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The concept and development of e-commerce

Source: Shangpin China | Type: website encyclopedia | Time: June 16, 2014
E-Commerce, as a concept, began to be proposed, spread and promoted around 1996, while e-commerce practice began in the United States as early as the early 1980s. For example, Wal Mart, a famous circulation enterprise in the United States, has adopted the Electronic Contract System (EOS) since 1980 to realize electronic ordering between commodity distribution centers, suppliers and shopping malls. After entering the 1990s, the rapid development of the Internet has made great changes in the network platform of e-commerce, and the network cost has been greatly reduced, Beijing website construction More convenient, the development of e-commerce has been greatly accelerated. The Internet also enables individual consumers to enter the network environment, so consumer oriented e-commerce has sprung up.

At present, there are the following basic e-commerce and e-business information system applications:
  • Marketing publicity of company image, products and services. This is the most common form of e-commerce application, which uses the Internet to "inform" customers about products, services and company strategies. Most enterprises have already implemented e-commerce at this level.
  • Business to customer (B2C) e-commerce mode. This mode provides a new web-based sales channel for traditional products and services. You can directly query goods, order goods and pay for goods through the Internet. Alibaba is a typical representative of B2C e-commerce in China. Its homepage is shown in Figure 2-7:
Alibaba homepage
In addition, Amazon's book sales are also popular around the world, as shown in Figure 2-8. A similar domestic website is Dangdang, as shown in Figure 2-9.
Amazon
Customer to customer (C2C) e-commerce model. C2C is an individual to individual online transaction. At present, C2C enterprises use the operation mode of building an auction platform for buyers and sellers, charging transaction fees in proportion, or providing a platform to facilitate individuals to open stores on it, charging fees in the form of membership.

At present, a typical representative of the C2C model is Taobao. As shown in Figure 2-10, eBay is the most famous overseas. EBay can develop so fast in the United States. In addition to PayPal, the payment tool, eBay is also inseparable from the online credit system in the United States. In the C2C transactions in the United States, PayPal plays the role of both the acquirer and the bank. This dual role enables PayPal to gather a large amount of funds from buyers and sellers, and grasp the transaction and credit status of buyers and sellers. The "Alipay (as shown in Figure 2-11)", "Ampay" and other payment tools launched by China's e-commerce websites also provide the necessary integrity guarantee for Internet payment.

Business to business (B2B) e-commerce represents the real future. This is the most complex e-commerce model, and will eventually evolve to electronic business - making almost all businesses between and within enterprises paperless and digital.

A typical example of B2B e-commerce is e-procurement. Enterprises spend tens of millions or even hundreds of millions of dollars on purchasing raw materials, equipment and supplies every year. E-procurement enables purchasers to browse e-stores and commodity catalogs, send purchase requests and orders, forward purchase requests and orders to obtain purchase licenses, order goods and services and pay for them all of which can avoid traditional time-consuming and costly paperwork and bureaucracy.

E-commerce has greatly impacted the existing traditional business model, enabling any two individuals or enterprises in the world who can access the Internet to quickly combine and form orders. The traditional model of dividing agents by regions is crashing down in the face of e-commerce. In addition to some large consumer goods such as cars and real estate, the proportion of online direct transactions is gradually rising. Even for cars and real estate, online consultation has become the main means for customers to understand products. Internet e-commerce is rapidly changing people's work and life in an unimaginable way.
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