STARTING A NEW E-COMMERCE MIS 304 Professor Fang Fang Group #4 Gerardo Cabral | Josh Bond | Joseph Zoller Ryan Canonizado | Mike Dixon Introduction Electronic Commerce, or commonly known as E-Commerce or eCommerce, consist of the buying and selling of products and services over electronic systems such as the Internet and other computer networks. Types of E-Commerce Business-to-Consumer (B2C) Business-to-Business (B2B) Business-to- Administration (B2A) Business-to-Consumer (B2C) Advantages Stress free buying Secure and confidential transactions Convenient methods of paying Quick process and delivery Disadvantages Quality of website Business-to-Business (B2B) Advantages Inventory manageability Speed of computing invoices Disadvantage Security breach Business-to-Administration (B2A) Advantages Effective communication with organizations and government Disadvantage Security Breach Other types of E-Commerce Consumer-to-Consumer (C2C) Example: Craigslist.com Consumer-to-Business (C2B) Example: Priceline.com Consumer-to-Administration Example: Consumer directly paying taxes to government HARDWARE COMPONENTS 3 Tier Architecture Server Most important hardware when dealing with a web site 3 different options for a business owner to choose from Renting a Server Can rent a virtual machine or space on a public server Less expensive Company takes care of maintenance Owning a Personal Server Extremely expensive Most control and flexibility SOFTWARE COMPONENTS E-Commerce Software Know your customer Merchant vs. nonmerchant Auctions, clearinghouses, exclusive access Only the necessities GoEmerchant Unlimited bandwidth Product variation Bulk uploading Technical support Easy to use $59.95/month 3D cart No programming/graphic skills necessary Marketing aids Feature products & gift certificates Growth tracking $20-$100/month Magentocommerce Marketing promotions Easy checkout/shipping Collects & analyze data Open source Free! E-COMMERCE TRENDS Interactive Customer reviews JumpGauge Social Networking MySpace, Facebook, etc. Advertisements Real-Time Product availability Ebay Twitter Cutlery and More, Amazon Mobile Applications Custom websites Amazon mp3 iPhone iTunes Starbucks E-COMMERCE SUCCESS Ecommerce Success Three major successful online companies Amazon EBay Google Amazon Slow and steady growth Expanded product selection Review and Recommendation Amazon Web Services Ebay First large online auction house Seller Ratings Can sell pretty much everything PayPal Google Advertising Pros & Cons Major products Search Engine Web Mail Virtual Globe Privacy QUESTIONS?