Traditional Culture Encyclopedia - Traditional customs - What is an e-commerce site?

What is an e-commerce site?

1. what is e-commerce

2. the emergence and development of e-commerce

3. what e-commerce actually solves

4. e-commerce applications

5. e-commerce overall solution

6. how to carry out e-commerce

7. three steps in the development of e-commerce

8. . levels of e-commerce

9. e-commerce security issues

10. e-commerce application system composition

11. Toward the B to B three steps

I. What is E-Commerce? E-commerce Basics 1

E-commerce Basics 2

E-commerce is derived from the English word ELECTRONIC COMMERCE, abbreviated as EC. As the name implies, its content contains two aspects, one is the electronic way, and the other is the commercial and trade activities.

E-commerce refers to the use of simple, fast, low-cost electronic communication methods, buyers and sellers do not meet to carry out a variety of commercial activities. E-commerce can be accomplished through a variety of electronic communication methods. Simple, for example, you call or fax by way of commerce with customers, it seems that can also be called as e-commerce; however, now people are exploring e-commerce is mainly to EDI (Electronic Data Interchange) and INTERNET to complete. Especially with the increasing maturity of INTERNET technology, the real development of e-commerce will be built on INTERNET technology. So there are also people to e-commerce referred to as IC (INTERNET COMMERCE).

From the point of view of trade activities, e-commerce can be realized in a number of links, from which e-commerce can also be divided into two levels, the lower level of e-commerce, such as e-commerce, e-trade, e-contracts, etc.; the most complete is also the highest level of e-commerce should be the use of the INTENET network is able to carry out all of the trade activities, that is, online will be the flow of information, commerce, capital flow and part of the complete realization of logistics. and part of the logistics of the complete realization, that is to say, you can start from the search for customers, until the negotiation, ordering, online payment (receipt), according to electronic invoices to electronic customs clearance, electronic taxation, etc. through the INTERNET in one fell swoop.

To achieve a complete e-commerce will also involve many parties, in addition to buyers, sellers, but also banks or financial institutions, government agencies, certification bodies, distribution centers and other institutions to join. Since the parties involved in e-commerce are physically unaware of each other, the entire e-commerce process is not a replica of business activities in the physical world. Conditions such as online banking, online electronic payments and technologies such as data encryption and electronic signatures play an important and indispensable role in e-commerce.

1, the mode of e-commerce

In general, as we all know, e-commerce can be divided into business (Business) to the end-customer (Customer) of e-commerce (i.e., B2C) and business-to-business e-commerce (B2B) two main modes.

B2C

When it comes to B2C, you may be a little more familiar with the business model of going from the business to the end customer (both individual and organizational consumers). Today's B2C in the era of e-commerce is a new type of business model that delivers products and services provided by the enterprise or other enterprises directly to consumers without going through any channels through electronic and informatization means, especially the Internet technology. Because it is closely related to the daily life of the public, it is first recognized and accepted by people.

E-commerce B2C mode of one of the most familiar form of realization is the emerging specialized e-commerce site. Now, as if overnight, the emergence of countless such companies, including online stores, online bookstores, online ticketing, and so on, and even some of what to do, what to sell e-commerce site, people jokingly referred to as "thousands of goods company. But in any case, the emergence of these new models of enterprises, so that people do not have to leave their homes, through the Internet, you can buy goods or enjoy consulting services. This is undoubtedly a great progress of the times. In these newly emerged Internet companies, Amazon.com can be said to be the most representative example.

Amazon began as an online bookstore selling books over the Internet, and when almost no one could figure out where its stores were, it became the world's largest bookstore in just two years, surpassing countless long-established century-old stores, and its market capitalization far exceeded that of the bookstore business itself. Through Amazon's WEB site, users can enjoy great convenience when purchasing books, for example, to find a book among 1 million kinds of books, the traditional method may have to run to a few bookstores and spend a lot of time, but in Amazon, users can search through the function, just a few clicks of the mouse, and soon someone will send the desired book to their home. Another appealing aspect of Amazon is that it offers a lot of value-added services, including the provision of numerous book reviews and introductions. These value-added services would be prohibitively expensive under traditional sales methods. After "successfully" developing itself into the world's largest bookstore beyond the traditional bookstore, today Amazon's business has expanded to include audiovisual products, software, and a variety of consumer goods and other fields, becoming the largest e-commerce website company in the United States and the world. But that "success" is still in quotes, and people are questioning the huge losses it has left investors with as it builds its scale and customer base.

People reflecting on the reasons for Amazon's losses realized that perhaps should not be established in the era of e-commerce B2C task all on these start-up sites, the traditional industry conscious of the Internet and e-commerce revolution may be more economical, more affordable, but also more necessary, not to the investors, to the shareholders to bring so much pressure and worry. Perhaps, only when these two forces are running together to the top of the same mountain, so that the world of e-commerce is more exciting, the real era of e-commerce will come a little faster.

The most successful example of a traditional enterprise's successful transition to the Internet and e-commerce is DELL, which began as a company that sells computers directly over the phone, albeit successfully, but when the Internet revolution began, it didn't hesitate to seize the opportunity to move all of its own business to the Internet, and in accordance with the Internet's requirements for its own original organization and processes to be sorted out, developing a new system that includes sales, marketing, and sales. Sorting out and developing an e-commerce system that includes the whole process of sales, production, procurement and service, and making full use of the Internet to provide users with personalized customization and delivery services, which greatly improved customer satisfaction and miraculously maintained a growth rate of more than 50% for many years, and became one of the world's largest computer makers, and posed a great challenge to the other competitors who were slower to make the transition.

The two ways of realizing B2C are also very different from each other, and it is more difficult for B2C to develop its own branded products and industries, so they are more like a department store, of course, the most different from department stores is that the department store is the user to the door, while the B2C website is a door-to-door delivery, and B2C transformed from a traditional enterprise is more likely to be like a boutique specializing in Their own brand of products, and the traditional store is different: here the user and the manufacturer more interactive, can be tailored, and at the same time, due to the elimination of the overhead of building a physical store, the cost may be reduced.

B2B

Talked about B2C and then talk about B2B, business-to-business business model is called B2B, e-commerce B2B connotation is that the enterprise through the internal information system platform and external Web site will be oriented to the upstream suppliers of procurement business and downstream agents of the sale of the business are organically linked together to reduce the cost of transactions between each other and improve the satisfaction. satisfaction. In fact, B2B for business-to-business transactions, whether in terms of transaction volume and coverage of the transaction area, its scale is more considerable than B2C, and its significance for the development of e-commerce is also more far-reaching.

Similar to B2C, B2B has two main forms of realization in the application of business-to-business.

One realization of B2B is its application in traditional enterprises. Some of the substantive business of traditional enterprises, is gradually to the B2B transformation, more to WEB way to deliver information and realize the online order, but the logistics mode and the previous no change, is still the supplier to the enterprise, the enterprise and then to the agent or the final customer. General Motors, for example, General Motors established a B2B e-commerce site - TradeXchange, plans between the end of this year, will be as high as 87 billion U.S. dollars a year procurement business entirely through the site. And this site not only meets GM's own procurement business, its more than 30,000 suppliers will also trade on this system, it will be through the TradeXchange e-commerce transactions to collect 1% of the commission, experts estimate that this will bring GM 5 billion dollars a year in revenue.

But as I warned in the first part of my example, the Internet and e-commerce should not be viewed as just a tool, but may also revolutionize marketing and management models, as the second realization of B2B suggests. This type of B2B company is not for their own business procurement or sales services, it may not produce any products, but it is through the establishment of a unified WEB-based information platform for a certain type or several types of enterprise purchasing or sales matchmaking, the logistics of this time and the last type of way is very different, it is directly from the supplier to the agent. For example, the first part of our previous example of that company B is a little similar to this company. It builds a bridge between sellers and buyers of computer parts and components, so it does not have a factory, or even a warehouse, but only through the information system to deploy, organize the supply and sales, and provide some value-added services, so as to obtain commissions or value-added services income. Of course, the key to the success of this type of company is that it should be able to gather this type of product sellers and buyers, through the characteristics of the service, so that they are willing to trade on your platform, but whether they want to, which is also talked about in the B2C is to choose a department store or a specialty store approach is somewhat similar.

2, the essence of e-commerce

Despite the fact that today, whether B2C or B2B, whether it is a traditional enterprise e or the birth of a new Internet business, are no longer anything new; the stock market requires that we tell the story or model, there is almost no gap in the imagination of the people all over the space, but to be able to say we have entered the century or society. But can we say that we have entered the century or society of e-commerce? Can not! Because even today we have a lot of e-commerce under the banner of the company, and even still do not understand all the e-commerce and the real meaning, of course, not to talk about the complete realization of them.

Here's a quiz: I run a website that sells flowers, and users can order flowers online, and I'll deliver them to their homes, so I'm an e-commerce business, right? If right! Then you might be in the scenario of the following video.

Well, after a few laughs, our previous proposition should have come to a conclusion. Obviously, a business with just a Web site cannot achieve e-commerce to increase efficiency, reduce costs, and improve customer satisfaction. There is no certain management foundation, including a defined organizational structure, workflow, work norms of the enterprise is not an e-commerce business; management but no information technology is not an e-commerce business. Only the website without management and information technology of the so-called e-commerce, is the highway connected to a small alley, there is no traffic jam.

In fact, it is not only in today's emerging Internet companies will see the front of the scene, it is the same degree of information technology is not high in our traditional business challenges. And such a challenge for a long time in the planned economy operating under the atmosphere of Chinese enterprises and particularly serious, because for a long time we are in accordance with the beginning of the year above the plan issued by the purchase, according to the plan to produce, look at the inventory sales of such a reverse business model, the lack of changes in accordance with the market, high-speed response to the flexibility of the mechanism and awareness, and therefore how to make the traditional enterprise e-commerce is also a serious topic.

What kind of enterprise can be regarded as an e-commerce enterprise? That of course, the use of the Internet, WEB site to achieve business is the basic features, but more central is the enterprise must operate in a perfect management ideas and workflow based on the "enterprise resource planning system (ERP)" above.

This resource planning system is the enterprise to carry out business on the basis of the platform, the user's orders after the company's business department filtered into the system, the system's main input, the system's other inputs are the actual situation of the current inventory (including materials, finished goods, the number of products in the product and geographic distribution), transportation resources and cycle time, purchasing resources and cycle time, production capacity and cycle time, etc., the system runs once at a fixed time (the system will run at a fixed time). The system runs once at a fixed time (Lenovo is every two hours), and the outputs from each run are: a user order confirmation form, a procurement plan, a production plan, and a distribution plan. Which the user order confirmation results will be directly feedback to each order user, tell him whether the supply, can supply the exact time, supply location, mode of transportation and other information, this information is based on the system developed by the enterprise clear supply priority model and certain boundary conditions calculated. For example, the previous example of buying flowers, if the warehouse has, then the supply time is only the time required for distribution (according to different geographical locations); if not, then add the procurement cycle; if an order contains a variety of products, then the supply time to choose the last time of the set, etc., these are automatically controlled by the system, reducing the difficulty of human control and variability, user satisfaction User satisfaction will certainly improve. And all of the enterprise procurement, production, distribution system is not mechanical, passive work, out of stock and then go to buy, look at the finished product library to produce, ready to go (only) to send, but completely in accordance with the system plan directives, according to the information to act in an organized manner. Completely in most cases to avoid the scene in the video, which is not only a guarantee of user satisfaction, but also a guarantee of the enterprise to reduce costs and improve profitability. The system runs once at a certain time, not once after each order comes in, the reason is also to make the enterprise resources can be relatively more optimized use. Purchasing, for example, may be more economical in bulk and more efficient in terms of human work, as is production, and there is also the question of computerization of the production process itself. Here's another video, which is basically a recording of Lenovo itself, reflecting how a real e-commerce business operates.

After watching this video, we can summarize: the essence of the real e-commerce is in fact the process of informatization of all aspects of business operations, and is not simply to informatize the past workflow and norms, but rather, according to the new means and conditions to face the old process of change.

The following is based on Lenovo's experience we summarized, China's larger enterprises how e-commerce can go a model, of course, can not be copied, but I hope to give you some inspiration. As an important part of their own business, Lenovo will also be in the future for the specific circumstances of different enterprises, to provide us with targeted consulting, advice, and even the implementation of the program.