1. By: Jude Johnson, Nikkilynn Lara, Mike Kazarian, Jake Kemble, Rachel Mann

2.  The buying and selling of goods and services over public and private computer networks  This definition is restricted to purchasing and selling transactions  Merchant Companies by goods for resale  Non-Merchant Companies arrange for the purchase and resale of goods without taking ownership

3.  Originally, electronic commerce meant the facilitation of commercial transactions electronically, primarily by using Electronic Data Interchanges (EDI) and Electronic Funds Transfers (EFT)  Allowed the transfer of purchase orders and invoices electronically  In the 80’s, ATMs and credit cards were added to the e-commerce  The 90’s included enterprise resource planning systems (ERP), data mining, and data warehousing.

4.  In 1994, as the Internet gains popularity, E- Commerce becomes more prevalent  It took about four years to develop the security protocols and DSL to allow rapid access and a persistent connection to the Internet

5.  Business to Consumer  Customers enter the web-site and manage their orders  Business to Business  Raw materials and other goods are sold and distributed between companies  Business to Government  Suppliers, distributors, and retailers sell goods to the Government

6.  Auction houses  Matches buyers and sellers by using an e- commerce version of a standard auction  Clearing houses  Goods and services provided at a specific price and arranged for delivery, but the clearing house never takes the title to the good  Electronic exchanges

7. *B2B e-commerce occurs when a business sells products and services to other businesses *MRO items: maintenance, repair, operations Business to Business

8. *E-marketplace is an interactive market space where multiple buyers and suppliers engage in e-commerce activities *Sharing critical information *Development of products and parts *Collaborating new ideas *Undergoing project applications B2B E-Marketplaces

9. Horizontal E-Marketplace: connects buyers and sellers across many industries, primarily for MRO materials commerce Vertical E-Marketplace: connects buyers and sellers in a given industry Examples: oil, raw materials, and retail items 2 E-Marketplaces

10. *long-term relationship *more business actions: negotiations on -prices -specifications -delivery time Marketing Mix

11. *marketplace for businesses to interact with each other in order to undergo e- commerce for mutual benefits *enables the real-time flow of information between businesses regardless of standards, language barriers, or geographic location *world’s largest global platform *2005: processes more than 4 BILLION business documents GSX: Global Services Exchange

12.  Plays a vital part of e-commerce  HTML-Hypertext Markup Language  Hyperlinks  Three tier architecture

13.  New technologies are developing due to success of e-commerce  They develop due to increasing competition.  Examples are:  Amazon.com-One click, which keeps customer’s credit card info  iPix’s 360 degree images-greater dimension to pictures.  Ajax-pulls relevant data forward to allow for seemless shopping

14.  Effective tool for competitive strategies  Use of RFM  Find out who is shopping:  Recent, Frequent, and how much they spend  Customers can leave comments

15. 3 Types Businesses Use:  Electronic Data Interchange (EDI)  Electronic Fund Transfer (EFT)  Secure Socket Layer (SSL)

16.  “EDI” is the transfer of data between different Businesses using networks.  The most common type of networks used are:  VANS  Ethernet  EDI replaces the process of faxing and mailing papers, making the Business more efficient while reducing costs.

17. Electronic Fund Transfer is when:  A cardholder makes a transaction using a payment card. (Ex. ATM/Credit card)  An Electronic payment is made from a business. (Ex. Paycheck)  An Electronic check is used for payment by a business.

18.  Many types of transactions can be performed by businesses such as:  Sale- Enquiry  Refund- E top-up  Withdrawal- Administrative  Deposit  Cash back  Inter-account transfer

19.  Single Message Clearing:  Is when a financial network authorizes and clears the transaction in the same message.  Dual Message Clearing  Is when a “hold” for the total amount purchased is placed on the funds authorized for a specific time, until the transaction is cleared.

20.  A protocol that uses a cryptographic system.  This system uses two keys to encrypt data.  The key is used for the business to decipher the incoming data.  Businesses use this system in order to give and obtain confidential information such as credit card numbers.

21.  E-commerce improves Market Efficiency by:  Disintermediation  Improved flow of price information  Knowledge of price elasticity  B2B markets are built around open standards and communication infrastructures of the internet.  Provide open-networks  Aggregate product and price information and match supply and demand to facilitate transactions between buyers and sellers

22.  Security weaknesses pose a constant threat  User Interface components ( toolbars, keys, etc.) may be overwhelming  Information sharing between buyers and sellers are limited  Vendor trustworthiness is compromised by e- commerce through its anonymity, impersonality and automation

23.  Critics believe e-commerce is declining  Others believe that it is evolving  M-Commerce- Mobile Commerce  Shopping via cell phone, PDA, Blackberry  Becoming more and more frequent