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Types of E-Commerce Essay

Innovations affecting consumers, include credit and debit cards, ATMs, stored value cards and e-banking. Innovations enabling online commerce are e-cash, e-check, smart cards and encrypted credit cards. These payment methods are not too popular in developing countries. They are employed by a few large companies in specific secured channels on a transaction basis. Innovations affecting companies pertain to payment mechanisms that banks provide their clients, including inter-bank transfers through automated clearing houses allowing payment by direct deposit. E-tailing

E-tailing (or electronic retailing) is the selling of retail goods on the internet. It is the most common form of business to consumer (B2C) transaction. Online publishing On line publishing is the process of using computer and specific types of software to combine text and graphics to produce web based documents such as news letters, on line magazines and databases, brochures and other promotional materials, books and the like with the internet as a medium for publication. Virtual mall Company offers a wide range of differing manufactured products on a web site. One of the most typical examples is AMAZON.

COM Information disseminator Company offers up-to-date source of information of a specific nature. An example would be an online newspaper from a specific city

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or covering a specific types of news. Sales facilitator Company connects buyers with sellers on a web site that attracts customers with the promise of finding an inexpensive source for the product or service they are looking for while selling access linkage to the seller’s site. Advertiser Company makes money by selling advertising space on their web site. The advertiser then lures target audience by giving them some free service or information.

Operational Benefits: Better availability of service: Conveniently allows customers to shop in their homes or anywhere online. Cost reduction in information processing Reduces costs of processing and retrieving order and customer information. Better timeliness of service. Online operations can offer customers 24 hours service for purchasing goods and services. Better access to customer markets Online operations go everywhere in the world. Opening new and larger markets than brick and mortar operations. 5. Initial cost of operations less expensive The capital investment in e-commerce operations is considerably less.

Operating costs of operations less expensive. The ongoing expenditure of running a virtual or e-commerce operations is less expensive due to less people, less physical equipment, less paper work etc. Better purchasing prices from suppliers: The nature of the competitive environment in e-commerce allows for more pricing information and results in lowering costs to producers. Improved product development The ability to be online with research and development people from around the world can help to reduce the time-to market for new products and the cost of their development.

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