1. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Research on Electronic Commerce

2. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Research on Electronic Commerce Travis Flood: E-Commerce and Business Strategy Jeff Campbell: Intermediaries and the Internet Piyanuch Chuasiripattana: Payment Systems Matthew Janocko: Intelligent Agents Kent Woodburn: Role of Digital Signatures

3. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn E-Commerce and Business Stragegy

4. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Strategic Relationship Model Manufacturer/ Supplier Marketplace End Run Bus to Bus Customer Intermediary Bus to Cus

5. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Business to Customer Selling Transacting along Value Chain Communication Service

6. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Business to Business Selling Transacting along Value Chain Communication Service

7. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Marketplace Selling Transacting along Value Chain Communication Service

8. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn End Run Selling Transacting along Value Chain Communication Service

9. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Intermediaries and the Internet

10. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Intermediaries and the Internet Intermediaries add costs –wholesalers –retailers The Internet allows companies to get closer to the end-user –personalization –global reach

11. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Intermediaries and the Internet Intermediaries add value –items from multiple vendors in one location –customization –reduced logistics costs for producers

12. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Intermediaries and the Internet Cybermediary –aggregate buyer demand or seller products to achieve economies of scale –act as an agent of trust between buyer and seller –facilitate the market by reducing operating costs –match buyers to sellers

13. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Intermediaries and the Internet amazon.com –search engine –retains user preferences for orders Auto-By-Tel –matches used car buyers to member agencies eBay –matches multiple buyers to multiple sellers –members provide feedback on participants

14. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Payment Systems

15. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Drivers in the development Type of Transaction Total cost of making payment should be cost- effective Payment system should be varied- depends on the value of the products and the cost of payments.

16. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn 2 major type of payments Centrally Account Payment –Use SET (Secure Electronic Transaction) Standards. –Electronic check, credit cards –Cyber Wallet Electronic Cash Payments –Stored Valued Cards –Electronic Cash/Coin

17. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Future The trend that cyber wallet will become a part of web browser. Combine Cyber tokens, e-check, debit cards, and credit cards into Cyber Wallet.

18. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Intelligent Agents

19. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Intelligent Agents Intelligent Agent Definition –An intelligent agent is an atomic software entity that takes autonomous action for the benefit of the owner, without constant human input and intervention. Intelligent Agents Uses / Examples –Comparative Shopping –Online Stock Monitoring and Trading

20. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn 1Needs Identification –Amazon’s “Eyes” www.amazon.com www.amazon.com 2Product Brokering –Firefly www.firefly.com www.firefly.com –PersonaLogic www.personalogic.com www.personalogic.com –Tete-a-Tete (www.ecommerce.media.mit.edu/tete-a-tete ) Intelligent Agents in the Buying Process

21. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn 3Merchant Brokering –Jango www.jango.excite.com www.jango.excite.com –Andersen Consulting’s Bargainfinder www.bf.estar.ac.com.bf www.bf.estar.ac.com.bf 4Negotiation – Kasbah www.kasbah.media.mit.edu www.kasbah.media.mit.edu –AuctionBot www.auction.eecs.umich.edu www.auction.eecs.umich.edu –Tete-aTete www.ecommerce.media.mit.edu/tete-a-tete 5Purchase and Delivery 6Product Service and Evaluation Intelligent Agents in the Buying Process

22. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Mobile Agents Dispatched to do owners business –Made of code and parameter settings –Can be active on foreign servers –Use Java or XML + class types –Distributed Processing –Security Features –To Learn More : Communications of the ACMCommunications of the ACM

23. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Role of Digital Signatures

24. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Digital Signatures ( Key Points ) E-commerce is a rapidly growing market…people want security Digital Signatures are a way to get the needed securityPublic Key Encryption is the technique used Digital Certificates used to authenticate signatures The Legal Nature of the Signature An outlook on the future

25. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Digital Signatures E-commerce should generate 3.2 Trillion dollars by 2003 81% of internet users plan to buy on-line in 1999 there needs to be a way to secure these transactions over the internet Digital signatures are one way to increase security

26. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Digital Signatures Provide sense of legality and security uses encryption to ensure security of transmission - Public Key Encryption due to electronic nature harder to forge or alter data allows for non-repudiation

27. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Public Key Encryption Prevents a document from being read, altered, or accepted by unauthorized party two keys - public & private private - creates jumbled content public - returns jumbled content to original form

28. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Digital Certificates Will identify a party as a legitimate entity are issued by third party agents - certification authorities will include the party’s name, serial no., expiration date, the public key, and the certification authority’s signature

29. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Traditional Signature ( A.B.A. ) Signature acts as evidence Signature acts as ceremony Signature acts as approval Signature acts as efficiency Thus once signed, a document is attributable, legal, authorizing, and clarifying

30. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Digital Signature ( A.B.A. ) The digital signature has two additional attributes first, signer authentication - it will identify who signed & will be hard to copy second, documentation authentication - identifies what has been signed & makes it hard to alter content

31. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn An Outlook The internet is the fastest growing market today digital signatures will become legally recognized as more states pass legislation e-commerce will become the “American Express” of the internet

32. Electronic Commerce Jeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn Questions??