E-COMMERCE

E-COMMERCE

1. DEFINITION

   • E-commerce refers to buying and selling of goods and services, or the transmitting of funds or data, over an electronic network, primarily the internet. It involves a business conducted through any electronic appliance (whether or not using the internet).

2. FORMS OF E-COMMERCE

   • Business to business (B2B)
     • Involves one organization dealing with another organization.
   • Business to consumer (B2C)
     • Involves a business selling to the end-user.
   • Consumer to consumer (C2C)
     • Involves transactions from a consumer to another.

3. FEATURES OF E-COMMERCE

   • Ubiquity
   • Customization
   • Global Reach
   • Interactivity
   • Integration
   • Universal standards

4. EFFECTS ON MARKETING MIX

   • Product
     • the ability to tailor products to an individual’s needs can increase sales.
   • Price
     • Businesses are no longer just competing against local rivals, but against sellers from all over the globe.
   • Promotion
     • can be spread very quickly and cheaply through the Internet
   • Place
     • the Internet is an extremely low-cost alternative to traditional retail channels