Electronic-commerce

1ElectroniccommerceElectroniccommerce,commonlyknownase-commerceoreCommerce,consistsofthebuyingandsellingofproductsorservicesoverelectronicsystemssuchastheInternetandothercomputernetworks.Theamountoftradeconductedelectronicallyhasgrownextraordinarilywithwide-spreadInternetusage.Awidevarietyofcommerceisconductedinthisway,spurringanddrawingoninnovationsinelectronicfundstransfer,supplychainmanagement,Internetmarketing,onlinetransactionprocessing,electronicdatainterchange(EDI),inventorymanagementsystems,andautomateddatacollectionsystems.ModernelectroniccommercetypicallyusestheWorldWideWebatleastatsomepointinthetransaction'slifecycle,althoughitcanencompassawiderrangeoftechnologiessuchase-mailaswell.Alargepercentageofelectroniccommerceisconductedentirelyelectronicallyforvirtualitemssuchasaccesstopremiumcontentonawebsite,butmostelectroniccommerceinvolvesthetransportationofphysicalitemsinsomeway.Onlineretailersaresometimesknownase-tailersandonlineretailissometimesknownase-tail.AlmostallbigretailershaveelectroniccommercepresenceontheWorldWideWeb.Electroniccommercethatisconductedbetweenbusinessesisreferredtoasbusiness-to-businessorB2B.B2Bcanbeopentoallinterestedparties(e.g.commodityexchange)orlimitedtospecific,pre-qualifiedparticipants(privateelectronicmarket).Electroniccommercethatisconductedbetweenbusinessesandconsumers,ontheotherhand,isreferredtoasbusiness-to-consumerorB2C.ThisisthetypeofelectroniccommerceconductedbycompaniessuchasAmazon.com.Electroniccommerceisgenerallyconsideredtobethesalesaspectofe-business.Italsoconsistsoftheexchangeofdatatofacilitatethefinancingandpaymentaspectsofthebusinesstransactions.HistoryEarlydevelopmentThemeaningofelectroniccommercehaschangedoverthelast30years.Originally,electroniccommercemeantthefacilitationofcommercialtransactionselectronically,usingtechnologysuchasElectronicDataInterchange(EDI)andElectronicFundsTransfer(EFT).Thesewerebothintroducedinthelate1970s,allowingbusinessestosendcommercialdocumentslikepurchaseordersorinvoiceselectronically.Thegrowthandacceptanceofcreditcards,automatedtellermachines(ATM)andtelephonebankinginthe1980swerealsoformsofelectroniccommerce.Anotherformofe-commercewastheairlinereservationsystemtypifiedbySabreintheUSAandTravicomintheUK.OnlineshoppingwasinventedintheUKin1979byMichaelAldrich[citationneeded]andduringthe1980sitwasusedextensively2particularlybyautomanufacturerssuchasFord,Peugeot-Talbot,GeneralMotorsandNissan.Fromthe1990sonwards,electroniccommercewouldadditionallyincludeenterpriseresourceplanningsystems(ERP),datamininganddatawarehousing.Theearliest[citationneeded]exampleofmany-to-manyelectroniccommerceinphysicalgoodswastheBostonComputerExchange,amarketplaceforusedcomputerslaunchedin1982.Thefirst[citationneeded]onlineinformationmarketplace,includingonlineconsulting,waslikelytheAmericanInformationExchange,anotherpre-Internet[clarificationneeded]onlinesystemintroducedin1991.Until1991,commercialenterpriseontheInternetwasstrictlyprohibited.[1]AlthoughtheInternetbecamepopularworldwidearound1994,ittookaboutfiveyearstointroducesecurityprotocolsandDSLallowingcontinualconnectiontotheInternet.Andbytheendof2000,alotofEuropeanandAmericanbusinesscompaniesofferedtheirservicesthroughtheWorldWideWeb.SincethenpeoplebegantoassociateawordecommercewiththeabilityofpurchasingvariousgoodsthroughtheInternetusingsecureprotocolsandelectronicpaymentservices.Timeline1990:TimBerners-Leewritesthefirstwebbrowser,WorldWideWeb,usingaNeXTcomputer.1992:J.H.SniderandTerraZiporynpublishFutureShop:HowNewTechnologiesWillChangetheWayWeShopandWhatWeBuy.St.Martin'sPress.ISBN0312063598.1994:NetscapereleasestheNavigatorbrowserinOctoberunderthecodenameMozilla.PizzaHutofferspizzaorderingonitsWebpage.Thefirstonlinebankopens.Attemptstoofferflowerdeliveryandmagazinesubscriptionsonline.Adultmaterialsalsobecomescommerciallyavailable,asdocarsandbikes.Netscape1.0isintroducedinlate1994SSLencryptionthatmadetransactionssecure.1995:JeffBezoslaunchesAmazon.comandthefirstcommercial-free24hour,internet-onlyradiostations,RadioHKandNetRadiostartbroadcasting.DellandCiscobegintoaggressivelyuseInternetforcommercialtransactions.eBayisfoundedbycomputerprogrammerPierreOmidyarasAuctionWeb.1998:ElectronicpostalstampscanbepurchasedanddownloadedforprintingfromtheWeb.1999:Business.comsoldforUS$7.5milliontoeCompanies,whichwaspurchasedin1997forUS$149,000.Thepeer-to-peerfilesharingsoftwareNapsterlaunches.2000:Thedot-combust.32002:eBayacquiresPayPalfor$1.5billion[2].NicheretailcompaniesCSNStoresandNetShopsarefoundedwiththeconceptofsellingproductsthroughseveraltargeteddomains,ratherthanacentralportal.2003:Amazon.compostsfirstyearlyprofit.2007:Business.comacquiredbyR.H.Donnelleyfor$345million[3].2008:USeCommerceandOnlineRetailsalesprojectedtoreach$204billion,anincreaseof17percentover2007[4].BusinessapplicationsSomecommonapplicationsrelatedtoelectroniccommercearethefollowing:EmailEnterprisecontentmanagementInstantmessagingNewsgroupsOnlineshoppingandordertrackingOnlinebankingOnlineofficesuitesDomesticandin