E commerce fundamentals-01mar06

E-Commerce Fundamentals and Current Trends in the Philippines

Presented by Mavic Pineda1 March 2006, SJ 504

Sponsored by the Business Management Society

Self-Diagnosis

• How many use the internet daily?• What’s the average number of hours

you spend using the internet daily?• How many made a purchase already

thru the internet?• What products did you purchase or

what services have you availed• How frequent do you transact or

make a purchase thru the internet?

E-Commerce

• “Encompasses the entire online process of developing, marketing, selling, delivering, servicing and paying for products & services transacted on internetworked, global marketplaces of customers, with the support of a worldwide network of business partners.”

O’brien, J. Management Information Systems Fifth Edition, p. 162.

Pure Vs. Partial Electronic Commerce Three dimensions

the product (service) sold [physical / digital]; the process [physical / digital] the delivery agent (or intermediary) [physical /

digital]

Traditional commerce all dimensions are physical

Pure EC all dimensions are digital

Partial EC all other possibilities include a mix of digital and

physical dimensions

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Dig

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Digital Product

Physical Product Physical process

Digital process

Virtual process

Virtual delivery agent

Virtual product

Electronic commerce areas

The core of electronic commerce

The Dimensions of Electronic Commerce

Traditional commerce

Diagram is from Prentice Hall, 2000

A market is a network of interactions and relationships where information, products, services, and payments are exchanged.

The market handles all the necessary transactions.

An electronic market is a place where shoppers and sellers meet electronically.

In electronic markets, sellers and buyers negotiate, submit bids, agree on an order, and finish the execution on- or off-line.

Electronic Markets

Shopper/PurchaserShopper/Purchaser Seller/SupplierSeller/Supplier

Electronic Market

(Transaction Hander)

Electronic commerce

network

(Infrastructure)

Product/service information request

Purchase request

Payment or payment advicePurchase fulfillment request

Purchase change request

Response to fulfillment request

Shipping notice

Payment approval

Electronic transfer of funds Electronic transfer of funds

Shopper/Purchaser’s BankShopper/Purchaser’s Bank

Payment remittance notice

Electronic transfer of funds

Transaction Handler’s Bank

(Automated Clearing House)

Seller/Supplier’s BankSeller/Supplier’s Bank

Electronic MarketsDiagram is from Prentice Hall, 2000

Response to information request

Purchase acknowledgment

Shipping notice

Purchase/service delivery (if online)

Payment acknowledgment

Electronic data interchange (EDI) Extranets Electronic funds transfer (EFT) Integrated messaging systems Shared databases Electronically-supported supply chain

management

Types of Interorganizational Systems

Types of E-Commerce in the Phils.

Business to Business (B-B) Business to Consumer (B-C) Consumer to Consumer (C-C) Business to Government to Consumer

(B-G-C) Government to Business & Consumer

(G-B/C) Government to Citizen (G-Z)

Business to business

Business to business

Business to consumers

Business to consumers

1

2

3

Consumers to Consumers

Government to Citizen

www.dti.gov.ph

www.census.gov.ph

www.dost.gov.ph

http://www.passport.com.ph/ B->G->C

B->G->Chttp://www.e-census.com.ph/

Can you classify the type of e-commerce employed?

Essential E-commerce Processes• Access Control & Security

–Access control

–Authentication

–Security measures

• Profiling & Personalizing

–Profile management & personalizing

–Behavior tracking

Essential E-commerce Processes• Search Management

–Content-based search

–Parametric-based search

–Rule-based search

• Content Management

–Dynamic content generation

–Data repository

                       Learn.com

Essential E-commerce Processes• Catalog Management

–Pricing calculation

–Product configuration

–Catalog generation

Essential E-commerce Processes• Payment

–Shopping cart

–Payment method support

–Payment verification

Essential E-commerce Processes• Event Notification

–Event-driven

–Transaction messaging

–Message boards, newsgroups

–Message to e-mail

• Collaboration & Tracking

–Mediation negotiation

–Bidding/auctioning

–Online community

Essential E-commerce Processes

• Workflow Management

–Buying process automation

–Document management

–Rule & role-based content routing

Developing an E-Business Plan

• What are the goals in setting an e-business

• Who is the target guests of the site—

• What is the readiness level of the organization

Why engage in e-commerce?

• Anytime, anywhere commerce and services

• Cost-effective in providing information

• Mobility, portability of services

• Availability of shared services

• Cost-effective utilization of services &

• Better turn around time (for all parties involved)

Any Questions?

Magandang Hapon sa inyong lahat.

Mavic G. Pineda• IT Dept- College of

Computer Studies• Adviser, Moomedia SIG• Presently working on the

marketing of the BS-Information Communications Technology Management program of the IT Dept.

• Conducts lectures and workshops on E-commerce, Web and Interactive Multimedia Designs.