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HOME WORK-1

CAP312- Ecommerce and Ebusiness

DOA: 23/01/2011 DOS: 02/02/2011

Homework Title / No. : ____1____________________________Course Code : _cap 412

cap 412

CAP 312____

Course Instructor: _ Satinder Saini Sir________ Course Tutor (if applicable) : ____________

Students Roll No.__RD3801A08______________ Section No. : _D3801__________________

Declaration:I declare that this assignment is my individual work. I have not copied from any other students work or

from any other source except where due acknowledgment is made explicitly in the text, nor has any part

been written for me by another person.

Students Signature :

__Himanshu Gautam___

Evaluators comments:

_____________________________________________________________________

Marks obtained : ___________ out of ______________________

PART A

Q1. Describe how Amazon.com uses e-commerce and e-business for B2B and

B2C?

Answer: - The Internet has integrated itself into our daily lives for several years now. E-

business and E-commerce occurs in two main types of E-commerce: Business to Business

(B2B) and Business to Consumer (B2C). Amazon.com uses the Internet to develop B2B

relationships that create transactions between business operations and their partners.

Amazon.com started its business in 1995. Throughout the years, Amazon has developed

several B2B plans to help businesses either sell their products, drive more consumers to their

websites or simply reach target audiences.

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Q2. What are the various components of electronic commerce applications?

Explain by taking suitable examples?

Answer: - 1. Different Ordering Methods The ultimate goal of your e-commerce site is to

make sales. Many people still do not feel comfortable to make payments through online

transactions. You would be better off if you include ordering processes by fax, telephone and

ordinary mail. In fact, to have a telephone number for customer support and order is a must for

any e-commerce site as it gives buyers some extra feelings of security. That way they know that

they can always talk to a live person if anything goes wrong.

2. Different Payment Methods Although credit cards are by far the most acceptable

means of payments on the Internet, you should definitely consider other methods as

well. For small payments, Paypal is becoming increasingly a popular mode. All e-

commerce sites should integrate this to their payment methods. More options include:

Electronic checks, e-bullion, Offline bank transfer etc.

3. Guarantees As money back guarantees are becoming increasingly common on

online sales you should consider prominently posting your money back guarantee on

you website. Be sure to make your money back guarantee generous! Customers are

becoming pickier on this issue. For example if you sell knowledge base products like e-

books, reports etc. make your hundred percent guarantees at least of two months. For

tangible products, after sales warrantees should be also considerably generous.

Customers should feel completely secured to buy at your website.

4. Privacy Policy Your website must have a privacy policy. Customers are veryconcerned about the information that they are relaying to you. You must clearly explain

them what you plan to do with the various information that you collect from your

customers. If your site is planning to use cookies, make sure that you covered this

aspect in your privacy policy too.

Q3. Describe the functional requirements for online selling and what specialized

services and servers perform these functions.

Answer: - Functional requirements define the functions that are requested by our stakeholder. Different functionsare needed by different system users. For members, there are three types of MCU members: Ordinary,Associate and

Suspended. An ordinary memberis a general member. An associate memberis a VIP member. A suspended memberis a member having limited rights to be served by MCU. Once a member login the system, it can identify the type of

the member. Besides, different administrators have different levels of authority to maintain the system information.

The system can identify the authority of an administrator after he login.

o Shopping cart

o Receive invoice

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o View shopping history

o Search information of product

o Change of password

o Update information of product

o Update information of member

o Update information of administrator

o Update invoice and transactiono Print Invoice

o Print Reporto Sales and Marketting

o Merchandizing

o Payment option

o Sales analysis

o Customer relationship management

o Security

Reliable e-commerce hosting:O very fast hosting

O 24*7 monitoring

O Daily Back-upsO 99.9% uptime gurantee

O hosting and network infrasture.

PART-B

Q4. Discuss the security requirements of Internet and E-commerce applications

and how these requirements are fulfilled by various hardware and software

systems.

Q5. Explain in brief the different types of E-Commerce from the perspective of the

buyer and seller relationship by giving suitable example for each.

Answer: -All about an E-commerce.With the change in technology, modes of businessare also changed and E-commerce is one of them. "When you buy or sell you products

through electronic media through an internet, or other type of computer network it is

known as an E-commerce.An online business required online marketing, online

transactions, security, and advertisement like offline business. An E-commerce has two

important factors for survival successful business.

Technological factor important for every business as it involves, strong analysis of

market research, skillful management team fully equipped with all the aspects of

information technology, provision of reliability and security.Customer oriented factor,

which relates to satisfaction and attraction to the users, provide value to customers,

provide good services, for more interest to customers provider incentives in the form of

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free coupons and gifts,.

Besides it has some problems at the time of establish as if not all the products are able

to sale over internet, you need a website for creating E-business, problems in predicting

environmental changes in economical world, overestimation of resources like hardware,

liveware, and business structure.

To start you business you need:

You need a computer system to mange information of your business and keep

updating the records, hardware software.

Internet resource or intranet system

You need skillful liveware to control mange, and build the websites.

Computer and internet security is required for EDI electronic interchange system fro

making online transactions.

Building strong electronic business structure includes special managing team.

Interactive advertisement and online stores.

Types of E-commerce

There are four types of internet business namely:

1. B2B (Business-to-Business) when different companies doing business with each

other's just like buying or selling goods. distributors and sellers.

2. B2C (Business-to-Consumer) when business is doing in terms of selling to the public

like product catalogs to purchase products without human need or sales man.

3. C2B (Consumer-to-Business)in such case customer directly contact with business

vendors by posting his project with set budget online so that the need companies review

his project and contact directly.

4. C2C (Consumer-to-Consumer) the best examples for such business are the sites

offering free classifieds, auctions, and forums where individuals can buy and sell thanks

to online payment systems like PayPal where people can send and receive money

online with ease. EBay's auction service is a great example of where person-to-person

transactions take place everyday. These are recognized and authenticated companies.

There are also G2G-government private websites, G2E-government to employee, B2G-

business to government, C2G and G2C citizens to government includes taxations,

national registrations, and license issue, also included in E-commerce.

Q6. Once a company has acquired customer, the key to maximizing revenue is

keeping them. Explain how e-commerce is helpful in customer retention?

Answer: - Loyalty systems provide an interesting possibility for vendors in customer

relationship management. This holds for both real world and online vendors. Many

vendors apply loyalty systems to collect customer-specific data that may be exploited

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for many reasons, e.g., price discrimination and direct marketing. As a consequence,

beside some potential benefits of a loyalty system, customers may also fear an invasion

of privacy, and thus often refuse to participate in such programs. Thus, a vendor may

have problems to turn privacy sensitive people into loyal customers using a typical

loyalty system. In this paper, we present two variants of a privacy-friendly loyalty system

to be used by online vendors for issuing loyalty points. The systems prevent vendors

from exploiting data for the creation of customer profiles by providing unconditional

unlinkability of loyalty points with regard to purchases. We propose a simple token-

based approach and a counter-based approach which is much more efficient while

preserving the privacy and security properties. Furthermore, the counter-based loyalty

system prevents pooling of loyalty points which were issued to distinct customers.