LessonECommercePractices.pptVIP

Lesson 12:E-Commerce Practices Objectives Compare e-commerce to traditional commerce Define e-commerce terms and concepts Relate the concept of supply chain to e-commerce Identify payment models used in e-commerce Identify ways to protect private transactions Identify issues related to working in a global environment Identify ways to build e-commerce relationships using Web-based technology Traditional Commerce vs. E-Commerce Similarities Both aim to deliver a valued product or service Both want to serve a large audience Both strive to quickly deliver products and services Differences E-commerce customers expect shorter fulfillment time E-commerce customers must understand Web-based technologies E-commerce provides a global audience E-commerce orders are processed without human interaction or travel to a store location E-commerce relies upon encryption for security E-Commerce Models Business to consumer (B2C) Targets consumers or end users, and sells products and/or services A, small business sites Business to business (B2B) Helps organizations to manage relationships and transactions with other businesses B2BExchange Consumer to consumer Not a traditional B2C model eBay Business and Internet Technologies Traditional businesses also use e-commerce Not an either/or proposition Web technologies make traditional business more efficient E-commerce concepts: Supply chain management Enterprise resource planning (ERP) B2B information sharing Internet marketing Supply Chain Management The ability to manage the process that generates a product and distributes it to customers You must manage the process that begins with raw materials and ends with a product delivered to a consumer Customer can be: An end user Another business that resells your product after adding value to it, known as a Value Added Reseller (VAR) Supply Chain Management (cont’d) Traditional supply chain management model Supply Chain Management (cont’d) Supply chain management involves the following