Professional Documents
Culture Documents
PROJECT REPORT ON
“E- Commerce”
Submitted by:
Name: PIYUSH GUPTA
MBA IVrd SEMESTER
Enrollment Number:
Centre Code: J962
ST. Thomas Management
Institute, Jahangirpur, Jhajjar, HR)
DECLARATION
wider choice and saves time. The general category of e-commerce can be broken
money transfer systems, e-data interchange and the Internet. Online businesses like
financial services, travel, entertainment, and groceries are all likely to grow. Forces
influencing the distribution of global e-commerce and its forms include economic
It has an impact over the economy of many countries among which India is on the
top of that list. It has named as new gold rush in e-commerce. E-commerce has many
reasons that why it is very crucial in developing the country . For the study we have
taken several parts of the world such as North America , Latin America , Europe ,
Middle-East , Africa and South Asia ,and Australia. E-commerce has an intent to
bring some transformation in the society and that’s the reason its essential for the
This study being “desk analysis" contains views of various writers and researchers
of E-commerce. This study includes the global trends including India as a major
global sourcing , advantages of E-commerce and several more topics being covered
under the project analysis. The use of e-commerce in various countries and their
a transaction directly with a foreign seller without traveling to the seller’s country.
While this could be done in the past by post, telegram, phone, or fax, such sales were
relatively rare because the consumer had to know in advance where to make contact
and what to buy. The Interne t al lows sellers to put their storefronts, in the
form of Web pages, in front of consumers all over the world. Technology has
change the way we think about trade. The implications of this for economic
opportunities for both consumers and small enterprises that must not be
squandered. But for all the potential of global e-commerce, there are countless
vexing policy questions to be worked out, any one of which can threaten the viability
of this nascent form of trade. All of the Internet issues being debated in the United
constitutional guarantee of free trade, global ecommerce faces two additional serious
electronic commerce across national border s adds many more policy issues to
Acknowledgement
Preface
Objectives
Executive summary
Research methodology
E-commerce in India
o Internet Adoption.
o Buying and selling online.
o Payment phase
o Delivery phase.
References
INTRODUCTION
E-commerce (electronic commerce or EC) is the buying and selling of goods and
services on the Internet, especially the World Wide Web. In practice, this term and
a newer term, e-business, are often used interchangably. For online retail selling, the
also consists of the exchange of data to facilitate the financing and payment aspects
of business transactions.
E-mail and fax and their use as media for reaching prospects and established
how to utilize this tool for the growth and development of business.
So, whether you have an existing business or launching a brand new business,
whether the volume of your business is large or small, you can always generate profit
of viewer exposure. In concise, buying and selling will result in profits and returns.
There are so many factors which makes e-commerce to come to the fore front in
prominent factor. Like for instance, net banking makes it easy to carry out money
and baking transactions in a break neck speed as compared to the real banking
scenario. This asserts the fact that Ecommerce is beneficial to both business and
efficiency and reliability. Another important factor determining the flow of whole
business is connectivity. Connectivity is very important for both consumers and
business. Ecommerce provides better connectivity for all the potential candidates all
over the globe, thus helping in enhancing the business without any geographical
barriers. From the view point of the customer, Ecommerce is a good platform for
hassle free shopping by sitting in your home. The customer can browse through all
the products and services available and can review and compare the prices of the
More and more resources are being directed into electronic securities, internet
facilities, business plans and new technologies due to the boom in the space of E-
commerce. As a result various new markets have emerged from Ecommerce itself
CHARACTERISTICS
more, can be converted into data and sent as email attachments or presented on a
web site. There are no postage, printing and packaging costs with eCommerce
communications. So, use this new communications method to work quicker, and in
new ways, with customers and suppliers outside of your locality or country.
When you send a message, you only pay for the Internet access. As soon as
the message arrives at your ISP, it is sent for zero cost to all the people to whom it
has been addressed. Moreover, the message is likely to arrive at its destination, in a
matter of seconds or minutes, depending on the size of the email and its attachments.
Think of the possibilities for saving time and money with email.
colour proof, etc. can be emailed to you as an attachment for your approval. Using
email in this way can dramatically speed-up the turn-around of work between you
to manage, share, and enhance the project work, regardless of location where they
project plans, etc) on to a web site and enable it to be viewed and edited in real-time
through the Internet. Holding virtual meetings can save significantly on travel
the end of one day, which, on the other side of the world, is the beginning of either
sites, and to update customers on order progress. Alert-emails or SMS messages can
There, and many other similar applications, are effortless, cheap, and efficient ways
off-site can access and update internal information, such as customer records, price
lists, time sheets, schedules, and job reports. Providing remote Internet access for
staff makes it possible for the latest information to be at hand, for administrative
The multi-media capabilities of web sites make them ideal for creating a
virtual learning environment for employees and customers. When training material
is updated, the latest version is immediately available. On-line learning facilities
enable trainees living all over the world to access courseware when it is convenient
to them, and without having to travel to a training centre, which in turn, saves time
and expenses.
made. The cost savings can be huge if email is used instead, and the message can
History of E-commerce
Concerning Technology
E-commerce began before personal computers were prevalent and has
grown into a multi-billion dollar industry. The meaning of the term "electronic
commerce" has changed over the last 30 years. Originally, "electronic commerce"
technology like Electronic Data Interchange (EDI) and Electronic Funds Transfer
(EFT), where both were introduced in the late 1970s, for example, to send
and 1980s, this would also have involved information analysis. The growth and
acceptance of credit cards, automated teller machines (ATM) and telephone banking
in the 1980s were also forms of e-commerce. However, from the 1990s onwards,
this would include enterprise resource planning systems (ERP), data mining and data
warehousing.
In the dot com era, it came to include activities more precisely termed "Web
commerce" - the purchase of goods and services over the World Wide Web, usually
with secure connections (HTTPS, a special server protocol that encrypts confidential
ordering data for customer protection) with e-shopping carts and with electronic
many journalists and pundits forecast that e-commerce would soon become a major
economic sector. However, it took about four years for security protocols (like
between 1998 and 2000, a substantial number of businesses in the United States and
during the dot-com collapse in 2000 and 2001, many "brick-and-mortar" retailers
recognized that such companies had identified valuable niche markets and began to
add e-commerce capabilities to their Web sites. For example, after the collapse of
online grocer Webvan, two traditional supermarket chains, Albertsons and Safeway,
groceries online.
proprietors are able to use the internet to sell goods. Often, small sellers use online
auction sites such as EBay, or sell via large corporate websites like Amazon.com, in
order to take advantage of the exposure and setup convenience of such sites.
Concerning Transformation of IT
EDI Some authors will track back the history of ecommerce to the invention of
the telephone at the end of last century. EDI (Electronic Data Interchange) is widely
It has not gained reasonable acceptance until eighties. EDI has never reached the
The Internet and the Web The Internet was conceived in 1969, when the
funded research of computer networking. The Internet could end up like EDI without
the emergence of the World Wide Web in 1990s. The Web became a popular
print, radio and TV) in a speed which had never been seen before. The Web users
and content were almost doubled every a couple of months in 1995 and 1996. The
web and telecommunication technology had fueled the stock bubble in the roaring
90s and eventually pushed NASDAQ over 5,000 in 2000 before it crashed down to
1,200 in 2002.
XML and Web Services Besides the availability of technical infrastructures, the
popularity of the Web is largely attributed to the low cost of access and simplicity
of HTML authoring, which are the obstacles of EDI development. The Internet and
the Web have overcome the technical difficulty of EDI, but it has not solved the
XML, as a meta markup language, provides a development tool for defining format
a flexible and effective architecture for the implementation. There is no doubt that
XML and the Web Services will shape the course of ecommerce in years to come.
RESEARCH METHODOLOGY
Sources of Data
For having the detailed study about this topic, it is necessary to have some
Websites:
Wikipedia
Wikinvest
India-commerce
Newspapers:
Hindustan Times
Type of Study
The research design or type of study specifies the methods and procedures
for conducting a particular study. The type of research design applied here
means situation, but not the causal linkages among its different elements.
CONCEPTUAL FRAMEWORK
implementations
Retail, grocery and logistics industries are the most active in encouraging
to consulting groups
and manage
As social media, app stores and global availability become standard, many
companies are looking to enhance the online customer experience. And while retail
and other transactions via Internet are customary, more than ever companies are
simplifying the ways in which customers interact with their website and ultimately
make online purchases. Here are eight trends happening right now in global e-
protocols and technical standards for the interworking. These systems will
change not only how we carry money but how we value money and think
store vs. at Dunkin' Donuts.) Payment systems that make it easier to buy
online, coupled with mobile technologies will accelerate the usage of global
e-commerce applications.
devices than on any other device. We are rapidly approaching the time (if we
are not already there) where designs must be created for the mobile Web first,
databases, a consumer could snap a bar code in Walmart and quickly reference
product reviews and prices on walmart.com (or compare prices with Walmart
recently, Starbucks customers can not only place an order with their
Social media – As Facebook has become the most visited site on the Web,
the role of social media, including Facebook and its local clones such as
Twitter, is increasingly important. Social media sites increasingly act as
points of entry to e-commerce sites, and vice versa, as e-commerce sites build
rating, loyalty and referral systems tied to social media. Group buying (e.g.,
Groupon) is also gaining mainstream ground, with many "deal of the day"
lie ahead as the social aspects and user experience are refined.
products from foreign sites and have them delivered locally. Thus, currency
and customs will be of growing concern to many online retailers. Along with
this, there will be concerns with local privacy laws and restrictions on related
is to localize. User Centric’s research clearly shows that sites that ‘feel’ local
– with proper imagery, language, time/date, weights/measures, currency, etc.
– resonate far more than sites that seem culturally distant or sterile.
Time-based availability – Some of the hottest and most successful sites are
those that have a time-critical response component. Sites like Groupon, Gilt
E-COMMERCE IN INDIA
Snapdeal is itself a startup-but a rich on. It has raised Rs.52 million from ventures
funds.
Bahl is not alone who is scouting for potential suitor. In February this year
last year, US-based social buying site Groupon acquired India’s SoSasta.com and
renamed it as Crazeal.com.
And so it seems that e-commerce is not about customers buying goods. It is about
firms shopping for others. Industry trackers say leading sites are gobbling up rivals
to build size, or acquiring customer niches either to add product segments or to get
In the game in which future share issues are on the radar for bigger players, the
smaller ones often prefer to cash out than be crushed in lonely pursuits in an
At stake is a huge market will growing potential because India has 900 million
mobile phones, with a big chunk of that growing up from voice talk to Internet, wile
the current Web user base at more than 100 million is in itself a significant number.
Industry estimates say India’s e-commerce market will zoom from the current
Rs.51000 crore to Rs.10,20,000 crore in revenues by 2020. The race lead to buyouts-
“At present sites are falling over each other to offer deep discounts, but you do not
survive only through discounts. This only creates a disloyal discount shopper who
moves from one site to another in search of the cheaper deal,” said Mahesh Murthy
, managing partner of investment firm Seefund Advisors. Murthy added that sites
without a credible differentiation strategy and loyal customers base would bleed-and
Experts say acquisition of other sites is also a good strategy to built brand and
access to its large catalogue of sports and fitness products. Flipkart.com started out
with books, added cameras and mobile handsets and then got Letsbuy.com to acquire
“There in no room for newer players in the general category but there is space for
niche category players,” he said. This has been observed by Prashanth Prakash,
they more than doubled the funding level in e-commerce over the past year, and the
However, having a deep pocket is no guarantee to success. “Money can only delay
your death. The only key to survive is to have a credible differentiation strategy,”
Murthy said.
Size is not everything, but could help if investors have a sense of timing. “As the e-
commerce companies grow and get brand loyalty the valuations are expected to
increase even further. It will be the time when we can offload our stake, for hefty
Hundreds of Internet startups went bust in 2000 and 2001 in the “dotcom bubble”
and comparing the current e-commerce rush to that may not be farfetched said
“There are a lot of guys in this business who don’t have a retail background. They
are form either consulting or technology. So one should ask if they are really
margins.
Some firms feel the time is right to cash in on brand, customer base.
Private equity (PE) and venture capitalists (VC) are eyeing safe exit
product/service differentiation.
State of Play
Acquiring site is a good way to built brand, broaden loyal customer base and
add categories.
The companies that are selling have real valuations, real transactions and real
E-commerce companies in India offers the most tangible and finest e-commerce
solutions, provide high end e-commerce solution taking utmost care of the privacy
designs etc.
This website offers variety of products like electronics ,books ,music ,movies ,car
accessories. The site also offers lucrative deals. Log onto the site to shop. Happy
Shopping!!!
99labels.com:
This site offers many fashion and luxury brands at good prices. Check this site for
more brands .
Dealsandyou.com:
This site offers various kinds of deals be it holidays, shirts etc. Also this site gives
heavy discounts on regular basis that cab be profitable for the shoppers. Browse this
Fashionandyou.com:
This site also is a great place to shop and that too sitting at home. Also this site
declares sale and heavy discounts almost every day. Sign Up today to get more deals.
Flipkart :
This site offers various kinds of products and that too at one place. Mobile, its
accessories , books, camera and laptop accessories. and many more things are
available on this site. One can find deals for home appliances also that are available
Indiangiftsportal:
This is known for providing gifts for various occasions like birthdays ,anniversary,
wedding, bhai dooj, diwali and many more .Also flowers, cakes ,chocolates and
many more things are offered by this site. Browse it today to send gifts to your loved
ones.
MagazineMall:
This company specifically deals in magazines and one can get magazines of
Bindaasbargain:
Here new deal comes everyday at 10 am and it is India's first One Deal A Day online
shopping site.Check out the site for new deal. Happy Shopping
Buytheprice.com:
The site offers Mobiles, Computers, Cameras, Home Appliances ,Life style, Audio
and Video and much more. Variety of products are available under each category.
Perfume2order:
It has categories like Perfumes for Men, Perfumes for Women, Deodorants & Deo
Stick, Perfume Gift Set, Designer Wallet & Belts, Flowers, Handbags & Clutches,
international trade over the Internet. The advent of E-commerce is boon for global
sourcing and import and export. The boost to global sourcing and import/export
but sure it made global sourcing easier to monitor with its evolutionary phases. Three
exchange of POs and invoices in international trade. Electronic teller machines are
Looked at from both import and export traders' perspective, international trade is
easier conducted electronically. Here are the points why present international trade
as well as import/export.
Automatic running off of an import and export outfit without having to recruit
many staff.
Online.
Software assisted documentation for each global sourcing and import export
transaction
Ability to handle multiple, quick and secure data and money transaction
import and export business. Global sourcing is an integral part of B2b scenario and
way. Nonetheless, it is also giving great transformation to the work culture around
the globe with China playing a lead role in global sourcing. Nevertheless, it is also
transforming work cultures around the world silently with China business playing a
major role.
Being an extension of open market dynamics, global sourcing facilitates the export
and import of goods to be in the reach of several small and medium enterprises in
different countries. In this b2b scenario, E-commerce plays an active role in the
global sourcing where the business houses are putting in deep efforts and reaping
the benefits. In this rally of export and import, traders happen to claim the share of
see, E commerce is driving the export and import and propelling the economic
strategies are becoming easy to execute and business houses are having a wide
E-commerce has made the path of business smoother and has facilitated not
only in lower cost, but also resulted in procuring material from places where
there is specialization. Moreover, business negotiations are easier and
decisions are quicker due to this boon. Driving the import and export business
in this global sourcing scenario has opened new frontiers for higher growth.
The ease in supply chain is one of the best advantages that has come from e-
China, a major player in the global sourcing scenario has reaped several
benefits in the e-commerce enabled era. The use of internet has facilitated
trade and boosted it at an immense rate. Business from all over the world has
traders have minted fast money and are still running in that race.
are still being seriously being viewed by import/export operators before engaging in
(Secure Sockets Layer) to encrypt data/money (remember banks) transfer from your
desktop to your clients'. You can say, E-commerce is secure for both import/export
E-commerce has arrived on the global sourcing scene as both import and export and
international trade partners are accepting it. Despite its growing stature and
popularity E-commerce is still thriving in retail sector domestically and the
international trade needs to cover a long distance before it catches up. Another
costs of delays in processing POs and invoices through traditional methods which
By the end of 2011, the e-commerce market in India had clocked close to Rs 50,000
cores. It is interesting to consider whether the global economic downturn may have
consumers look to new online channels which can often deliver greater value than
traditional stores.
Today, even though there are less than 10 million internet users who are actually
engaging in e-commerce activities, there are about 150 million internet users in
with the positive experiences of end consumers when buying online beyond the
metros and big cities are key drivers of the e-commerce boon in India. Businesses
in even the smallest towns and villages are becoming increasingly aware of e-
across urban India are confident enough to make purchases that exceed Rs 20,000-
25,000. Earlier, the same shoppers stayed in the Rs 2,000-5,000 ranges. According
to one study almost 57% of business for e-commerce product sites came from tier I,
tier II and tier III cities while the eight metros accounted for the remainder 43%. The
same pattern was visible in the service sites too, with tier I, tier II and tier III cities
around US$ 10 billion. But with different levels of adoption, the market has the
potential to grow anywhere between US$ 70 billion – US$ 150 billion under one
scenario and at another level it can grow between US$ 125 billion – US$ 260 billion
by 2024-25.
E-commerce: The world over
Globally, the scenario is much the same. Brazil, one of fastest growing
including both retail e-commerce and online travel sales, will total to
21.9% over the previous year. Brazil will account for more than half of
the total B2C e-commerce sales in Latin America through 2013, thanks in
Retail e-commerce itself in the U.S.is predicted to grow at 17% and it will
during the third quarter of 2011; an increase of 13.7% compared with the
Bureau. 2011 also saw the European online market boom despite the
internet users in each of the last four years. It will add the equivalent of
years. China is projected to rise from 145 million e-shoppers today to 329
million by 2015.
online, the need for physical stores has become obsolete. Less
profit margin. The seller can then transfer this benefit to the
of online shopping.
Safe & secure:Customers can trust the process of going online and
Increased reach for the merchant: Just as the customer finds them
eastern cities or even rural villages that are now connected by the
online network.
of reducing their costs of living. The online channel offers a clear value
proposition for both merchants and consumers making it the most sought
commerce
structure factors
related
factors
incompatible internet in
authoritarian
political
computer in telecom
sectors
imperialism products
in some
Buying/selling Availability of Intellectual Redress UNCITRAL
protection in case of
problems in
online
transactions
decision UNCTAD
on delivery currency.
etc,
duties in WTO
member
In present scenario E-Commerce is playing very essential role in the online business.
Although it is one of the best & cheapest intermediate for reaching out to new
of its reach to potential customers and provide them with a convenient, satisfying &
Business people can spend less money and earn high profits with e-commerce
Easily we can track the segment of customers who are happy with purchasing
Reduce Customer Support costs via e-mail marketing & customary newsletters
Instantly we can develop our business across the internet by using various e-
commerce strategies
Customers can easily buy their products by using different payment gateways
In the Australian context B2C (business to consumer) trading activity has been
slow to take off as at first consumers had doubts about the security of credit
card transactions.
Initial B2C trading focused on music CDs, software and books - items which
were compact and easily shipped and where prices could be slashed once the
retailer's cut was taken out of the margin. The Amazon book store would be a
good example of this. These products pushed the perimeters of the market out
Books and CDs are relatively generic products. A CD bought in the US will
have the same music and quality as one bought locally (the exception is the
cover art) and so there is no doubt in the consumers mind exactly what the
product is. This is not the case with clothing, where sizes can confuse the
purchase decision... and where tactile senses figure strongly in the purchasing
decision.
Ebay has really transform purchasing behaviour on the web. Many people
have made their first ecommerce transaction on Ebay. Many people sell on
ecommerce.
products can be extremely strong. If you have a unique product that is highly
relevant to a niche audience, you are likely to do very well on the web.
Although sales are increasing rapidly on the Internet, the volume of turnover
figures continue to fail short of industry estimates. But as retail web sites
become more navigable and privacy policies are displayed, more people will
forecasts are that B2B revenue will far exceed B2C revenue in the near future.
According to studies published in early 2000, the money volume of B2B
exceeds that of B2C by 10 to 1. Over the next five years, B2B is expected to
Payment Gateways
Both PayPal and Paymate offer credit card to bank account payments. Using
one of these services you can invoice a customer, they can pay on Paymate
and the funds will be deposited in your bank account ... less a transaction fee.
Unlike a credit card merchant facility you will not have ongoing, minimum
monthly fees... and the transaction fee is better than what most card companies
offer small merchants. Additional these service are being backed into
other ecommerce sites and shopping carts. Ebay for example uses Paypal to
Auction sites such as Ebay and TradeMe have done an enormous amount to
get ordinary people involved in online trading. Today many Ebay merchants
are establishing their own web sites to avoid Ebay and Pay Pal fees. They have
learnt about how to present their product in their Ebay store and what issues
are important to their customers in purchasing their product and now they are
Security
and client browser. When entering a secure site your browser is passed a
public key by which transactions between you and the web server are
On your web site security can be handled two ways - depending on your
budget. You can "piggyback" on someone else's "key" or you can register and
Generally today businesses who host web sites offer access to a secure server
and you can use their server and secure certificate for less than if you
However the person browsing your site will notice the URL change to one
they do not recognise - or trust. This may put your customers off (although
own key would be to have a URL for your secure pages that is consistent with
foreign ecommerce providers like Instant SSL can sell it for $150. Although
Verisign will argue that their key comes with a range of value add benefits,
the bottom line is the product, i.e. the key, is the same.
facilities available.
The countries such as India, Brazil, and China etc which are on the path of
The e-commerce can surpass geographical limits and can prove to be worthy
by reaching to customers. It caters to the demands of both the national and the
international market.
The e-commerce can help in providing an edge to your rivals in the market as
The Countries such as USA, Australia, Canada , UK etc are trying to come up
in this field as customers can easily select products from different providers
without moving around physically and it also help business to handle its
resources well.
REFERENCES
Web
http://www.articlesnatch.com/Article/E-commerce-In-Global-Sourcing-
march , 2012)
http://archive.unctad.org/templates/webflyer.asp?docid=4253&intItemID=2
http://en.wikibooks.org/wiki/ECommerce_and_EBusiness/ECommerce_in_
http://www.nytimes.com/2003/11/24/business/e-commerce-report-sensing-
economic-opportunities-many-developing-nations-
march, 2012)
http://www.india-ecommerce.com/ecommerce-web-development.html (last
Books
Newspapers
Hindustan Times