E-commerce: Key to survive

Due to the coronavirus lockdown, Swiggy, an

online food ordering and delivery platform, has
expanded its service to every part of the
country. Like Zomato, Swiggy has partnered
with several brick-and-mortar stores to deliver
essential products to people. The service is
available on the Swiggy food delivery app.

PhonePe launched new

features on the “Stores”
India lockdown:
section of its app to enable Wondering how to buy
home delivery of groceries essential items? Here are
and essentials and contact- 5 apps that provide
less payments for its users. doorstep delivery
“Click-and-Mortar will become the only means of survival.”
John Chambers, Cisco Systems
There is the distinction between online selling and
using the internet to facilitate business processes.
E-commerce Vs E-business
• E-commerce is selling things online, and is externally focused.
• E-business means using the internet and online technologies to create
operating efficiencies, and therefore increase value to the customer, it
is internally focused.
• Integration of planning, sourcing, manufacturing, management,
execution, and selling using IT infrastructure.

The terms e-commerce and e-business are often misused and

interchanged, but it is important to understand the difference.
Think…………………….
• In 1999, Ford Motor Co. taken decision of e-commerce and created a
division specifically for e-commerce initiatives, offered direct-from-
factory ordering. Today, after a $50 million lost investment, Ford is
concentrating on improving IT infrastructure to support online design
and production tools.
• General Motors also launched an e-commerce initiative called e-GM,
creating a new division. After a failed online sales venture with its
dealers, the company is now focusing its e-business and IT efforts
on supplier performance evaluation processes and improved
communication.
• DuPont, Levi’s, and Dillard’s are three companies who have recently
adopted online network tools which allow them to increase supply
chain efficiency. By this 80% of the final product cost is determined at
the beginning of the design process when materials are selected.

• Success in e-business is collaboration.

Is e-commerce should be a business model in itself?

• It may be viewed as an additional channel through which transactions

can be supported and facilitated.
• Concentration on e-business and building internal systems to improve
internal process efficiencies may be a better option..
Components of E-business
• CRM: customer relationship management (CRM) is a customer service
that focuses on building long-term and sustainable customer
relationships that add value to both the customer and the company.
• It is a company-wide strategy that brings together information from
all data sources within an organization and externally as well to give
information about each and every customer on real time basis.
• The goal is to reduce costs and increase profitability while providing
customer satisfaction
SCM
• Every small business has a supply chain, the network of vendors that
provide the raw components that are needed to make a product or
deliver a service.
• The management of this network is known as supply chain
management (SCM).
• SCM is about efficiently and effectively improving the way that a
company finds those raw components and then delivers the product
or the service to the customer.
Enterprise resource planning (ERP),
• integrating all departments and functions across a company (sales,
marketing, human resources, finance, accounting, production,
engineering, etc.) into a single computer system that can serve the
particular needs of each department.
• The objective is to provide information quickly and efficiently to those
who need it.
• Small businesses have many vendor choices for ERP systems.
E-commerce
• The moment that an exchange of value occurs, e-business becomes E-
commerce
• It is the revenue generator for businesses that uses internet to sell
their goods and services.
• Some small businesses rely on the Internet to grow and survive.
 E-commerce
• Work with commercial
transactions
• Buying selling from end
customers using internet.
• E-commerce can be handling
just only with a proper website
and internet connectivity.
• E-commerce is subset of e-
business
E-business
• Works with all sort of transactions
from vendors, suppliers, customers
etc.
• Focuses of business process, including
e-commerce as an one process.
• E-Business involves lot many
processes like customer relationship
management, enterprise resource
planning which helps to communicate
with the different business process.
• E-business is super set od e-
commerce.