E-commerce is defined as the online dealing of business, connecting a vendor or seller and a buyer. Diverse products and services are being offered, but it’s key cornerstones is that the interactions, deal sign-ups and the payment processes happen online. According to www.searchcio.techtarget.com, e-commerce can be split into the following:
E-tailing or “virtual storefronts” on Web sites with online catalogs
Utilization of demographic data through Web contacts
Electronic Data Interchange (EDI)
Business-to-business purchasing and trading (B2B)
An important facet of e-commerce is online shopping. Online shopping was actually started by Michael Aldrich in 1979. E-commerce has earned a foothold in the today’s world. Nearly in every corner of the globe, people have recognized the advancing significance of e-commerce. It led to the development of electronic funds transfer, supply chain management, internet marketing, online transaction processing, electronic data interchange (EDI), inventory management systems, and automated data collection systems.
1. Electronic funds transfer – is the computer-based systems that are used to execute electronic financial transactions.
2. Supply chain management – is the management of interconnected businesses involved in offering products and services to consumers.
3. Internet marketing – is simply put, the marketing of products over the Internet.