E-Commerce

Presented By:Muhammad Fahad Ali MirzaMuhammad Shakeel

Outline• The Digital Phenomenon• Types of E-Commerce• Examples of E-Commerce• E-Commerce Scenarios• Advantages of E-Commerce• Disadvantages of E-Commerce• SWOT Analysis of E-Commerce

The Digital Phenomenon

Data networksIntense competitionGlobalizationInformation ageTechnologiesAutomationLow cost high quality products/services

DIGITAL

Types of Commerce

Commerce

Electronic Commerce

Physical or Traditional Commerce

Traditional vs. Electronic• Traditional commerce:

• Firms engages in many other activities in addition to buying and selling their product

• Traditional commerce include: buyers and sellers using old fashion method to do business

• Electronic Commerce:• Firms has used various

electronic communications tools to conduct different kinds of business transactions.

• Electronic Commerce use technology to moves people around the world

What is E-Commerce?

Future of E-Commerce

1. Technological Changes.2. Globalization.3. Need of World.

Types of E-Commerce

Business(Organization)

Customer(Individual)

Business(Organization)

B2B B2C

Customer(Individual)

C2B C2C

Business to Business

• Business-to-business (B2B) describes commerce transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer.

• Example: ChenOne orders its inventory online from its own Manufacturer.

Business to Consumer

• A transaction conducted over the Internet between a business and a consumer.

• Example: Daraz.pk

Consumer to Business

• A consumer posts his project with a set budget online and within hours companies review the consumer's requirements and bid on the project.

Consumer to Consumer

• Transaction takes place between One consumer to another Consumer without any Physical Interaction between them.

• Example: olx.com

E-Commerce Scenarios

• Retailing• Publishing• Services• Supply Chain Management

Advantages of E-Commerce

• Increase sales and decrease sales costs

• A small firm's promotional message out to potential customers in every country in the world with good ad

• Reach narrow market segments that are geographically scattered

Continue• Increases sales opportunities for seller, it also

increases purchasing opportunities for the buyers

• Businesses can identify new suppliers and business partners

• Provides buyers with a wide range of choices than traditional commerce

Benefits for General Welfare

• Electronic payments of tax refund, public retirement, and welfare support cost less to issue and arrive securely and quickly when transmitted over the Internet

• Electronic payments can be easier to audit and monitor than payments made by check, providing protection against fraud and theft losses

• Electronic commerce enables people to work form home

Disadvantages of E-Commerce

• Many products and services require that a critical mass of potential buyers be equipped and willing to buy through the Internet.

• Costs and benefits have been hard to quantify• Many firms have had trouble recruiting and

retaining employees with the technological, design, and business process skills needed to create an effective electronic commerce

Continue• Firms also have difficulty of integrating

existing database and transaction-processing software designed for traditional commerce into the software that enables electronic commerce

• Firms also face cultural and legal obstacles to conducting electronic commerce

Barriers to E-Commerce

Access and Connectivity

Authentication and Standardization

Cyber Laws

Technology

SWOT Analysis of E-Commerce

Efficient use of technology and saving the cost of travelling and consumer fatigue. While sitting home or our place we can use it.

Dependency on the Computer and Internet.Physical Examination of the product or service.

New way of acquiring Products and service.Advancement of technology.Globalization.

Privacy.Threat of Connectivity.

SWOT

Conclusion• By 2050 all the products and services will be

online.• Cost saving.• Globalization need.• Single platform for Buyers and Sellers.• Physical Examination.• Creating Ease in Life.