Web Commerce includes all activity on the internet placing making, auctioning, making payment, transferring funds and collaborating with trading partners. In web commerce we have fuelling forces which include technology forces, economic forces and market forces.
Technology forces the development of information communication technology is a key factor in the growth of E-commerce. Technology advances in digitizing content, compression and the promotion of open system technology have paved the way for the convergence of communication services into one single platform. This intern has made communication more efficient, faster, easier and more economical as the need to setup separate network for telephone services, television broadcast and internet access.
Economic forces is one of the evident benefit of E-commerce resulting from reduction in communication cost, low cost technology infrastructure speed and more electronic transaction with supplier lower global information share and advertising cost.
Economic integration is either external or internal. Internal integration refers to electronic networking of corporations, suppliers, customers and independent contractors into one community communicating into virtual environment with the internet as the medium.
Internal integration is the networking of various departments with cooperation and of business operation and of process. This allows critical business information to be stored in a digital form that can be retrieved insanely transmitted electronically.
Market forces corporations have encouraged the use of E-commerce in the market and promotion to capture international market both big and small.
The internet is used as a medium enhance service and support. It’s a logged easier for company to provide their target consumers with more detailed products and services information using internet.
E-Commerce Transaction Loop
E-commerce transaction involves the major player and correspondent requisites. They include the seller, transaction partner, consumers, business, government and internet.
The seller who should complete with E-commerce capability
Intranet so that orders are processed in an organised manner
IT literate so as to manage flow of information and maintain the E-commerce
Transaction partner include organisation like banking institution that offer transaction eg. Processing card payment electronic fund transfer, national and international freight companies to enable t he movement of physical goods within and out of the country.
Consumers who form a critical mass of population with access to the internet and disposable income enabling wide spread use of credit cards.
Business/firms form a critical mass of a company (especially within supply chain) with internet access and capability to place and take orders over the internet.
Government involve the following;
Legal frame work governing E-commerce transaction
Legal institutions that would enforce the legal framework
For a successful use of internet it will depend on a robust and reliable internet infrastructure
Elements of a Good Web Commerce
Characteristics of a good E-commerce include; display of products, readability of website, online support, website build, secure communication system
Display of products is where visitors and potential clients want to be able to see what they are buying depending on what you are selling offer different angle dimension of the product.
Readability of website these are similar to how you display the product the readability is function of design. Readability is concern on how easy it is to see your description, instruction and clear images on the website
Online support since not all the customers are used to shopping online they might need support or different stages. It’s very essential that you provide them with online support.
In website build it is important that the software you purchase to build your website is friendly, secure and adaptable.
Secure communication system does not need to protect the transmission credit number but also to guarantee privacy of the customer. A website might have a user registration system with a password in which case all transaction by the user should be private.
Technologies Used to Implement Web Commerce
There are various technologies used to implement web commerce. These include database, web programming language, server site script security and encryption
Database one should have convenient storage and retrieval of information about product and customer. A convenient interface to the database should be able to get all the information by typing key words and filling in an electronic form.
Web programming language provides libraries to implement a remote connection to the database server.
Server site script is able to process user forms and produce various web pages depending on the request.
Security and encryption communication is implemented using secure socket layer which allow various forms of encryption depending on the maximum level of encryption provided by the server.
Web commerce infrastructure
Web commerce infrastructure includes; work station, switches, repeaters, bridges, hub and router
Work station is configured with a network interface card a software and appropriate cables. Network interface card provides the physical connection between the network and the computer work station most network interface card is internal and they are included in the purchase of the most computer. Network interface card determine the speed and performance of a network.
A switch has many ports with many network segment connected to them .it chooses the part to which the destination device or workstation is connected. It also reduces traffic and increases bandwidth.
Repeater amplifies the signal it receives and rebroadcast it.
Bridges are device that allows you to segment a large network into smaller more efficient network. A bridge monitors the information traffic on both side of network so that it can pass packets of information to the correct location.
Hub is a device that functions as the central connection point of a network. It joins together a workstation, printer and server on a network so as to communicate with each other. Each hub has a number of ports that connect it to other devices via a network cable.
How a hub works
Data travels around a network in packets and a hub forwards this data packets to all the devices connected to its ports. As a hub distribute packets to every device in the network all the devices connected to it receives that packet.
Types of hub
- We have three types of hub which include passive hub, active hub, intelligent hub
- A passive hub serves as a physical connection point only. It does not boast or clean the signal. It is used to share physical media.
- An active hub must be plugged into an electrical outlet because it needs power to amplify a signal before it sends to other ports;
- An Intelligent hub is also called smart hub, it function like active hub with microprocessor chips to amplify signals and have diagnostic capabilities
A router transmits information from one network to another, it select the best path to rout a message based on the destination address. It also direct traffic to prevent head on collision and a router is smart enough to know where to direct the traffic. And thus Web Commerce
Tags: communication technology, E-commerce transaction, economic forces and market forces., electronic networking, technology forces, Web Commerce