disadvantages of E-commerce . advantages of e-commerce 3.1 .drawbacks of e-commerce 3.2

Chapter four : E-commerce benefits and limitations benefits of e-commerce 4.1 limitations of e-commerce 4.2

. references

Chapter one Definitions of E-commerce

definitions 1.1There does not exist a simple definition of E-Commerce that adequately describes the coverage of its operations, functions and underlying technologies. One common view is: E-Commerce is online shopping via the Internet. Although this is correct, online shopping is only one of many types of ECommerce activities. In broader terms: E-Commerce is any commercial activity conducted electronically, particularly via private or open networks, such as the Internet. The key point of this definition is that E-Commerce is a confluence of business operations with electronic and network technologies. Telephony and non-networked technologies such as CD-ROM media may integrate into operations, but the core of E-Commerce is network technologies and especially open networks such as the Internet. Electronic Commerce or e-commerce is the trade of products and services by means of the Internet or other computer networks. Ecommerce follows the same basic principles as traditional commerce that is, buyers and sellers come together to swap commodities for money. But rather than conducting business in the traditional way in shopping stores or through mail order catalogs and telephone operators

in e-commerce buyers and sellers transact business over networked computers. eCommerce, is a shortened IT term for Electric Commerce. ECommerce is the conducting of business communication and transactions over computer networks and through individual computers linked to the Word Wide Web. also eCommerce is the buying and selling of goods and services, and the transfer of funds, through digital communications. It is also true to say, however, that eCommerce also includes all intercompany and intra-company functions (such as sales, marketing, accounts, logistics, manufacturing, and negotiation) that enable commerce and use electronic mail, EDI (Electronic Data Interchange), file transfer, digital fax, video conferencing, workflow, or interaction with a remote computer. e-Commerce also includes buying and selling over the World-Wide Web and the Internet, electronic funds transfer, smart cards, digital cash, and all other methods of completing business transactions over digital networks. Electronic commerce, commonly known as e-commerce or eCommerce, consists of the buying and selling of products or services over electronic systems such as the Internet and other computer networks. The amount of trade conducted electronically has grown extraordinarily since the spread of the Internet. A wide variety of commerce is conducted in this way, spurring and drawing on innovations in electronic funds transfer, supply chain management, Internet marketing, online transaction processing, electronic data interchange (EDI), inventory management systems, and automated data collection systems. Modern electronic commerce typically uses the World Wide Web at least at some point in the transaction's lifecycle, although it can encompass a wider range of technologies such as e-mail as well. A large percentage of electronic commerce is conducted entirely electronically for virtual items such as access to premium content on a website, but most electronic commerce involves the transportation of physical items in some way. Online retailers are sometimes known as e-

tailers and online retail is sometimes known as e-tail. Almost all big retailers have electronic commerce presence on the World Wide Web. Electronic commerce that is conducted between businesses is referred to as business-to-business or B2B. B2B can be open to all interested parties (e.g. commodity exchange) or limited to specific, pre-qualified participants (private electronic market). Electronic commerce that is conducted between businesses and consumers, on the other hand, is referred to as business-to-consumer or B2C. This is the type of electronic commerce conducted by companies such as Amazon.com. Electronic commerce is generally considered to be the sales aspect of ebusiness. It also consists of the exchange of data to facilitate the financing and payment aspects of the business transactions. At it's most simplistic level; eCommerce is simply the buying and selling of goods, services or information via the World Wide Web, email or other pathways on the Internet. Ecommerce and Ebusiness are interchangeable terms. As with any other industry, ecommerce has introduce new terms into our language. __________________________________________________ 1.2 terminology

The following are more widely used terminology relating to ecommerce and their definitions : B2B (Business to Business) The exchange of goods and services between business. B2C (Business to Consumer) The exchange of goods and services with the end consumer being the target market. Chargeback

Where a transaction is debited against a merchant account in cases of refunds and fraud. Chargebacks usually attract a fee that is debited against the merchant.

Certificate Authority A third party company that issues digital certificates that confirms a company or individuals' identification. A digital certificate is a crucial part of secure ecommerce Cobranding Where two companies identify a partnership between them through one company displaying their logos, color schemes etc on another companies application. Cookies Small text files stored on your computer when visiting a site that record preference for that particular site's usage. Cookies are also common in shopping cart applications in order to remember visitors as they move throughout product pages. CRM - Customer Relationship Management. The entire process of a pre-sales, sales and service relationship with a customer. Many software applications are now available that permit you to record this relationship from the time the clients asks their first question. Good CRM software is much more efficient than fragmented records as it can save time in tracking communications and transactions with a particular person. EDI (Electronic Data Interchange) This is the business to business (b2b) flow of information between companies or within a company itself. The 90's saw the concept of

information equaling power. Whatever creates power also generates money and therefore creates new enterprises to supply this information. Encryption Process of transforming data into a type that prevents casual observers from deciphering. Etailing These are mainly "virtual" storefronts which act as a catalogue of products of merchants and usually include a "shopping cart" system to enable consumers to purchase online with the use of credit cards. Firewall Software/hardware used to prevent unauthorized access from a computer system or network of computer systems. Gateway Computer that allows communications between networks one network with another. Used in ecommerce to act as an interface between a merchant and a bank; i.e, a Payment Gateway. Infomediary An infomediary is an online resources that collates data from a variety of sources and acts as a middleman between those distributing the information and people who want the information. Luhn algorithm The LUHN algorith is used for credit card number generation and validation. eCheck An E-Check is a form of payment that deducts funds directly from your own standard checking account. eCheck services are usually managed by third party companies that interface with a number of different banks.

An echeck provides a more fraud resistant option in terms of ecommerce transactions. Merchant account A special account account where money from credit card sales is first routed to and held before transfer to your own business account. This process is usually fully automated in ecommerce transactions. Money may be transferred into your standard business account in real-time or during various points in a 24 hour period. A merchant account is a crucial part of ecommerce. Merchant Identification Number (MIDS) Unique merchant identification number that is used in conjunction with all transactions. Out of the box Refers to an applications suitability to be rapidly integrated into an existing system P2P (Peer-to-Peer) Process whereby computers can trade information between each other directly without the assistance of a third party network. Payment threshold The minimum accumulated commission an affiliate must earn to trigger payment from an affiliate program. Privacy policy A Web site's official statement on the type of information collected on a site, how the information will be used, how the person can access this data and the steps for having the data removed. A privacy statement will also usually include information regarding systems that are in place to protect the information of web site visitors.

Privacy seal programs Independent organizations that verify if an online companies' Privacy Statement is verifiable and accurate. Scalability The ability and flexibility of an application to meet growth requirements of an organization Secure servers Special servers that utilize encryption to prevent unauthorized users from intercepting and reading a message that passes through its system.. Session cookie Temporary cookie stored in a computers memory for remembering preferences during a web site visit that is flushed on leaving the site. Shareware Software that is distributed at no cost that can be used for free fo