E-commerce

GROUP MEMBER

MR. Kuldeep Zala(66) MR. Kedar Sonawane(51) MR. Vishal Mishra(24) MR. Tabresh Sayed(44) (F. Y. BMS) SEM-I 2013-2014

INTRODUCTION

HISTORY AND SCOPE• Started as a US government project in 1969.• The purpose was to create a net that can

function even if one center is destroyed in a military attack.- “Hub and spokes” can be useless if the hub is

destroyed.- Network can continue to be functional even if some

nodes are destroyed, as long as information can pass through other nodes.

• Effective in 1971 with computers on both coasts of the US.

CLASSIFICATION OF E-COMMERCE

BUSINESS TO BUSINESS (B2B)

CONSUMER TO CONSUMER(C2C)

BUSINESS TO CONSUMER (B2C)

Business To Business(B2B)Business to Business e-commerce means transactions between businesses, such as between a manufacturer and a wholesaler, or between a wholesaler and a retailer.Two Distinct Aspects Of B2B• Flexibility in pricing• Integration of business systems

Consumer To Consumer (C2C)

• The C2C model involves transaction between consumers. Here, a consumer sells directly to another consumer. It includes following things,

1. Auction house sites2. Persons to person auction sites

Business To Consumer The B2C model involves transactions between

business organizations and consumers. It applies to any business organization that sells its products or services to consumers over the Internet. Business to Consumer includes following things,1. Online banking2. Online stock trading3. Online shopping

IMPACT OF ELECTRONIC COMMERCE

• Marketing• Computer sciences • Finance and accounting • Economics• Production and operations management

BENIFITS OF E- COMMERCE

• To Organizations• To Customers• To Society

LIMITATIONS OF E-COMMERCE

• Technical Limitations• Non-technical Limitations

Security of E-Commerce

Network Security Using Firewall

Payment in E-Commerce

• Credit Card Payment• Cash• Personal Cheque• Money orders (Bank note)• Debit cards

Sequence of Transactions in Manual Credit Card Payment

• Step 1: Customer presents credit card after purchase. Merchant swipes it on his special phone and enters amount

• Step 2: Data from merchant’s terminal goes to acquirer via a private telephone line

• Step 3: Acquirer checks with the issuing bank validity of card and credit available

• Step 4: Acquirer authorizes sale if all OK and sends approval slip which is printed at merchant’s terminal.

Cont.…

• Step 5: Merchant takes customer’s signature on the slip-verifies it with the signature on card and delivers the goods.

• Step 6: The acquirer pays the money to merchant and collects it from the appropriate issuing bank. The bank sends monthly statement to customer and collects outstanding amount.

Credit Card in E-commerceMain Problems

• 1. Main Problem is: if a merchant had only a web presence, a Customer needs to be reassured that the merchant is genuine.

• 2. Customers Signature cannot be physically verified. Customer needs electronic signature.

• 3. Secrecy of credit card number has to be ensured.

• 4. Dispute settlement mechanism must be worked out.

CONCLUSION