m6 - introduction
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M6 - Introduction - E-CommerceTRANSCRIPT
E-CommerceM6
E-Commerce
Electronic Commerce Commerce – buying and selling. E-Commerce – the buying and selling of
goods or services over the internet or via a computer connection.
A modern way of trading. The first example of E-commerce taking place on the internet was only recorded in the mid 1990s.
What will we be studying?
Introduction to E-Commerce A Short History of E-Commerce Companies that use E-Commerce Benefits of E-Commerce Data Integrity and Security How does E-Commerce work? Setting up an E-Commerce Business
A brief History
1994 – Netscape Navigator, an internet browser, is invented. Pizza Hut offers online pizza ordering. The first online bank opens. Cars and bikes are available on the internet.
1995 – Amazon is created, an online company selling books, DVDs and CDs. EBay is launched, the first online auction company.
1999 – PayPal launched, allowing safe and secure financial transactions to be carried out over the internet.
E-Commerce - Today Almost all national and international
companies offer E-commerce. Many companies only offer E-
Commerce services. Most major banks offer online banking.
When did you last use E-commerce? Can you give me some examples of E-
commerce you have used?
Types of E-commerce
Direct sales – Companies selling their products or services direct to the customer via the net.
Online banking Online auctions – Bidding against other
consumers for products and services. Online media sales – Buy and download
music, e-books, movies, TV series, computer software.
EBay – A study
American Internet Company Online Auction
› Auction – Customers bid (offer) money for goods or services. The highest bidder is successful.
Online Shopping Allows people to buy and sell
goods and services online all over the world..
EBay – History
Founded in 1995 – known as AuctionWeb. First item sold was a broken laser pointer 1997 – AuctionWeb changed it’s name to
EBay. 1997 – EBay began to offer Travel services
on the internet. 1998 – EBay went public (the company
was listed on the Stock Exchange and people could buy and sell shares in EBay)
EBay – How does it work?
EBay makes a profit by charging sellers a commission on any auction they successfully complete.
The commission fee for each item is between 1% and 5%.
For example, an item worth $1000 sold on EBay will earn the company somewhere between $10 and $50.
There is also a small fee to list items on EBAY, about 1%.
EBay - PayPal In 2002 EBay bought the internet
banking service company PayPal. PayPal allows payments and money
transfers to be carried out through the net.
Customers sign up with their email address and bank or credit card details.
PayPal automatically debits or credits money on a customers’ account.
EBay
What is the most expensive item that has ever been sold on EBay?
EBay A Yacht A bargain...
› $168,000,000 It was purchased by Roman
Abramovich, the Russian billionaire owner of Chelsea Football Club.
Task Today We’ve had a look today at EBay. There are
thousands of websites that use E-Commerce. For example:› www.amazon.com› www.iTunes.com› www.dell.com› www.airasia.com› www.nikestore.com› www.buy.com› www.westernunion.com› www.yahoo.com› www.priceline.com› www.aol.com› www.weloveshopping.com› www.adobe.com› www.rightmove.com› www.play.com
Task Today Study a Business that uses E-Commerce. Create a presentation to tell the rest of the
class about your business. Include:
› General Information› What goods or services does the company sell?› How does the company use E-Commerce?› How does a customer obtain goods or services using › Example of an E-Commerce transaction› History› Interesting facts› Information about the website
Task Today
A the end of this lesson you will present your work.
Every member of the group must speak. I’m looking for professional and well
presented work. Remember, this lesson is E-Commerce, so
make sure you understand the E-Commerce within your chosen company› How does the business make money online?› What products or services does the business
offer online?