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E-commerceMade by Ajeet verma-1066 Vineet kumar-1061Tausheen saifi-Dushyant-1051 Manoj kumar-1058

What is a Commerce.According to a dictionary.comCommerce is a division of trade or production which deals with the exchange of goods and services from producer to final consumerIt comprise the trading of something of economic value such as goods, services, information, or money between two or more entities.

What is E-commerceCommonly known as Electronic Marketing.It consist of buying and selling goods and services over an electronic systems such as the internet and other computer networks.E-commerce is the purchasing, selling and exchanging goods and services over computer networks(internet) through which transaction or terms of sale are performed Electronically.

Simple E-Commerce Approaches for Getting Started ONLINE AUCTIONS

Online auction and shopping websites are where people and businesses buy and sell goods and services worldwide

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Things You Need to Know About Selling Online Obtain Internet access and an e-mail address

Register as a seller on an Internet auction site

Establishing a payment system to receive your money

Create a listing to offer your product

Actively sell your product during the offering time

Arrange payment and shipping

Buyer and seller feedback to the Internet auction site

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Obtaining Internet Access and an E-mail AddressFree Internet access is often available in the community

Free e-mail accounts are available through several reputable internet sites

SchoolsInternet CafesCoffee ShopsChurchesLibraries

Coffee Shops

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Register as a SellerBasic Steps:Enter basic information--is it secure? Choose your User ID and password Click on the register link at the top of most internet auction pages Get a confirmation e-mail

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Establish a Payment SystemRequirements for efficient, secure sales:Local bank account to receive paymentsSecure payment method for customersPayPal (https://www.paypal.com/)

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Create a ListingDecide what to sellComplete online listing formAuction formatFixed price formatClassified ad formatStore formatSelect a categorySpecify a titleWrite a descriptionTake digital photographsBeginning and ending times for the auctionOther listing information

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Selling the ProductMonitor the process regularlyCheck e-mail and the auction

Communicate with interested buyersReply to information requests quickly

Promptly close the saleNotify winning bidder Confirm purchase

Payment and ShippingMonitor payment method

Ship product when payment is received

Pack product properly

Insure the product

Get a tracking number

Use a reputable carrierUSPSUPSFedExDHL

Buyer and Seller FeedbackUse the auction site process for buyer and seller feedback

Feedback is important to create a trustworthy online auction community

Trust will build sales

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E-CommerceCheck-sheet,Sales Listing Worksheet, and Sales Log

Activities for Getting Started!In group discussions, identify free local computer and e-mail access resourcesChurches, public libraries, schoolsAsk friends and relatives for assistanceObserve how to use e-mail and the Internet

Explore online Internet auctions with group members

Perform searches for products you might makeMonitor auction activityDetermine shipping options and costsCalculate realistic prices for products to be sold

Keeping Track Recordkeeping and Internet Transactions

Basic financial skills neededBasic recordkeepingSales taxIncome taxHow to get paid?

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Simple accounting approaches of keeping records

Use IRS Schedule C as template

Organize a simple ledger

Recordkeeping

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Schedule C

Simple Ledgers

Sales TaxesThe state tax authority determines current policiesSales tax may be state, county, or city specificMost states do not require the Internet seller to pay sales tax on out-of-state sales

Local extension workers may be able to help with setting up a sales tax account if necessary

Personal Income TaxesProfits from e-Commerce sales are subject to taxesFederal, State, and Local income taxesSelf-employment taxes

Portion of e-Commerce revenues should be set aside in a bank account

Forms to become familiar withIRS Form 1040 Schedule CIRS Schedule SEState income tax form (state-dependent)

How to Get Paid: The Need for a Local Bank Account and Third Party Payment SystemYou must develop trust in credit and banking systems

Bank checking account is critical for e-Commerce selling

PayPal third party payment account is strongly advisedProvides a safe and secure method to purchase goodsSpeeds up the sellers receipt of funds from a sale

Bank and PayPal fees should be taken into consideration when setting product prices

Activities to Develop Basic Financial SkillsFinancial Literacy DiscussionsDiscuss feelings about banks and payment systemsDiscuss current methods of handling personal financesDiscuss how to use credit properly and the cost of interestThe group should take the Rutgers Financial Fitness Quiz at http://njaes.rutgers.edu/money/ffquiz

Discuss the need for basic recordkeepingWork in groups to review the IRS Schedule C (1040 form)Discuss why good record are important to the success of any business, even small home-based businesses

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Get StartedExamples have been provided

Your rural life skills can become marketable products

Opportunities have been identified

Procedures to follow have been stated

Financial management issues have been addressed

Now its up to you to take control of the process and bring a product to the e-Commerce marketplace

What is your next step?

How can we help?

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E-Commerce Checklist

EvaluationEvery educational program can be improved. We want your judgment of how much this program has helped you understand how you can create products to be marketed through the Internet and how you can place them for sale on the Internet. Please take a few moments to fill out the questionnaire that will be provided by your extension educator. Your opinions will help us toward our goal of continual improvement so that we can serve you better.

TRADITONAL BUSSINESSMANF. UNIT20%DISTRIBUTOR10%WHOLESALER10%RETAILER10%CONSUMER100%ADVERTISEMENT50%

DIRECT SELLINGCOMPANY COSTOMER

History Electronic commerce became possible in 1991 when the internet was opened to commercial use. But it wasnt until 1994 that it really began to accelerate, with the introduction of security protocols and high speed internet connections. Some important years in the development of E-COMMERCE SYSTEMS 1979:Michael Aldrich demonstrates the first online shopping system.1984: Gates head SIS/Tesco is the first B2C online shopping and Mrs. snowball, 72, is the first online home shopper.

1984: In April 1984, CompuServe launches the Electronic Mall in the USA and Canada. It is the first comprehensive electronic commerce service.1996: India MART B2B marketplace establish in India1996: ECPlaza B2B marketplace establish in korea.2001: Alibaba.com achieved profitability in December 2001.2002: eBay acquires PayPal for $1.5 billion. Niche retail companies Wavfair and Netshops Re found with the concept of selling product through several targeted domains, rather than a central portal.2003: Amazon.com posts first yearly profit2012: US e-commerce and online Retail sales projected to reach $226 billion, an increase of the 12% over 2011.2012: US e-commerce and online Retail holiday sales reach $33.8 billion, up 13%

WHY USE E-COMMERCELoss Entry CostReduces Transaction CostsAccess to the Global MarketSecure Market Shares

The Process of E-Commerce

E- commerce : the world overThere are over 2 billion Internet users in the world(almost 1/3 of the world population)Retail e-commerce itself in the U.S is predicted to grow at 17% and it will account for $200 billion in sales in the current year i.e 2012China has added the equivalent of the entire population of France in internet users in each of the last four years(2007-2011)By 2015, china will surpass U.S in terms of total e-commerce revenues.In 2011, Germanys online trade increased 17% in 2011 to 21.48 billion.

E-Commerce India 80 million Internet users 10 million 3G connections within 6 months of launch, almost equal to the base of wire line broadband connectionsThe 2nd largest user base for Google+ and Orkut in the world 28% of travel gets booked online; 117 million transactions on IRCTC alone47% of the classifieds business is online 7% of bank users in India access their accounts online 25% of IT returns were filed online in 2010-11Close to 50% of music revenues in India comes from mobile downloads

Status of ecosystem supporting e-commerce

Components of a typical successful e-commerce transactionSeller should have the following components:A corporate web site with e-commerce capabilities (e.g., a secure transaction server);IT-literate employees to manage the information flows and maintain the e-commerce system.

Transaction partners

Banking institution that offer transaction clearing services (e.g., processing credit card payments and electronic fund transfers);For business-to-consumer transaction, the system must offer a mass for cost- efficient transport of small package..

Government, to establish:A legal framework governing e-commerce transactions (including electronic document, signatures, and the like);Legal institutions that would enforce the legal framework (i.e., laws and regulations) and protect consumer and business from fraud, among others.

Consumers (in a business-to-consumer transaction):From a critical mass of the population with access tot the Internet and disposable income enabling widespread use of credit cards; possess a mindset for purchasing goods over the Internet rather than by physically inspecting items. Firms/business ( in a business-to-business transaction) that together form a critical mass of companies (especially within supply chains) with Internet access and the capability to place and take orders over the Internet.

Types The scope of e-commerce is vast and includes all process that a business organization conducts over a computer network.HERE IT IS..B2B (Business-to-Business)B2C (Business-to-Business)C2B (consumer-to-Business)C2C (consumer-to-consumer)

Example of websitesB2C. www.amazon.comC2C: www.eBay.com / olx.com/quickerB2B: www.tpn.comC2B: www.priceline.com

Lets visit these web sites in turn and discuss its features.

B2B E-COMMERCE SYSTEMCompanies doing business with each other such as manufactures selling to distributors and wholesalers selling to retailers. Pricing is based on quantity of order and is often negotiable.

B2C E-COMMERCE SYSTEMBusiness selling to the general public typically through catalogs utilizing shopping cart software. By dollar volume, B2B takes the prize, however B2C is really what the average Joe has in mind in mind with regards to e-commerce as a whole.

C2B E-COMMERCE SYSTEMA consumer posts his project with a set budget online and with in hours companies review the consumers requirements and bid on the project. The consumer reviews the bids and selects the company that will complete the project. Enlace empowers around the world by providing the meeting ground and platform for such transactions.

C2C E-COMMERCE SYSTEMThere are many sites offering free classifieds, auctions, and forums where individuals can buy and sell thanks to online payment systems like PayPal where people can send and receive money online with ease. eBays auction service is a great example of where person-to-person transactions take place everyday 1995. ex-OLX.IN, Quicker. in etc

The E-commerce Supply ChainSupply chain management is a key value chain composed of:Demand planningSupply planningDemand fulfillment

Supply Chain Management

The E commerce Supply chainE-commerce supply chain management allows business an opportunity to achieve:Increased revenues and decreased costsImproved customer satisfactionInventory reduction across the supply chain

Model of an Electronic Exchange

E-commerce Transaction ProcessingE-commerce transaction processing software: Connects participants in the e-commerce economy and enables communication between trading partners, regardless of their technical infrastructure

Fully automates transaction process from order placement to reconciliation

Web site traffic data analysis software: Processes and analyzes data from the Web log file to provide useful information to improve Web site performance

Electronic Payment SystemsDigital certificate: An attachment to an e-mail message or data embedded in a Web page that verifies the identity of a sender or a Web siteCertificate authority (CA): A trusted third party that issues digital certificatesSecure Sockets Layer (SSL): A communications protocol used to secure sensitive dataElectronic cash: An amount of money that is computerized, stored, and used as cash for e-commerce transactions

Electronic Payment SystemsElectronic wallet: A computerized stored value that holds credit card information, electronic cash, owner identification, and address information Credit card Charge cardDebit card Master card

Threats of E-commerce E-and m-commerce incidents

Theft of intellectual property

Intellectual property : music, books, inventions, painting, and other special items protected by patents, copyright, or trademarks

Patents on business processes

How to Protect Your privacy While Online

Principles of Information Systems, Seventh Edition

Flip kart is an example of a e-commerce business

Home page of a flip kart computer purchase

Like by the computer parts

I purchase the pen-drive

click on pen drive view buy now

Select your pen drive and then click place the order money discription

Click on place the order

The last process of the purchase pen drive sign. In your flip kart ID or gmail ID

After the sign your Id give your personal detail

Order summary

Add gift wrap

Payment method

Something has wrong so option you get correct

All type pay method in flip kart

You choose cash on delivery click the confirm the order

Net banking method payment

More bank are there available select bank click make payment

Credit card payment method

Credit card from

EMI method are there givenbut the some condition

Debit card method payment from

Pay using e-gift voucher

Last click for confirm order

Reference and CitationsGoogle. ComInvestopediaWikipedia

Principles of information systems E-commerce Kenneth C. Laudon, Carol Guercio Traver

Kimball P.Marshall, Ph.D., Alcorn State University kimball.p.marshall@netzero.netIlya Smolyaninov, Alcorn State UniversityIgor Georgievskii, Alcorn State UniversityLeigh Junkin, Alcorn State University