E-COMMERCE

• E-commerce (or electronic commerce) is used to describe business that is conducted over the Internet using any of the applications that rely on the Internet, such as e-mail, instant messaging, shopping carts, Web services, FTP, and EDI (electronic data interchange), among others.
• Electronic commerce can be between two businesses transmitting funds, goods, services and/or data or between a business and a customer.

Includes:

• Online business to business transactions
• Online business to consumer transactions
• Digital delivery of products and services
• Online merchandising
• Automated telephone transactions eg phone banking

 

E-commerce can be divided into:

• E-tailing or "virtual storefronts" on Web sites with online catalogs, sometimes gathered into a "virtual mall“
• The gathering and use of demographic data through Web contacts
• EDI, the business-to-business exchange of data
• E-mail and fax and their use as media for reaching prospects and established customers (for example, with newsletters)
• Business-to-business buying and selling
• The security of business transactions

Examples of E-commerce

• Online Shopping
• Electronic Payments
• Online Auctions
• Internet Banking
• Online Ticketing

For more info: 

Types of Ecommerce

Business to Business (B2B)

• B2B ecommerce transactions are those where both the transacting parties are businesses, e.g., manufacturers, traders, retailers and the like.

Business to Consumer (B2C)

• When businesses sell electronically to end-consumers, it is called B2C ecommerce.

Consumer to Consumer (C2C)

• Some of the earliest transactions in the global economic system involved barter - a type of C2C transaction. But C2C transactions were virtually non-existent in recent times until the advent of ecommerce. Auction sites are a good example of C2C ecommerce.

 

Advantages of E-commerce	Disadvantages of Ecommerce
Overcome Geographical Limitations	Ecommerce Lacks That Personal Touch
Gain New Customers With Search Engine Visibility	Ecommerce Delays Goods
Lower Costs	Anyone Can Set Up an Ecommerce Website
Locate the Product Quicker	Security
Eliminate Travel Time and Cost	Many Goods Cannot Be Purchased Online
Provide Comparison Shopping	Ecommerce Does Not Allow You to Experience the Product Before Purchase
Enable Deals, Bargains, Coupons, and Group Buying
Provide Abundant Information