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What really is eCommerce?

Updated on May 2, 2013

Meaning Of eCommerce

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eCommerce Business Applications:

To know more about how eCommerce works in the various sectors of our economy, click here

Some of the main Points or Ideas about E-Commerce

We make use of e-commerce practically everyday in our lifes, so heres a little info about what e-commerce is really about and the various types that actually exist:

eCommerce or 'electronic commerce' or '(electronic marketing) e-commerce', consists mainly of buying and selling of products or services online using the internet and other various computer networks. The amount of trade conducted electronically has grown exponentially with the widespread of internet usage.

Modern e-commerce typically uses the World Wide Web at least at some point in the transaction's lifecycle, although it can encompass a wider range of technologies such as email aswell.

E-commerce is generally considered to be mainly for e-bussines purposes i.e buying and selling physical products.

But it also consists of the exchangement of data for facilitating the financing and payment aspects of the business transactions.

Types of e-commerce applications:

  • Online point-of-sale: is kinda like a virtual store for purchases, sales, and to keep track of sales, customers etc aswel..
  • Transaction processing: updating the databases the moment a payment or transaction takes place..
  • Electronic Data Interchange (EDI): the exchange of info and data from one company to another using the Internet or some computer networking system. Its computer-to-computer exchanges of invoices, orders, and other business documents and helps drastically in cost cutting and improving efficiency.
  • Electronic Funds Transfer: computer based systems that are used to perform financial transactions electronically..the system in which the employees payroll is deposited straight into his/hers bank account is a good example of EFT, although EFT refers to any transfer of funds initiated through an electronically, that includes credit cards, ATM, and point-of-sale (POS) purchases.
  • Electronic Banking: Transferring of fund between companies, customers , via banks or financial institutions using the internet instead of using hard cash, cheques or demand drafts, etc.
  • Supply chain management (SCM): a very important part of online retail stores..SCM sees to everything from movement and storage of raw materials, inventory, and finished goods from point of origin to point of sales.
  • Enterprise Collaboration: includes: e-mail, forums, blogs, video conferencing, and various other electronic communication systems...


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Concepts for e-commerce for various online businesses

Concepts for e-commerce for various online businesses:

  • B2C ( Business to Customer): Online business done between a company and a client, consumer or customer like online retail stores..for example most companies provide websites that act as virtual store fronts and display visually appealing catalogs, order purchasing processes, secure payment systems and even provide customer support..
  • B2B (Business to Business): Online business done between two or more companies like say for example between a distribution agency and retail stores or even between various retail stores so as to have a better product mix to display to their consumers, customers or clients..
  • C2C (Consumer to Consumer): Online business that involve the direct interaction between the consumers, customers or clients themselves...for example online auction houses. online classifieds, sites like eBay, etc...

Just to prove the growth of eCommerce...

Do you use eCommerce in your life?

See results

© 2013 Paiva


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