DIGITAL NOTES ON E-COMMERCE [R17A1212] B.TECH IV YEAR – II SEM (2020-2021) DEPARTMENT OF INFORMATION TECHNOLOGY MALLA REDDY COLLEGE OF ENGINEERING & TECHNOLOGY (Autonomous Institution – UGC, Govt. of India) Recognized under 2(f) and 12 (B) of UGC ACT 1956 (Affiliated to JNTUH, Hyderabad, Approved by AICTE ‐ Accredited by NBA & NAAC – ‗A‘ Grade ‐ ISO 9001:2015 Certified) Maisammaguda, Dhulapally (Post Via. Hakimpet), Secunderabad – 500100, Telangana State, India MALLA REDDY COLLEGE OF ENGINEERING AND TECHNOLOGY IV Year B.Tech IT –II Sem L T /P/D C 4 -/-/- 4 (R17A1212) E-COMMERCE (Core Elective-VI) Course Objectives • Identify the major categories and trends of e-commerce applications. • Learn the essential processes of an e-commerce system. • Understand the main technologies behind e-commerce systems and how these technologies interact. • Learn the various marketing strategies for an online business and various electronic payment types and associated security risks and the ways to protect against them. UNIT – I Electronic Commerce-Framework, anatomy of E-Commerce applications, E-Commerce Consumer applications, E-Commerce organization applications. Consumer Oriented Electronic commerce - Mercantile Process models. UNIT - II Electronic payment systems - Digital Token-Based, Smart Cards, Credit Cards, electronic wallets, Risks in Electronic Payment systems. Inter Organizational Commerce - EDI, EDI Implementation, Value added networks. Intra Organizational Commerce - Work Flow, Automation Customization and internal Commerce, Supply chain Management. UNIT – III Corporate Digital Library - Document Library, digital Document types, corporate Data Warehouses. Advertising and Marketing - Information based marketing, Advertising on Internet, on-line marketing process, market research-Consumer Search and Resource Discovery - Information search and Retrieval, Commerce Catalogues, Information Filtering. UNIT – IV Web marketing strategies, Communicating with Different Market Segments, Beyond Market Segmentation: Customer behavior and relationship intensity, Advertising on the Web, E-mail marketing, Electronic Marketplaces and Portals. UNIT – V Revenue Models-Types, Web Catalog Revenue Models, Digital content revenue models, Revenue Models in Transition-Revenue strategy issues, Creating an effective business presence online, website usability, Virtual Communities, Mobile Commerce, Online Auctions. Outcomes • Ability to identify the business relationships between the organizations and their customers • Ability to perform various transactions like payment, data transfer and etc. • Ability to analyze the impact of E-Commerce on Revenue models and its strategies. TEXT BOOK: 1.Frontiers of electronic commerce- Kalakata ,Whinston,Pearson(UNITS 1,2,3) 2.E-Business by Gary P.Schneider-Cengage India Learning(UNITS 4,5) REFERENCES: 1. E-Commerce fundamentals and applications Hendry Chan,Raymond Lee,Tharam Dillon,Elizabeth Chang,John Wiley. 2. E-Commerce,S.Jaiswal -Galgotia. 3. E-Commerce ,Efrain Turbon,Jae Lee,David King,H.Michael Chang. 4. Electronic Commerce-Gary P.Schinder-Thomson. 5. E-Commerce -Business ,Technology,Society,Kenneth C.Taudon,Carol Guyerico INDEX UNIT NO TOPIC PAGE NO E-Commerce Framework 03-07 E-Commerce Applications 08-12 I Consumer Oriented Electronic commerce 19-25 Mercantile Process models. 25-31 Electronic payment systems 32-40 II EDI 41-51 Intra Organizational Commerce 52-60 Corporate Digital Library 61-70 III Advertising and Marketing 71-73 Consumer Search and Resource Discovery 74-82 IV Web marketing strategies 83-89 V Revenue Models 90-106 UNIT-I E-COMMERCE Introduction • It is a general concept covering any form of business transaction or information exchange executed using information and communication technologies (ICT‘s) • It includes electronic trading of goods, services and electronic material. • It takes place between companies, between companies and their customers, or between companies and public administrations. Electronic Commerce Framework: • E-Commerce application will be built on the existing technology infrastructure - a myriad of computers Communication networks Communication software forming information superhighway. Building blocks of the infrastructure: Information Technology E-COMMERCE 6 • Common business services for facilitating the buying and selling process • Messaging & information distribution as a means of sending and retrieving information • Multimedia content & network publishing, for creating a product & a means to communicate about it • The information superhighway- the very foundation-for providing the high way system along which all e-commerce must travel The two pillars supporting all e-commerce applications & infrastructure • Public policy to govern issues such as universal access,privacy and information pricing. • Technical standards to dictate the nature of information publishing ,user interfaces and transport in the interest of compatability across the entire network • Any successful e-commerce will require the I-way infrastructure in the same way that regular commerce needs interstate highway network to carry goods from one point to another • I-way will be a mesh of interconnected data highways of many forms Telephone,wires,cable TV wire Radio-based wireless-cellular & satellite • Movies=video + audio Digital games=music + video + software • Electronic books=text + data + graphics + music + photographs + video • In the electronic ‗highway system‘ multimedia content is stores in the form of electronic documents • These are often digitized • On the I-way messaging software fulfills the role, in any no. of forms: e- mail, EDI, or point-to-point file transfers • Encryption & authentication methods to ensure security • Electronic payment schemes developed to handle complex transactions • These logistics issues are difficult in long-established transportation Information Technology E-COMMERCE 7 Anatomy of E-Commerce applications E-Commerce applications are: 1. Multimedia Content for E-Commerce Applications 2. Multimedia Storage Servers & E-Commerce Applications i. Client-Server Architecture in Electronic Commerce ii. Internal Processes of Multimedia Servers iii. Video Servers & E-Commerce 3. Information Delivery/Transport & E-Commerce Applications 4. Consumer Access Devices Information Technology E-COMMERCE 8 Multimedia Content for E-Commerce Applications • Multimedia content can be considered both fuel and traffic for electronic commerce applications. • The technical definition of multimedia is the use of digital data in more than one format, such as the combination of text, audio, video, images, graphics, numerical data, holograms, and animations in a computer file/document. • Multimedia is associated with Hardware components in different networks. • The Accessing of multimedia content depends on the hardware capabilities of the customer. Multimedia Storage Servers & E-Commerce Applications: • E-Commerce requires robust servers to store and distribute large amounts of digital content to consumers. • These Multimedia storage servers are large information warehouses capable of handling various content, ranging from books, newspapers, advertisement catalogs, movies, games, & X-ray images. • These servers, deriving their name because they serve information upon request, must handle large-scale distribution, guarantee security, & complete reliability i. Client-Server Architecture in Electronic Commerce • All e-commerce applications follow the client-server model • Clients are devices plus software that request information from servers or interact known as message passing • Mainframe computing , which meant for ―dump‖ Information Technology E-COMMERCE 9 • The client server model, allows client to interact with server through request-reply sequence governed by a paradigm known as message passing. • The server manages application tasks, storage & security & provides scalability-ability to add more clients and client devices (like Personal digital assistants to Pc‘s. See in fig. ii. Internal Processes of Multimedia Servers • The internal processes involved in the storage, retrieval & management of multimedia data objects are integral to e-commerce applications. • A multimedia server is a hardware & software combination that converts raw data into usable information & then dishes out. • It captures, processes, manages, & delivers text, images, audio & video. • It must do to handle thousands of simultaneous users. • Include high-end symmetric multiprocessors, clustered architecture, and massive parallel systems. iii. Video Servers & E-Commerce The electronic commerce applications related to digital video will include 1. Telecommunicating and video conferencing 2. Geographical information systems that require storage & navigation over maps 3. Corporate multimedia servers 4. Postproduction studios 5. Shopping kiosks. Information Technology E-COMMERCE 10 • Consumer applications will include video-on-demand. • The figure which is of video–on demand consist video servers, is an link between the content providers (media) & transport providers (cable operators) Information Delivery/Transport & E-Commerce Applications • Transport providers are principally telecommunications, cable, & wireless industries. Transport Routers • Computers with audio & video Mobile Information Transport Providers computing • Telecommunication • Telephonic devices companies • Consumer electronics • Cable television companies • Personal digital assistants (PDAs) • Computer-based on-line servers • Wireless communications Consumer