Customer behaviour Essay

What is Electronic Commerce?Commerce The supercede of commodities, corrupt and merchandising, of crossways and assistants requiring transportation, from stead to location is k non as condescension. E-Commerce From a communications perspective, e-commerce is the delivery of teaching, products/ work or fees via headph i lines, Fax, computer electronic networks or any bounceer(a) means.What is Electronic Commerce?From an online perspective, e-commerce provides the cogency of get and selling products and in socio-economic classation on the net and other online services. It refers to a wide wave of online backing activities for products and services. Any form of business transaction in which the parties interact electronically quite a than by physical subs or direct physical contact.Difference amongst E-Commerce & E- airElectronic commerce or e-CommerceE-commerce covers online procedurees that interrelate clients, suppliers and external partners, including sales, marketing, align taking, delivery, customer service, purchasing of raw materials and supplies for production. More sophisticated arrangement much(prenominal) as flight and hotel substitute system.e-Commerce breaks into two componentsOnline Shopping the scope of information and activities that provides the customer with the information they need to make do business with you and make an informed buying decision. Online Purchasing the technology groundwork for the commute of data and the purchase of a product over the internet. Online purchasing is a allegory wontd in business-to-business e-Commerce for providing customers with an online method of placing an put in, submitting a purchase order, or requesting a quotation.E-headache is a super-set of E-Commerce.E-business take ons e-commerce only when also covers internal processes such as production, inventory apportionment, product development, hazard management, finance, and human resources. E-business includes elec tronic mechanism to fan out information not directly connect to buying and selling of goods. standardsProduct specifications, customer testimonials, and product check intos. Purchasing activities on your berth, e.g., order forms, shopping carts, and confidence card processing. Customers female genitaliat interact directly with the firm. (territory barrier) narration of ECThe term e-commerce was originally conceived to show the process of conducting business transactions electronically using technology from the Electronic selective information Interchange (EDI) and Electronic Funds ecstasy (EFT).These technologies, which first appe argond in the late 1970s, allowed for the exchange of information and the execution of electronic transactions between businesses, truely in the form of electronic purchase orders and invoices. EDI and EFT were the modify technologies that set(p) the groundwork for what we now know as e-commerce. The Boston Computer Exchange, a mart for used co mputer equipment started in 1982, was one of the first known spokespersons of e-commerce. Throughout the 1980s, the proliferation of commendation cards, ATM machines and telephone banking was the next pace in the evolution of electronic commerce. The affinity of companies such as eBay and Amazon (launched in 1994) really began to lead the way in e-commerce. Both eBay and Amazon were among the first to plunge prominent e-commerce brands. The most prominent e-commerce categories today argon computers, books, office supplies, music, and a chassis of electronics. Dell.com,1997Types of EcommerceB2B( Business to Business E-commerce) or Inter-Organizational E-commerce B2C(Business to Consumer E-commerce)C2B( Consumer to Business E-commerce)C2C( Consumer to Consumer E-commerce) or Ecommerce Involving Intermediaries Intra-organizational E-commercem-commerce(Mobile E-commerce)Business to organisation E-CommerceB2B (Business-to-Business) or inter-organizational Ecommerce Companies doin g business with each other such as manufacturers selling to distributors and wholesalers selling to retailers. Pricing is based on cadence of order and is often negotiable. B2B is used to alter business relationship among orgz. (invoices, cheques, purchase orders, monetary reports) are in electronic for. For Example Logistic companiesBenefitsSupplier way (reduce no. of suppliers, processing coast, and cycle time) Inventory Management (list of items/product, eliminate out of stock items) diffusion Management (list of ships cargo, purchase orders etc) Channel Management (reduce labour, time saving) payment Management (electronic payment reduce clerical errors, deject transaction fee and coast)B2C Business to ConsumerIn B2C seller is a business organization buyer is consumer. In this solecism costumer directly interacts with smart set, i.e. books and cds buy online and internet used as a medium for transaction. Newspapers reading and withstand forecasting are used as a B2C E-c ommerce. This theatrical role of e-commerce improve the fertilise of information between firm and customers. Examples are ebay.com, and amazon.com.C2B Consumer to BusinessA consumer posts his project with a set budget online and deep down hours companies review the consumers requirements and bid on the project. The consumer reviews the bids and selects the caller-out that will complete theproject. Elance empowers consumers well-nigh the valet de chambre by providing the meeting ground and chopine for such transactions. FreelancingC2C (Consumer-to-Consumer) orE-commerce Involving IntermediariesIn this type two seller and buyers are consumers.thither are many sites offering go off classifieds, auctioneers and forums where individuals peck buy and sell. PayPal where people can send and receive money online with ease. Olx.com auction service is a great example of where person-to-person transactions take ordinate everyday.Intra-organizational E-CThe purpose of Intra-organizatio nal applications is to help a company maintain the relationships that are critical to delivering select customer value by compensable close attention to various functions in the organization. BenefitsWorkgroup communicationsElectronic Publishing gross sales force ProductivityBusiness to regime E-CA platform for businesses to bid on government opportunities. It refers to the use of the Internet for customary procurement, licensing procedures, and other government-related operations. It reduces the risk of irregularities.Income Tax Department, excise tax and Taxation DepartmentM-CommerceMobile commerce is the buying and selling of goods and services by wireless technology i.e., cellular telephones and individual(prenominal) digital assistants (PDAs). Including lively banking (when customers use their hand-held devices to access their accounts and pay their bills). Bill payment and account reviews can all be conducted from the same handheld device. Delivery of entertainment, f iscal news, sports figures and trafficupdates to a single mobile device.Advantages of e-commerce for businesses?Reduction of costs in the businessE-commerce serves as an equalizer. It enables start-up and small- and medium-sized enterprises to reach the globular market. E-commerce makes grass customization possible. E-commerce applications in this area include easy-to-use ordering systems that allow customers to choose and order products according to their personal and unique specifications. E-commerce allows network production. This refers to the parcelling out of the production process to contractors who are geographically dispersed but who are connected to each other via computer networks.What forces are fuelling e-commerce?There are at least three major(ip) forces fuelling e-commerceEconomic forces. One of the most manifest benefits of e-commerce is economic efficiency resulting from the reduction in communications costs, low-cost technological infrastructure. speedier and to a greater extent economic electronic transactions with suppliers. lower global information sharing and advertizing costs.Market forces. Corporations are encouraged to use e-commerce in marketing and promotion to capture international markets, both big and small. The Internet is likewise used as a medium for enhanced customer service and support. Technology forces. The development of ICT is a place factor in the growth of ecommerce.What are the components of a in(predicate)e-commerce transaction gyrate?To maximize the benefits of e-commerce, a number of skillful as well as enabling issues have to be considered. A typical e-commerce transaction loop involves the succeeding(a) major players and corresponding requisites 1. The Seller should have the following componentsA corporate Web site with e-commerce capabilities (e.g., a secure transaction server) A corporate intranet so that orders are polished in an efficientmanner and IT-literate employees to manage the information f lows and maintain the e-commerce system. 2. Transaction partners includeBanking institutions that offer transaction clearing services (e.g., processing credit card payments and electronic fund transfers) National and international pack companies to enable the movement of physical goods within, around and out of the country. Authentication authority that serves as a trusted third fellowship to ensure the integrity and security of transactions. 3. Consumers (in a business-to-consumer transaction)Form a critical mass of the population with access to the Internet and fluid income enabling widespread use of credit cards and Possess a wit for purchasing goods over the Internet rather than by physically inspecting items. 4. Firms/Businesses 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. 5. Government, to make waterA legal framework presidential term e-commerce transa ctions (including electronic documents, signatures, and the like) and Legal institutions that would use the legal framework (i.e., laws and regulations) and protect consumers and businesses from fraud, among others. 6. Internet, the successful use of which depends on the following A robust and reliable Internet infrastructure andA pricing structure that doesnt penalize consumers for spending time on and buying goods over the Internet (e.g., a flat monthly charge for both ISP access and local phone calls).