HCS 212: Introduction to MIS Felex Madzikanda Department of Computer Science and Information Systems Midlands State University madzikandaf@staff.msu.ac.zw 0774810683

Electronic Commerce Systems Chapter 6 Electronic Commerce Systems

Electronic Commerce Systems For e-business enterprises in the age of internet, e-commerce is more than just buying and selling products online. Instead, it encompasses the entire online process of developing, marketing, selling, delivery, servicing and paying for products and services transacted on internetworked, global marketplaces of customers, with the support of a world wide network of business partners. E-commerce systems rely on the resources of the internet, intranets, extranets and other technologies to support every step of this process

Electronic Commerce Systems Types of e-commerce B2C Businesses must develop attractive electronic marketplaces to entice and sell products and services to consumers. E.g many companies offer e-commerce websites that provide virtual storefronts and multimedia catalogues, interactive order processing, secure electronic payment systems and online customer support

Electronic Commerce Systems B2B Involves both e-business marketplaces and direct market links between businesses e.g many companies offer secure internet and extranets e-commerce catalogue websites for their business customers and suppliers They rely on EDI via the internet or extranets for computer to computer exchange of e-commerce documents with business customers and suppliers

Electronic Commerce Systems The huge success of online auctions like ebay, where consumers(as well as businesses) can buy and sell with each other in an auction process at an auction website Personal websites are also an important form of C2C e-commerce

Electronic Commerce Systems Essential e-commerce processes Access Control and Security E-commerce processes must establish mutual trust and secure access between the parties in an e-commerce transaction by authenticating users, authorising access and enforcing security features

Electronic Commerce Systems Profiling and Personalizing Profiling processes gather data on you and your website behaviour and choices and build electronic profiles of your characteristics and preferences User profiles are developed using profiling tools such as user registration, cookie files, website behaviour tracking softwares and feedback

Electronic Commerce Systems Search Management Search engines may use a combination of search techniques, including searches based on content, parameters or between a range of values for multiple properties of a product

Electronic Commerce Systems Content and Catalogue Management Content management software helps e-commerce companies develop,generate, deliver, update and archive text data, and multimedia information at e-commerce websites. Content and catalogue management may be expanded to include product configuration e.g Dell uses configuration software to sell ‘ build to order computers to their online customers

Electronic Commerce Systems Workflow Management Many of the business processes in e-commerce applications can be managed and partially automated with the help of workflow management software Workflow systems ensure that the proper transactions, decisions, and work activities are performed, and the correct data and documents are routed to the right employees, customers, suppliers and other business stakeholders

Electronic Commerce Systems Event Notification Most e-commerce applications are event driven systems that respond to a multitude of events – from a new customers first website access, to payment and delivery processes Event notification is very important to notify customers, suppliers, employees etc on status.

Electronic Commerce Systems Collaborating and Trading It supports the virtual collaboration arrangements and trading services needed by customers, suppliers and other stakeholders to accomplish e-commerce transactions The essential collaboration among business trading partners in e-commerce may also be provided by internet based trading services

Electronic Commerce Systems Electronic payment Payment processes are not simple, because of the near-anonymous electronic nature of transactions taking place between the networked computer systems and buyers and sellers and the many security issues involved It is also complex because of wide variety of debit and credit alternatives and financial institutions and intermediaries that may be part of the process.

Electronic Commerce Systems B2C Electronic Payment System E-commerce typically use an electronic shopping cart process, which enables customers to select products from website catalogue displays and put them temporarily in a virtual shopping basket for later checkout and processing

Electronic Commerce Systems

Electronic Commerce Systems Secure Electronic Payments Credit card information is vulnerable to interception by network sniffers Several basic security measures are being used to solve this security problem Encrypt data passing between the customer and merchant Encrypt the data passing between the customer and the company authorising the credit card transactions Take sensitive information offline Secure Electronic Transaction

Electronic Commerce Systems E-Commerce Success Factors Basic fact of internet retailing is that: All retail websites are on the same location No site is closer to its web customers Competitors offering similar goods are one click away This makes it vital that businesses find ways to build customer satisfaction, loyalty and relationships, so customers keep coming back to their websites

Electronic Commerce Systems Selection and Value Attractive product selections Competitive prices Satisfaction guarantees Customer support after sales Examples include how to choose section and money back guarantees

Electronic Commerce Systems Performance and Service Fast and easy navigation Prompt shipping and delivery E.g sufficient server power and network capacity to support website traffic

Electronic Commerce Systems Look and Feel Attractive web store fronts, website shopping areas Multimedia products catalogue pages and shopping features Most retail e-commerce sites let customers browse product sections, select, drop in a cart and checkout

Electronic Commerce Systems Advertising and Incentives Targeted webpage advertising and email promotion Discounts and special offers Advertising at affiliate sites

Electronic Commerce Systems Personal Attention Personal webpages Personalised product recommendations Web advertising and email notices Interactive support for customers

Electronic Commerce Systems Community Relationships Virtual communities of customers, suppliers, company reps, and others via newsgroups and chat rooms Links to related sites

Electronic Commerce Systems Security and Reliability Security of customer information and website transactions Trustworthy product information Reliable order fulfilment Having your orders shipped as you requested, in the time frame promised, and with good customer support are other measures of a merchant reliability