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E-Commerce Types Some terminology

E-Commerce Types Some terminology. Dr. John P. Abraham Professor, UTPA. Business models. brick-and-mortar businesses (businesses that have only a physical presence) click-and-mortar businesses (businesses that have both an online and an offline presence)

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E-Commerce Types Some terminology

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  1. E-Commerce TypesSome terminology Dr. John P. Abraham Professor, UTPA

  2. Business models • brick-and-mortar businesses (businesses that have only a physical presence) • click-and-mortar businesses (businesses that have both an online and an offline presence) • Combined - Amazon.com teamed with Target physical/offline presence and Target builds its online presence). • Store Front Model such as walmart, gap, barns and noble, etc. Enhance brick-and mortar business through web presence.

  3. World Wide Web • Part of the Internet that connects electronic documents in the form of web pages. • Web pages contain hypertext links, graphics, sound, video and automation. • Each web page has an address – URL (Uniform Resource Locator) • Pages are stored in web-servers.

  4. Web Server • A computer with an IP address and a server software running on it like Apache. • The protocol used to transfer web pages is called HTTP (hypertext transfer protocol). • The language of the web pages is HTML (Hypertext Markup Language).

  5. Comparison

  6. EDI • Electronic data Interchange • Existed since 1960s. Used for ordering and shipping document transfers. • Early – agreement between two trading partners. Format agreeable to the two. • One company trading with several, will have to learn several formats and programs.

  7. EDI Today • Computer-to-computer transmission of business information. • Standard format. • Private value added network (satelite). • Over 15000 users of EDI worldwide. • EDI service provider maintains VAN. • Messaging boxes for each subscriber. • Store and forward message between subscribers. • Very common among Banks because of high amount of security requirements.

  8. E-Commerce Strategies • Cut cost • Improve quality of service • Increase speed of time to market • Provide for decision support

  9. E-Commerce Models • B2B • B2C • C2B • C2C • M-commerce • P2P

  10. B2B • greatest portion of e-commerce. • Provides infrastructure for supply chains. Example – Covisint • Vertical model • Specialized goods or services across many type of industries. • Horizontal model • Goods or services for one industry

  11. B2B models • E-distributor grainger.com • E-Procurement – Ariba.com, CommerceOne.com • Exchanges – ExchangeSteel.com, GEPlymerland.com • Industry Consortia – Covisint.com, Sciquest.com

  12. B2C • Business to consumer • Many .com that went out of business fell in this category. • Example amazon.com. Cut out the middleman. • Manufacturers can sell cheaper and faster – Dell. • Many end-users are notsophisticated to deal with the manufacturer. • So new middleman exists – quotesmith.com • CRM – customer relationship management, a big problem.

  13. B2C Models • Portal – yahoo.com msn.com – Offers integrated package of content. Sailnet.com – Offers vertical content. • E-tailer – Amazon.com –virtual merchant. Wal-Mart.com – Clicks and Bricks. LandsEnd.com –catalog. Dell.com – manufacturer direct. • Content Provider – wsj.com, cnn.com • Transaction broker – e-trade.com, expedia.com, monster.com • Market creator – ebay.com priceline.com • Service Provider – Mybconsulting.com, lawinfo.com • Community provider – about.com, ivillage.com

  14. C2B • Consumer to business • Broker between consumers and business • Consumer make the offer • Priceline.com

  15. C2C • Consumer to Consumer Models • Ebay.com • Half.com • Overstock.com

  16. Mobile Electronic Commerce • M-commerce • Wireless access to internet through handheld devices. • Shop from anywhere any time.

  17. P2P • Person to Person • Transferring money from one individual to another. • Paypal. • Kazaa.com

  18. E-commerce and Client/Server Architecture • Server – Provider of service • Client – Requester of Service

  19. Internet Related Programs • FTP • E-mail • TCP/IP • RDBMS • SQL

  20. Client Server-Architectures • Two-Tier • Server process on server and client process on client (interface) • Security provided by both • Multi-Tier • Borwser Web Server Enterprise Application Database Server

  21. Three Tier Architecture • A middle tier is added between the server and the client • The middle tier can perform queueing, application execution and database staging. • The client can make a request and then do something else while waiting for the answer.

  22. E-commerce technologies • LAN • Inter-networking • Web Server and web pages (front-end) • Relational database (rear-end)

  23. Front End • Must be attractive, appealing, concise and informative. • Web browser – web server - middleware – database. • Construction of front-end • Transmission control protocol/internet protocol • Hypertext markup language • Hypertext transfer protocol

  24. TCP/IP • 5 layers • Physical – wires • Data link – mac, hardware addressing, frames and encoding • Network – IP addressing, packet, control • Transport – socket, TCP or UDP • Application

  25. HTML • Web page may include text, graphics and pointers to other web pages. • HTML describes how documents to be formatted. • Starting with HTML version 2.0 forms are included. Form contains boxes and buttons. • XML And XSL

  26. Storefront Model (1) • Similar to stores we are accustomed to (Shopping Cart) • Buyer and seller interact directly • Merchants organize an online catalog of products • Secure Transaction processing • Online payment and merchandise shipping • Information storage

  27. Storefront Model (2) • www.more.com • www.amazon.com • www.ticketmaster.com

  28. Shopping-cart Technology • Allows to accumulate items • Items are placed in shopping cart from product catalog • Product catalog is kept on merchant server database • Can view the contents of the shopping cart and get a total any time

  29. Merchant server database • Product specifications • Availability • Shipping info • Stock levels • On-order info

  30. Online Shopping Malls • Variety of products in one location • Save shopping time and shipping costs • These sites may be shopping portals directing customers to retailers • Mall.com shopnow.com DealShop.com

  31. Auction Model • Sites are forums that a person can be an auctioneer or a bidder • Photographs, minimum bid, reserve price • eBay model

  32. Portal Model • News, Sports, Weather • Ability to search the web • Yahoo.com, about.com, hotbot.com, altavista.com

  33. Dynamic Pricing Models • Name your price - Priceline.com • Comparison pricing Model • Search web and compare prices for you • (bottomdollar.com) • Demand-Sensitive Pricing Model • Combing buyers to lower cost • Barter Model, Rebates, Free

  34. B2B EXCHANGES • Fastest growing of e-commerce • Icgcommerce.com • Tradeaccess.com • Itoi.com • eWork.com

  35. B2B Service Providers • Help other businesses improve policies, procedures and customer service • Ariba.com provides supply chain management, procurement, logistics • Freemarkets.com connects sellers and buyers • Liverperson.com to improve customer service on the net.

  36. Online Trading • www.schawb.com • Etrade.com • Fool.com

  37. E-Loan • Eloan.com • Lendingtree.com • Ditech.com

  38. E-Recruiting • Monster.com • Dice.com • Guru.com

  39. E-news • Wsj.com • Barrons.com • Espn.com

  40. E-travel • Expedia.com • Travelocity.com • Counciltravel.com • Cheaptickets.com • Orbitz.com

  41. Entertainment • iCast.com • Imdb.com

  42. Automotive • Autobytel.com • Autoparts.com

  43. Energy • Houstonstreet.com • Altranet.com • Retailenergy.com

  44. Brain Power • Buy patents and intellectual property online. • Yet2.com

  45. Art • Art.com

  46. E-Learning • Universities offering degrees • Technical education

  47. Click-and-Mortar • Walmart • Bn.com • 1800flowers.com

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