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Lec1 introduction to electronic commerce
- 2. Electronic Commerce IT 316 Lesson 1: An Introduction to Electronic Commerce
- 10. From Traditional Commerce to E-commerce Sailing ships Printing press Steam engine Telephone Opened avenues for trade between buyers and sellers. Ancient times (thousands of years ago)
- 11. From Traditional Commerce to E-commerce Cont’d Electronic Funds Transfer (EFTs) Electronic Data Interchange (EDI) Internet Wire transfers - used by banks Businesses transfer electronic data - data not re-keyed - high implementation cost, thus excluded small businesses On-line shopping
- 33. Relative Sizes of E-commerce Categories Business processes B2C B2B
- 34. Relative Sizes of E-commerce Categories Cont’d Year B2C Sales ($ Billions) B2B Sales ($ Billions) 2005 150 4100 2004 130 2800 2003 100 1600 2000 50 60
- 37. Hierarchical Organisations (Firms)
- 43. Manufacturer Value Chain Finance & admin HR Technology development Support activities Design Identify customers Manufacture product or create service deliver After sales service & support Market & sell Purchase materials and supplies Primary activities
Notas del editor
- There is no single definition
- Since EDI was facilitated via ex pensive private networks its up take was only by larger businesses, those who could afford it. The Internet, on the other hand, which is a cost effective communication medium, has fuelled electronic commerce.
- Electronic Funds Transfers (EFT) are electronic transmissions of account information over private communications networks. Electronic data interchange (EDI) occurs when one business transmits computer-readable data in a standard format to another business. An example might be when Wal-Mart sends an online purchase order to a vendor. The vendor receives the order online and ships the product to Wal-Mart. Notice how in this process no paper ever changes hands
- Digital products- examples are computer software, scripts, audios, videos
- Definitions of Procurement : Dealing with the legal problems that arise from large contracts for the supply of goods or services, especially for businesses or government organisations.
- Example Intel sells products to other businesses rather than consumers. Intel accepts > 95% of its orders online ($26 billion in 2003); also Intel purchases billions of dollars worth of raw materials on-line every year
- Assume a company sells a product to the consumer (B2C) and receives raw materials from suppliers (B2B). In order to produce the product the business needs to hire and manage people, rent storage space for the product, maintain accounts and create marketing campaigns. These are all internal business processes which more and more can be performed on the web.