Amity School of Business

Jitendra Tomar
Amity School of Business, Amity University, UP 09911331317 0120 4392875


Amity School of Business

• Part 2:

ThE dRiViNg fOrCe BeHiNd E-CoMmErcE

Amity School of Business

World Wide Web
The Internet Today

Amity School of Business

The Internet Today • A “Superhighway” was initially developed as a tool for people (Originally scientists) to keep in touch with one another. It is still the way many people use it in today’s date.

• On the personal side:
• It is giving people the power they never had before and they are enjoying the tools available for their own benefit. • On the business side: • Acting as enabler of e-commerce, it is changing how companies manager their business. Closed enterprise systems are giving way to open system environments, where customers connect to the company’s Web-site and trading partners connect via an extranet and the internet.


Internet . • It began with message communication. much like television or radio broadcasting. • Non-updated blogs and profiles.Amity School of Business The Internet Today • It enables the user to: • Send the messages to multiple people at the same time. • The unanticipated problems?? • The appropriateness of content is always questionable. voice. but now it is possible to transmit and receive computer data containing graphics. and even full motion vides. photos. • Neglected sites – abandoned sites when business fails or simple boredom lead to Web-site neglect. • The internet is littered with abandoned Web-sites.

it is often too late to save the Web site from major overhaul. real-time broadcasting. less focus and less motivation to update the Web site and when orders begin to shrink. shopping opportunities. but are abandoned on the Internet when the business fails. • As long as business keeps pouring in. Internet . file transfer. multimedia displays. less time. • Limited-time web sites for political. and quick & easy transmission of information. or special events die quickly after the event. social. access to remote computers.Amity School of Business The Internet Today • Why neglected sites got built? • New e-business that begin with Web sites. • What services Internet offers? • E-mail. interest group membership.

Amity School of Business World Wide Web Beginning Of The Internet .

• No one knows exactly how many computers are connected to the Internet. The internet backbone.Amity School of Business Beginning of the Internet. • The internet is the infrastructure that links thousands of networks together. No governing body is in control. • Who is In-Charge of Internet? • No one. • How & why it got formulated? • The initial goal was to design a network that would maintain the safe transition of data between military computers at select sites through redundant communication routes Internet . is owned by private organizations. through which Internet traffic flows.

which was the sponsor of the research. military data transfer would continue uninterrupted. • The built-in redundancy meant that in case of war. • In 1964.Amity School of Business Beginning of the Internet. This was the beginning of what we now call the Internet. two nodes (computers) were connected to a network on ARPAnet. • The initial goal was to design a network that would maintain the safe transition of data between military computers at select sites through redundant communication routes Internet . • It also meant that no single site would be the vulnerable one.

The military part was named MILNET. • At first. • In 1984. • ARPAnet was decommissioned in 1969. became known as the Internet. it split into two interconnected networks.Amity School of Business Beginning of the Internet. Internet traffic was government related & government subsidized and no ordinary person or company could use its services. which relaxed entry for almost everyone. Internet . • Things changed in April 1994. when the US government relinquished control of the Internet to independent governing bodies. which kept the name ARPAnet. The educational part.

Amity School of Business World Wide Web The General Terms .

TCP/IP • A set of protocols or rules that provide the basis for operating the internet.Amity School of Business World Wide Web • An organization of files designed around a group of servers on the Internet programmed to handle requests from browser software on users’ PCs. Hyper Text • Any text that contains links to other documents. Hyper Link • Connects current document to another location in the same document or to another document on the same host computer. The General Terms .

The index contains a copy of each Web page gathered by the spider. HTTP has been designated as the protocol of the WWW. The General Terms . Browser • A software application that allows users to navigate the Web. VoIP • Voice over Internet Protocol makes it possible to place a telephone call over the Web.Amity School of Business HTTP • Hyper Text Transfer Protocol makes possible transmission of hypertext over networks. Spider • A program that roams the Web from link to link identifying and scanning pages.

FTP • A standard protocol that allows you to cop files from computer to computer. ISP (Internet Service Provider) • A company that links users to the internet for a fee. The General Terms . Telnet • A protocol that allow users to log on to a computer and access files from a remote location. They are like the entrance ramp to the internet.Amity School of Business URL (Uniform Resource Locator) • A name that represents the address of a specific Web site. BBS (Bulletin Board System) • A computer-based meeting and announcement system that allows local people to exchange information free of charge.

Amity School of Business First Generation Search Engine • A search engine that returns results in schematic order. or site rather than by relevancy. also called “on the page” ranking. concept. The General Terms . It is also called “off the page” information. constructing a term relevancy rating of each hit and presenting search results in this order. domain. Second Generation Search Engine • A search engine that organizes search results by peer ranking.

Amity School of Business World Wide Web Some Effective Tips – Web Search .

• When searching for several names that are linked together. use a comma to separate them (eg: Dr.Amity School of Business The right way to search • Evaluate everything on the Internet for its appropriateness for research use. Pratibha Patil. • Use quotation marks when doing a phrase search (eg: “Congressional E-Mail Address”). • When searching for a proper name. Do not rely only on one site or one type of site. Searching Tips . President). else engine will search for all documents having these words separately or with some combination. capitalize the first letter or each word. • Try out a handful of sites when researching a topic on the Internet.

This will yield pages containing education. • Use of asterisk will find all combinations of a word or word fragment (eg: edu*). (eg: +Saddam+terrorism will leave search engine search for relationship between Saddam and terrorism with AND logic to apply). Searching Tips . • Use plus sigh to find two or more words that must be in the documents together (eg: bus schedule+delhi). and the like. decide on the logical relationship between them.Amity School of Business The right way to search • Use hyphens when searching for words that must appear within one word of each other (eg: cable-network). • For multiple-term search. • For searching an image. educator. place colon between the word image and the image topic name (eg: image: Microsoft).

• Work with different search engines. use url: and the address fragment (url: amity). Searching Tips . This will match pages with the word amity in the URL. as no two search engines work from the same index.Amity School of Business The right way to search • To find URLs.

Amity School of Business World Wide Web Merchandising .Facts to Remember .

Facts to Remember . • A frequently visited website is one that appears on several search engines. using URL. the last method is the most commonly used. • While advertising a website. • Out of three methods i. quick and the most convenient way of visiting a website. • Users simply click away if the information they seek is not displayed on the screen within few seconds. It is easy.e. encourage users or customers to bookmark the site. • A website must be quick and current. • People usually use bookmarks to visit their favorite site.Amity School of Business An online merchant should know some basic facts: • People look up Websites with Search Engines. Bookmarking the sites and Using Search Engines.

regardless of the amount of traffic. followed by privacy concerns.Amity School of Business An online merchant should know some basic facts: • Slow speed. • Censorship is the leading concern of Internet users. • For commercial Website to build customer loyalty. • Connecting to DSL or high speed line would help. • A web site should address the privacy & navigational issues. Facts to Remember . it is important to protect user information and ensure ease of use of the Website at all times. congestion is bound to happen. broken links and difficulty in finding a given site do not promote loyalty. • The “bottleneck” problem. • Ease of navigation is an added concern for Web traffic. but as more and more people go that route.

• Very few sites that began to charge for visits have stayed in business. about the only exceptions to the no-pay rule are specialized services such as online stock services and the likes.Amity School of Business An online merchant should know some basic facts: • People are reluctant to pay to surf a Website. Facts to Remember . • On the Web.

Amity School of Business World Wide Web Search Engine Optimization .

Search Engine Optimization . the greater the chance of attracting more visitors. • Search engines usually figure out that linking anything on your Web page is likely to be closely related to the content of the page.Amity School of Business Search Engine Optimization: SEO is a way of trying to increase the number of visitors to the Website by ranking high in the search results displayed by a search engine. • Optimization via Hyperlinks. The closer the Website is to the top of the list. • This indicates to include the most important keyword phrases in the hyperlink itself and surrounding text for optimization of the Website.

as they might not fit right. • Good meta-tags are very much needed to achieve good listings in the search engine. Search Engine Optimization . and that would be in violation of copyright. • In addition to meta-tags. title tags and meta-tags allows Search engines to effectively index the Website.Amity School of Business • Optimization via Keywords and Meta-tags. heading tags and title tags are two more important factors to consider when optimizing the Webpage. • Inclusion of most important keyword phrases in heading tags. Meta-tags are always part of a well optimized page. Caution • Make sure not to copy competition's keyword phrases.

• Listing keywords anywhere other than in your keyword tags.Amity School of Business Be careful in optimization: While optimizing the website. Since traffic to your Website comes through search engines. • Submitting identical pages. they are the last ones to be antagonized. Here are things that search engines consider spamming. Search Engine Optimization . • Using the same font color as the page’s background color or having a white-link. • Using multiple instances of the same tag. • Submitting the same page to any search engine more than once within 24 hours. such as using more that one title tag. one thing to stay away from is “spamming” the search engines.

Amity School of Business Internet Architecture The Network .

The Network . The latter type is what is expected in every e-merchant’s technology infrastructure. Knowing this arrangement makes it easier to appreciate client/server architecture as backbone for e-commerce. Types of Networks Internet architecture is addressed by two kinds of networks: • Workgroup & Client-Server Architecture. All networks are based on the concept of sharing. Workgroup is a simplified version of a network for small business for in-house purposes.Amity School of Business What is a Network? It is a connection between at least two computers for the purpose of sharing resources.

it is difficult for users to know what information is on which computer. • On the flip side. • With each machine behaving like a server. low cost and ease of installation is one of the biggest advantages. The Network .Amity School of Business Workgroup • Computers in workgroup are linked together as equals. • This arrangement could lead to chaos and security problem. • This setup connects fewer than 10 computers. • Computers can share their resources with other computers on the same network as and when required. • Users are network administrators in that they control access to the resources that reside on their own computer. with no centralized server or control.

• Ideal for small business.Amity School of Business Pros and Cons of Workgroup • Benefits • Users can control their own shared resources. • No dependence on a dedicated server. • No need for a full-time network administrator. • Easy to configure the system. • Easy to install. The Network . • Inexpensive to purchase and operate.

• Backup is performed on each machine separately to protect shared resources. • Every time a computer in the network is accessed. or control access to data.Amity School of Business Pros and Cons of Workgroup • Drawbacks • Network security is applied to one computer at a time. manage. performance suffers. • No centralized setup to locate. The Network . • Users have to use a separate password on each computer in the network.

More than one authorized user can access any program or application that resides on the server. • A client/server system is a multi-user environment. • One of the main advantages of client/server networks is centralized control over network resources.Amity School of Business Client-Server Networks • A server is simply a special purpose computer or specialized hardware and software designed for one function – to address a client’s requests. The Network . • Servers are usually fast computers with physical and logical security capable of controlling who accesses what resources. • All programs or applications reside on the server. • A client is any computer or workstation connected to the server within a network.

The Network . • Users remember only one password. • More scalable (upgradable) than workgroup network.Amity School of Business Pros and Cons of Client/Server network • Benefits • Ideal for more than 10 users • Centralized security access and control • Simpler network administration and control than workgroup network. • Ideal when user computers are not in close proximity.

Amity School of Business Pros and Cons of Client/Server network • Drawbacks • Network failure means clients are almost helpless. • Higher costs than workgroup network because of specialized hardware and software architecture. • Specialized staff needed to manage the specialized hardware and software. The Network .

• It requires minimal operator intervention and is used frequently in non-complex system • This model has two main components: • User System Interface • Operating Platform (OS. • Primary limitations associated with this model are: • When the number of users exceeds. DBMS. Internet Service) • The operating platform has limited process management capabilities. they are suggested to have Two Tier Architecture. performance begins to deteriorate. • Limited processing management restricts flexibility.Amity School of Business Types of Client/Server network • Two Tier Architecture • When an organization has small network where users can interact concurrently. The Network .

thus enhancing scalability and flexibility even when more system components are added. It provides improved access to resources. The Network . • Middleware (OS) • Specialized Platform (DBMS.Amity School of Business Types of Client/Server network • Three Tier Architecture • This model has three main components: • User system Interface. • It can also perform queuing. Internet Service) • The middle tier manages control and integrity. application execution and platform staging.

Amity School of Business Internet Architecture IP Address .

Each octet range from 0 to 255. consisting of 32 bits and is capable of connecting 232 = 4294967296 hosts on the network. • This number identifies each host from every other host. having 256 values in all.1.168.Amity School of Business IP Addresses • It is a numerical label assigned to a device participating in a computer network. • IPv4 contains four 8-bit blocks called octets.25 IP Address . • Eg: 192. • For transmitting a message a source host needs to know only the official IP address of the destination host regardless of location. • The version of IP address used currently is IPv4.

subnet.Amity School of Business IP Addresses – Network and Sizes • A 32 bit IP address by itself does not tell anything about the size of its network. networks are classified as below: • • • • • Class A Class B Class C Class D Class E IP Address . To detail this. or host part.

Amity School of Business IP Addresses – Network and Sizes • A 32 bit IP address by itself does not tell anything about the size of its network. networks are classified as below: • • • • • Class A Class B Class C Class D Class E Beginning Bits Bits in Remainder of Network Part Bits in Local Part Maximum number of Networks Maximum number of Hosts : 0 : 07 : 24 : 128 : 16777216 IP Address . To detail this. subnet. or host part.

subnet. or host part. To detail this.Amity School of Business IP Addresses – Network and Sizes • A 32 bit IP address by itself does not tell anything about the size of its network. networks are classified as below: • • • • • Class A Class B Class C Class D Class E Beginning Bits Bits in Remainder of Network Part Bits in Local Part Maximum number of Networks Maximum number of Hosts : : : : : 10 14 16 16384 65536 IP Address .

Amity School of Business IP Addresses – Network and Sizes • A 32 bit IP address by itself does not tell anything about the size of its network. To detail this. or host part. networks are classified as below: • • • • • Class A Class B Class C Class D Class E Beginning Bits Bits in Remainder of Network Part Bits in Local Part Maximum number of Networks Maximum number of Hosts : 110 : 21 : 08 : 2097152 : 254 IP Address . subnet.

Class E addresses are kept reserved with the internet society.Amity School of Business IP Addresses – Network and Sizes • A 32 bit IP address by itself does not tell anything about the size of its network. or host part. subnet. Unlike unicast. IP multicasting means the packet is broadcast to all the hosts on that subnet. where the packet goes to only one host IP address. • • • • • Class A Class B Class C Class D Class E IP Address . networks are classified as below: Class D addresses begin with 1110 and are used for multicasting. To detail this.

Amity School of Business Internet Architecture Network Hardware .

Amity School of Business Cable Types • Twisted Pair • Shielded Twisted Pair • Unshielded Twisted Pair • Co-axial Cable • Fiber-Optic Cable • Wireless Data Transmission • Radio Transmission • Microwave Transmission • Infrared Wave Transmission Network Hardware .

Amity School of Business

Network components • Network Interface Card • Modem • Hub • Switch • Router • Bridge • Gateway

Network Hardware

Amity School of Business

Internet Architecture
Design Consideration

Amity School of Business

Designing a Network - Factors to be kept in mind When designing a network, factors to be kept in mind: • Location • Where will the network be installed? • How convenient is the location? • How easy is it to install the cabling, allocation of space and similar issues? • Capacity • What is the optimum traffic capacity of the network? • How efficient is its performance at that capacity?

Design Consideration

Amity School of Business

Designing a Network - Factors to be kept in mind When designing a network, factors to be kept in mind: • Distance limitation • How far is the farthest PC to the server? • How does distance affect network performance during peak hours? • How does distance compromise security? • Cost • What is the estimated cost of the proposed network installation? • Is the cost within the budget? • What are the hidden costs? • Given the cost, how to justify the return on investment?

Design Consideration

factors to be kept in mind: • Potential Growth • How easily and how well can the network be expanded to meet the growing demands of the organization? • What is the expected cost of such growth? • Security • How secure is the proposed network? • What security measures should be incorporated? • Who will be in charge of monitoring security? Design Consideration .Amity School of Business Designing a Network .Factors to be kept in mind When designing a network.

and backup systems.Amity School of Business Network Architecture – Hardware and Software Consideration The factors considered when selecting network architecture: • Hardware Requirement • Hardware includes server. • Software requirements • These requirements depend largely on the profile of the company. switches. • The software should meet immediate needs. routers. Design Consideration . 3 Tier CS Architecture. • Amount of usage is also important. • Strategic use of RAID. • Disaster recovery and fault-tolerance requirements. Network Architecture. printers. PDC & ADCs. minicomputers. • The system should have build in features that allows it to recover from failure. workstations.

Amity School of Business Hosting your Web Site Internet Service Provider .

• For a fee.Amity School of Business Internet Service Provider – What’s That? • It is a specialized company that connects customers with PCs and browsers to the rather than using ISPs domain name with a subdirectory (www. • ISP helps the users to connect to the Internet Backbone. and an access phone number to the user. • This allows the user to have its own Domain Name (www. Internet Service Provider . • Today ISPs also offers Virtual Hosting / Virtual Domain as well. the ISP gives a software package. but more that one third of medium-size to small organizations use ISPs Virtual Domain Services.ISPdomain/userpage) designating user’s site. a user name. a password. • Major companies design and maintain their own Web sites.yourcompany.

• They are simply a specialized business that offers Internet Access to the users. • ASP allow small to midsize business to choose from menu of applications without having to invest in the staffing or infrastructure to support them. There are 5 types of Service Providers.Amity School of Business Types of Service Provider. Which carry packets instead of voice conversations. • The Application Service Provider (ASP) • ASP are the application renter who offers packaged software for lease online and generally focuses on highend applications like databases and ERP. Internet Service Provider . • The Internet Service Provider (ISP) • An ISP provides an interface between the public phone system and Internet digital phone lines.

developing and managing applications is similar to that of an ASP. mobile devices & wireless network protocols making the job more complex. • The Wireless Application Service Provider (WASP) • It is a company that offers untethered applications. • The Business Service Provider (BSP). • They deal with a wide range of H/W. • Hosting. Generally.Amity School of Business Types of Service Provider. • It is an Internet service developer that rents only its own proprietary applications via the Web. • WASPs are specialized in integration of the Web and Wireless networks. the software is specific in function. Internet Service Provider . There are 5 types of Service Providers.

• They fall into one of three categories: • The large wholesale access providers.Amity School of Business Types of Service Provider. • The smaller Internet Backbone providers. • The Wholesale Service Provider (WSP) • The category of service provider that packages a selection of BSP applications for distribution online. There are 5 types of Service Providers. Internet Service Provider . • And the local ISPs. • These service providers generally cater to small to midsize businesses and can be important addition to large IT operations.

Amity School of Business Hosting your Web Site Choosing an ISP .

• Powerful Web servers. • Size of the Pipeline or Bandwidth. Choosing an ISP . • Security and Stability. ensure smooth running of Website. With high uptime. • ISPs are specialist in Web hosting. fault-tolerant architecture. • Smaller ISPs often have ISDN connections or fractional T1 connections hampering the high level traffic.5 Mbps) and T3 (45 Mbps) lines connect the ISP to the Internet backbone. they ensure security and stability. • Powerful Hardware. communication gears. latest software and expert installation .Amity School of Business What to Consider? There are special criteria to consider for implementing a selection process. • High speed T1 (1.

Choosing an ISP . • Backup • The scheduled backup support is of keen interest as in case of failure. • 24x7x365 is the basic requirement in today’s date. the crucial business information remains intact. security and scalability are the high end support to be addressed.Amity School of Business What to Consider? • Customer Service and Technical Support. • Also. • Upgrades. • Critical problems solution should be given by Service Provider with in reasonable or stipulated time. customization. recovering a website ASAP is one major factor so as to remain in business in case there is some kind of failure.

ISP should have efficient DB administration Capacity. • An ISP allows a certain number of e-mail addresses per account. • Database Access. • Business might want to have multiple e-mail boxes at the Web hosting ISP which gives flexibility and independence. it is necessary that the ISP supports the DB platform used as back-end with the Website.Amity School of Business What to Consider? • E-Mail Capabilities. • Also. • For the dynamic Websites. Choosing an ISP . since the ISP supports the Development Platform (like Front-Page) extensions. • Platform Extension • The feature allows the user to directly make changes to the website.

Amity School of Business Hosting your Web Site Registering a Domain Name .

Selecting a Domain Name • Choosing a domain name is a major step for any individual or organization. which is to provide an easy way to reach your web site. it is important to consider the purpose of a domain name.Amity School of Business What is a Domain Name? • On Internet. • When choosing a name. a domain name is a unique Internet Address to represent a Web site. • A Domain Name Service (DNS) Server translates between the numeric Internet Protocol (IP) address used by the computer and the English-like name identifier that users understand. Registering a Domain Name .

Amity School of Business Selecting a Domain Name • The best domains have the following characteristics: • Short . read. and remember. The domain should reflect the name of the company and nature of business so that users can correlate with the name.People don't like to type. • Clear – Clarity is important when selecting a domain name. Avoid a name that is difficult to spell or pronounce. Registering a Domain Name . • Meaningful – A Short domain is nothing without meaning. A short domain name is easier to type.

• Shop around for a reliable ISP with experience and reputation for a quality technical support at a reasonable charge. transfer fees.Amity School of Business Registering a Domain Name • Once domain name is selected. and they offer a variety of domain name extensions that can be registered at the same time. It could be registered with Domain name registration companies. it should be registered to be active. including setup fees. special services fees and so on. • The pitfalls to keep in mind while registering a domain name: • Overcharging • ISPs in general have their own algorithm of fees. monthly fees. Registering a Domain Name . These companies provide interfaces to search for available domain names.

• Reputation of ISP • Reputation of ISP is quite important and should be checked prior to signing the contract as changing ISP is neither pleasant nor convenient.Amity School of Business Registering a Domain Name • The pitfalls to keep in mind while registering a domain name: • Domain Name Status • Make sure the domain name is registered in your name rather than in the name of the ISP. • Make sure you own the exclusive right to your domain name. • Contractual Language • Before committing. Registering a Domain Name . read the agreement the ISP expects you to sign before the Website is formally and legally on the Internet.

Amity School of Business Implications for Management E-Commerce .

• Online business. • With all these benefits and potential. serious problems need to be addressed. especially at the wrong time. The strategies of the companies may annoy users rather than accommodating consumers with unwanted information. online advertising. rather than tools for tactical productivity gains.Amity School of Business What companies should focus on? • The growing of Online commerce will change business and consumer relationships. Management Implications . Online payments. are time based and location based values enhanced by online application. though. and create opportunities for healthy competition. shift value chains. • Online applications are becoming strategic parts of a company’s technology base. • Customers may even switch away from the companies.

Also as business increase. Management Implications . company is bound to face increase in customer demand & to use technology for competitive advantage. • Experiment with new technology and view the whole effort as an investment in tomorrow’s way of doing business.Amity School of Business What companies should focus on? • The following issues must be addressed by the management: • Consider the cultural and location based issues – These arise from introducing the online environment. A company with geographical locations must establish local expertise in each core location to address local demands or problems unique to business. It will also generate awareness about effective use of technology. • Services advantageous to the business – the company has to offer services that will be strategically advantageous to the business.

Amity School of Business Implications for Management Networks .

Amity School of Business What companies should focus on? The main implication of networking for management is that firms need to have a work environment that technical people find conducive for long-term employment and one that promotes a career path for qualified employees. Feedback is also important in helping personnel develop new skills and advance to more challenging positions. Management Implications . This is especially true for new hires. Management should keep in mind the following factors as to improve the culture: • Constructive and timely feedback: • One of the most important issues in managing and motivating technical people is consistent and constructive feedback on a day -to-day basis.

• An IT manger can keep top managers interested and reinforce the progress made by example. or by online displays of completed work. A simple thanks from the hearts is what it often takes to restart a project that has been going nowhere. • Championing Staff Causes • A champion in IT is someone who uses every opportunity to promote a project with those on higher organizational levels. by scenarios. not knowing how it is going to turn out. Management Implications . especially when it is made in a timely manner. value added work. • Sometimes top management reluctantly approves a project . • It is human nature that recognition is a rein-forcer.Amity School of Business What companies should focus on? • Recognition and Appreciation of good.

timely feedback. • Match Industry Salary Standards for In-House Personnel • Regardless of how well IT personnel are treated. but they should bale to utilize those skills . Technical people often are motivated more by opportunities for creativity than by money alone. It takes sensitivity. Management Implications . stock options. Organization now offer sign-up bonuses.Amity School of Business What companies should focus on? • Support of Employee Career Goals. pleasant office surroundings flextime. • Technical employees should not only have opportunities to undergo training and improve their skills. communication skills. it is still important to provide competitive salaries and attractive benefits to discourage defection to the competition. and other opportunities to ensure job satisfaction and loyalty. and a genuine interest in people and their careers to make a department or a corporation successful.

Amity School of Business Information Exchange Electronic Data Interchange .

• It is computer to computer transfer of business information among businesses that use a specific standard format. shipping status or schedule and the like. EDI . requests for quotes. • EDI allows one computer system to communicate with another computer system using a standardized electronic form. • EDI incorporates more than 3/4th of the total business information exchanged between business houses in today’s date. order acknowledgments.Amity School of Business What is EDI? • Most B2B traffic is handles by a communication tool called Electronic Data Interchange (EDI). • The information exchanged could be transaction data.

• Eg: The seller’s EDI computer sending acknowledgments and electronic billing eliminates the paper invoice.Amity School of Business Advantages of EDI • Cost reduction and time saving • By eliminating unnecessary paperwork. • Implementation of EDI and its various applications results in improvement in information sharing and cooperation between trading partners. information flow becomes more efficient. EDI . • EDI responds quickly to business inquiries and transfer of documents with an automatic audit trail to ensure accuracy and consistency. • Improved B2B problem resolution.

• Accurate invoicing. • Fast response. EDI . This contributes to the integrity and reliability of the business process.Amity School of Business Advantages of EDI • Accuracy with Integrity. • The receipt of more accurate and complete business transactions through EDI improves information processing in the affected application. • Cost cutting. • EDI Payments. • Elimination of errors. • Eliminating data entry means improved accuracy in the way data is processed. • Uses of EDI: • Shortening order time.

• It requires VAN networking to operate at peak efficiency. Only high-volume. EDI . large trading partners can afford this investment.Amity School of Business Drawbacks of EDI • Expensive • EDI has yet to catch on as the perfect solution to information flow or for doing business. • P2P • EDI is point to point. Every contact requires special hardware and software. • Non-User Friendly • It is not easy to learn. use and implement. EDI is expensive and requires a heavy investment to launch and maintain the technology.

Amity School of Business Mobile Commerce .

inform transact and entertain using text and data via a connection to public and private networks. • M-commerce is the buying and selling of goods and services through wireless handheld devices. • M-commerce is also known as next-generation e-commerce.Amity School of Business What is M-Commerce? • Business Transactions and Payments conducted in a non PC based environment. • M-Commerce is the process of paying for services using a mobile phone or personal organizer. • The emerging technology behind m-commerce is based on the WIRELESS APPICATION PROTOCOL(WAP) . m-commerce enables users to use the Internet without needing to find a place to plug in. • M-Commerce is the use of mobile devices to communicate. M-Commerce .

• Use M-Commerce anytime. • Single owner has control over data whereas the mobile device can be highly personalized. anywhere with the light-weighted device. M-Commerce . cost savings and new business opportunities.Amity School of Business Advantages: • The benefit of M-Commerce include customer satisfaction. • M-Commerce can bring the buyer and seller together more easily and facilitate greater profits and a closer customer relationship.

Amity School of Business Disadvantages: • Expensive cost • Larger screens won’t be displayed is clear • Slow speed • Limited for longer message • It hard way to fill the data. • Security is not protected M-Commerce .

Amity School of Business 83 .

Phone Bill  Supports new mobile services E-Commerce M-Commerce  Distrust of technology.g. resistance  Dialup hassles to change  Less possibility of impulse  Fears about security online spending transactions  Bad design of many user interfaces  Slow connections if broadband access not available  Smaller screen size can degrade user experience  Small or immature input technologies  Market may be less open than e-commerce market  Tariffs are relatively high 84 .Amity School of Business Pros and Cons of Mobile Commerce Desktop / PC  Greater Processing. Mobile Phone / PDA  Location based advertising  Greater Convenience  Capture of buying impulses  Alternative payment mechanism e.  Choice of many online stores for a wide range of items discount Notifications. multimedia and display capabilities of PCs  Greater presentation facilities makes the PC more applicable to larger purchases  Online product browsing  Personalized Advertising  Convenience for a technologically aware user.