claims if necessaly

A way to handle warranty

through
on-line forme
email, on-line forms
A provide c u s t o m e r
to
service (often On-ine
way
bases and aFAQs, et ceter?
addition, there
knowledge is often strong desire to integrate other business functionstoorsbe able t
vant
practices
to beah
simple example- you might
into the e-commerce offering. An extremely
an order.
show the customer the exact status of

CHANNELS OF E-cOMMERCE
1.10TYPES OR be conducted,
E-Commerce can
the various Channels through which
Following are
1.10.1Business to Consumer E-Commerce
E-Commerce
I.10.2 Business to Business
E-Commerce
1.10.3 Consumer to Consumer
E-Conmmerce
1.10.4 Consumer to Business
1.10.5 Business to Government E-Commerce
Government to Business E-Commerce
1.10.6
 E-CoMMERCE
1.10.7 Gevernment to Citizen 1.17
L40.8 Peer to Peer E-CommereeE-Commerce
1.10.9 M-Commerce
1.10.1 Business to Consumer
As the name
E-Commerce (B2C):
suggests, it is the model
common e-commeree segment, In this involving business and consumers. This is the most
The basic concept behind this model, online businesses sell to individual customers
type is that the online
retailers and marketers can sell their
products to the online consumers by using
arious online marketing erystal clear data which is made available
tools via
Business to consumer covers those E-Commerce
which business organization sells goods to consumer over websites and transactions, trough
the Internet. B2C is also
nternet Retailing or
just E-tailing. The most popular website known as
his category as it sells books and other products online. B2C www.amazon.com talls under
websites sell like
omputer Hardware, Software, Books, Electronic goods like Digital Cameras,productsPrinters and
Scanners, Health and personal care products, music and movie CDs ete. WWe call this category
narketplace transaction. Followings the procedure to perform B2C transactions:

Order
placed
by user

VISA
Credit card is chargec
Shopping
Cart

Order is oomplted

Email is sent to
Customer a n d merchant
Sent to warehouse
Shipping carrier for futfillment
picks up shipment
 online
provh

The customer visits the website and places the order, but if the
advertisements.

E-Commerce environment, he or she may necd information about the sumer

new to E-C hue s
conee
dealings with the desired product. usiness
JLBuyer Selectthe Product: After visiting various websites selling
the desired a r
consumer makes ods,
comparison of prices and product features and finally selects the prodtue.
be purchased. ct to

HI. Consumer fills and submits the Order form available at the
consumer, who wishes to purchase products online, fills the order
Website: Th
forn available at the
website. So customer fills the
particulars like First Name, Last Name, Street,
Address, City
and State and selects a country from
dropdown list. She/he fills his/her 16 digit credít card
number in the appropriate text box of the order form.
web order form needs to be
Similarly all the required fields in the
duly filled. Finally when she/ he clicks the submit button at
end of the form, data is
posted to the supplier and gets stored in a database on the server. the
Seller Proceeds for the Payment verification: As and when selling firm receives
online order, it seeks confirmation about
of third party authenticity of credit card particulars. With the help
payment Gateways, credit card is checked with customer's
credit is approved by customers issuing bank. If
issuing
further with the transaction. Now seller
bank it serves as green
signal for the seller to proceed
e-mails customer that her order has been received and
shall be executed soon.
V. Fulfillment: Seller withdraws the Ordered Product from the Warehouse
the Customer. Funds are electronically transferred from and ships it to
his/her account to Sellers account.
1.70.2 Inter
Organizalional E-Commerce/ Business to Business
E-Commerce (B2B It is the largest form of
trillions of dollars. In this form buyers E-Commerce involving business of
and sellers
are both
involve an individual consunmer. It is
like the manufacturer
business entities and do not
retailer. For example Dell sells
Computers and other related
supplying goods to wholesaler or
manufacture all those products. So in order to accessories online but it does not
sell all
from different businesses i.e. the manufacturers of those products, it first purchases them
Business refers to all E-Commerce those products
transactions that Therefore,
Therefore, Business
Business toto
likeretailers, manufactures, suppliers, occur between business
distríbuters
Therefore, when companies and institutions and organizati01
electronic fund transfer
internet or online, Business to buy from each other or providers
Business transaction sell to one another
link transaction. It is also take place. We call
known as this category marke
spectrum of E-Commerce that can occurinter-organization E-Commerce. It refers to the full
institutions buy from each other or sell tobetween two organizations. So when and

take place. E.g. one another

online, B2B E-Commerce companies ion
Grainger.com
its Website. As more and more sells industrial supplies to large and small transac gh
companies are outsourcing businesses
parts of their supply chain throu
their
to n
INTRODUCTION To E-COMMERCE 1.19

trading partners, Business to Business E-commerce has become a crucial component of the
supply chain management,) The transactions of B2B E-commerce take place through a
website which is also known as B2B Exchange. B2 B Exchange provides a market place
where companies can deal with one another using common technology platform. There are
two types of B2B Exchanges:
Public B2B Exchange: It is a good venue to explore new business partners as wel
opportunities .tradeindia.com is an example of such a site that provides e-market place.
with existing business
Private B2B Exchange: It offers closer online relatíonship
partners
Business to Business E-commerce provides the following benefits to the Companies
I t helps in building closer contact with business partners.

) It reduces cost of paper work.

i ) It helps in obtaining supplies at lower prices
distributors.
i ) I t enables faster communication with
customers demand.
Levels of inventory can be quickly adjusted per
as

between businesses.
Wi) ensures electronic Data Interchange
E-Commerce companies can outsource parts
of their supply chain.
By using B2B
y aftermarket
Automotive vehicle manufacturers, parts suppliers, dealers,
Example: insurers and government agencies
all
retailers, institutions, property & casualty
financial
activities. A Business
e-Commerce technologies to support their everyday
depend upon B2B the following figure:
/automotive Industry can be explained by
to Business transaction in

B2B Integration in the

Automotive Industry
Motor Vehicle
Auto Association
Manufacturer

Vehicle
Registration
Invoice

Car Dealer
Sales
Forecasts
Taxes
& Orders

Loan Application
Approval Status
Liabilty
Insurance
Inventory
& Payoff
Property &
Financial Casualty Insurer
Instruction
 B-Uomme
Consumer
to
1.10.3 Consumer

Places advertisement

Website

Want to sell products Want to buy products

Want to buy products

Customer 1 Custormer 2
Receives money

Censumer to Consumer E-Commerce facilitates the online transactions of goods or

services between two people. (Though there is visible
no
intermediary involved but parties
cannot cary out the transactions without the platform which is provided by the online
market
maker such as eBay.J

So, Consumer to
Consumer refers those E-Commerce transactions which take
to
between and among place
consumersUn C2C, an ordinary consumer having surplus stuff sells it to
other consumers in the neighborhood. So many websites offer C2C
can visit the site,
dealing where a consumer
upload the picture of clothes, personal artwork or handicrafts, he has to sell
and mentions the demand
price. So a visitor to C2C website can buy from other consumers or
sell his belongings to other consumers.
Some C2C sites built by intermediaries
platform for consumers to
a provide
come together. The intermediary gets commission from goods sold
at the website by a consumer to other consumer. Because one party is selling here and thus
acting as a business, so this treats C2C
transactions as part of B2C E-Commerce.
Consumers and businesses trade with each other in the eBay.com online market E.g
place.
In other words Consumer Consumer E-commerce is also known as
to
Auction sites. In which Consumer lists items the form of
for sale with a commercial
consumers access the site and auction site. Other
place bids on the items. The site then
between the buyer and seller to provides a connection
complete the transaction. The site provider
transaction cost. a usually charges
1.10.4 Consumer to Business E-Commerce
(C2B):
InConsumer to Business E-Commerce a
online and within Consumer posts his
hours companies review
the consumer's
project with a set budget
project. The consumer reviews the requirements
and bid on the
project. Enlace bids and selects the
company that will complete the
platform for suchempowers consumers around the world by
transactions. providing the meeting and ground
 1.21
IWTRODUOTIONTO B-CoMMBRON

Webslte

Planes motay or
Proceses Order partiodar s941Vs

Heceives produote

Custorner
Business Organization
Hecelves rioney

business organizations
approaches wcbsite showing multiple
In this model, a consumer for a
amount he/she wants to spend
Consumer places an estimate of loan/ car loan
for a particular service. interest rates of personal
For example, comparison of consumer's
particular service, Business organizatíon that fulfills the
banks via website,
provided by various and provides its
services.
within approaches the customer
specified budget
requirement
Government E-commerce (B2G):
1.10.5Business to E-Commerce
transactions through which
Government refers to those
Business to
outcome of government policy whereby it buys
business enterprises
sell to government, It is online trading of products
and
procurement,
which includes the
products and services through
services through e-auctions,

Government
Wobelto
Business organization

Business E-Commerce (G2B):

1.10.6 Government to delivered by government
to business
services
Government to
Business refers to started providing
traditional
have
G2B, governments
the invention of
tenders
organizations. With Such websites support auctions,
over the
internet.
services to business
organizations
functionalities.
submission
and application

|
Buslnese Organization
Wobsito
Government

1.10.7 Government- to Clllzen (G2C) in general. Such websites

approach oitizen
G2C model website to
Government uses
1.22 INTRODUCTION TO E-CoMMERCE

support auctions of vehicles, machinery or any other material. Such website also ro ides
services like registration for birth, marriage or death certificates. Main objectives of Gp
website are to reduce average time for fulfilling people requests for various governmend
services.

Government Website
Citizen

7.70.8 Peer to Peer E-Commerce:

Though Peer to Peer is an E-Commerce
model but it is more than that. It is a
technology in itself which helps people to
directly share computer files and computer
resources without having to go through a
central web server. To use this both sides
need to install the required software so that Fle
server
they communicate on the same/common
platform. This type of E-commerce has Client
Prozakistant.pk
quite low revenue generation as from the
beginning it has inclined to the free usage
due to which it sometimes got
entangled in cyber laws.
1.10.9 M- Commerce:
M-Commerce refers to the use of mobile devices for
mobile device holders can contact each other conducting the transactions. The
and conduct the business. Even the web
and development companies optimize the websites to be viewed design
correctly on mobile devices.
How M -Commerce
Application are Delivered
Retail trans actionsS

Mobile
management
system
- Merchant

wallet Payment
processing
Merchant bank
Fund transfer

Consumer basic Internet

Processing bank