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C o M M e R C E: Chapter 12: Consumer Trade Transactions
C o M M e R C E: Chapter 12: Consumer Trade Transactions
c
o
m
m
e
r
electronic
commerce
c strategy
technologies
and
e
applications
r
electronic
commerce
c strategy
technologies
and
e
applications
m
The server holding the e-Commerce application;
Links from the Internet application to back office
m systems.
e Internet
r
electronic Browser
commerce Internet Application
Client Server
c strategy
technologies
and
e
applications Back Office
Systems
E-Commerce ©David Whiteley/McGraw-Hill, 2000 3
The e-Shop
e
c An example of a simple e-Shop, set up by Charlie
Bucket (and with apologies to Roald Dahl).
o
m Wo nk A Onl ine
m
O rder
Fudgemallow Delight
r
electronic
commerce
c
Name Credit Card
strategy
technologies Address No.
and
e
Expiry
applications
o
An e-Shop – providing online purchasing
(as provided by Wonka Online)
Additional features may include:
m Customer Registration
Dynamic Web Pages
e Additional Information
Community
r
electronic Multiple Payment Options
commerce
Encryption
c strategy
technologies
and
Online Delivery
Loyalty Schemes
e
Online Help
applications
Shopping Mall
o Search Pre-Sale
m Order
m Payment
Execution /
Settlement
e Deliver
r
electronic
commerce
After Sales After Sales
c strategy
technologies
and
e
applications
c Search options:
m
Using a search engine
r
electronic
commerce Using the url – a known url or a bookmark.
c strategy
technologies
and
e
applications
c Order:
Helping the customer to find things:
o • Departments/categories
• A site search engine
m
m Displaying the goods:
• Picture
e • Description
• VR Images
r
electronic
commerce • Sound
c strategy
technologies
and
Selecting the goods:
e
applications • Electronic shopping basket.
c Payment:
o Credit Card
m or
e-Cash
m Debit Card
Offline payment
e
r
electronic
commerce
Security of payment (see Chapter 15).
c strategy
technologies
and
e
applications
c Delivery:
For conventional shopping, the delivery function
o is typically performed by the customer.
m Delivery issues:
• Cost
m • Security
r
electronic
commerce Delivery methods:
• Post (through postbox)
c strategy
technologies
and
• Doorstep (may require customer to be
present)
e
applications
• Online.
E-Commerce ©David Whiteley/McGraw-Hill, 2000 10
e Internet Shopping and the Trade Cycle
c After-Sales:
c strategy
technologies
and
e
applications
r
electronic
commerce Used by 14 million people
• Online Telephone Directory
c strategy
technologies
and
• Banking Services
• Travel (Information and Reservations)
e
applications
• Catalogue Sales.
E-Commerce ©David Whiteley/McGraw-Hill, 2000 12
e Other e-Commerce Technologies (2)
m Projected developments:
e
Interactive TV
(cable TV/Internet combinations)
r
electronic (satellite TV/telephone combinations)
commerce
c strategy
technologies
and
Mobile e-Commerce
(mobile phone/laptop combinations)
e
applications (mobile phone e-Commerce)
E-Commerce ©David Whiteley/McGraw-Hill, 2000 13
e-Commerce Sales
e
c Dramatic / rapid expansion but still a small
proportion of overall retail sales.
o
m
KPMG (1999) gives direct sales as 5% of retail
sales in the UK and 4% in the US; 16% of US home
e
applications (US, not UK, definitions of billion and trillion)
o Home Shopping
r
electronic
commerce Home Delivery
c strategy
technologies
and
Online Sales Support
e
applications
m Delivery
m
e
Inspecting Goods
r
electronic
commerce Social Interaction
c strategy
technologies
and
Return of Goods
e
applications
m Reduced costs
e
Privacy and Security
Delivery
r
electronic
commerce Price transparency
c strategy
technologies
and
… and for most e-Shops
e
applications – an inability to make a profit
c BARKER pENS
o
m Site Index Earnest Barker started making
fountain pens in the English Lake
District over a hundred years ago in
The Barker 1894.
m
Story Today you can buy your Barker
Pen via the Internet. Business
methods change but be assured that
Boxed Pen Sets the care and craftsmanship that goes
The Elite Range into making a Barker Pen is still the
e Stationary Items
Site Guide
same as it was a hundred years ago.
You cannot write your e-mails
using a Barker Pen but there are
those special occasions, the vital
r
electronic Payment Policy contract or a letter to a loved one,
commerce The Barker when only paper, ink and a Barker
Guarantee Pen will do.
c
Geoffrey Barker
strategy
technologies
and
e
applications Read and discuss the case study.
m
bookstore. Look up this book and any other course
books and compare prices, delivery times and
shipping charges. After you have looked up the
e book, jot down three reasons why you might buy
the book online and three why it might not be
r
electronic
commerce advantageous.
c strategy
technologies
and
If you did buy this book from an online bookshop
then well done; you can still write down three
e
applications reasons for and three against using an online
bookstore.
E-Commerce ©David Whiteley/McGraw-Hill, 2000 19