E-Business, E-Commerce, and M-Commerce PDF

Chapter 4 INTRODUCTION TO E – BUSINESS Internet (International network) is a large network used by...

Chapter 4 INTRODUCTION TO E – BUSINESS Internet (International network) is a large network used by business organizations to establish e-business and e-commerce E – Business, E – Commerce and M- websites. Commerce It provides business organizations opportunities to build relationships with their customers and suppliers to help improve services and customer retention. World Wide Web (WWW) provides unrestricted access to and publishing of information over the Internet using web browsers. E – Business Computer Networks E – Business refers to any A computer network refers to online - run business. the connection between It is also considered as a computers to share technique used by business information and resources. organizations to improve business strategy and be more productive and profitable through the use of IT. https://cdn.techmesto.com/wp-content/uploads/2011/08/how-to-learn-about- computer-networking5.jpg https://www.thefinancialexpress.com.bd/uploads/1547477405.jpg TYPES OF COMPUTER NETWORKS TYPES OF COMPUTER NETWORKS Personal Area Network (PAN). This refers to a computer network that is used to allow communication between devices close to each other. Local Area Network (LAN). This is one of the most commonly used computer networks that cover a small area such as a house, room, or building. Campus Area Network (CAN). This type of computer network is specifically used for academic institutions where LANs are interconnected in a limited geographical area. Metropolitan Area Network (MAN). This type of computer network is within the area of a town or city where it connects two or more LANs or CANs. Wide Area Network (WAN). This type of computer network is used within regional or national areas. International Network (Internet). This is considered as the largest computer network that allows users to access without restrictions. TYPES OF COMPUTER NETWORKS TYPES OF COMPUTER NETWORKS Campus Area Network TYPES OF COMPUTER NETWORKS TYPES OF COMPUTER NETWORKS Metropolitan Area Network Wide Area Network Networks Used for E-Business Networks Used for E-Business Intranet. Internet. It refers to the internal network of a business organization, meaning only It is the largest network consisting of interconnected government, private, authorized users can access the network through the Internet. It uses web public, academic, and business entities linked by various technologies browsers and file transfer applications, which are under the supervision ranging from electronic and wireless to fiber optic. This connection is and control of the business organization. offered and managed by service providers. Extranet. It refers to the network of a business organization that has a limited scope giving access only to trusted entities. A business organization may build an extranet by letting its customers gain access to a portion of their intranet. E – Business Opportunities E – Business Opportunities Reach Richness It refers to the potential number of It refers to the information that a business organization can share to their local and international customers of consumers. a business organization that can This may include detailed information about a certain product which interact with each other through includes the product name, description, price and availability the use of the Internet. It can also be defined as the number of categories and products that can be covered in a consumer interface. This includes catalogues, websites, and so on. https://static.startuptalky.com/2021/11/Copy-of-to-share-startuptalky--1--2.png E – Business Opportunities Risks and Barriers to Business Adoption Affiliation E-business services open a lot of opportunities to business It refers to the effectiveness of organizations. However, opportunities need to be balanced against the linkages between business the risks that may arise when conducting e-business. organizations. These risks may include strategic and practical risks. https://static.startuptalky.com/2021/11/Copy-of-to-share-startuptalky--1--2.png E – COMMERCE Buy-Side and Sell-Side E-Commerce Electronic commerce, also E-commerce is displayed known as e-commerce, refers through technologies such as: buy-side e-commerce focuses sell-side e-commerce focuses on to commercial transactions Automated data collection on suppliers. the consumers or customers. executed online using the systems Internet. Electronic funds transfer Electronic data interchange Internet marketing Inventory systems Online transaction processing Mobile commerce Supply chain management https://myrepublica.nagariknetwork.com/uploads/media/eeee_20210524140327.png https://wsp-blog-images.s3.amazonaws.com/uploads/2018/02/08134422/buysell.jpg Advantages and Disadvantage of E-Commerce Threats of E-Commerce Advantages of E-Commerce Disadvantages of E – Commerce Servers containing important files and customer information being Efficient transactions done Lack of privacy of e-transactions stolen anytime and anywhere Unsecured use of the Internet Quick electronic funds transfer Depersonalized shopping Impostors duplicating e-commerce sites to steal customers ‘money Convenient buying or selling from home or place of business Hackers attempting to steal customer information or mess up the Reduced cost and time of order site processing Simpler, faster, and cheaper Authorized users with hidden motives attacking e-commerce supply chain management systems and/or selling information to competitors Quick reaching of target customers for small- and medium- sized enterprises (SMEs) User-friendly ordering systems Features of E – Commerce Features of E – Commerce Ubiquity - This means that the marketable transaction or activity at Interactivity - This feature refers to the relationship between a consumer anytime, anywhere in the world. and an e-commerce website. It provides face-to-face customer meetings Global Reach and Security - E-commerce allows a company to get when conducting business transactions. customers anywhere in the world. It also known as worldwide access, it is Information Density - This refers to the amount of products that can fit on the maximum number of possible consumers a business can reach. a computer screen. Security is essential when working globally; therefore, customer information and privacy must be protected and ensured when using an e- commerce platform. Universal Standards - This refers to a website that can be operated on a standard platform which follows identified methods and systems. Richness – This refers to the volume of the content of the website and the way it is used by consumers. Ensuring a site's richness, by providing a combination of messages and means to improve customer experience, is essential for businesses. Features of E – Commerce Business Models of E-Commerce Information Density Business-to-Business (B2B) B2B is a marketing type of business wherein businesses provide products or services to other businesses for the production of goods, business operations, or reselling of products. Shoppee using laptop or desktop Shoppee using mobile devices Examples of B2B websites in the Philippines Examples of B2B websites in the Philippines Philippine Companies - Filipino Business Directory Pinoy Listing Examples of B2B websites in the Philippines Business Models of E-Commerce Yalwa Business to Consumer (B2C) B2C is the type of commercial transaction in which businesses sell products or service directly to consumers. It is considered the most popular form e-commerce. It originated in e-retail wherein customers visit a website and purchases products online. It reduces transaction costs, increases the number of consumers, and allows consumers to find the most competitive price of a certain product. In the Philippines, the following are the top e-commerce websites: Business Models of E-Commerce Lazada Philippines Consumer-to-Consumer (C2C) Shopee Philippines C2C is used similarly as the classified advertising section of Zalora Philippines a local newspaper or an auction Metrodeal page. C2C is a convenient way for consumers to buy and sell Globe Online Shop goods without physically going to a store. eBay Philippines https://miro.medium.com/max/1400/1*-L5lKdH75u89Xr3SjiyY2w.jpeg Business Models of E-Commerce Business Models of E-Commerce Business-to-Government Government-to-Business (G2B) Government to Citizen (G2C) (B2G) This business model refers to This model is being used by the government to B2G is a business model that government agencies that provide approach and communicate with citizens in refers to a business that sells services or information to a general. products, services, or business organization. information to governments and/or government agencies. E – Commerce Security Systems E – Commerce Security Systems Auditability Auditability - data should be documented in such a way that it Authenticity can be audited for the real requirements Availability Authenticity - there should be procedures to authenticate a user before giving him/her access to the required information Confidentiality Availability - it is a requirement that information must be Encryption available anytime and anywhere, and it must be bound by a Integrity time limit Non-reputation https://1.bp.blogspot.com/-r5_bWTt2Ec4/WPsTXjrStiI/AAAAAAAAL0A/Vh-yARJjPzcofqGUBJpKqr6vk- SzZm9mwCLcB/s1600/aasw.jpg Confidentiality - information should be kept and not be accessible by an unauthorized user. It should not be interrupted during the transmission. E – Commerce Security Systems E – Commerce Security Systems Encryption - is the process of protecting information or data by Integrity - information must not be modified during its using mathematical models to scramble it in such a way that transmission over a network. Honesty and strong moral only the parties who have the key to unscramble it can access principles must be applied it. Decryption is a process that transforms encrypted information into its original format.  E – Commerce Security Systems M – COMMERCE Non-reputation - there should be assurance that someone Mobile commerce, also known as M – commerce, refers to the use cannot rebuff on something. It is to certify that a person of wireless handheld devices, such as mobile phones, to conduct involved in the contract or in communication cannot refute the authenticity of their signature on a document. business – related transactions online. M – commerce transactions conquer online business transactions, which include the purchasing and selling of a wide range of products and services, online banking, bills payment and Digital Signature - is a mathematical information delivery. scheme for verifying the authenticity of digital messages or documents https://chicomobile.ph/wp-content/uploads/2018/02/Evolution-Of-Cell-Phone.jpg Benefits of mobile technologies Benefits of mobile technologies Ubiquity. They allow users access anywhere. Ubiquity. Reachability. Users are easy to reach. Reachability. Convenience. There is no need for users to have fixed-line Convenience. connections. Security. Security. They ensure that user information is free from the Privacy. risk of loss or theft through authentication. Availability. Privacy. The degree of privacy is higher compared to a desktop PC. Availability. Users can freely access them at any time of the day. Four (4) main forces that support m-commerce Four (4) main forces that support m-commerce Fourth (4th) and Third (3rd) Generation Technologies Wireless Application Protocol (WAP) Fourth (4th) generation technologies, developed in 2012-2015, with a This is a technical standard used for the transfer of information to maximum data transfer rate of24 Mbit/s, adopted m-commerce. specific wireless devices, such as mobile phones. Third (3rd) generation technologies were introduced in 2004. 4th Generation 3rd Generation Four (4) main forces that support m-commerce Four (4) main forces that support m-commerce iMode Access Platforms Personalized Services This is another form of mobile access that was introduced by the Japanese. Consumers can gain access to wireless service whenever there is an Its so-called Japanese iMode standard displays content using HTML. available network. Personalized services can be used anytime are offered to mobile users. Top M – Commerce Application DIFFERENCES BETWEEN E – BUSINESS in the Philippines AND M – COMMERCE Lazada Web World (E – Commerce) Mobile World ( M – Commerce) Shopee Internet access through a laptop/desktop is necessary for e – commerce. M – commerce is done through wireless connectivity using mobile. Zalora The buying and selling of products and services are done with use of The buying and selling of products and services are done with the use the Internet. of mobile phones that have access to the internet or cellular data. Amazon It requires devices such as computers and laptops. It requires devices such as cellphones, iPads and tablets. AliExpress The platform used are web stores. The platforms used are web stores (mobile version/web app), hybrid app, and native app. BeautyMnl. Mobility is limited as you cannot carry computers everywhere. Even eBay with the use of laptops, one need enough space, and although it is portable, it is not light as mobile phones. As mobile devices are easy to carry, it offers more mobility, accessibility and convenience. Sephora It is less costly as the store is created on the web and can be accessed It is costly as a mobile app is required, and cellular data or internet use Alibaba using the Internet. is necessary. Althea As it applicable to a broader area, customization for each user is not possible. Mobile devices are usually owned by individual, so anyone can use the customized app to fulfill their business or personal needs. https://www.marketing91.com/wp-content/uploads/2019/08/Important- Applications-of-M-Commerce.jpg Its interface is more complicated, and more functions are available It promotes easy use because all the functions are simplified. GUIDELINES AND LAWS GOVERNING GUIDELINES AND LAWS GOVERNING E – COMMERCE E – COMMERCE Taxes Inventory Taxes - Every state and/or country has different rules and laws regarding Trademarks, Patents, and Business Restrictions taxes. Therefore, conducting research and understanding your target market Copyrights are necessary to avoid problems about taxation. Licenses and Permits Shipping Restrictions The percentage tax rate for online sellers is 3% of gross sales or Payment Card Industry (PCI) receipts. However, certain types of sales are subject to a lower Air bags Compliance Animals percentage tax rate, such as sales of goods or services to the PCI compliance serves as protection government, which are subject to a 1% tax rate. Perishable materials, such as fresh for on businesses, especially fruits and vegetables and alcohol software-as-a-service (SaaS) e- Hazardous materials, such as commerce platforms, from problems aerosols, ammunition, cigarettes, such as data theft. dry ice, explosives, nail polish, perfumes, and poisons  GUIDELINES AND LAWS GOVERNING GUIDELINES AND LAWS GOVERNING E – COMMERCE E – COMMERCE Trademarks - It is a distinguishing word, phrase, symbol, and/or design that Patents - It is a property right granted by the US Patent and Trademark identifies the uniqueness of a product or service of one party from the Office to an invention for its public disclosure for a limited period of time. others The period of time may vary, depending which country it was issued Copyrights - It protects works of authorship such as writings, music, and works of art, that have been tangibly expressed. GUIDELINES AND LAWS GOVERNING EXAMPLES OF E – COMMERCE AND E – COMMERCE M – COMMERCE Republic Act 8792 — Electronic Commerce Act of 2000. This covers the mandates of the Philippine government in terms of executing online transactions locally or Amazon. It is an American e – commerce website that gives users internationally. an opportunity to buy products online worldwide. Republic Act 10173 — Data Privacy Act of 2012 This prohibits the communication and sharing of written, electronic, and recorded information by an individual to another. Information can be from documents, e-books, electronic data messages, and so on. The law involves the following three (3) main individuals: Data Subject. Personal Information Controller. Personal Information Processor. Consumer Protection Regulation — Transactions through E-Commerce The Department of Trade and Industry (DTI), with the participation of other government agencies, issued a consumer protection regulation that provides protection to consumers when buying and selling products and services through the use of e-commerce. Tax Guidelines for E-Commerce Transactions in the Philippines On August 5, 2013, the Bureau of Internal Revenue issued Revenue Memorandum Circular No. 55-2013, Reiterating Taxpayers' Obligations in Relation to Online Business Transactions. EXAMPLES OF E – COMMERCE AND EXAMPLES OF E – COMMERCE AND M – COMMERCE M – COMMERCE eBay. It is an American e – commerce website that provides various Alibaba. It is a well – known Chinese company that is now part of services to consumers such as auctions, online payments, and the global market of e – commerce. It specializes in retail, the online shopping. internet and technology. EXAMPLES OF E – COMMERCE AND M – COMMERCE Mobile Vouchers eToro mobile app. It is a platform that can be used to invest in stocks or trading. Thank You! Prepared by: https://sp-ao.shortpixel.ai/client/q_glossy,ret_img/https://jingdaily.com/wp- content/uploads/2020/06/voucher_main-1240x698.jpg https://www.etoro.com/wp- content/themes/etoro/assets/images/templates/trading_platform/sec-8-img.png Jane Ann P. Austria