✅ 1.

Overview of E-Commerce:
E-Commerce (Electronic Commerce) refers to buying and selling of goods/services, and the
transmission of funds/data over an electronic network, primarily the Internet.

Types of E-Commerce:

●​ B2B (Business to Business)​

●​ B2C (Business to Consumer)​

●​ C2C (Consumer to Consumer)​

●​ C2B (Consumer to Business)​

●​ B2G (Business to Government)​

✅ 2. Definitions
●​ E-Commerce: The process of conducting business transactions electronically over the
internet.​

●​ E-Business: A broader term that includes e-commerce and also covers internal
processes like production, inventory management, product development, etc.​

✅ 3. Advantages of E-Commerce
●​ 🌐 Global Reach: Reach customers worldwide.​
●​ ⏱️ 24/7 Availability: Open all the time.​
●​ 💰 Reduced Costs: Less need for physical infrastructure.​
●​ 🛒 Convenience: Easier for customers to browse and shop.​
●​ 📊 Personalization: Offers can be tailored using user data.​
●​ 📦 Efficient Inventory Management: Automated stock tracking.​
✅ 4. Disadvantages of E-Commerce
 ●​ 🔐 Security Issues: Risk of hacking, data breaches.​
●​ 📦 Product Delivery Delay: Takes time to ship goods.​
●​ 🚫 Lack of Personal Touch: No physical interaction.​
●​ ❌ Internet Dependency: Cannot function without it.​
●​ 🔄 Return/Refund Complexities: Complicated processes.​
✅ 5. Threats of E-Commerce
●​ Phishing: Fake websites/emails to steal data.​

●​ Hacking: Unauthorized access to systems.​

●​ Data Theft: Personal/financial information being stolen.​

●​ Malware: Viruses, trojans affecting operations.​

●​ Denial of Service (DoS) Attacks: Website crashing due to traffic overload.

●​ Privacy and protection of customer’s data.
●​ Reliability of trading partners.
●​ Technology Risks​

✅ 6. Managerial Perspective
●​ Strategy Formulation: Managers must align e-commerce with business goals.​

●​ Technology Integration: Choosing the right platforms/tools.​

●​ Customer Experience Management: Ensuring smooth navigation and support.​

●​ Data-Driven Decisions: Using analytics to guide sales/marketing.​

●​ Risk Management: Implementing security policies and backup plans.

●​ Poor customer service,mismanagement of inventory.
●​ Logistic Issues.
●​ Legal Compliance and regulations and reputational risks.​

✅ 7. Rules & Regulations For Controlling E-Commerce

 ●​ IT Act, 2000 (India): Legal recognition for electronic transactions.​

●​ Consumer Protection (E-Commerce) Rules 2020:​

○​ Disclosures of seller info​

○​ No unfair trade practices​

○​ Grievance redressal mechanisms​

●​ GST on E-Commerce: E-commerce companies must comply with tax collection.​

✅ 8. Cyber Law (In Context of E-Commerce)

Cyber Law refers to laws governing online activities including:

●​ Data Protection​

●​ Online Contracts​

●​ Digital Signatures: Legally valid e-authentication.​

●​ Cybercrimes: Hacking, identity theft, cyberstalking.​

●​ Jurisdiction Issues: Cross-border e-commerce conflicts.

✅ 1. Relationship Between E-Commerce & Networking
●​ E-Commerce relies heavily on networking for communication, transaction, and data
exchange.​

●​ The Internet forms the backbone for connecting buyers and sellers.​

●​ Networking technologies ensure secure, fast, and reliable exchange of information and
payments.​

●​ Cloud networking, client-server models, and data networks support online

transactions and services.​

✅ 2. Different Types of Networking Commerce

1.​ LAN (Local Area Network) – Internal communications (e.g., within a company).​

2.​ WAN (Wide Area Network) – Connects businesses across cities/countries.​

3.​ MAN (Metropolitan Area Network) – City-wide network coverage.​

4.​ VPN (Virtual Private Network) – Secure connection over public internet.​

5.​ PAN (Personal Area Network) – Devices like mobile phones, tablets within short range.​

✅ 3. Internet, Intranet, & Extranet

Term Definition Use in E-Commerce

Internet Global network for public access Customer transactions, marketing, online
stores

Intranet Private internal network Employee communication, internal apps

Extranet Extended intranet for external B2B interactions with vendors/suppliers

parties

✅ 4. EDI Systems (Electronic Data Interchange)

 ●​ Definition: Automated exchange of business documents (e.g., invoices, orders)
between systems.​

●​ Used for: B2B transactions, reducing paperwork.​

●​ Benefits:​

○​ Faster processing​

○​ Fewer errors​

○​ Cost-effective​

●​ Standards: ANSI X12, EDIFACT​

✅ 5. Wireless Application Protocol (WAP)

●​ Definition: A protocol that enables mobile devices to access web services.​

●​ Developed for mobile web access before smartphones advanced.​

●​ Now replaced mostly by HTML5-based responsive designs.​

✅ 6. Handheld Devices
●​ Include: Smartphones, Tablets, PDAs.​

●​ Enable on-the-go e-commerce.​

●​ Used in mobile banking, online shopping, digital payments, and location-based

services.​

✅ 7. Mobility & Commerce (M-Commerce)

●​ M-Commerce = Mobile Commerce.​

●​ Involves buying/selling via mobile devices.​

●​ Examples:​
 ○​ Mobile wallets (Paytm, GPay)​

○​ Mobile ticketing, food delivery apps, mobile banking​

●​ Benefits:​

○​ Anytime-anywhere transactions​

○​ Personalized user experience​

○​ Push notifications for marketing​

✅ 8. Mobile Computing
●​ Mobile computing means using portable devices (like smartphones, tablets, laptops) to
access data and services anytime, anywhere through wireless networks (Wi-Fi, mobile
data).
●​ Features:​

○​ Portability​

○​ Real-time access​

○​ GPS/location tracking
○​ Push notification for tracking.​

●​ Supports E-Commerce through instant orders, tracking, and customer interaction.​

✅ 9. Wireless Web
●​ Accessing the internet using wireless technologies like wifi,mobile data..​

●​ Based on Wi-Fi, 4G/5G, Bluetooth, etc.​

●​ Enables ubiquitous commerce (U-Commerce).​

✅ 10. Web Security

●​ Concerns:​
 ○​ Data theft​

○​ Unauthorized access​

○​ Payment fraud​

●​ Solutions:​

○​ SSL Certificates (HTTPS)​

○​ Firewalls​

○​ Two-Factor Authentication​

○​ Secure payment gateways​

○​ Encryption (e.g., RSA, AES)

✅ 11. Infrastructure Requirements for E-Commerce

Component Description

Hardware Servers, routers, mobile devices, payment machines

Software Web apps, databases, OS, e-commerce platforms (e.g., Shopify,

Magento)

Network High-speed Internet, VPN, LAN/WAN

Security Firewalls, antivirus, SSL, intrusion detection systems

Infrastructure

Human Resources Developers, cybersecurity experts, analysts

Payment Systems Integration with online payment services

Backup & Recovery Cloud storage, disaster recovery systems

📌 Summary Table
Topic Key Points

E-Com & Networking Depend on each other; Internet is

backbone
 Networking Types LAN, WAN, VPN, MAN, PAN

Internet/Intranet/Extranet Public, private internal, private external

EDI Automated document exchange in B2B

WAP Wireless protocol for mobile web access

Handheld Devices Smartphones, tablets for M-commerce

M-Commerce Transactions via mobile devices

Mobile Computing Wireless access, real-time commerce

Wireless Web Wi-Fi, 4G/5G for online access

Web Security Encryption, firewalls, authentication

Infrastructure Hardware, software, network, security, HR

✅ 1. Introduction to E-Commerce Business Models

A business model defines how a company creates, delivers, and captures value through its
online platform. In E-Commerce, models vary by transaction type and transaction parties.

✅ 2. Models Based on Transaction Type

Type Description Example

Direct Selling Selling products/services directly to Amazon, Flipkart

consumers through websites or apps.

Online Platform connects buyers and sellers. eBay, OLX, Meesho

Marketplace Platform earns through commissions.

Subscription-Ba Customers pay a recurring fee for Netflix, Spotify

sed products/services.

Freemium Model Basic services are free, advanced features Canva, Dropbox
are paid.

Advertising-Bas Revenue is earned by displaying ads to Google, Facebook

ed users.

Affiliate Earn commissions by promoting other Bloggers, influencers

Marketing brands’ products. using Amazon Affiliate
Crowdfunding Collecting small amounts of money from a Kickstarter, GoFundMe
large group to fund an idea/project.

✅ 3. Models Based on Transaction Party

A. B2B – Business to Business

●​ Definition: One business sells products/services to another.​

●​ Example: Alibaba, IndiaMART​

●​ Use Cases: Raw materials, wholesale, equipment.​

B. B2C – Business to Consumer

●​ Definition: Businesses sell directly to end-users.​

●​ Example: Amazon, Myntra​

●​ Use Cases: Retail shopping, food delivery, streaming.​

C. C2B – Consumer to Business

●​ Definition: Individuals offer products/services to businesses.​

●​ Example: Freelancer selling services to a company​

●​ Use Cases: Freelancing, crowdsourced projects, reviews.​

D. C2C – Consumer to Consumer

●​ Definition: Consumers trade goods/services with each other.​

●​ Example: OLX, Quikr, Facebook Marketplace​

●​ Use Cases: Second-hand sales, rentals.​

E. E-Governance (G2C, G2B, etc.)

 ●​ Definition: Use of internet and tech by the government to provide services to the public
or businesses.​

●​ Types:​

○​ G2C (Government to Citizen): Aadhar, Income Tax filing, Passport Seva​

○​ G2B (Government to Business): GST portal, licenses​

○​ G2G (Government to Government): Inter-department data sharing​

●​ Benefits: Transparency, faster services, reduced corruption​

📌 Summary Table
Model Key Features Examples

Direct Selling Own website/app, full control Apple.com

Marketplace Connects multiple Flipkart, Amazon

sellers/buyers

Subscription Recurring payment model Hotstar, Scribd

Freemium Free + paid upgrade Canva

Ad-Based Ads for revenue YouTube

Affiliate Commission from referrals Amazon Affiliate

Crowdfunding Funds from the public Kickstarter

Party-Based Model Description Examples

B2B Business to Business IndiaMART

B2C Business to Consumer Amazon

C2B Consumer to Business Upwork

C2C Consumer to Consumer OLX

E-Governance Govt. to citizen/business GST portal, DigiLocker

✅ 1. Convergence
🔹 Definition:
Convergence refers to the merging of previously separate technologies into a unified system or
platform, enabling seamless communication, data access, and functionality.

🔹 Technological Advances in Convergence – Types:

1.​ Device Convergence: Combining functions of phone, camera, GPS, etc. into
smartphones.​

2.​ Network Convergence: Integration of data, voice, and video over a single network.​

3.​ Application Convergence: Apps offering multiple services (e.g., WhatsApp for text,
voice, video).​

4.​ Media Convergence: Integration of print, radio, TV, and internet into digital formats.​

🔹 Implications of Convergence:
●​ 📲 Universal access to services via smart devices.​

●​ 🔄 Blurring lines between industries (e.g., telecom + media).​

●​ 🌐 Rapid innovation in E-Commerce platforms.​

🔹 Convergence & Electronic Commerce:

●​ Enables omnichannel selling (website, app, social media).​

●​ Boosts user experience through multimedia, interactivity.​

●​ Promotes mobile commerce, video shopping, AR/VR integration.​

✅ 2. Collaborative Computing
🔹 Definition:
Use of technology that enables individuals or teams to work together remotely or in real time on
shared tasks or projects.

🔹 Applications in E-Commerce:
 ●​ Collaborative Product Development: Teams can design and give feedback instantly.
●​ CAD-based Contracts: Smart contracts linked with design tools for product
customization.
●​ Simultaneous Collaboration: Multiple users can edit the same document or model at
once.
●​ Security Measures:
○​ Access control and authentication
○​ End-to-end encryption
○​ Audit trails and logs

🔹 Tools:
●​ Google Workspace, Microsoft Teams, Slack, Zoom​

●​ Cloud platforms like AWS, Azure, Google Cloud​

✅ 3. Content Management
🔹 What is Content?
Content includes text, images, audio, video, documents, code, etc., used to communicate
information to users.

🔹 Content Management:
●​ Definition: The process of creating, managing, storing, and delivering content across
digital platforms.
●​ Authoring Tools: WordPress, Drupal, Joomla, Adobe Experience Manager.
●​ Content Repositories: Centralized storage for digital content.
●​ Content Providers: Companies or individuals creating/distributing content (e.g., Netflix,
bloggers).
●​ Content Partnerships: Collaboration between platforms and creators for shared content
access.

🔹 Web Traffic & Traffic Management:

●​ Tools: Google Analytics, SEMrush
●​ Strategies: SEO, load balancing, caching, CDNs
●​ Goals: Maximize uptime, reduce latency, optimize delivery

🔹 Content Marketing:
●​ Promoting products through valuable, relevant content.
●​ Forms: Blogs, videos, infographics, social media.
●​ Focus: Engagement, lead generation, customer retention.
✅ 4. Call Center
🔹 Definition:
A Call Center is a centralized department that handles inbound and outbound calls from
customers regarding support, inquiries, or sales.

🔹 Need for Call Centers:

●​ Provide customer support​

●​ Improve customer satisfaction​

●​ Generate sales/leads​

●​ Handle grievances & complaints​

🔹 Tasks Handled:
●​ Technical support​

●​ Order taking​

●​ Telemarketing​

●​ Feedback collection​

●​ Appointment scheduling​

🔹 Mode of Operation:
●​ Inbound: Receiving customer calls (support/helpdesk)​

●​ Outbound: Initiating calls to customers (sales, surveys)​

●​ Blended: Both inbound and outbound​

🔹 Equipment Used:
●​ Telephony systems
●​ CRM software
●​ Headsets and desktops
●​ Automatic Call Distributor (ACD)
 ●​ Interactive Voice Response (IVR) systems

🔹 Strengths:
●​ 24x7 service
●​ Cost-effective support
●​ Centralized query handling

🔹 Weaknesses:
●​ Language barriers
●​ Scripted responses may lack personalization
●​ Downtime or tech issues affect service

🔹 Customer Premises Equipment (CPE):

●​ Devices at the customer's site (e.g., modem, router, telephone) used to access services
from the provider.(Device at customer’s location for accessing the internet)

📌 Summary Table
4 C's Key Elements

Convergence Merging of tech – devices, media, networks

Collaborative Computing Real-time teamwork, CAD contracts, security

Content Management Content tools, marketing, web traffic optimization

Call Center Customer support, operations, equipment, CPE

✅ 1. What is Supply Chain Management (SCM)?

●​ Definition: SCM involves managing the flow of goods, information, and finances across
the supply chain — from supplier to manufacturer to wholesaler to retailer to customer.​

●​ In E-Commerce, SCM ensures timely delivery, inventory management, and

customer satisfaction using digital tools.

✅ 2. E-Logistics
●​ Definition: Electronic logistics refers to the digital management of logistics operations
like transportation, warehousing, and distribution.
 ●​ Components:​

○​ Real-time tracking (GPS)

○​ Route optimization
○​ Automated warehouse management
○​ Reverse logistics (returns)
●​ Examples: Delhivery, Ecom Express, Amazon Logistics

✅ 3. Supply Chain Portal

●​ Definition: A web-based platform that connects all participants in the supply chain to
collaborate, share data, and monitor progress.​

●​ Features:
○​ Order processing​

○​ Shipment tracking​

○​ Supplier communication​

○​ Demand forecasting​

●​ Benefits:
○​ Increases visibility​

○​ Improves coordination​

○​ Enables real-time decision-making​

✅ 4. Supply Chain Planning (SCP) Tools

●​ Used for: Planning activities related to demand forecasting, production, and inventory.​

●​ Examples of SCP Tools:​

○​ Demand Planning​

○​ Inventory Optimization​

○​ Procurement Planning​

○​ Production Scheduling​
 ●​ Popular Tools: SAP APO, Oracle SCM Cloud, JDA, Kinaxis​

●​ Benefits:​

○​ Reduces stock-outs​

○​ Improves delivery timelines​

○​ Aligns supply with customer demand​

✅ 5. Supply Chain Execution (SCE)

●​ Definition: Refers to the implementation of supply chain plans through logistics,
warehousing, and order fulfillment.​

●​ Focus is on carrying out tasks efficiently after planning is done.​

✅ 6. SCE – Framework
Layer Description

Order Management Order entry, validation, and tracking

Warehouse Management Inventory control, picking/packing, stock updates

Transportation Management Shipment scheduling, tracking, fleet

management

Returns Management Handling product returns and refunds

Customer Service Real-time status updates, issue resolution

●​ ​
These components work together to ensure timely and accurate delivery of goods and
services.​

✅ 7. Internet’s Effect on Supply Chain Power

●​ Increased Visibility: Real-time tracking and updates​

●​ Disintermediation: Eliminates middlemen (direct-to-consumer models)​

 ●​ Empowered Customers: Customers can track orders, return easily, and compare prices​

●​ Improved Coordination: Suppliers and vendors can collaborate on a shared platform​

●​ Agility: Faster response to market changes and disruptions​

📌 Summary Table
Topic Description

E-Logistics Digital logistics for transport, warehousing, tracking

Supply Chain Portal Centralized platform for collaboration and monitoring

SCP Tools Planning tools for demand, inventory, procurement

SCE Execution of supply chain plans via logistics, warehouses

SCE Framework Includes order, warehouse, transport, return, and service

management

Internet Impact Enhances visibility, removes middlemen, enables real-time decisions

✅ 1. What is E–Payment?
●​ E–Payment (Electronic Payment) refers to the digital transfer of money for buying
goods or services over the internet or electronic networks.​

✅ 2. Payment Methods
🔹 A. Payment Through Card System
●​ Includes Debit Cards, Credit Cards, Prepaid Cards​

●​ Card info is processed through secure gateways​

●​ Requires:​

○​ Card Number​

○​ CVV​
 ○​ OTP or PIN​

●​ Example: VISA, MasterCard, RuPay​

🔹 B. E–Cheque (Electronic Cheque)

●​ Digital version of a traditional cheque​

●​ Customer issues an e-cheque to seller​

●​ Processed by a clearinghouse​

●​ Requires:​

○​ Authentication​

○​ Digital signature​

○​ Bank authorization​

●​ Mainly used in B2B transactions​

🔹 C. E–Cash
●​ Also called digital cash or e-wallet balance​

●​ Stored in digital wallets and used like real cash​

●​ Can be anonymous or traceable​

●​ Examples: Paytm wallet, PhonePe wallet, Google Pay balance​

✅ 3. E–Payment Threats
Threat Description

Phishing Fake emails/websites stealing card details

Skimming Copying card data using illegal devices

Data Breaches Hacking into payment systems

Man-in-the-Middle Attacks Intercepting communication between user and
server

Unauthorized Access Accessing accounts without permission

✅ 4. E–Payment Protections
Protection Description

SSL Encryption Secures data during transmission

Two-Factor Authentication (2FA) Requires OTP or biometric with password

Tokenization Replaces sensitive info with tokens

Firewall & Antivirus Prevent unauthorized intrusions

PCI DSS Compliance Payment systems follow global security

standards

📌 Summary Table
Mode Key Feature Example

Card Bank-linked card payments Visa,

System Mastercard

E–Cheque Digital cheque with signature B2B portals

E–Cash Wallet-based payments Paytm, GPay

Threat Protection

Phishing Awareness, 2FA

Hacking SSL, Firewalls

Skimming Chip-based cards

Unauthorized Strong passwords,

Access OTPs

✅ 1. What is E–Marketing?
 ●​ E–Marketing (Electronic Marketing) refers to the use of digital technologies and the
internet to promote products or services.​

●​ It includes strategies like email marketing, SEO, social media, online ads, etc.​

●​ Also known as Digital Marketing or Online Marketing.​

✅ 2. Components of E–Marketing
🔹 A. Home-Shopping
●​ Also called Online Shopping or E–Retailing​

●​ Customers browse, select, and purchase products from home​

●​ Platforms: Amazon, Flipkart, Myntra, etc.​

●​ Benefits:​

○​ 24x7 access​

○​ Home delivery​

○​ Product reviews​

●​ Challenges:​

○​ Lack of touch/feel​

○​ Delivery delays​

○​ Online fraud​

🔹 B. E–Marketing Strategies
●​ Email Marketing – Sending promotional content via email (e.g., offers, newsletters)​

●​ Search Engine Optimization (SEO) – Improving website visibility on search engines​

●​ Social Media Marketing (SMM) – Using platforms like Instagram, Facebook to advertise​

●​ Pay-Per-Click (PPC) – Paying for each click on ads (e.g., Google Ads)​
 ●​ Affiliate Marketing – Earning commission by promoting others’ products​

🔹 C. Tele–Marketing
●​ Definition: Marketing products/services by making phone calls to customers.​

●​ Can be inbound (customer calls the company) or outbound (company calls customers).​

●​ Applications:​

○​ Selling insurance, loans, subscriptions​

○​ Customer follow-ups and surveys​

●​ Advantages:​

○​ Direct contact with customer​

○​ Instant feedback​

●​ Disadvantages:​

○​ Seen as intrusive or spammy​

○​ Strict regulations in many countries​

📌 Summary Table
Type Description Example

Home-Shoppin Online purchase of goods/services Amazon, Flipkart

g

E–Marketing Digital promotion using internet tools SEO, email ads

Tele–Marketing Phone-based marketing Insurance calls

✅ 1. What is EDI?
●​ Definition: EDI (Electronic Data Interchange) is the computer-to-computer exchange
of structured business documents (like invoices, purchase orders) in a standard
 electronic format between trading partners.​

●​ Replaces traditional paper-based communication.​

✅ 2. Concepts of EDI
●​ Standardized Format: Ensures both sender and receiver understand the data.​

●​ Direct Communication: No need for manual data entry.​

●​ Automation: Enables automatic order processing, invoicing, and shipping.​

✅ 3. Applications of EDI
Sector Application

Retail Purchase orders, invoices between suppliers and

stores

Healthcare Insurance claims, patient records

Banking Fund transfers, account statements

Logistics Shipping notices, freight bills

Manufacturing Order confirmations, materials planning

✅ 4. Benefits of EDI
Benefit Description

Speed Instant document exchange

Accuracy Reduces manual errors

Cost Savings No printing, postage, or paper

Security Encrypted and traceable

Improved Builds trust among partners through

Relationships consistency
✅ 5.Steps in an EDI system:
1.​ Data is generated by business software (e.g., ERP).​

2.​ Data is translated into standard EDI format.​

3.​ Transmitted via internet/EDI network (VAN).​

4.​ Received and translated by partner’s EDI system.​

5.​ Integrated into the partner’s system.​

✅ 6. EDI Protocols (Standards)

🔹 A. UN/EDIFACT (United Nations/Electronic Data Interchange for Administration,
Commerce and Transport)

●​ International standard​

●​ Used mainly in Europe and globally​

🔹 B. ANSI X.12
●​ Developed by American National Standards Institute​

●​ Widely used in North America​

●​ Format for transactions like invoices, purchase orders, etc.​

🔹 C. GTDI (Guidelines for Trade Data Interchange)

●​ Older format, now mostly replaced by EDIFACT and ANSI X.12​

✅ 7. Data Encryption in EDI

Used to protect data while transmitting over networks.

🔹 A. DES (Data Encryption Standard)

●​ Symmetric key encryption (same key for encrypt/decrypt)​
 ●​ Faster, but less secure than modern standards​

🔹 B. RSA (Rivest-Shamir-Adleman)
●​ Asymmetric encryption (public/private key pair)​

●​ More secure for EDI over internet​

📌 Summary Table
Component Details

EDI Definition Standardized electronic exchange of business

documents

Applications Retail, banking, healthcare, logistics

Benefits Speed, accuracy, cost savings, security

Protocols UN/EDIFACT (global), ANSI X.12 (USA), GTDI (older)

Encryption DES (symmetric), RSA (asymmetric)

Module 9: Risks of E-Commerce

✅ 1. Overview of Risks in E-Commerce
E-Commerce Risk = Possibility of loss, fraud, or disruption due to vulnerabilities in digital
transactions.

🔹 Common Risks:
●​ Financial Fraud (fake payments, stolen cards)​

●​ Data Theft (customer info, credit card details)​

●​ Phishing & Spoofing​

●​ Denial of Service (DoS) attacks​

●​ Malware, Viruses, Hacking​

●​ Unauthorized Access
✅ 2. Security for E-Commerce
E-Commerce Security Goals:

Goal Description

Confidentiality Prevent unauthorized access

Integrity Ensure data is not altered

Availability Ensure systems are online and responsive

Authentication Verify identity of user/system

Non-repudiation Prevent denial of a transaction by the

sender

✅ 3. Security Standards
●​ SSL/TLS (Secure Sockets Layer / Transport Layer Security): Encrypts
communication​

●​ SET (Secure Electronic Transaction): Developed by VISA & MasterCard for secure
card payments​

●​ HTTPS: Secure version of HTTP​

●​ PCI DSS (Payment Card Industry Data Security Standard): Global standard for
handling card payments​

✅ 4. Firewalls
●​ Definition: Hardware or software that monitors and filters incoming and outgoing
traffic.​

●​ Purpose: Prevent unauthorized access to/from private networks​

●​ Types:​

○​ Packet Filtering Firewall​

○​ Proxy Firewall​
 ○​ Stateful Inspection Firewall​

✅ 5. Cryptography
●​ Definition: Method of securing data by converting it into unreadable format.​

●​ Types:​

○​ Symmetric Key (Same key for encryption/decryption) – e.g., DES, AES​

○​ Asymmetric Key (Different public/private keys) – e.g., RSA​

✅ 6. Key Management
●​ Definition: Handling cryptographic keys (creation, storage, exchange, destruction)​

●​ Ensures keys are securely generated, stored, and distributed​

●​ Essential in large-scale e-commerce systems​

✅ 7. Password Systems
●​ Strong Passwords: Mix of letters, numbers, symbols​

●​ Multi-Factor Authentication (MFA): Password + OTP/Biometric​

●​ Password Hashing: Encrypting stored passwords using algorithms (e.g., SHA-256)​

●​ Passwords must be regularly updated & securely stored​

✅ 8. Digital Certificates
●​ Definition: Electronic documents used to verify the identity of websites or users.​

●​ Issued by Certificate Authorities (CA) like VeriSign, GoDaddy​

●​ Used in HTTPS, secure transactions​

●​ Contains: Public key, Certificate Authority, Expiry, Subject info​

✅ 9. Digital Signatures
●​ Definition: Encrypted hash of a message, created using sender’s private key​

●​ Ensures:​

○​ Authentication (who sent it)​

○​ Integrity (data not altered)​

○​ Non-repudiation (cannot deny sending it)​

●​ Common algorithms: RSA, DSA, ECDSA​

📌 Summary Table
Topic Key Points

Risks Phishing, fraud, DoS, data theft

Security Goals Confidentiality, Integrity, Availability

Standards SSL/TLS, HTTPS, PCI DSS, SET

Firewall Blocks unauthorized traffic

Cryptography Secures data (DES, RSA)

Key Management Manages encryption keys securely

Password Strong, multi-factor, hashed

Systems passwords

Digital Certificates Verifies identity of sites/users

Digital Signatures Authenticates and secures messages

✅ 1. What is ERP?
●​ ERP (Enterprise Resource Planning) is an integrated software system that manages
core business processes across departments in real-time.​

●​ It integrates functions like Finance, HR, Manufacturing, Sales, etc. into one system
with a shared database.​
✅ 2. Features of ERP
●​ Integrated system across departments​

●​ Real-time operations​

●​ Modular design (can use individual or all modules)​

●​ Common database​

●​ Customizable based on company needs​

●​ Automation of routine tasks​

●​ Improved data accuracy and decision-making​

✅ 3. Capabilities of ERP
Capability Description

Process Automation Streamlines and automates

workflows

Data Analysis Real-time analytics and reporting

Resource Efficient use of resources

Optimization

Customer Improves response and service

Relationship

Scalability Can grow with business

✅ 4. Overview of Commercial ERP Software

Software Known For

SAP Most widely used, best for large

enterprises

Oracle ERP Strong database and cloud integration

Microsoft Dynamics Good for mid-sized businesses

PeopleSoft (Oracle) HR and education industries

BAAN Manufacturing and logistics

JD Edwards (Oracle) Flexible, mid-size companies

✅ 5. Re-engineering Work Processes for IT

●​ Redesigning existing business workflows to use IT more efficiently.​

●​ Helps remove redundancies, reduce costs, and improve performance.​

✅ 6. Business Process Redesign (BPR)

●​ Definition: Re-thinking and redesigning business processes to achieve dramatic
improvements in performance (cost, quality, service).​

●​ ERP supports BPR by aligning software with restructured processes.​

✅ 7. Knowledge Engineering & Data Warehousing

●​ Knowledge Engineering: Gathering expert knowledge and building systems to replicate
decisions (e.g., Expert Systems in ERP)​

●​ Data Warehouse: Central repository to store and analyze historical data​

○​ Supports decision making, business intelligence​

✅ 8. ERP Business Modules

Module Function

Finance Accounting, budgeting, asset

management

Manufacturing Production planning, shop floor control

Human Resources (HR) Payroll, recruitment, performance

Plant Maintenance Equipment servicing, repair logs

Materials Management Purchasing, inventory control

Quality Management Product testing, compliance

Sales & Distribution Order management, shipping, invoicing

✅ 9. ERP Package
●​ An ERP package includes all necessary modules and tools provided by ERP vendors to
install and run an ERP system.​

●​ Example: SAP R/3, Oracle E-Business Suite​

✅ 10. ERP Market & Players

Vendor Details

SAP AG Global leader, supports all industries

Oracle Corporation Strong in finance, HR, databases

PeopleSoft Specialized in HR, now part of Oracle

BAAN Known for manufacturing ERP

JD Edwards Mid-market, merged with Oracle

Microsoft Popular among SMBs (small/medium

Dynamics businesses)

✅ 11. ERP Present & Future Trends

🔹 A. Enterprise Application Integration (EAI)
●​ Definition: Linking ERP with other software systems (CRM, SCM)​

●​ Enables seamless data exchange between applications​

🔹 B. ERP and E-Commerce

 ●​ ERP systems now integrate with online business platforms for orders, payments,
logistics​

🔹 C. ERP and the Internet

●​ ERP systems use web portals, mobile apps, and cloud infrastructure​

●​ Enables remote access, real-time updates, and collaboration​

🔹 D. Future Directions in ERP

●​ Cloud ERP: Lower cost, easier updates​

●​ AI & Machine Learning: Predictive analytics, smart automation​

●​ IoT Integration: Real-time equipment monitoring​

●​ Blockchain in ERP: Secured, verifiable supply chain and transactions​

●​ Low-Code/No-Code Customization​

📌 Summary Table
Section Highlights

ERP Definition Integrated real-time software for managing

business

Features Modular, real-time, shared database, customizable

Popular ERPs SAP, Oracle, JD Edwards, PeopleSoft

Business Finance, HR, Manufacturing, Sales, etc.

Modules

ORGANISER MAKAUT:

Trade Cycle in E-commerce (Electronic Commerce)

In e-commerce, the trade cycle refers to the process of buying and selling goods or services
online. It includes all steps from searching for a product to completing the transaction and
after-sales support.

Phases of the E-commerce Trade Cycle

1.​ Pre-Sale (Searching & Selection)​

○​ Customer browses products or services​

○​ Compares prices, reads reviews​

2.​ Negotiation​

○​ Selecting quantities, offers, or discounts​

○​ Can include dynamic pricing or coupons​

3.​ Order Placement & Payment​

○​ Customer places order​

○​ Makes payment via online methods (cards, UPI, wallets)​

4.​ Delivery / Fulfillment​

○​ Seller ships product​

○​ Delivery is tracked until received by the customer​

5.​ After-Sales Service​

○​ Customer support, return/refund process​

○​ Feedback and reviews​

Types of E-commerce Trade Cycles

●​ B2C (Business to Consumer): e.g., Amazon, Flipkart​

●​ B2B (Business to Business): e.g., Alibaba,intel selling chips to dell.​

 ●​ C2C (Consumer to Consumer): e.g., OLX, eBay​

●​ C2B (Consumer to Business): e.g., freelance services

Ubiquity in E-commerce

Ubiquity means a business and its products/services are accessible anytime, anywhere,
regardless of location or device. It highlights the ease and convenience for customers to
browse and shop online from any part of the world, at any time.

Key Features:

●​ 24/7 access​

●​ No location limits​

●​ High convenience​

●​ Global reach for businesses​

Example: Ordering food or shopping online from your phone anytime.

E-Shopping (Online Shopping)

Buying goods or services from businesses over the internet through websites or apps.

Advantages:

●​ Convenience – Shop 24/7 from anywhere​

●​ Wide Selection – More variety than physical stores​

●​ Price Comparison – Easily compare prices across brands​

●​ Product Info – Reviews, images, and details help decision-making​

●​ Time-Saving – No travel or long queues​

●​ Global Reach – Buy or sell across the world​

Disadvantages:
 ●​ Security Risks – Fraud, identity theft, data breaches​

●​ No Physical Check – Can’t touch or try products​

●​ Shipping Costs & Delays – Added cost, risk of damage​

●​ Returns – Can be slow or complicated​

●​ Technical Issues – Website errors or slow loading​

●​ High Competition – Tough for businesses to stand out

E-commerce vs E-business

●​ E-commerce is about buying and selling online (e.g., Amazon, Flipkart).​

●​ E-business includes all online business activities, not just selling — like marketing,
internal communication, and supply chain.

Key Differences:
Feature E-commerce E-business

Focus Online sales/transactions All online business operations

Scope Narrower (external focus) Broader (internal + external)

Example Online stores CRM, digital marketing, internal systems

Relation Part of e-business Covers e-commerce and more

✅ Functions in E-commerce (Simplified)

1.​ User Registration/Login​

○​ Allows customers to create accounts, save preferences, and track orders.​

2.​ Product Management​

○​ Adding, updating, and displaying product info like price, stock, and images.​
 3.​ Shopping Basket/Cart​

○​ Lets users add, remove, or modify items before checkout.​

4.​ Payment Processing​

○​ Secure online transactions via cards, wallets, UPI, etc.​

5.​ VAT/Tax Handling​

○​ Automatically calculates applicable taxes (like VAT or GST) at checkout.​

6.​ Shipping & Delivery​

○​ Manages shipping methods, costs, tracking, and delivery times.​

7.​ Order Management​

○​ Tracks order status from placement to fulfillment.​

8.​ Customer Support​

○​ Handles queries, complaints, returns, and refunds.​

9.​ Buying and Selling

○​ Core function: customers place orders and make payments online.

Cyber Crimes in E-commerce

1.​ Phishing – Fake emails/websites to steal user info​

2.​ Identity Theft – Using stolen personal data​

3.​ Credit Card Fraud – Unauthorized card use​

4.​ Hacking – Breaking into systems to steal data​

5.​ Data Breach – Leaking sensitive customer info​

6.​ Fake Websites – Scam stores that don't deliver​

 7.​ DoS Attacks – Crashing sites by overloading them​

8.​ Refund Fraud – Abusing return policies​

9.​ Account Takeover – Hijacking user accounts​

10.​Malware – Viruses used to steal data

​
Importance of Cyber Law in E-commerce :
●​ ✅ Ensures Trust & Security​
○​ Protects personal data and online transactions​

○​ Builds trust between buyers and sellers​

●​ ✅ Protects Intellectual Property​

○​ Prevents copying of digital content​

○​ Safeguards copyrights, trademarks, etc.​

●​ ✅ Prevents Cybercrime​
○​ Criminalizes hacking, scams, identity theft​

○​ Enables legal action against offenders​

●​ ✅ Ensures Data Privacy​

○​ Regulates data collection and usage​

○​ Enforces compliance with privacy laws​

●​ ✅ Supports Innovation & Growth​

○​ Creates a safe digital environment​

○​ Encourages e-commerce expansion

Measures to Prevent Cybercrime in E-Commerce:

🔒 For Businesses:
1.​ Use multi-factor authentication to protect admin and user logins.​

2.​ Keep firewalls, antivirus, and all systems updated regularly.​

3.​ Encrypt sensitive customer and payment data.​

4.​ Conduct periodic security audits and penetration testing.​

5.​ Use trusted payment gateways.​

6.​ Apply access control to restrict system and database access.​

7.​ Train employees to detect phishing, scams, and cyber threats.​

8.​ Maintain regular encrypted backups to restore in case of attack.​

9.​ Use digital certificates and secure checkout processes.​

10.​Stay compliant with cyber laws like the IT Act and GDPR.​

👥 For Customers:
1.​ Use strong, unique passwords and change them regularly.​

2.​ Enable two-factor authentication on shopping accounts.​

3.​ Shop only on trusted, secure websites (HTTPS and valid SSL).​

4.​ Avoid clicking suspicious links or pop-ups in emails or sites.​

5.​ Do not share personal or payment information on unsecured platforms.​

6.​ Use updated antivirus software on personal devices.​

7.​ Always log out after completing online transactions.​

8.​ Review bank statements regularly to catch unauthorized charges.​

9.​ Avoid public Wi-Fi when making online payments.​

10.​Report any suspicious activity or fraud immediately to the e-commerce site and bank.
Benefits of Electronic Web Commerce
1.​ 24/7 Availability – Customers can shop anytime, anywhere.​

2.​ Global Reach – Businesses can reach customers worldwide.​

3.​ Reduced Operational Costs – Saves on rent, staff, and utilities.​

4.​ Faster Buying Process – Customers can buy products instantly.​

5.​ Better Customer Insights – Tracks user behavior and preferences.​

6.​ Wider Product Range – Showcases more items without space limits.​

7.​ Improved Customer Service – Offers chatbots, FAQs, and instant support.​

8.​ Personalized Marketing – Sends targeted offers using customer data.​

9.​ Easy Price Comparison – Helps buyers find best deals quickly.​

10.​Automation of Transactions – Reduces manual errors and speeds up processing.

✅ Benefits of E-commerce in Marketing

●​ Wider Reach: Businesses can target customers globally, not just locally.​

●​ Cost-Effective: Digital marketing (SEO, social media, email) is cheaper than traditional
ads.​

●​ Personalization: Tracks user behavior to offer tailored ads and product suggestions.​

●​ 24/7 Promotion: Products and offers are visible to customers anytime.​

●​ Customer Insights: E-commerce platforms collect data to analyze customer

preferences and trends.​

✅ Benefits of E-commerce in Finance & Accounting

●​ Faster Transactions: Online payments are processed quickly and securely.​

●​ Automated Billing & Invoicing: Reduces manual errors and saves time.​
 ●​ Real-Time Tracking: Sales, expenses, and cash flow can be monitored live.​

●​ Better Financial Planning: Accurate data helps in budgeting and forecasting.​

●​ Reduced Operational Costs: Less need for physical infrastructure and paperwork.​

How E-commerce Helps Business Success

1.​ Wider Market Reach​

○​ Sell products/services to customers worldwide, 24/7.​

2.​ Lower Operational Costs​

○​ Saves money on rent, staff, and utilities compared to physical stores.​

3.​ Improved Customer Convenience​

○​ Easy browsing, ordering, and delivery increase customer satisfaction.​

4.​ Better Marketing Opportunities​

○​ Use digital tools (SEO, ads, social media) to reach and attract more customers.​

5.​ Data-Driven Decisions​

○​ Analyze customer behavior to improve products, pricing, and strategy.​

6.​ Scalability​

○​ Easily expand product range or customer base without large investments.​

7.​ Competitive Advantage​

○​ Faster response to market trends and customer demands.

8.​ Insight on customer buying habits.
9.​ Content marketing(reviews for attracting customers)

✅ Tangible Benefits of E-Commerce (Measurable &

Quantifiable)
 1.​ Reduced operational costs like rent, salaries, and utilities.​

2.​ Increased sales and revenue through a wider customer base.​

3.​ Faster transaction processing and order fulfillment.​

4.​ Lower marketing expenses via digital promotions.​

5.​ Efficient inventory management using automated systems.​

6.​ Higher return on investment (ROI) through scalable online operations.

✅ Intangible Benefits of E-Commerce (Non-Measurable

but Valuable)
1.​ Improved customer satisfaction with convenient shopping.​

2.​ Stronger brand visibility across global markets.​

3.​ Better customer engagement through personalized experiences.​

4.​ Enhanced business agility to adapt to market changes.​

5.​ Greater competitive advantage using technology and data.​

6.​ Improved customer loyalty via consistent service and communication.​

✅ Bluetooth – Summary Notes

🔹 What is Bluetooth?
Bluetooth is a wireless technology used for short-range communication (up to 10 meters)
between devices like phones, headsets, and computers using radio waves.

Key Features:

●​ Range: Up to 10 meters​

●​ Speed: Up to 3 Mbps

Bluetooth Architecture:
 1.​ Piconet:​

○​ One master and up to 7 active slaves​

○​ Communication: Master to Slave only​

2.​ Scatternet:​

○​ Combination of multiple piconets​

○​ A node can act as slave in one and master in another (bridge node)

🔹 Applications:
●​ Wireless headphones, keyboards, and cameras​

●​ File sharing between phones/computers​

●​ Used in healthcare, sports, military​

🔹 Advantages:
●​ Low cost and easy to use​

●​ No wires needed​

●​ Can transfer voice and data​

●​ Works even through walls​

🔹 Disadvantages:
●​ Less secure, prone to hacking​

●​ Slower speed compared to Wi-Fi (max 3 Mbps)​

●​ No support for routing

✅ Internet, Intranet & Extranet – Simplified Notes

🌐 Internet
●​ The Internet is a network of multiple networks, including government, academic,
corporate, and private networks.​

●​ It connects millions of computers globally for communication and information sharing.​

●​ It is public, open to all, and decentralized—no single owner.​

●​ Common uses: browsing websites, email, social media, online services.​

🏢 Intranet
●​ A private network used within an organization.​

●​ Allows employees to share internal resources, news, tools, and documents.​

●​ Built using Internet technologies but secured by firewalls.​

●​ Only authorized internal users can access it.​

🔒 Extranet
●​ A secure extension of an Intranet for external users like partners, suppliers, or
clients.​

●​ Enables safe data sharing and collaboration with trusted outsiders.​

●​ Uses login systems, firewalls, and encryption to control access.

✅ Difference Between Internet, Intranet & Extranet

Point of Internet Intranet Extranet
Difference

Accessibility of Public Private Private

Network
Availability Global system Specific to an organization For sharing info with external
stakeholders over a secure
network

Coverage Worldwide Limited to the organization Limited to organization +

selected outsiders
(partners/suppliers)

Accessibility of Open to all Only for internal members Only for internal + external
Content authorized users

No. of Devices Largest Fewer devices More than Intranet, less than
Connected Internet

Owner No single owner Single organization One or multiple organizations

Purpose Share info Share info internally Share info securely with
globally selected outsiders

Security User-dependent, Protected via firewall Protected via firewall and

general security access control

Users General public Employees only Employees + external partners

Policies No fixed policies Organization-specific Organization-specific policies

policies

Maintenance Maintained by Maintained by internal Same as Intranet

ISPs departments (IT/HR/Comms)
(IT/HR/Comms)
Economical More economical Less economical Less economical

Relation Network of Derived from Internet Derived from Intranet

networks

Example Public internet Wipro internal network Dell & Intel sharing network for
we all use business

Term Full Form Role

ISP Internet Service Provider Delivers internet access to consumers (homes,

businesses).

IAP Internet Access Provider Provides access to internet backbone; may serve
ISPs.

LAT Local Access Transport / Local Provides last-mile physical infrastructure (fiber, DSL,
Facilities Provider cable).

WAT Wide Area Transport / Wide Offers large-scale transport networks for
Area Facilities Provider long-distance data routing (inter-city, inter-country).
✅ WAP (Wireless Application Protocol) and Its Importance in E-Commerce
🔷 What is WAP?
WAP stands for Wireless Application Protocol.​
It is a standard protocol that enables mobile devices (like phones and PDAs) to access
information and services on the internet — specifically designed for wireless
communication.

🔷 Key Features of WAP:

●​ Designed for low bandwidth and small screens.​

●​ Supports HTML and XML-based content in a simplified format (WML - Wireless

Markup Language).​

●​ Works over GSM, CDMA, GPRS and other mobile networks.​

●​ Enables mobile access to websites, emails, financial services, and more.

Real-Life Examples:

●​ Banking Apps: Access account, pay bills, or transfer money via WAP-enabled apps.
●​ Retail Platforms: Amazon, Flipkart using WAP initially for mobile shopping before full
apps.
●​ Food Delivery: Browsing menus and ordering via WAP-based portals in early mobile
internet days.​

Here are simple and easy one-line points on the importance of WAP (Wireless Application
Protocol) in e-commerce:

📱 Importance of WAP in E-Commerce (Easy Points)

1.​ ✅ WAP allows shopping websites to work on mobile phones,enable mobile shopping.​
2.​ ✅ It helps users access online stores anytime, anywhere.​

3.​ ✅ It supports mobile payments for fast checkouts.​

 4.​ ✅ Customers can track their orders on mobile.​
5.​ ✅ Businesses can send offers through mobile alerts.​

6.​ ✅ It helps reach more people who use phones instead of computers.​

7.​ ✅ It saves internet data because WAP pages are light.​

8.​ ✅ WAP increases customer satisfaction with mobile-friendly features.​

9.​ ✅ It supports mobile banking, ticket booking, and more.​

10.​✅ It makes e-commerce simple and convenient for phone users.

📱 What is Mobile Commerce (M-Commerce)?

Mobile Commerce (M-Commerce) refers to the buying and selling of goods and services
using mobile devices like smartphones and tablets through wireless networks (internet or
mobile data).​
It includes mobile shopping, mobile banking, mobile ticketing, and mobile payments.

✅ Advantages of M-Commerce/Adv of mcommerce over wired commerce:

1.​ Convenient – Shop anytime, anywhere.​

2.​ Fast Transactions – Quick payments and checkouts.​

3.​ Wider Reach – Connects businesses with global users.​

4.​ Personalized Marketing – Send offers via SMS or push notifications.​

5.​ Real-Time Updates – Track orders, get alerts instantly.​

6.​ Cost Effective – Reduces need for physical stores.​

❌ Disadvantages of M-Commerce
1.​ Security Risks – Prone to hacking and data theft.​

2.​ Small Screens – Limited viewing experience.​

 3.​ Internet Dependence – Requires good network connection.​

4.​ Compatibility Issues – Apps may not work on all devices.​

5.​ Battery Usage – Mobile commerce drains phone battery quickly.

Architecture of M-Commerce (Mobile Commerce)

1.​ Mobile Apps – Enable users to browse, shop, and make transactions.​

2.​ User Devices – Smartphones, tablets, or any mobile device.​

3.​ Middleware – Acts as a bridge between apps and network, managing communication.​

4.​ Network Infrastructure – Includes mobile and internet networks for data transfer.​

5.​ Host Computer – Server that processes transactions and manages databases.​

6.​ Social Media Integration – Allows shopping via apps like Instagram or TikTok.​

Storefront Model in Online Selling/ functional requirements for online selling and what
specialized services and servers perform these functions :

1.​ Definition:​
A digital “storefront” replicates a physical shop online—customers browse, select, and
buy products via a website or app.​

2.​ Product Catalog:​

○​ Listings with names, descriptions, images & prices​

○​ Search, filtering & categorization for easy browsing​

3.​ UI/UX:​

○​ Intuitive menus, search bars & responsive design​

○​ Consistent layout to guide users through discovery → purchase​

4.​ Shopping Cart & Checkout:​

○​ Virtual cart for adding/removing items​

 ○​ Secure, one-page or multi-step checkout flow​

5.​ Payment Processing:​

○​ Integrated gateways (PayPal, Stripe) handle cards, wallets & fraud checks​

○​ SSL/TLS encryption protects transaction data​

6.​ Order & Inventory Management:​

○​ Real-time stock tracking, low-stock alerts & automatic updates​

○​ Order lifecycle: confirmation → packing → shipping → delivery notifications​

7.​ Customer Support:​

○​ Live chat (Zendesk, Intercom) and ticketing systems (Freshdesk)​

○​ Easy returns/exchanges workflow​

8.​ Specialized Services & Servers:​

○​ Web Servers (Apache/Nginx): Host the storefront​

○​ Database Servers (MySQL/PostgreSQL/MongoDB): Store products, users &

orders​

○​ Payment Gateways: Process payments securely​

○​ CDN (Cloudflare/CloudFront): Fast, global content delivery​

○​ CRM & Email (Salesforce, SendGrid): Manage support & marketing campaigns​

9.​ Security & Compliance:​

○​ HTTPS everywhere, regular vulnerability scans & PCI DSS compliance​

○​ WAFs and DDoS protection to guard against attacks​

10.​Advantages:​
 ○​ Scalability: Unlimited virtual shelf space​

○​ 24/7 Availability: Always-open store​

○​ Global Reach: Sell to any geography​

○​ Personalization: AI-driven recommendations & targeted promotions

What is E-Governance?

E-Governance refers to the use of Information and Communication Technology (ICT) by

governments to deliver services, share information, and improve administrative efficiency,
transparency, and citizen engagement.

How It Works:

1.​ Online Services:​

○​ People can apply for documents (like passports), pay taxes, and check land
records using government websites or apps.​

2.​ Less Paperwork:​

○​ Government work becomes faster by using computers instead of paper files.​

3.​ Open and Honest Government:​

○​ Information is shared online so people can see what the government is doing.​

4.​ Citizen Involvement:​

○​ People can give feedback or complaints online, and take part in government
decisions through surveys.​

5.​ Departments Work Together:​

○​ Different government offices share data quickly through online systems.

Benefits of E-Governance:

●​ Saves time and money​

●​ Easy access to services anytime​

 ●​ Less corruption​

●​ People in remote areas can also get services​

●​ Better communication between citizens and government

What is an Affiliate Model?

An affiliate model in e-commerce is a business strategy where a company rewards third parties
(called affiliates) for bringing in customers or sales through the affiliate’s marketing efforts.
Affiliates promote a company's products on their websites, blogs, or social media using special
tracking links. When someone clicks the link and makes a purchase, the affiliate earns a
commission.

Examples:

1.​ Amazon Associates​

○​ Amazon lets bloggers, YouTubers, and website owners share links to Amazon
products. When someone buys through their link, they earn a commission.​

2.​ Flipkart Affiliate Program​

○​ Flipkart also gives people a chance to earn money by sharing product links. If
someone makes a purchase using their link, they get paid.​

What is Supplier-Centric B2B Electronic Commerce?

Supplier-centric B2B e-commerce is when a supplier (seller) sells products directly to many
business buyers through their own website or online platform.

●​ The supplier controls everything — prices, products, and terms.​

●​ Buyers visit the supplier’s site to order what they need.​

●​ It helps the supplier reach more businesses easily.

Example:

Dell sells computers directly to companies through its website.

Key Technologies for B2B E-Commerce (Simple)

 1.​ Electronic Data Interchange (EDI):​
Computers exchange business documents (invoices, orders) automatically in a standard
format.​

2.​ Internet:​
Uses the web to connect companies, partners, and customers worldwide.​

3.​ Intranet:​
A private, internal network for employees within one organization.​

4.​ Extranet:​
A secured extension of the intranet that lets selected partners or suppliers access
specific data.
5.​ Back-End System Integration:​
Ties together databases, ERP, CRM, and other internal systems so online orders update
inventory, billing, and shipping automatically.

Architectural Models of B2B E-Commerce (Simple)

1.​ Supplier-Oriented Marketplace:​

○​ A supplier builds and runs the online platform.​

○​ Multiple buyers visit the supplier’s “store” to place orders.​

2.​ Buyer-Oriented Marketplace:​

○​ A big buyer (e.g., a retailer) sets up its own portal.​

○​ It invites multiple suppliers to log in and bid or offer products.​

3.​ Intermediary-Oriented Marketplace:​

○​ A neutral third party (an exchange) hosts the platform.​

○​ Both buyers and sellers sign up to trade with one another under its rules.

E-business models based on the relationship of transaction parties:

Business-to-Business (B2B): Transactions between two companies—e.g., a manufacturer

selling parts to an assembler via an online portal.​

Business-to-Consumer (B2C): A company sells directly to individual consumers—e.g., an

online retailer like Amazon.​
Consumer-to-Consumer (C2C): Individuals sell to one another, typically via a third-party
platform—e.g., eBay or Craigslist.​

Consumer-to-Business (C2B): Individuals offer products or services to businesses—e.g., a

photographer licensing images to a marketing agency.​

Business-to-Government (B2G): Companies provide goods or services to government

agencies—e.g., an IT firm bidding for a public-sector contract on a government procurement
portal.​

Government-to-Business (G2B): Governments sell or share information/services with

businesses—e.g., licensing databases or e-filing corporate taxes.​

Government-to-Citizen (G2C): Public-sector portals delivering services directly to

citizens—e.g., online tax filing or license renewals.

Technology Requirements for a B2C E-Commerce Application (Short)

1.​ Web & Application Servers: Handle requests and run business logic (e.g., Nginx,
Apache, Node.js).​

2.​ Database: Store product, order, and user data (e.g., MySQL, MongoDB).​

3.​ Front-End Technologies: Build responsive UIs (HTML/CSS, JavaScript, React).​

4.​ Payment Integration: Enable secure transactions (e.g., Stripe, PayPal).​

5.​ Security: Ensure encryption and secure login (SSL, JWT, OAuth).​

6.​ Content Delivery & Performance: Fast global access (CDN, Load Balancers).​

7.​ Search & Recommendation: Enable quick product search (ElasticSearch, ML engines).​

8.​ Back-End Integration: Link with ERP/CRM systems and third-party services.​

9.​ Analytics & Monitoring: Track user behavior and app performance (Google Analytics).​

10.​DevOps & Deployment: Streamline deployment and scaling (Docker, CI/CD).

B2C process model with necessary diagram:

[Browse/Search]
↓
[Product Selection]
↓
 [Add to Cart]
↓
[Checkout]
↓
[Payment]
↓
[Order Confirmation]
↓
[Fulfillment & Shipping]
↓
[Delivery]
↓
[After-Sales Service]

Lucrative market strategy in e-commerce:

1. Exporting

✅ ❌
Selling products directly to a foreign market.​
Low cost, Limited control and profit.

2. Licensing

✅ ❌
Allowing a local firm to use your brand or tech.​
Easy entry, Less control, shared revenue.

3. Franchising

✅ ❌
Letting others run your business model under your brand.​
Fast expansion, Quality control issues.

4. Joint Ventures / Strategic Alliances (Most Lucrative)

✅
Partnering with a local company.​
Shared risk, local expertise, fast growth, more control.

What is Internet Marketing and How It Works?

Definition:​
Internet marketing, also known as online or digital marketing, is the use of the internet and digital
technologies to promote a product, service, or brand. It includes activities like advertising on social media,
using search engines, sending emails, and having a website to connect with customers.

Purpose:​
The main goal of internet marketing is to reach potential customers online, make people aware of your
brand, and ultimately increase sales.

Key Channels in Internet Marketing:

 1.​ Social Media: Platforms like Facebook, Instagram, and Twitter help businesses share content
and engage with their audience.​

2.​ Search Engine Optimization (SEO): The process of improving a website's ranking on search
engines like Google to attract more visitors.​

3.​ Email Marketing: Sending targeted emails to a list of subscribers to inform them about products
or promotions.​

4.​ Paid Advertising: Running ads on platforms like Google Ads or social media to reach specific
customers.​

5.​ Website Marketing: Creating a website that provides useful information and encourages visitors
to take actions like buying or signing up.​

6.​ Content Marketing: Creating valuable and interesting content (like blog posts or videos) to
attract and keep customers.​

Benefits of Internet Marketing:

●​ Targeted Reach: You can focus your marketing efforts on specific groups of people.​

●​ Cost-Effective: Many online strategies are cheaper compared to traditional advertising like TV or
print ads.​

●​ Measurable Results: You can track how well your campaigns are doing and make adjustments.​

●​ Increased Brand Awareness: Internet marketing helps you get your brand in front of more
people.​

Examples:

●​ A company writes blogs to share helpful tips and build trust with their audience.​

●​ A business runs ads on Instagram to promote a new product.​

●​ A website improves its SEO to show up higher in Google search results.

## Read 4C’s OF DIGITAL MARKETING FROM ABOVE .

What is Collaborative Computing?

Collaborative computing refers to technologies and tools that allow multiple users to work
together on shared tasks or projects, often remotely, using computers and networks. In
e-commerce, it enables better communication, enhances collaboration between teams, and
drives decision-making and efficiency.
Relevance of Collaborative Computing for E-Commerce Success

1.​ Better Communication:​

○​ Tools like video calls and shared documents help teams work together
effortlessly, no matter where they are. This is essential for e-commerce teams in
product development, customer service, and logistics.​

2.​ Increased Efficiency:​

○​ Collaborative platforms reduce time spent on tasks by streamlining workflows,

enabling quicker product launches, faster customer support, and smoother
supply chain management.​

3.​ Faster Decision-Making:​

○​ Real-time access to data and team input allows for quicker, informed decisions,
ensuring that marketing strategies, product features, and campaigns are
well-aligned.​

4.​ Enhanced Customer Experience:​

○​ Seamless collaboration across teams means businesses can provide

personalized and faster responses to customer inquiries, improving satisfaction
and loyalty.​

5.​ Cost Savings:​

○​ Although initial costs exist, collaborative tools save money in the long run by
reducing errors, improving efficiency, and enabling better resource management.​

6.​ Flexibility and Scalability:​

○​ As e-commerce businesses grow, collaborative computing tools help teams scale

operations and stay flexible, whether handling increased sales or expanding to
new markets.​

7.​ Improved Innovation:​

○​ Cross-functional collaboration sparks creativity, allowing teams to innovate and

adapt to changing customer needs, keeping businesses competitive in a dynamic
market.​
 8.​ Better Supply Chain Management:​

○​ Tools help coordinate inventory, orders, and delivery schedules, ensuring efficient
and cost-effective logistics operations.​

9.​ Remote Collaboration:​

○​ E-commerce businesses can tap into global talent, with teams from different
regions working together seamlessly, improving the overall performance of the
business.​

What is Technological Convergence?

Technological convergence is the merging of different technologies into a single system

or device to create new features or better performance.​
In e-commerce, this means using mobile apps, AI, social media, and other tools together
to improve shopping experiences and business operations.

Implications of Technological Convergence in E-Commerce

1.​ Better Customer Experience​

○​ AI-powered suggestions, mobile-friendly apps, and social media shopping

make the buying process smoother and more personalized.​

2.​ Higher Efficiency​

○​ Integrated systems help businesses manage inventory, process orders,

and respond to customers faster.​

3.​ New Ways to Earn Revenue​

○​ Businesses can offer subscriptions, mobile-exclusive deals, or use

customer data for smarter marketing.​

4.​ Smarter Marketing & Ads​

○​ Data from multiple sources enables highly targeted, real-time promotions

and customer engagement.​

5.​ Valuable Customer Insights​

 ○​ Combined data from websites, apps, and social media helps businesses
understand customer preferences and behavior.​

6.​ Anytime, Anywhere Access​

○​ Customers can shop easily using phones, tablets, or desktops—anytime

and from anywhere.​

Definition of Content (in E-commerce & ERP):

Content refers to any form of digital information used to inform, engage, or attract users.
This includes:

●​ Text (articles, product descriptions)​

●​ Images and videos​

●​ Audio (podcasts, music)​

●​ Documents (PDFs, manuals)​

●​ Code (scripts, templates)​

In E-commerce, content is key to describing products, marketing to customers, and

improving SEO.

🤝 What is Content Partnership?

A content partnership is a collaboration between two or more parties (like brands,
creators, or platforms) to create and share content.​
The goal is to reach a wider audience, share resources, or enhance brand visibility.

🔹 Examples:
●​ An e-commerce website partnering with a blog to feature product reviews.​

●​ A clothing brand teaming up with an influencer to create fashion content.​

Short Note on Outsourcing (Subject: E-commerce)

Outsourcing in e-commerce means hiring third-party companies to handle certain
business tasks like website development, logistics, customer support, or digital
marketing.

🔹 Purpose: To reduce costs, save time, and focus on core business activities.​
🔹 Examples:
●​ Using a courier service for product delivery​

●​ Hiring an agency for online ads or SEO​

●​ Outsourcing IT support or payment processing​

🔹 Benefits:
●​ Cost-effective​

●​ Access to expertise​

●​ Faster operations

Supply Chain Management (SCM) is the process of managing all activities involved in
turning raw materials into finished products and delivering them to customers.

Supply Chain Management (SCM) includes five main steps that help businesses run
smoothly:

1.​ Planning – Predict demand and plan production and inventory.​

2.​ Sourcing – Find reliable suppliers and get raw materials.​

3.​ Making – Turn materials into finished products with quality control.​

4.​ Delivering – Store and transport products to customers.​

5.​ Returning – Handle product returns, repairs, and replacements.

Goal:

To optimize the supply chain to reduce costs, improve efficiency, and ensure timely
delivery.

What is CRM (Customer Relationship Management)?

CRM is a strategy and software used by businesses to manage and improve interactions
with customers. It helps boost sales, enhance customer satisfaction, and streamline
operations.

Key Activities:

●​ Sales Automation: Managing sales pipelines.​

●​ Marketing Campaigns: Targeted outreach based on customer data.​

●​ Customer Service: Support via phone, chat, or email.​

●​ Data Management: Collecting and analyzing customer preferences and behavior.​

Goal:​
To improve customer satisfaction, increase sales, and build long-term relationships.

Example:​
Amazon tracking user behavior to recommend products and send personalized emails.

How SCM Portals Help E-Commerce in Managing Supply Chain:

1.​ Centralized Control​

○​ SCM portals bring together all supply chain activities (orders, inventory,
shipping) into one platform, making it easier to manage.​

2.​ Real-Time Tracking​

○​ They provide real-time updates on inventory, shipments, and order status,

helping e-commerce businesses respond quickly to changes.​

3.​ Improved Supplier Coordination​

○​ E-commerce platforms can communicate directly with suppliers, track

deliveries, and manage delays or shortages more effectively.​

4.​ Automation​

○​ Automates repetitive tasks like order processing, inventory restocking, and

invoicing, saving time and reducing errors.​
 5.​ Better Inventory Management​

○​ SCM portals help avoid overstocking or running out of products by offering

demand forecasting and stock alerts.​

6.​ Customer Satisfaction​

○​ Faster order fulfillment, accurate delivery, and real-time order tracking

improve the overall shopping experience for customers.​

7.​ Data Insights​

○​ The portals provide reports and analytics to make smarter business

decisions about inventory, demand, and supplier performance.

Why SCM is Important for E-Commerce

●​ Ensures fast and accurate delivery​

●​ Helps manage inventory efficiently​

●​ Reduces costs and delays​

●​ Improves customer satisfaction​

●​ Enables better supplier coordination

a) SCE Framework (Supply Chain Execution Framework)

The SCE framework focuses on the efficient execution of supply chain processes,
ensuring that the operations in logistics, inventory management, and order fulfillment are
seamless and effective. It integrates various systems to track products, manage
inventory, and optimize the delivery process. The key components of the SCE framework
are:

●​ Order Management: Ensuring customer orders are processed accurately and

timely.​

●​ Warehouse Management: Efficient storage and movement of goods within

warehouses.​

●​ Transportation Management: Optimizing routes, reducing shipping costs, and

ensuring timely deliveries.​
 ●​ Inventory Management: Real-time tracking of stock levels to avoid shortages or
excess inventory.​

The SCE framework helps businesses improve operational efficiency, reduce costs, and
meet customer demands quickly.

b) SCM and Its Role in B2B E-Commerce

In B2B (Business-to-Business) e-commerce, Supply Chain Management (SCM) plays a

critical role in ensuring smooth, efficient, and cost-effective transactions between
businesses. It involves managing the movement of goods and services from suppliers to
businesses, which are then sold to end customers or other businesses. Key roles of SCM
in B2B e-commerce include:

●​ Streamlining Procurement: Ensures businesses can efficiently source raw

materials or products from suppliers.​

●​ Improved Inventory Management: Helps B2B companies maintain optimal stock

levels, reducing overstocking or stockouts.​

●​ Enhancing Order Fulfillment: Ensures timely and accurate order processing and
shipping.​

●​ Collaboration Between Partners: SCM integrates supplier, manufacturer, and

distributor information, facilitating smoother business relationships.​

In B2B e-commerce, effective SCM leads to improved customer satisfaction, reduced

operational costs, and better supplier relationships.

SET (Secure Electronic Transaction) is a secure payment protocol designed to protect

credit card transactions over the internet. It was developed by major companies like
MasterCard and Visa to provide a secure and encrypted method for conducting
electronic payments.

Here’s a breakdown of the SET protocol:

Key Features of SET Protocol:

1.​ Encryption:​

○​ All transaction data is encrypted to protect against unauthorized access.​

 2.​ Authentication:​

○​ It ensures that both the merchant and cardholder are authentic, reducing
fraud.​

3.​ Integrity:​

○​ Guarantees that the data (e.g., credit card information) has not been altered
during transmission.​

4.​ Privacy:
○​ Sensitive information, like credit card details, is encrypted and not shared
with unauthorized parties.

How SET Works:

1.​ Customer Initiates Transaction:​

○​ The customer enters their credit card details on the merchant's website.​

2.​ Encryption and Authentication:​

○​ The transaction information is encrypted, and the merchant and customer

are authenticated by the payment gateway.​

3.​ Transaction Authorization:​

○​ The payment gateway or bank validates the transaction with the card
issuer, confirming the customer’s payment.​

4.​ Payment Confirmation:​

○​ Once the transaction is authorized, the merchant and customer receive a

confirmation.

Advantages of SET:

●​ High-Level Security: Provides end-to-end encryption, ensuring secure

transactions.​

●​ Privacy Protection: Credit card details are only shared with the necessary parties.​

●​ Reduced Fraud: Merchant and cardholder authentication reduces the risk of

fraudulent transactions.
Online Payment

Online payment refers to paying for goods or services via the internet using digital
methods like credit cards, digital wallets, and bank transfers.

Features of an Effective Online Payment System

●​ Security: Encryption, authentication, and fraud prevention.

●​ User-Friendly Interface: Easy navigation and mobile responsiveness.
●​ Multiple Payment Methods: Supports credit cards, wallets, bank transfers, etc.
●​ Real-Time Processing: Instant transaction confirmation.
●​ Global Reach: Ability to accept payments in different currencies.
●​ Easy Refunds: Efficient handling of refunds and disputes.
●​ Compliance: Adherence to legal standards (e.g., PCI DSS, GDPR).
●​ Integration: Sync with accounting systems.
●​ Scalability: Handles increased transactions as the business grows.​

Types of Online Payments

1.​ Credit/Debit Cards: Direct payment via card details (e.g., Visa, MasterCard).
2.​ Digital Wallets: Secure storage for payment info for quick transactions (e.g.,
PayPal, Google Pay).
3.​ Bank Transfers: Direct transfer between bank accounts.
4.​ Cryptocurrency: Payment via digital currencies (e.g., Bitcoin).
5.​ Cash on Delivery (COD): Pay at the time of delivery.
6.​ Buy Now, Pay Later (BNPL): Pay in installments (e.g., Klarna).
7.​ Direct Carrier Billing: Charges mobile bills for purchases.
8.​ Payment Links/QR Codes: Payment through generated links or QR codes.​

Types of E-Payments

1.​ E-Cash: Digital cash used for small online payments (e.g., PayPal).
2.​ E-Wallets: Digital wallets storing payment info for faster transactions (e.g., Apple
Pay).
3.​ Smart Cards: Physical cards with chips used for secure payments (e.g., EMV
cards).
4.​ Credit Cards: Borrow funds for purchases, paid back over time (e.g., Visa,
MasterCard).

Here’s a table comparing Charge Card and Credit Card:

Feature Charge Card Credit Card

Payment Terms Full payment required every Minimum payment required; balance
month can be carried over

Credit Limit No preset limit, spending is Fixed credit limit based on credit
flexible score

Interest No interest if paid in full; late Interest charged on outstanding

fees can apply balance

Usage Best for large, one-time Suitable for everyday purchases and
purchases spreading payments

Annual Fee Usually higher Varies; many cards offer no annual

fee

Payment Must pay the full balance Flexible payment options, including
Flexibility every month minimum payments

Late Payment High fees for late payments Interest charged if minimum
Penalty payment is not made

Example American Express Charge Visa, MasterCard, Discover, etc.

Card

Distinguish between SSL and SET protocol:

Feature SSL (Secure Sockets Layer) SET (Secure Electronic Transaction)

Purpose Provides secure (CIA) Ensures secure online credit card

communication over the transactions.
internet.

Primary Use Secures data transmission Used for securing credit card
between a web server and transactions in e-commerce.
browser.

Functionality Encrypts data and provides Ensures secure transaction, including

authentication between client payment authorization, between
and server. consumer, merchant, and bank.

Scope Encrypts and secures all Focuses specifically on securing

types of web-based data. financial transactions.
Encryption Provides encryption of Encrypts the credit card information
communication channels during online payments.
(e.g., HTTPS).

Authentication Ensures identity of the server Involves authentication of both the

and sometimes the client. buyer and the merchant.

Protocol Type Encryption protocol Payment protocol (application layer).

(transport layer).

Security General security for all Payment-specific security, including

Focus web-based communication. financial transaction integrity.

Complexity Relatively simple and widely More complex and specifically

used across the internet. designed for secure payments.

Current Usage Still widely used, as part of Rarely used today, replaced by other
HTTPS in most online payment security protocols like 3D
transactions. Secure and TLS.

Key Differences:

●​ SSL focuses on securing general internet communication (like HTTPS), while SET
is specifically designed for securing credit card transactions in e-commerce.​

●​ SSL encrypts data between clients and servers, whereas SET ensures secure
payment processing, handling sensitive card data and authorizations.​

●​ SSL is still commonly used today, while SET has become obsolete due to newer
payment security technologies.

Electronic Payment System in E-Commerce

An Electronic Payment System (EPS) allows secure, fast, and cashless transactions for
online shopping through digital means.

Key Components:

●​ Customer – Initiates payment​

●​ Merchant – Receives payment​

●​ Payment Gateway – Authorizes transactions​

●​ Banks & Payment Processors – Facilitate fund transfer

Types of Electronic Payment Systems:

1.​ Credit Cards – Borrowed funds for purchases (e.g., Visa, MasterCard)​

2.​ Debit Cards – Direct payment from bank account​

3.​ E-Cash – Digital cash for small payments (e.g., PayPal balance)​

4.​ E-Wallets – Store payment info for quick checkout (e.g., Apple Pay, Google Pay)​

5.​ Smart Cards – Chip-enabled cards for secure payments (e.g., EMV cards)​

6.​ Net Banking – Online transfer directly from bank accounts​

7.​ UPI – Instant mobile-based bank transfers (e.g., PhonePe, BHIM)​

8.​ Mobile Payments – Through mobile apps or SMS​

9.​ Cryptocurrency – Digital currency transactions (e.g., Bitcoin)​

10.​BNPL (Buy Now, Pay Later) – Pay in installments (e.g., Afterpay)

Benefits:

●​ Fast, convenient, contactless​

●​ Available 24/7​

●​ Reduces operational cost

What is E-Cash?

E-Cash (Electronic Cash) is a form of digital currency used for online payments. It acts
like physical cash but exists electronically. It’s primarily used for small, fast, and
anonymous transactions, often through e-wallets or online platforms (e.g., PayPal
balance).

Steps in the Operation of E-Cash by an Individual:

1.​ Withdrawal:​

○​ User requests digital cash from their bank or e-cash issuer.​

 ○​ The bank deducts the amount and issues digitally signed e-cash.​

2.​ Storage:​

○​ E-cash is stored in the user's digital wallet.​

3.​ Payment:​

○​ User sends the e-cash to a merchant while making a purchase.​

4.​ Deposit:​

○​ Merchant deposits the received e-cash into their bank.​

5.​ Verification:​

○​ Bank verifies the authenticity and ensures it hasn’t been used before
(prevents double-spending).

2. Security Requirements for Safe E-Payments:

1.​ Confidentiality – Ensure transaction data is protected from unauthorized access.​

2.​ Integrity – Prevent any modification of data during transfer.​

3.​ Authentication – Verify the identities of users and merchants.​

4.​ Non-repudiation – Prevent parties from denying their transactions.​

5.​ Availability – Ensure the system is accessible when needed.​

6.​ Encryption – Protect sensitive data during transmission.​

7.​ Digital Signatures – Ensure authenticity and integrity of transactions.​

8.​ Fraud Prevention – Detect and prevent fraudulent activities (e.g., OTPs, 2FA).

3. Requirements for an E-Payment Mechanism:

1.​ User-Friendly Interface – Easy for customers to use and understand.

2.​ Security Infrastructure – Use of SSL, encryption, firewalls, and secure
authentication.
3.​ Interoperability – Compatible with various banks, cards, and platforms.
4.​ Scalability – Handle large volumes of transactions efficiently.
 5.​ Reliability – Consistent performance and minimal downtime.
6.​ Regulatory Compliance – Meet legal and financial regulations (e.g., PCI DSS).
7.​ Transaction Tracking – Provide receipts, logs, and reports.
8.​ Cost-Effectiveness – Reasonable transaction and setup costs.​

Card Payment System

Card payments involve the use of credit cards, debit cards, or smart cards to make
electronic payments online or at point-of-sale (POS) terminals.

Steps in Card Payment Method (Online):

1.​ Customer Initiates Payment​

○​ Enters card details (number, CVV, expiry, etc.) on the merchant’s site.​

2.​ Authentication​

○​ May involve 2FA (OTP or biometric verification).​

3.​ Payment Gateway Processes Data​

○​ Encrypts and sends data securely to the acquiring bank.​

4.​ Transaction Approval​

○​ Issuing bank checks card validity and available funds, and approves or
declines.​

5.​ Settlement​

○​ Funds are transferred from the customer’s bank to the merchant’s account.

Common Payment Threats:

1.​ Phishing Attacks​

○​ Fake emails or websites trick users into giving card info.​

2.​ Card Skimming​

○​ Card details stolen using illegal devices at ATMs or POS.​

 3.​ Man-in-the-Middle Attacks (MITM)​

○​ Hackers intercept data during transmission.​

4.​ Data Breaches​

○​ Hackers steal stored card info from companies.​

5.​ Unauthorized Access/Fraudulent Use​

○​ Stolen card details used for unauthorized transactions.

Ways to Combat Card Payment Threats:

1.​ Secure Socket Layer (SSL)/TLS Encryption​

○​ Protects data during transmission.​

2.​ Tokenization​

○​ Replaces sensitive card info with tokens during processing.​

3.​ Two-Factor Authentication (2FA)​

○​ Adds extra verification (OTP, fingerprint, etc.).​

4.​ PCI DSS Compliance​

○​ Ensures secure handling of cardholder data by businesses.​

5.​ Real-Time Fraud Detection Tools​

○​ Monitors transactions and flags suspicious activity.​

6.​ EMV Chip Cards​

○​ Safer than magnetic stripe cards; harder to clone.​

7.​ Customer Awareness​

○​ Educate users on secure practices like not sharing OTPs or card info.​

Advantages of E-Cash:
 1.​ Fast Transactions – Enables instant payments online.​

2.​ Convenience – No need to carry physical money.​

3.​ Low Transaction Cost – Cheaper for small payments.​

4.​ Anonymity – Can offer user privacy (similar to cash).​

5.​ 24/7 Availability – Can be used anytime, anywhere.​

6.​ Micro-Payments Support – Ideal for small-value digital goods or services.

Disadvantages of E-Cash:

1.​ Risk of Double Spending – Without proper tracking, the same e-cash could be
reused.​

2.​ Requires Internet Access – Not usable offline or without connectivity.​

3.​ Lack of Universal Acceptance – Not all merchants support e-cash.​

4.​ Loss of E-Wallet Data – If data is lost or hacked, funds may be unrecoverable.​

5.​ Security Concerns – Vulnerable to cyberattacks, phishing, and theft.​

6.​ Limited Anonymity in Regulated Systems – Some systems track user transactions
for compliance.

Smart Card

A smart card is a physical card embedded with a microchip that stores and processes
data securely. It is used for secure transactions, identity verification, and access control.
Examples include EMV chip cards used in ATMs and POS systems.

RuPay Card

RuPay is an Indian domestic card scheme launched by the National Payments

Corporation of India (NPCI). It is similar to Visa or MasterCard and supports debit, credit,
and prepaid cards. RuPay aims to promote low-cost, inclusive card payments in India.

Credit Card
A credit card allows users to borrow money from the issuing bank to make purchases,
which must be repaid later (usually with interest if not paid within the due date). It offers
rewards, EMI options, and purchase protection, but can lead to debt if misused.

Quality Management in E-Commerce (Short Version)

Quality Management in E-Commerce ensures that products, services, and customer

experiences meet high standards, improving efficiency and customer satisfaction.

Key Elements:

1.​ Product Quality – Ensure products meet customer expectations.

2.​ Service Quality – Efficient order fulfillment, shipping, and support.
3.​ Website Usability – User-friendly design and easy navigation.
4.​ Customer Support – Quick, helpful responses to inquiries.
5.​ Payment Security – Secure and smooth transaction processing.
6.​ Order Fulfillment – Accurate inventory and timely delivery.
7.​ Customer Feedback – Collect and act on reviews for improvement.

Benefits:

●​ Customer Satisfaction​

●​ Competitive Advantage​

●​ Efficiency​

●​ Brand Loyalty

a) Reasons Behind the Growing Importance of E-Advertisement

1.​ Wider Reach – Access to global audiences across devices.​

2.​ Cost-Effective – Cheaper than traditional ads (TV, print).​

3.​ Targeted Marketing – Ads can be shown to specific demographics or interests.​

4.​ Measurable Results – Track clicks, views, conversions in real time.​

5.​ Interactive & Engaging – Allows user interaction (videos, forms, links).​

6.​ Speed & Flexibility – Quick to launch, edit, or remove campaigns.​

7.​ 24/7 Exposure – Ads can run anytime, anywhere.

b) Types of Web Advertising

1.​ Display Ads – Banner or image ads on websites.​

2.​ Search Engine Ads (PPC) – Ads appear on search results (e.g., Google Ads).​

3.​ Social Media Ads – Sponsored posts on platforms like Facebook, Instagram, X.​

4.​ Email Marketing – Promotional content sent via email.​

5.​ Video Ads – Ads on platforms like YouTube or within web content.​

6.​ Affiliate Marketing – Promoting products via partners who earn commission.​

7.​ Pop-up/Pop-under Ads – Ads that appear over or under a webpage.​

8.​ Native Ads – Ads that blend in with the content of the website.​

9.​ Retargeting Ads – Ads shown to users who previously visited a site.​

Difference Between Regular Auctions and Reverse Auctions

Aspect Regular Auction Reverse Auction

Participants Many buyers bid for one Many sellers bid to offer goods/services
seller's product to one buyer

Goal Highest bid wins Lowest bid wins

Price Price increases with each Price decreases with each bid
Movement bid

Used By Consumers buying Businesses/governments sourcing

rare/unique items products/services

How Reverse Auctions Work in E-Marketplace:

1.​ Buyer Posts Requirement​

○​ A buyer (usually a company) specifies what product/service they need.​

2.​ Sellers Submit Bids​

 ○​ Multiple suppliers place competitive bids to offer the lowest price.​

3.​ Real-Time Bidding​

○​ Bidding may happen in real-time over a fixed time frame.​

4.​ Lowest Bid Wins​

○​ The seller offering the best price and terms is selected.​

5.​ Contract Finalization​

○​ Agreement is made and the seller delivers the goods/services.

Example:

Government e-marketplace (GeM) uses reverse auctions to procure goods/services at

competitive prices from vendors.

Let me know if you want a diagram or use case example for better understanding.

Telemarketing

Telemarketing is the use of telephone calls to promote or sell products/services directly

to customers. It can be inbound (customer calls) or outbound (company calls customer).

Online Marketing

Online marketing refers to promoting products or services through the internet using
channels like websites, social media, emails, SEO, and digital ads.

Difference Between E-Commerce and M-Commerce

Aspect E-Commerce M-Commerce

Definition Buying/selling through internet Buying/selling through mobile devices

(websites)

Device Computers, laptops Smartphones, tablets

Used
 Accessibilit Needs internet browser Accessible via mobile apps or
y mobile-friendly sites

Examples Amazon website, Flipkart Amazon app, Paytm, Google Pay

Features Full-scale interface, often more Quick, on-the-go transactions,

detailed location-based services

Electronic Marketers – Definition (Short Note)

Electronic Marketers are individuals or organizations that use digital platforms and
internet technologies to promote, sell, or distribute products and services. They leverage
tools like websites, social media, email, mobile apps, and search engines to reach and
engage customers online.

Key Activities of Electronic Marketers:

●​ Creating and managing online ad campaigns​

●​ Optimizing websites and content (SEO)​

●​ Running social media promotions​

●​ Using analytics to track consumer behavior​

●​ Managing e-commerce platforms

Example: A business running Facebook ads, selling via Amazon, and sending
promotional emails is engaging in electronic marketing.

Usefulness of E-mail in E-Commerce:

1.​ Marketing Tool – Sends offers, promotions, and product updates directly to
customers.​

2.​ Order Confirmation – Sends receipts and tracking details after purchases.​
 3.​ Customer Support – Handles inquiries, complaints, and feedback.​

4.​ Personalized Communication – Uses customer data for targeted emails.​

5.​ Building Trust – Regular updates increase customer engagement and loyalty.​

Is E-mail Secure for E-Commerce Transactions?

Not completely secure by default. While email is useful, it's not ideal for sensitive
transactions unless enhanced with security measures.

Security Concerns:

●​ Phishing – Fake emails to steal user data.​

●​ Spam – Unwanted promotional content.​

●​ Data Breach – Intercepted or leaked emails may expose personal info.

How to Make E-Mail Transactions Safer:

●​ Use encryption (e.g., SSL, TLS)​

●​ Enable two-factor authentication​

●​ Avoid sending sensitive info like passwords or card numbers via email​

●​ Educate users about phishing

Conclusion:

Email is very useful for communication in e-commerce but should not be used for
financial transactions unless proper security is in place. It's best used alongside secure
payment gateways.

a) E-Logistics

E-Logistics (Electronic Logistics) refers to the use of digital technology and

internet-based systems to manage and streamline the flow of goods, information, and
services in e-commerce.​
It involves order processing, inventory management, warehousing, packaging,
transportation, and delivery — all coordinated electronically.

Key Features:
 ●​ Real-time tracking of shipments​

●​ Automated inventory updates​

●​ Faster order fulfillment​

●​ Integration with e-commerce platforms​

Example: Amazon’s smart warehouses and live package tracking.

b) Vertical Market

A Vertical Market is a market that focuses on a specific industry or niche, offering

specialized products or services tailored to that particular segment.

Key Features:

●​ Industry-specific needs (e.g., healthcare, education, agriculture)​

●​ Customized solutions​

●​ Less competition but highly targeted audience​

Example: Software for hospital management or CRM tools for real estate.

Benefits of EDI:

1.​ Faster Transactions – Instant document exchange saves time.

2.​ Reduced Errors – Eliminates manual data entry mistakes.
3.​ Cost Savings – Cuts paper, printing, and postage costs.
4.​ Improved Efficiency – Automates repetitive business processes.
5.​ Better Accuracy & Tracking – Real-time tracking and fewer disputes.
6.​ Stronger Business Relationships – Enhances reliability and trust.

🔹 Essential Elements of EDI :

Component Function Key Features

EDI Standards Ensure uniform data ANSI X12, EDIFACT, TRADACOMS

format for all parties for consistency and compatibility

Translation Converts data to/from EDI Automates, validates, and

Software formats transforms data
Communication Transmit data securely Uses AS2, SFTP, VAN with
Protocols between partners encryption, tracking, and reliability

Data Mapping Aligns internal data with Field alignment, validation, format
EDI standards conversion

EDI Envelopes Packages and addresses Adds metadata, uses hierarchical

EDI documents properly levels: interchange, functional
group, set

EDI Integrations Connects EDI with internal Enables automation, data

systems like ERP, CRM, synchronization, and accurate
WMS reporting

🔹 EDI Communication Methods :

Component Description / Function Key Features

1. Point-to-Point EDI Direct connection between two Fast, secure; setup needed for
trading partners using secure internet each partner; both must use
protocols (e.g., AS2) same protocol

2. Value-Added A value-added network (VAN) is a Supports different protocols,

Networks (VANs) private, hosted service that securely offers secure delivery,
transmits and shares data between tracking, and validation
companies. Commonly used for EDI.

3. EDI Standards Define structure and format of EDI Common standards: ANSI
documents X12, EDIFACT – ensure
consistency and compatibility

4. Translation Converts internal data into standard Automates transformation and

Software EDI formats and vice versa validates compliance

5. Communication Protocols that ensure secure data Examples: AS2, SFTP; offer
Protocols transmission encryption and reliable
delivery

6. Acknowledgments Confirms delivery and receipt of EDI E.g., 997 Functional

documents Acknowledgment – ensures
message was received and
processed

RSA key generation with p=17p = 17p=17 and q=29q = 29q=29:

●​ N = p × q = 17 × 29 = 493​
 ●​ φ(N) = (p−1)(q−1) = 16 × 28 = 448​

●​ Choose E = 5 (since gcd(5, 448) = 1)​

●​ Find D, the modular inverse of E mod φ(N):​

D = 269, because 5×269≡1mod 4485 × 269 ≡ 1 \mod 4485×269≡1mod448​

✅ Final RSA Keys:

●​ Public Key (E, N) = (5, 493)​

●​ Private Key (D, N) = (269, 493)

Private Key vs Public Key :

Aspect Public Key Private Key

Visibility Shared openly with anyone Kept secret by the owner

Purpose Used to encrypt data or verify a Used to decrypt data or sign a

signature message

Ownership Known to everyone Known only to the key owner

Security Not confidential Must be kept secure

Pairing Works with a private key Works with a public key

Used in Public-key cryptography (e.g., RSA, Digital signatures, decryption

SSL)

Impact of EDI on Supply Chain Management in a Manufacturing Plant:

1.​ Improved Communication: Faster, real-time data exchange reduces

miscommunication and speeds up decision-making.​

2.​ Cost Reduction: EDI eliminates paper-based processes, reducing transaction,

printing, and storage costs.​

3.​ Better Inventory Management: Real-time updates help avoid stockouts and
overstocking, supporting Just-in-Time systems.​

4.​ Faster Order Processing: Automated order fulfillment and fewer errors speed up
processing and delivery times.​
 5.​ Stronger Relationships: EDI fosters better collaboration with suppliers and
customers, improving service and loyalty.​

6.​ Enhanced Planning: Real-time data aids in accurate demand forecasting and
efficient resource allocation.​

7.​ Greater Accuracy: Standardized data formats and digital audit trails ensure
accuracy and regulatory compliance.​

Conclusion: EDI streamlines processes, reduces costs, and improves efficiency,

enhancing overall supply chain management.

4 layers of EDI architecture:

Layer What It Does Examples

1. Application Layer Creates business documents ERP, CRM, WMS

for EDI use

2. Standard Format Converts data to EDI format ANSI X12, EDIFACT,

Layer Translators

3. Data Transport Layer Sends data securely between AS2, SFTP, VAN
partners

4. Interconnection Connects different VAN, B2B Gateways

Layer systems/networks

EDI Standards:
Standard Full Form Purpose

ANSI X12 American National Standards Institute Standard format for business
X12 documents like invoices, POs.

EDIFACT Electronic Data Interchange for Global EDI standard

Administration, Commerce, and developed by the UN.
Transport

TRADACOMS Trading Data Communications Retail-focused EDI standard.

Standard
 ODETTE Organization for Data Exchange by Used in logistics and
Tele Transmission in Europe manufacturing.

VDA Verband der Automobilindustrie Vehicle manufacturing and

supply chain.

HIPAA (EDI) Health Insurance Portability and For exchanging medical and
Accountability Act healthcare data.

##STUDY RSA AND DES , VPN and VAN

Spoofing is a type of cyberattack where a person or program disguises itself as a

trusted source to gain access to sensitive information or systems.

🔹 Types of Spoofing:
●​ Email Spoofing: Fake sender address to trick the recipient.​

●​ IP Spoofing: Falsifying IP address to hide identity or impersonate a trusted

device.​

●​ Website Spoofing: Creating fake websites that look like real ones to steal
login info.​

●​ Caller ID Spoofing: Masking phone numbers to trick users.

Cryptography is the science of securing information by converting it into a coded

format so that only authorized parties can read it.

✅ In short: It protects data through encryption to ensure confidentiality and

integrity.

Functions of Firewall in E-Commerce:

Function Description

1. Traffic Filtering Blocks or allows data based on IP address, port, or

protocol rules.
2. Access Control Restricts unauthorized access to internal systems or
networks.

3. Intrusion Detects and blocks suspicious or malicious activities.

Prevention

4. Data Protection Prevents leakage of sensitive customer and payment

data.

5. Monitoring & Keeps records of network activity for security audits

Logging and threat analysis.

6. VPN Support Enables secure remote access through Virtual Private

Networks.

Digital Signatures vs Digital Certificates – Quick Overview

Aspect Digital Signature Digital Certificate

Definition A cryptographic method to verify A file issued by a Certificate

the authenticity and integrity of a Authority (CA) to prove the
message or document. ownership of a public key.

Purpose Ensures that the message is not Binds an identity to a public

altered and is from the sender. key.

How it Created using the sender’s Contains the public key and
works private key and verified with the identity information, signed by
public key. a CA.
Example Signing contracts, emails, Securing websites (HTTPS),
Use software. encrypting emails.

Key Difference:

●​ A digital signature proves who sent a message and that it wasn’t changed.​

●​ A digital certificate proves who owns a public key used to verify the
signature.

🔑 Key Requirements of a Message Digest:

Requirement Description

1. Fixed Length Produces a hash of fixed size (e.g., 256 bits), regardless
Output of input size.

2. Deterministic Same input always results in the same output hash.

3. Collision It should be hard to find two different inputs with the

Resistance same hash output.

4. Pre-image Given a hash value, it should be hard to find the original

Resistance input.

5. Fast Computation Should compute the digest quickly even for large
inputs.

6. Avalanche Effect A small change in input should drastically change the

output hash.
Digital Certificate Contents

●​ Holder’s Name​

●​ Unique Serial Number​

●​ Expiration Date​

●​ Public Key of the holder​

●​ Digital Signature of the issuing authority

Common Causes for Revoking a Digital Certificate:

1.​ Private Key Compromise: If the private key is lost or stolen.​

2.​ Information Change: Changes in the holder's details (e.g., name,

organization).​

3.​ Certificate Authority (CA) Compromise: If the issuing CA is compromised.​

4.​ Policy Violation: If the holder violates the terms of the certificate.​

5.​ Expired Certificate: Use of an expired certificate.

Key Wrapping – Simple Definition

Key Wrapping is the process of encrypting a cryptographic key (e.g., for encryption)
along with necessary metadata to keep it secure during storage or transmission.

How it Works:

●​ Encrypt the Key: A key is encrypted using another key.​

●​ Wrap and Secure: The encrypted key and metadata are bundled together for
protection.​

●​ Unwrap when Needed: To use the key, it is decrypted (unwrapped) using the
appropriate key.​
Usefulness:

●​ Secure Key Transfer: Keeps keys safe during transmission.​

●​ Protection: Ensures sensitive encryption keys are kept confidential.​

Key wrapping is commonly used in secure protocols to manage encryption keys

securely.

Software Piracy

Software piracy is the illegal copying, distribution, or use of software without

proper authorization from the creator or publisher. It violates intellectual property
rights and can lead to legal consequences. Types of software piracy include
counterfeit software, softlifting, and online piracy.

Intrusion Detection System (IDS)

An Intrusion Detection System (IDS) monitors network or system activities for

malicious activities or policy violations. It alerts administrators about potential
security threats, such as unauthorized access or cyberattacks. IDS can be
network-based (NIDS) or host-based (HIDS).

Secure Channel and Cryptography

●​ Secure Channel: A communication path that ensures confidentiality and

integrity of transmitted data, often using encryption to prevent
eavesdropping and tampering.​

●​ Cryptography: The practice of securing information through encryption,

ensuring data confidentiality, integrity, and authenticity. It uses algorithms
to convert data into unreadable formats that can only be decoded with the
appropriate key.

Message Digest

A Message Digest is a fixed-length cryptographic hash value generated from

input data. It is used to verify data integrity, ensuring that the data has not been
altered during transmission. Common algorithms include MD5, SHA-1, and
SHA-256.

Hidden Costs of ERP – Justification (Short Notes)

a) Customization:​
Custom changes to fit business needs can be expensive, time-consuming, and
difficult to maintain during system upgrades.

b) Training:​
Employees need extensive training to use ERP efficiently, which involves time,
cost, and productivity loss.

c) Sales and Distribution:​

Aligning ERP with sales processes may need workflow changes and extra setup,
increasing indirect costs.

d) Integration & Testing:​

Ensuring ERP works with existing systems and testing for bugs require
additional time, tools, and technical support.

e) Consultants:​
Hiring ERP experts or consultants adds substantial fees and can prolong
implementation timelines.

f) All of These:​
Each contributes to the total cost beyond initial purchase, making them
significant hidden costs of ERP systems.

Direct Benefits of ERP Systems

1.​ Improved Productivity – Automates routine tasks and streamlines

processes, reducing manual work.​

2.​ Better Decision-Making – Real-time data and analytics help managers make
informed decisions.​

3.​ Enhanced Efficiency – Integrates departments, improving coordination and

eliminating duplication.​

4.​ Cost Reduction – Reduces operational and inventory costs through better
planning and resource management.​

5.​ Improved Customer Service – Faster response times and accurate order
processing enhance customer satisfaction.​
 6.​ Data Accuracy & Consistency – Centralized database ensures uniform and
error-free data across departments.​

7.​ Regulatory Compliance – Helps track and report data needed for legal and
industry compliance.

✅ What is ERP (Enterprise Resource Planning)?

ERP is a comprehensive software system used by organizations to integrate and
manage their core business processes, such as finance, HR, manufacturing,
supply chain, sales, and customer service.​
It uses a centralized database to ensure consistency and real-time access to data
across departments.

Key Features:

●​ Real-time data access​

●​ Cross-functional integration​

●​ Automation of routine tasks​

●​ Improved accuracy and reporting​

Example: A retail company uses ERP to manage inventory, track sales, and
automate payroll in one unified system.

✅ What is Business Process Redesign (BPR)?

Business Process Redesign is a strategic approach to analyzing and improving
business workflows to achieve significant improvements in performance (e.g.,
speed, cost, quality).

BPR may involve:

●​ Eliminating unnecessary steps​

●​ Automating manual tasks​

 ●​ Reassigning roles or responsibilities​

●​ Redesigning entire business functions​

Example: Replacing a manual invoice approval process with an automated

workflow to reduce processing time from 5 days to 1 day.

✅ Why is BPR necessary before implementing ERP?

Implementing ERP without BPR means automating inefficient or outdated
processes.​
BPR helps in:

●​ Identifying process flaws before ERP integration​

●​ Aligning processes with best industry practices​

●​ Reducing customization needs in ERP​

●​ Ensuring smoother ERP adoption with optimized workflows​

In short: BPR clears the path for ERP to function effectively and deliver its full
potential.

✅ What is a Data Warehouse?

A Data Warehouse is a specialized system used to store, manage, and analyze
large volumes of historical data collected from multiple sources within a
business.

Unlike databases meant for daily operations (OLTP), a data warehouse is used for
analytical purposes (OLAP), helping in business intelligence and
decision-making.

Key Functions:

●​ Stores structured, historical data​

●​ Supports reporting and dashboards​

 ●​ Consolidates data from ERP, CRM, and other systems​

Utility:

●​ Helps detect trends and patterns​

●​ Supports strategic planning​

●​ Improves forecasting and decision-making

✅ Relationship between ERP and E-Commerce

ERP and E-Commerce are complementary systems in a business.

●​ E-Commerce manages the customer-facing side — product display,

shopping cart, and online payments.​

●​ ERP manages the back-end operations — inventory, order processing,

shipping, and financials.​

Integration Benefits:

●​ Real-time inventory updates on the website​

●​ Faster order processing and shipping​

●​ Unified customer and order data​

●​ Improved accuracy and customer satisfaction

Example: When a customer places an order online, the e-commerce system

sends the order to the ERP, which updates inventory, processes payment,
generates an invoice, and initiates shipping.

​
Why ERP projects fail:

●​ Unclear Goals: No defined objectives or KPIs.​

●​ Poor Planning: Unrealistic timelines or budgets.​

 ●​ Change Resistance: Employees resist due to fear or lack of involvement.​

●​ Lack of Training: Users don’t understand how to use the system.​

●​ Over-Customization: Makes system complex and hard to maintain.​

●​ Wrong Vendor: Poor fit or lack of support.​

●​ Bad Data: Inaccurate or incomplete data disrupts operations.​

●​ Skipping BPR: Old workflows not optimized before ERP.​

●​ Hidden Costs: Training, upgrades, and integration costs overlooked.​

●​ Weak Leadership: No strong executive support to drive success.

a) What is Business Integration and how do ERP systems achieve it?

Business Integration refers to the seamless coordination of various business

functions—like finance, HR, sales, and supply chain—into a unified system.

ERP systems achieve Business Integration by:

●​ Centralizing Data: All departments share a common database, reducing

duplication and errors.​

●​ Automating Processes: Cross-functional workflows (e.g., order-to-cash)

are automated and streamlined.​

●​ Real-Time Information: Provides up-to-date data across departments for

faster, better decision-making.​

●​ Standardizing Operations: Enforces consistent practices across all units of

the organization.

✅ b) Critical Success Factors for ERP Implementation:

Factor Importance

1. Top Management Support Ensures funding, leadership, and priority

alignment.
2. Clear Goals & Objectives Sets the direction and success criteria.

3. Effective Change Manages user resistance and ensures

Management smooth transition.

4. User Training Ensures users understand and use the

system effectively.

5. Right ERP Vendor A vendor aligned with business needs and

provides strong support.

6. Proper Data Migration Ensures clean, accurate, and complete data

transfer.

7. Business Process Adapts business workflows to align with ERP

Reengineering (BPR) best practices.

8. Project Management Controls scope, budget, timeline, and risks

effectively.

Reasons for the Growth of the ERP Market:

1.​ Globalization of Business:​

○​ Companies expanding internationally need integrated systems to

manage global operations.​

2.​ Demand for Real-Time Information:​

○​ Businesses want instant access to accurate data for

decision-making.​

3.​ Need for Improved Productivity:​

○​ ERP automates routine tasks and reduces manual effort, improving

efficiency.​

4.​ Regulatory Compliance:​

○​ ERP helps businesses comply with tax laws, industry standards, and
financial regulations.​
 5.​ Technology Advancements:​

○​ Cloud-based ERP, AI, and mobile access have made ERP systems
more scalable and accessible.​

6.​ Integration Needs:​

○​ Businesses seek systems that unify all departments (HR, finance,

sales, inventory, etc.) under one platform.​

7.​ Increased Competition:​

○​ To stay competitive, companies adopt ERP for better customer

service, speed, and accuracy.

✅ Advantages of ERP System:

Advantage Description

1. Integrated Information One unified system for all departments, reducing

duplication.

2. Improved Efficiency Automates processes, saving time and reducing

errors.

3. Better Decision Making Real-time reporting and analytics for informed

business decisions.

4. Scalability Easily adapts to new processes, users, or

locations.

5. Enhanced Productivity Streamlined workflows and improved employee

performance.
6. Regulatory Helps meet legal and industry standards.
Compliance

7. Improved Customer Faster order processing and accurate inventory

Service management.

a) SAP (Systems, Applications, and Products in Data Processing)

●​ SAP is one of the leading ERP software providers in the world.​

●​ It offers integrated business solutions for finance, logistics, HR, and other
functions.​

●​ Helps organizations automate and manage core processes in real time.

b) EAI (Enterprise Application Integration)

●​ EAI refers to the process of linking different enterprise applications within an

organization.
●​ It allows data and processes to flow seamlessly across systems like ERP, CRM,
SCM, etc.
●​ Reduces data silos and improves interoperability between software applications.

c) BAAN

●​ BAAN is an ERP software originally developed by a Dutch company.

●​ It provides solutions mainly for manufacturing, logistics, and supply chain
management.
●​ Known for its strong functionality in production planning and industrial
applications.