CHAPTER 7 Electronic Commerce Systems.ppt

CHAPTER 7: Electronic Commerce Systems Learning Objectives Identify the major categories of e-commerce applications. Identify the essential processes of an e-commerce system, and give examples of how they are implemented in e-commerce applications. Identify several key factors and Web store requirements needed to succeed in e-commerce. Identify the business value of several types of e-commerce marketplaces. E-Commerce Exchange or buying and selling of products and services by electronic means. E-commerce systems rely on the resources of the Internet, intranets, extranets, and other technologies. Projections show that by 2006, total e-commerce spending by consumers and businesses could surpass $ 5 trillion. There are many applications of EC, such as home banking, shopping, buying stocks, finding a job, travel, online publishing, or conducting an auction. History and Scope E-commerce applications began in early 1970s with such innovations as electronic transfer of funds. However, the applications were limited to large corporations and a few daring businesses. Then came EDI, which added other kinds of transaction processing and extended participation to all industries. With the introduction of the Web in the early 1990s, EC applications have rapidly expanded. The Infrastructure of E-commerce Succeeding e-commerce applications is not a simple task. The large number of issues must be considered and the large number of companies and government agencies may be involved. Major issues in e-commerce: Infrastructure, and electronic payment issues. E-commerce Infrastructure An infrastructure must be in place. E-commerce infrastructure requires a variety of hardware, software, and networks. The key infrastructures that are needed to support EC applications are networks, Web servers, Web server support and software, electronic catalogs, Web