Electronic Commerce or eCommerce is often misunderstood as

buying and selling of goods and services over internet and

financial transactions between organizations and customers.
Though mostly known, this definition doesnt cover all the
business areas. In broad terms, eCommerce encompasses all
transactions that take place electronically buying,
selling,customer service, inventory management, marketing,
delivering, pre-sale and post-sales activities.

eCommerce is the exchange of information across electronic

What is E-commerce?

networks, at any stage in the supply chain, whether within an

organization, between businesses, between businesses and
consumers, between the public and private sector, whether paid
or unpaid
Cabinet
Office, UK government
The Different perspectives of e-Commerce:
1. A Communication perspective the delivery of information, product/services
or payment by electronic means.
2. A business process perspective the application of technology towards the
automation of business transactions and workflows.
3. A service perspective enabling cost cutting at the same time as increasing
the speed and quality of service delivery.
4. An online perspective the buying and selling of products and information
online.

We can look at those transactions from sell-side and buy-side.

Buy-side e-Commerce This section involves the supplier, manufacturer,
intermediaries and the organization and its functional units
Sell-side e-Commerce This section involves interactions between corporates,
customers and the organization.backb
YEAR EVENT
1994 Netscape Launched; SSL encryption enabled shopping.
1995 Backbone of eCommerce formed;Amazon, eBay and Verisign launched.
1997 Dell first company to reach @ 1Mn in online sales.
1998 Google launched, USPS launched eStamps.
2000 Dot-com bubble burst.
2002 eBay acquired PayPal.
2003 Facebook launched for college students.
2006 Google acquired YouTube; iTunes became first digital music retailer.
2007-08 Private Sales Model, Social eCommerce, Mobile eCommerce, Daily
Different formats of eCommerce
eCommerce Categories
The Interactions between an organization and its customers can be
classified into 3
categories:
 Benefits of e-Commerce

Global
Reach

Cost
Personaliz
ation Reductio
n
Why is it Emerging?

Interactivi Measure
ty ment
Emerging Trend of e-
Commerce
 Latest Trends in e-
Commerce

Mobile
Continued Commerce
Social Evolvemen
Consolidati catching Emerging Expansion 3rd
Media t of deals /
on among up with new of virtual
Driving local e- Party seller
private traditional business goods and
Consumpti Commerce platforms
sales online and models currencies
on sector
companies offline
business

Retail Online
Stores Stores
Services Offered
Onlin
e
Store
s
Internal
Environment
Aggressivene
ss
Innovation
Risk-Taking
Attention To
Detail
External
Environment
Govt. Rules &
Regulations
Economic
Young
demography
Emergence of
new customer
base
Technology
New
Competitors
Rules and Regulation & Legal Aspect(IT LAWS)
External Environment

There are no specific e-commerce laws and regulations in India

and they are still evolving.
The Information Technology Act 2000 (IT Act 2000) governs the
online issues of e-commerce in India.
IT Act 2000 is the sole cyber law of India. The cyber law of India
mandates that the e-commerce entrepreneurs and owners must
ensurecyber law due diligence in India.
E-commerce entrepreneurs and owners in India must understand
thatlegal issues of e-commerce in Indiaare different for different
categories of e-commerce.
Thelegal requirements for undertaking e-commerce in Indiaalso
involve compliance with other laws like contract law, Indian penal
code, etc.
Further,online shopping in Indiaalso involves compliance with
the banking and financial norms applicable in India.
Perry4LawandPerry4Law Techno Legal Base (PTLB)recommend
that all e-commerce entrepreneurs and owners must do a proper
techno legal due diligence before opening an e-commerce website.
Further, e-commerce websites in India must ensureprivacy
Economic Condition
Total e-commerce revenue in India is expected to increase
by more than five times by 2016, from $1.6 billion in 2012
to $8.8 billion in 2016. In 2011, venture capitalists invested
$ 177 million in e-Commerce in India

(FDI) is limited to traditional brick-and-mortar stores. The

entry of foreign-owned virtual stores online e-commerce
platforms continues to be restricted

Foreign firms, which are merely a listing platform for

brands, are welcome to operate in India. But, foreign firms
that buy and sell any goods or services are still banned from
conducting their activities.

e-commerce firms can though invest in warehousing and

back end infrastructure, which allows 100 per cent FDI

e-commerce companies, which have FDI infusion, have

created corporate structures which technically enable them
 Social

Young Demography
According to a 2007 report by McKinsey & Co.,
India is set to grow into the fifth largest
consumer market in the world by 2025,
McKinsey & Co Report, 2007
Today, over 35% of our population is below the
age of 20
In 2020, the average Indian will be only 29
years old, compared with 37 in China and the
US, 45 in West Europe
By 2020, 325 million people in India will reach
working age, largest in the world. With a huge
working population there will be huge
consumption boom, as it has happened in
China.
India is and will remain for some time one of
the youngest countries in the world.
 Emergence of new Customer base
The 'bird of gold': The rise of India's consumer
market
-By McKinsey Global Institute
Who are the new consumers?...... The
Urban Indian Woman & The Youth
The Indian Woman
The Indian woman is perhaps less
homogenous and more conflicted as a
consumer group compared to the Indian man.
jacob kurian, neW silk route

E commerce offers variety of women products

In the past five years, there has been a large
increase in the product categories specifically
targeted towards the urban woman.
Be it mobile phones, computers, apparel,
jewellery or even financial products, women in
the cities are finding themselves spoilt for
choice.
 The Indian Youth: charting their own
path
With the majority of its
population below the age of 25
years, it is the primary target of
every consumer goods
company
Increased brand awareness
A larger number of younger
people now have cash in hand
Technology Oriented
Spends on leisure and
personal gratification
Concept of saving for a rainy
day is alien to most of them
 Technology

The rural consumer will have his debit card within
his phone and will use the device to
transfer funds between his and the sellers
accounts.
Mr Vaghul, chairman, icici banking corporation

E payment is a subset of an e-commerce

transaction to include electronic payment for
buying and selling goods or services offered
through the Internet.

The Internet has the potential to become the

most active trade intermediary within a decade.
Internet shopping may revolutionize retailing by
allowing consumers to sit in their homes and
buy an enormous variety of products and
services from all over the worlds.

Many businesses and consumers are still wary

of conducting extensive business electronically.
However, almost everyone will use the form of E
Commerce in near future.
 Competition from New Competitors
100% commitment to quality
Most competitive price
Doorstep delivery of products under
strict supervision
Right weight/quantity
100% disclosure policy across all
products
Convenience of phone shopping
State-of-the-art Quality Control labs in
Delhi (NCR), Mumbai, Lucknow, Nagpur,
Hyderabad, Kolkata and Patna
Pan-India quality team of 800 people,
comprising 50 Quality Experts and
Associates, 150 Quality Control
Executives, 30 Quality Assurance
Managers and 500 Quality Advisors
305 warehouses in 285 cities
In 2007, Walmart announced an
agreement with Bharti Enterprises
to establish a Bharti Walmart
Private Limited, a wholesale cash-
and-carry and back-end supply
chain management operations in
India.
A typical wholesale cash-and carry
facility stands between 50,000 and
100,000 square feet and sells a
wide range of fruits and vegetables,
groceries and staples, stationery,
footwear, clothing, consumer
durables and other general
merchandise items.
The first Best Price Modern
Wholesale opened in 2009.
ressiveness
Internal Environment

Out of
stock
Free notification
Vouchers on new
arrival via
e-Mail

Extensive Ads on
ads on Facebook
primetime which has
networks 8Mn users
ovation

COD

3D-View

30 day Online
return Chat with
policy executives
sk-Taking Attitude
tention to detail

Specificatio
n

Minute
detail of
the product

Customer
Feedback
Conclusion
Impacts of e-commerce and e-business in
developing countries :

For SMEs in developing countries e-commerce poses

the advantages of reduced information search costs
and transactions costs .

IFAT: Empowering the Agricultural Sector through

B2C E-Commerce.

Offshore Data Processing Centres: E-commerce at

Work in the Service Sector

E-Mail and the Internet in Developing Countries

Women and Global Web-Based Marketing: The Case

of the Guyanan Weavers Cooperative
 The main issues of concern that act as
barriers to the increased uptake of
information technology and e-commerce.
Lack of awareness and understanding
of the value of e-commerce.

Lack of ICT knowledge and skills.

Financial costs

Infrastructure.

Security

Other privacy-security-related issues.

Evolution of e-
Commerce