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‡ Commerce refers to all the activities the purchase
and sales of goods or services.
² Marketing, sales, payment, fulfillment, customer service

‡ Electronic commerce is doing commerce with the

use of computers, networks and commerce-enabled
software (more than just online shopping)

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‡ Supply chain management
‡ Video on demand
‡ Remote banking
‡ Procurement and purchasing
‡ Online marketing and advertisement
‡ Home shopping
‡ Auctions

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‡ Information superhighway infrastructure
² Internet, LAN, WAN, routers, etc.
² telecom, cable TV, wireless, etc.
‡ Messaging and information distribution
infrastructure
² HTML, XML, e-mail, HTTP, etc.
‡ Common business infrastructure
² Security, authentication, electronic payment, directories,
catalogs, etc.

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‡ Consumer shopping on the Web, called B2C
(business to consumer)
‡ Transactions conducted between businesses on
the Web, call B2B (business to business)
‡ Transactions and business processes that support
selling and purchasing activities on the Web
² Supplier, inventory, distribution, payment management
² Financial management, purchasing products and
information

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‡ Increased sales
² Reach narrow market segments in geographically
dispersed locations
² Create virtual communities
‡ Decreased costs
² Handling of sales inquiries
² Providing price quotes
² Determining product availability
‡ Being in the space

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‡ Loss of ability to inspect products from remote

locations
‡ Rapid developing pace of underlying technologies
‡ Difficult to calculate return on investment
‡ Cultural and legal impediments

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V. Attract customers
² Advertising, marketing
2. Interact with customers
² Catalog, negotiation
3. Handle and manage orders
² Order capture
² Payment
² Transaction
² Fulfillment (physical good, service good, digital good)
4. React to customer inquiries
² Customer service
² Order tracking

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Tier V Tier 2 Tier 3 Tier N



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›
  

‡ Internet ‡ Access security
‡ Mobile technologies ‡ Cryptographic security
‡ Web architecture ‡ Watermarking
‡ Component programming ‡ Payment systems
‡ Data exchange
‡ Multimedia
‡ Search engines
‡ Data mining
‡ Intelligent agents

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