The third layer of the architectural framework is interface layer. This layer provides interface for e-commerce applications. Interactive catalogs and directory support services are the examples of this layer.
Advances in Electronic Business, Vol. 2 - Semantic Scholar
Interactive catalogs are the customized interface to customer applications such as home shopping. Interactive catalogs are very similar to the paper-based catalog. The only difference between the interactive catalog and paper-based catalog is that the first one has the additional features such as use of graphics and video to make the advertising more attractive. Directory services have the functions necessary for information search and access.
The directories attempt to organize the enormous amount of information and transactions generated to facilitate e-commerce. The main difference between the interactive catalogs and directory services is that the interactive catalogs deal with people while directory support services interact directly with software applications.
In any business, electronic messaging is an important issue. The commonly used messaging systems like phone, fax and courier services have certain problems like in the case of phone if the phone line is dead or somehow the number is wrong, you are not able to deliver the urgent messages. In the case of courier service, if you want to deliver the messages instantly, it is not possible as it will take some time depending on the distance between the source and destination places.
The solution for such type of problems is electronic messaging services like e-mail, enhanced fax and EDI. The electronic messaging has changed the way the business operates. The major advantage of the electronic messaging is the ability to access the right information at the right time across diverse work groups. The main constraints of the electronic messaging are security, privacy, and confidentiality through data encryption and authentication techniques.
The middleware services are used to integrate the diversified software programs and make them talk to one another. We know that the effective and efficient linkage between the customer and the supplier is a precondition for e-commerce. For this a network infrastructure is required. The early models for networked computers were the local and long distance telephone companies. The telephone company lines were used for the connection among the computers. As soon as the computer connection was established, the data traveled along that single path.
Telephone company switching equipment both mechanical and computerized selected specific telephone lines, or circuits, that were connected to create the single path between the caller and the receiver. This centrally-controlled, single-connection model is known as circuit switching. Electronic Market: is a place where online shoppers and buyers meet. E-market handles business transaction including bank-to-bank money transfer also.
In e-market, the business center is not a physical building. But it is a network-based location where business activities occur. In e-market, the participants like buyers, sellers and transaction handler are not only one different locations but even they do not know each other. An IOS is a unified system with several business partners. A typical IOS will include a company and its supplier and customers.
Through IOS buyers and sellers arrange routine business transactions. Information is exchanged over communication network using specific formats. So, there is no need for telephone calls, papers, documents or correspondence. E-commerce conducted between businesses differs from that carried out between a business and its consumers. There are five generally accepted types of e-commerce:.
Business to Business or B2B refers to e-commerce activities between businesses. An e-commerce company can be dealing with suppliers or distributors or agents.
In general, B2Bs require higher security needs than B2Cs. For example, manufacturers and wholesalers are B2B companies. With the help of B2B e-commerce, companies are able to improve the efficiency of several common business functions, including supplier management, inventory management and payment management. Using e-commerce enabled business applications, companies are able to better control their supplier costs by reducing PO purchase order processing costs and cycle times.
This has the added benefit of being able to process more POs at a lesser cost in the same amount of time. E-commerce technology can also serve to shorten the order-ship- bill cycle of inventory management by linking business partners together with the company to provide faster data access. This e-commerce technology is also being used to improve the efficiency of managing payments between a business and its partners and distributors. By processing payments electronically, companies are able to lower the number of clerical errors and increase the speed of processing invoices, which results in lowered transaction fees.
Business to Customer or B2C refers to e-commerce activities that are focused on consumers rather than on businesses.
For instance, a book retailer would be a B2C company such as Amazon. Other examples could also be purchasing services from an insurance company, conducting online banking and employing travel services. Customer to Business or C2B refers to e-commerce activities, which use reverse pricing models where the customer determines the prices of the product or services. In this case, the focus shifts from selling to buying.
There is an increased emphasis on customer empowerment. In this type of e-commerce, consumers get a choice of a wide variety of commodities and services, along with the opportunity to specify the range of prices they can afford or are willing to pay for a particular item, service or commodity. As a result, it reduces the bargaining time, increases the flexibility and creates ease at the point of sale for both the merchant and the consumer.
Customer to Customer or C2C refers to e-commerce activities, which use an auction style model. This model consists of a person-to-person transaction that completely excludes businesses from the equation. Customers are also a part of the business and C2C enables customers to directly deal with each other.
An example of this is peer auction giant, Ebay. It is a new trend in e-commerce. This type of e-commerce is used by the government departments to directly reach to the citizens by setting-up the websites. These websites have government policies, rules and regulations related to the respective departments. Any citizen may interact with these websites to know the various details.
This helps the people to know the facts without going to the respective departments. This also saves time of the employees as well as the citizens. The concept of Smart City has been evolved from B2G e-commerce. Few innovations in human history encompass as many potential benefits as E- Commerce does. The global nature of the technology, low cost, opportunity to reach hundreds of millions of people, interactive nature, variety of possibilities, and resourcefulness and growth of the supporting infrastructure especially the web result in many potential benefits to organizations, individuals, and society.
These benefits are just starting to materialize, but they will increase significantly as E-Commerce expands. It is not surprising that some maintain that the E-Commerce revolution is just 'as pro- found as the change that came with the industrial revolution. For example, by introducing an electronic procurement system, companies can cut the purchasing administrative costs by as much as 85 percent.
For example, dog toys which can be purchased only in pet shops or department and discounts stores in the physical world are sold now in a specialized www. In a pull-type system the process starts from customer orders and uses just-in-time manufacturing. Health care services, e. Of the many non-technical limitations that slow the spread of E-Commerce, the following are the major ones:. Lack of Awareness: Lack of awareness of the technology and its potential benefits are also equally responsible for the poor growth of e-commerce.
Introduction to E-Commerce Technology in Business
Lack of interest and willingness to make a paradigm shift has become a crucial issue. Many companies are not willing to accept that their businesses need a revolutionary change to subsist in the potentially digital world. The single most important challenge today pertains to increasing awareness of the benefits of e-commerce to potential customers, educate the market and the customers will themselves opt for these services.
Lack of Infrastructure: E-commerce infrastructure development is at its infancy stage in Bangladesh. This unsatisfactory development is yet another major bottleneck for successful net business in Bangladesh.