3. E-commerce can be formally defined as technology-mediated
exchanges between parties (individuals, organizations, or
both) as well as the electronically based intra- or inter-
organizational activities that facilitate such exchanges.
– JEFFREY F. RAYPORT and BERNARD J. JAWORSKI
It is global. It favours intangible things-ideas, information, and
relationships. And it is intenseley interlinked. These three
attributes produce a new type of marketplace and society,
one that is rooted in ubiquitous electroni network. -
-KEVIN KELLY, New rules for the new economy

4. oMatching buyers and sellers
oFacilitating commercial transactions
oProviding legal infrastructure

5. SELLER
SELLER BUYER
Bot
Listing
Broker
BUYER Auction SELLER
Aggregated Community
catalogues, di
rectories or
listing of
BUYER
Aggregators offers to Exchange
buy/sell
Portal Hub
SELLER
Marketplace Mall
SELLER
BUYER

7. BUSINESS BUSINESS
GOVERNMENT
CONSUMER CONSUMER

8. Direct interaction
Focused sales promotion
Building customer loyalty
Scalability
Savings in distribution cost

9. ELEMENT BENEFIT
• Centralized marketspace • Neutral and nonaligned with
either seller or buyers
• Standardized documentation • Users are prequalified and
regulated
• Price qutoes, price history and • Pricing mechanism is self
after-the-sale information regulated
provided
• Confidential transactions • Clearing and settlement
between bussiness services provided

11. ADVANTAGES
Inexpensive costs, big opportunities
Globalization
Reduced operational costs
Customer convenience
Knowledge management

12. CUSTOMER IDENTIFIES A
NEED
SEARCHES FOR THE
PRODUCT, SERVICES TO
SATISFY NEEDS
SELECTS A VENDOR
c
AND NEGOTIATTES A
PRICE

13. Receives the product or
service (delivery
logistics, inspection and
acceptance)
MAKES PAYMENT
GETS SERVICE AND
WARRANTY CLAIMS

16. Here is an
example on
how a e-
commerced
shopping
site looks
like

19. ADVANTAGES
•SELLING VIA
•NEW CONSUMER 2 CONSUMER EXPERTS
•PERSON 2 PERSON AUCTION FORMAT
•TAKES 20%
•OFFERING SITES