E-COMMERCE

Unit 1 – Introduction
1. Define E-Commerce
E-Commerce simply means buying or selling anything using the internet. Whether it's clothes, books, or services, it
happens through online platforms between sellers and buyers.

2. Define ERP
ERP stands for Enterprise Resource Planning. It's a software that helps businesses run smoothly by handling different
tasks like managing money, stock, and staff – all in one system.

3. Define E-Governance
E-Governance is about using technology, like the internet, to offer government services faster and more
transparently to people, businesses, and other departments.

4. Define Traditional Business

A traditional business is where buying and selling happen face-to-face, like in physical shops or offices. It doesn’t
involve online transactions or internet use.

5. What is Mobile Commerce?

Mobile Commerce (or M-Commerce) lets people shop or sell using their smartphones or tablets. You can browse,
pay, and get products delivered – all from your mobile device.

6. Define E-CRM
E-CRM stands for Electronic Customer Relationship Management. It uses technology to help businesses understand
and support their customers better by storing their data and managing communication.

7. What are the Two Advantages of E-Commerce?

• Wider Reach: E-commerce lets businesses connect with customers from many places without setting up
physical stores.
• Lower Costs: It saves on things like rent and staff since everything happens online, reducing business
expenses.

1. Name the Major Players of E-Commerce (5 Marks)

Introduction:
E-commerce companies are the ones that give platforms where buyers and sellers meet online. These companies
have made shopping from home possible.
Major Players of E-Commerce:
• Amazon: A global online giant known for its huge variety of products and fast delivery services.
• Flipkart: A top Indian online shopping site, especially famous during festive sales and offers.
• Alibaba: A Chinese platform known for wholesale trade, mainly used by suppliers and businesses around the
world.
• eBay: An online marketplace where people can sell or auction items to others globally.
• Meesho: A growing Indian app that helps small sellers and resellers start their own business without any
initial cost.

2. Discuss the Importance of E-Commerce (5 Marks)

Introduction:
E-commerce has made shopping easier, faster, and more flexible for both customers and businesses.
Importance of E-Commerce:
• Wider Market Reach: Businesses can sell to people all over the world, not just their local area.
• Lower Operating Costs: Since there’s no need for a shop or too many workers, businesses can save money.
• 24/7 Availability: Online stores never close – customers can buy anything, anytime.
• Better Customer Experience: Buyers get product details, reviews, and many payment choices, which help in
making better decisions.
• Fast and Easy Transactions: From payment to doorstep delivery, everything is quick and smooth.
3. Discuss Any 5 Features of E-CRM and ERP (5 Marks)
Introduction:
E-CRM and ERP are smart tools businesses use to improve how they operate and interact with customers, all using
technology.
Features:
• Integration of Data: Everything – customer info, inventory, accounts – is stored together for easy access.
• Automation of Tasks: Regular jobs like billing or sending emails are done automatically, saving time.
• Customer Interaction Management: E-CRM helps businesses stay in touch with customers through
messages, calls, or support.
• Real-Time Information: ERP systems provide live updates, helping with faster decisions.
• Improved Efficiency: These tools make the work quicker and more accurate, improving customer service.

4. What are the Components of E-Commerce (5 Marks)

Introduction:
E-commerce works well because of a few key components that handle everything from displaying items to delivering
them.
Components:
• Website or Online Store: This is where customers see products, read descriptions, and place orders.
• Electronic Payment System: Lets people pay online using UPI, cards, wallets, etc., in a safe and speedy way.
• Logistics and Delivery: Takes care of storing, packing, and getting items delivered to buyers.
• Customer Support: Offers help through chat, email, or calls when customers face issues.
• Marketing and Promotion: Uses online ads, discounts, and social media to attract shoppers.

5. What are the Importance of E-Governance (5 Marks)

Introduction:
E-Governance makes it easier for people to access government services from their phones or computers.
Importance:
• Faster Government Services: Tasks like filing taxes or applying for documents can be done quickly online.
• Improved Transparency: Since everything is tracked digitally, there’s less chance of corruption.
• Cost and Time Saving: No need to stand in long queues – both people and government save time and
money.
• Better Communication: Government offices can share data and work together more efficiently.
• Citizen Empowerment: People can give feedback or raise complaints easily, making governance more
inclusive.

6. Distinguish Between Traditional Business and E-Business (5 Marks)

Introduction:
While traditional business works through shops and in-person interaction, E-business uses online platforms to
operate.
Differences:
Point Traditional Business E-Business
Mode of Operation In shops, physically Operates via websites or mobile apps
Customer Reach Limited to nearby areas Can reach customers anywhere in the world
Cost Involved High setup costs (rent, staff) Lower costs – no need for physical stores
Working Hours Fixed hours Open 24/7
Interaction Method Face-to-face with customers Through chat, emails, or calls

7. Discuss the Advantages and Disadvantages of E-Commerce (10 Marks)

Introduction:
E-Commerce has changed how we shop. It’s convenient and efficient, but like anything else, it comes with both
benefits and some challenges.
A. Advantages:
1. Wide Market Reach: Businesses can connect with customers from across the country or globe.
2. Low Operating Costs: Online operations save on rent, electricity, and staff costs.
3. 24/7 Availability: Shoppers can browse and buy anytime they want.
4. Faster Buying Process: It's quicker to compare products and place orders online than visiting multiple stores.
5. Better Customer Data: Online stores track customer preferences, which helps in giving personalised offers.
B. Disadvantages:
1. Lack of Personal Touch: You can't physically try or feel a product before buying.
2. Dependence on Internet and Tech: A poor internet connection can disrupt the experience.
3. Delivery Delays: Sometimes products arrive late or damaged, reducing trust.
4. Security and Privacy Risks: There's always a chance of fraud or data breaches online.
5. High Competition: Small sellers may struggle due to price wars and big players in the market.
 Unit 2 – E-commerce Business Models
1. What is a Business Model?
A business model is like a plan that explains how a company runs its operations, earns money, and delivers its
products or services to customers.
Example:
An online clothing store that sells directly through a website is using an e-commerce business model.

2. What is B2B?
B2B (Business-to-Business) is a type of e-commerce where one business sells products or services to another
business through the internet.
Example:
A wholesaler selling raw materials to a manufacturing company through an online portal.

3. What is B2C?
B2C (Business-to-Consumer) is when a business directly sells products or services to the general public using online
platforms.
Example:
Buying a mobile phone from Flipkart or Amazon is a B2C transaction.

4. What is B2G?
B2G (Business-to-Government) is a model where businesses sell goods or offer services to government departments
through digital platforms.
Example:
A software company providing IT services to a government office through an online tender.

5. What is C2C?
C2C (Consumer-to-Consumer) is when individuals sell products or services to other individuals through online
platforms.
Example:
Selling an old laptop to someone on OLX or Quikr.

6. What is C2B?
C2B (Consumer-to-Business) is when individuals offer their products or services to companies online.
Example:
A freelancer designing a company logo on Fiverr or Upwork.

7. What is a Revenue Model?

A revenue model explains how a business earns money—whether it’s through product sales, subscriptions, ads, or
other methods.
Example:
Netflix earns money from monthly subscriptions—this is its revenue model.

1. Difference Between B2B and B2C (5 Marks)

Introduction:
B2B and B2C are both types of e-commerce models. While both involve online transactions, they differ in customer
type, transaction size, and decision-making process.
Point B2B (Business to Business) B2C (Business to Consumer)
Meaning One business sells to another business A business sells to individual customers
Target Customer Companies, wholesalers, or retailers General public or end-users
Transaction High-value, bulk orders Smaller quantities, low-value
Value purchases
Decision-Making Formal, based on business needs Personal, quick decisions
Relationship Type Long-term partnerships Usually short-term or one-time
Example A company buying office chairs from a A person buying a chair online
manufacturer
2. Explain the Different Types of B2B Market (5 Marks)
Introduction:
The B2B market is vast and involves many types of businesses that buy and sell goods or services to each other for
running operations or reselling.
Types of B2B Markets:
● 1. Producer Market
These are businesses that buy raw materials or parts to make final products.
Example:
A car manufacturer buying tyres from another company.

● 2. Reseller Market
These are businesses that buy goods and sell them again without any modification.
Example:
Wholesalers or retailers who buy in bulk and resell to end-users.

● 3. Government Market
Government bodies that purchase products or services for public use.
Example:
A tech firm selling networking equipment to a state government.

● 4. Institutional Market
Non-profit organisations like schools, hospitals, or NGOs that buy products or services for internal use.
Example:
A hospital buying medicines and medical tools.

● 5. Service Providers
Businesses that offer services (like IT, transport, advertising) to other businesses to help them run efficiently.
Example:
A logistics firm providing delivery services to an e-commerce company.

3. Benefits of B2B and B2C (5 Marks)

Introduction:
Both B2B and B2C models help businesses in different ways. They have their own advantages depending on how and
to whom they sell.

A. Benefits of B2B:
● 1. Bulk Orders = More Revenue
B2B deals are often large in quantity and value, boosting overall sales.
● 2. Long-Term Clients
Business clients often place repeat orders, creating long-lasting relationships.
● 3. Predictable Demand
Businesses usually place regular orders, which helps in better planning and forecasting.
● 4. Customised Solutions
Sellers can offer tailor-made products or services as per the client’s needs.

B. Benefits of B2C:
● 1. Large Customer Base
Businesses can reach a wide audience using websites, ads, and social media.
● 2. Instant Sales
Customers can quickly place orders without much back-and-forth.
● 3. Low Start-Up Cost
It’s easier and cheaper to start a small online store with minimal investment.
● 4. Quick Feedback
Customers leave reviews or ratings, helping businesses improve their offerings.
 Unit 3 – E-Payment System
1. Define Electronic Payment System
An electronic payment system is a way of paying for things online without using cash. It lets people and businesses
make payments using the internet or digital platforms like UPI, debit cards, credit cards, etc.

2. Define Payment Gateway

A payment gateway is a secure online service that handles payments between buyers and sellers. It makes sure the
money is safely transferred from the customer’s account to the seller’s bank.

3. What is a Debit Card?

A debit card is a payment card linked directly to your bank account. When you use it, the money is instantly
deducted from your account.
Example:
Swiping your debit card at a store to pay for groceries.

4. What is a Credit Card?

A credit card lets you borrow money from the bank to make purchases, which you pay back later—usually at the end
of the billing month.
Example:
Buying a phone with a credit card and repaying the amount in the next month.

5. What is UPI?
UPI (Unified Payments Interface) is a mobile-based system that allows you to send or receive money instantly
between bank accounts using apps.
Example:
Using PhonePe or Google Pay to send money to a friend instantly.

6. What is a Smart Card?

A smart card is a plastic card that has a small chip inside it. This chip stores important data and allows secure
transactions, like withdrawing money or swiping to pay in stores.

7. What is a Digital Wallet?

A digital wallet is a mobile app or software that stores your money and allows you to pay digitally.
Example:
Apps like Paytm, PhonePe, and Google Pay used for online shopping or mobile recharges.

8. Define Digital Signature

A digital signature is like an electronic version of your handwritten signature. It’s used to prove that a digital message
or document really came from you and hasn’t been changed.

9. Define E-Cheque
An e-cheque is just like a normal cheque, but it's created and sent electronically. It transfers money directly from a
person’s bank account to someone else’s using the internet.

10. Define E-Wallet

An e-wallet is a digital wallet on your phone or computer where you can store money and use it to make payments.
Examples include Paytm, PhonePe, and Google Pay.
11. Define NEFT
NEFT stands for National Electronic Funds Transfer. It allows you to send money from one bank to another across
India using a secure online network. It’s mostly used for transferring amounts in batches throughout the day.

12. Define Net Banking/Internet Banking.

Net banking means using the internet to do banking activities, like checking your balance, paying bills, or transferring
money, without going to the bank.
13. Define RTGS
RTGS means Real-Time Gross Settlement. It’s a system where large amounts of money are transferred instantly from
one bank to another. It’s mostly used for high-value transfers.

14. What is EFT?

EFT (Electronic Funds Transfer) allows people to send money from one bank account to another electronically,
without cash.
Example:
Transferring money using NEFT or RTGS.

15. What is a Digital Signature?

A digital signature is an electronic version of a physical signature. It’s used to verify your identity and ensure that
digital documents aren’t tampered with.
Example:
Digitally signing a PDF contract before sending it.

16. What is Internet Banking?

Internet banking lets users access and manage their bank accounts online using their computer or phone.
Example:
Paying utility bills or checking your balance through your bank’s website.

1. What are the Risks Involved in E-Payments? (5 Marks)

Introduction:
While digital payments are quick and convenient, they also come with certain risks related to technology, fraud, and
human error.
Major Risks:
● 1. Fraud and Hacking:
Cybercriminals may steal card details or banking information through phishing or malware.
● 2. Technical Issues:
Payment may fail due to server problems or poor internet connection, leading to frustration.
● 3. Phishing and Fake Links:
Users may get tricked by fake emails or websites asking for sensitive details.
● 4. Password Leaks:
If users don’t protect their passwords or PINs, their accounts can be misused.
● 5. Transaction Mistakes:
Sending money to the wrong account due to typing errors.
● 6. Lack of Digital Awareness:
Some users are not comfortable with online payments, which increases the chances of mistakes.

2. Difference Between Debit Cards and Credit Cards (5 Marks)

Introduction:
Debit and credit cards look similar but function differently. Let’s see how they differ.
Point Debit Card Credit Card
Source of Funds Uses your own money from bank Borrowed money from bank
account
Payment Deducts money immediately Payment done later (usually monthly)
Timing
Spending Limit Limited to your bank balance Pre-approved credit limit
Interest No interest charged Interest charged if bill isn’t paid on time
Usage Best for regular spending Useful for credit purchases and building credit
history
Risk Level Lower risk Higher risk of overspending or debt
3. What are the Different Types of E-Payment Systems? (5 Marks)
Introduction:
There are many ways to make digital payments. These systems vary based on how the transaction is made.
Types of E-Payment Systems:
● 1. Debit Cards – Money comes directly from your bank account.
● 2. Credit Cards – Allows you to buy now and pay later.
● 3. UPI – Instant money transfer between bank accounts via mobile apps.
● 4. Mobile Wallets – Apps like Paytm or Google Pay that store money for quick payments.
● 5. Internet Banking – Online access to bank services like fund transfers and bill payments.
● 6. NEFT/RTGS/IMPS – Bank-to-bank transfer systems used for sending money electronically.

4. Features of CBS (Core Banking System) (5 Marks)

Introduction:
CBS is a banking system that allows you to access your account and perform transactions from any branch of your
bank.
Key Features:
● 1. Centralised Database
All banking data is stored in one place, accessible from any branch.
● 2. Anywhere Banking
You can use your account from any branch, not just your home branch.
● 3. Real-Time Updates
Transactions are reflected instantly in your account.
● 4. One System, Many Services
Includes fund transfers, loan management, ATM services, and more.
● 5. Saves Time and Paperwork
Reduces manual work and makes banking quicker.
● 6. Better Customer Service
Helps staff resolve your issues faster by accessing your records quickly.

5. What is the Importance of Online Banking? (5 Marks)

Introduction:
Online banking makes banking easier, quicker, and available anytime. It’s helpful for both customers and banks.
Why It Matters:
● 1. 24/7 Access:
You can use banking services any time—even on holidays.
● 2. Saves Time:
No need to visit the bank for small tasks like checking balance or fund transfers.
● 3. Cost Effective for Banks:
Reduces costs of paper, staff, and office operations.
● 4. Quick Transactions:
Payments and transfers happen fast and securely.
● 5. Better Record-Keeping:
You can check past transactions and download statements easily.
● 6. Eco-Friendly:
Reduces the need for paper, helping the environment.

6. What are the Benefits of Digital Signature? (5 Marks)

Introduction:
A digital signature is like an online version of your handwritten signature. It proves who you are and makes sure the
document hasn't been changed.
Benefits of Digital Signature:
● 1. High Security:
It uses encryption, which makes sure your documents are safe and can’t be altered.
● 2. Saves Time:
You don’t have to print, sign, and scan. You can sign documents instantly online.
● 3. Legally Valid:
Digital signatures are accepted under Indian law and used in official documents.
● 4. Cost Saving:
No need for paper, ink, or courier services—it cuts down on all those costs.
● 5. Eco-Friendly:
Reduces paper usage and supports the environment.
● 6. Easy to Use:
You can sign many documents quickly using software—very useful in offices and government work.

7. Discuss the Types of Fund Transfer (5 Marks)

Introduction:
Fund transfer means sending money from one account to another. There are various ways to do this, especially with
online banking.
Types of Fund Transfers:
● 1. NEFT (National Electronic Funds Transfer):
Transfers money in batches; works 24×7; takes a few hours.
● 2. RTGS (Real-Time Gross Settlement):
Used for large transactions (above ₹2 lakhs); transfers money instantly and individually.
● 3. IMPS (Immediate Payment Service):
Sends money instantly—works 24/7, even on holidays.
● 4. UPI (Unified Payments Interface):
Mobile-based system for fast, real-time transfers using apps like PhonePe, Paytm.
● 5. ATM Fund Transfer:
Some banks let you send money using ATMs (specially to accounts in the same bank).
● 6. Mobile Banking Transfer:
Use mobile banking apps to send money using NEFT, UPI, IMPS, etc.

1. What are the Advantages and Disadvantages of Credit and Debit Cards? (10 Marks)
Advantages of Credit Cards:
1. Buy Now, Pay Later:
Helps in emergencies when you don’t have cash. You pay later, usually at the month’s end.
2. Builds Credit Score:
Timely payments improve your credit history, which is helpful when applying for loans.
3. Emergency Backup:
Useful in travel or medical emergencies when instant money is needed.
4. Rewards and Cashback:
Many cards offer reward points, discounts, or cashback for shopping.
5. Fraud Protection:
If your card is lost or stolen, the bank often covers you against unauthorized use.

Disadvantages of Credit Cards:

1. High Interest Charges:
If you don’t pay the full amount, banks charge high interest on the remaining balance.
2. Overspending Risk:
Since payment is delayed, users might spend more than necessary.
3. Debt Trap:
Paying only the minimum amount can lead to long-term debt.
4. Hidden Charges:
Cards may have annual fees, late payment charges, and other hidden costs.
5. Credit Score Damage:
Late or missed payments can reduce your credit score.

Advantages of Debit Cards:

1. Direct Account Usage:
Money is taken directly from your account, helping you control spending.
2. No Interest or Debt:
You’re using your own money, so there’s no risk of falling into debt.
3. Quick and Convenient:
Useful for fast payments, both online and in stores.
 4. Widely Accepted:
Can be used almost everywhere—for shopping, travel, etc.
5. Easy to Get and Use:
Banks provide them easily with savings accounts; simple to use with a PIN.

Disadvantages of Debit Cards:

1. No Credit Facility:
You can only spend what you have; can’t buy on credit.
2. Lower Security (Sometimes):
If your card and PIN are stolen, money can be taken immediately.
3. No Rewards or Perks:
Most debit cards don’t offer rewards, cashback, or discounts.
4. Daily Spending Limits:
Banks often set a limit on how much you can spend or withdraw daily.
5. Limited Protection for Disputes:
Getting refunds for failed transactions or frauds can be harder than with credit cards.

2. What are the Advantages and Disadvantages of Digital Signature and Digital Wallets? (10 Marks)
A. Advantages of Digital Signature:
1. Highly Secure:
Uses encryption to protect documents from tampering.
2. Time-Saving:
Documents can be signed instantly without any physical effort.
3. Legally Accepted:
Digital signatures are valid under India’s IT Act.
4. Cost-Effective:
No paper, ink, or courier cost—saves money.
5. Easy Storage:
Signed files can be stored digitally and accessed when needed.
Disadvantages of Digital Signature:
1. Needs Internet and Software:
Can’t use without a device and digital access.
2. Requires Technical Knowledge:
Not everyone is comfortable using digital signature software.
3. Expiry and Renewal:
Digital signature certificates expire and must be renewed periodically.
4. Security Risk if Misused:
If your private key is stolen, someone can misuse your identity.
5. Limited Acceptance:
Some places still prefers handwritten signatures.

B. Advantages of Digital Wallets:

1. Fast and Easy Payments:
You can pay instantly using your phone.
2. 24/7 Access:
Available anytime—no need to carry cash or cards.
3. Safe and Secure:
Most wallets are protected with passwords, OTP, or biometrics.
4. No Physical Wallet Needed:
Everything is on your phone.
5. Rewards and Discounts:
Many apps give cashback and deals on payments.
Disadvantages of Digital Wallets:
1. Needs Internet:
No transaction is possible without data or Wi-Fi.
2. Not Accepted Everywhere:
Some small shops or vendors don’t accept wallet payments.
3. Phone Loss Risk:
If your phone is lost or hacked, your money could be misused.
4. Limits on Large Transactions:
Many wallets have upper limits on how much you can pay.
5. Recharge Required:
You have to load money into the wallet in advance.

3. Advantages and Disadvantages of Online Banking (10 Marks)

Advantages of Online Banking:
1. 24/7 Access:
You can check balance, transfer money, or pay bills anytime—even on holidays.
2. Time-Saving:
No need to visit the bank for basic tasks.
3. Easy Fund Transfers:
Transfer money instantly via UPI, NEFT, or IMPS.
4. Lower Costs:
Banks save on staff and paperwork; customers save travel time.
5. Better Tracking:
You can view past transactions and download statements anytime.

Disadvantages of Online Banking:

1. Cybersecurity Risks:
Hackers can steal data or money if safety measures aren’t followed.
2. Internet Required:
Can’t use the service without a stable internet connection.
3. Technical Glitches:
Bank servers or apps may crash or be temporarily down.
4. No Personal Touch:
Unlike visiting a branch, there’s no face-to-face support.
5. Digital Illiteracy:
Elderly or less tech-savvy people may find online banking difficult.
 Unit 4 – New Trends in E-Commerce
1. What is Social Commerce?
Social commerce means buying and selling products directly through social media platforms. It combines shopping
with apps like Instagram, Facebook, etc.
Example:
Ordering a dress directly from an Instagram store without visiting any website.

2. What is Digital Marketing?

Digital marketing is the promotion of products or services through online platforms like websites, apps, emails, and
search engines.
Example:
Running ads on Google or promoting a business through YouTube videos.

3. What is Advertisement?
Advertisement is a way for businesses to inform or persuade customers to buy their products or services through
different channels.
Example:
TV commercials, YouTube ads, and newspaper banners are all forms of advertisements.

4. What is Advertisement in Social Media?

It refers to paid promotions done through platforms like Facebook, Instagram, or Twitter to target specific users.
Example:
A paid Facebook ad showing a sale on headphones to users aged 18–30.

1. Explain the Features of E-Commerce (5 Marks)

Introduction:
E-commerce allows people to buy and sell through the internet. It offers many features that make it different from
traditional ways of doing business.
Key Features:
● 1. Online Buying and Selling:
Everything—from browsing products to payment—happens on websites or apps.
● 2. Global Reach:
E-commerce allows sellers to reach buyers in different cities, states, or even countries.
● 3. 24/7 Availability:
Online stores never close. Customers can shop anytime—day or night.
● 4. Digital Payments:
Customers can use UPI, debit cards, credit cards, or wallets for secure payments.
● 5. Lower Cost:
No need for big showrooms or many employees—this saves on business expenses.
● 6. Real-Time Info:
Customers get live updates on product stock, prices, offers, and delivery.

2. Explain the Objectives of Digital Marketing (5 Marks)

Introduction:
Digital marketing helps businesses promote their products using the internet. It’s goal-driven and helps brands grow
their online presence.
Main Objectives:
● 1. Build Brand Awareness:
Let people know the brand exists and what it offers.
● 2. Increase Sales:
Convert website visitors or social media users into buyers.
● 3. Cost-Effective Promotion:
It’s cheaper than print or TV ads and offers more accurate targeting.
● 4. Better Customer Engagement:
Helps brands talk to customers through likes, comments, or direct messages.
● 5. Target Specific Groups:
Ads can reach users based on age, location, interests, or behaviour.
● 6. Track Results Easily:
Businesses can measure ad performance through clicks, views, and conversions.

3. Explain the Methods of Digital Marketing (5 Marks)

Introduction:
There are many ways companies promote products online. These are called methods of digital marketing.
Popular Methods:
● 1. SEO (Search Engine Optimization):
Improving your website to appear higher in Google search results.
● 2. Social Media Marketing (SMM):
Promoting through posts and ads on platforms like Facebook, Instagram, or Twitter.
● 3. Email Marketing:
Sending promotional emails, newsletters, or offers to customers.
● 4. Content Marketing:
Publishing blogs, videos, or infographics to attract and educate customers.
● 5. PPC (Pay-Per-Click) Ads:
Paid ads that charge only when someone clicks on them.
● 6. Influencer Marketing:
Partnering with social media personalities to promote products to their followers.

4. Explain the Limitations of Digital Marketing (5 Marks)

Introduction:
Although digital marketing is powerful, it also comes with some challenges that can affect its success.
Limitations:
● 1. Needs Internet Access:
If people don’t have internet or smartphones, you can’t reach them.
● 2. High Competition:
Too many ads from different brands make it hard to stand out.
● 3. Privacy Issues:
Collecting customer data may raise concerns about privacy and security.
● 4. Technical Problems:
Slow websites or app crashes can lose customer trust.
● 5. Public Complaints:
Negative feedback on social media can damage a brand’s image quickly.
● 6. Constant Attention Required:
Campaigns need regular monitoring and updates to stay effective.

5. Briefly Discuss Advertisement in Social Media (5 Marks)

Introduction:
Social media ads help companies promote products on platforms like Instagram, Facebook, and Twitter using
targeted paid promotions.
Key Points:
● 1. Targeted Ads:
Ads can be shown to a selected audience based on age, interest, or location.
● 2. Budget-Friendly:
Even small businesses can run ads on a low budget.
● 3. Boosts Brand Visibility:
Frequent ads increase recognition and trust.
● 4. Real-Time Feedback:
Customers can react, comment, and share instantly.
● 5. Trackable Metrics:
Businesses can check clicks, views, and engagement easily.
● 6. Flexible Formats:
Ads can be images, videos, stories, or reels to attract users.
1. Applications of E-Commerce in Various Sectors (10 Marks)
Introduction:
E-commerce is used in many sectors to make services easier, faster, and more accessible to users.
Key Applications:
1. Retail and Shopping:
Online sites like Amazon and Flipkart allow people to shop for clothes, electronics, and more from home.
2. Banking and Finance:
People can transfer money, apply for loans, and check balances through net banking or apps.
3. Education and E-Learning:
Platforms like BYJU’S and Coursera help students attend classes and access study materials online.
4. Healthcare:
Users can book doctor appointments, order medicines, and check lab reports digitally.
5. Travel and Tourism:
Tickets, hotels, and vacation packages can be booked through apps like IRCTC and MakeMyTrip.
6. Entertainment:
Platforms like Netflix and YouTube offer movies, shows, and music through e-commerce.
7. Real Estate:
People can explore properties online, view pictures, and schedule virtual tours.
8. Job Portals:
Websites like Naukri.com or LinkedIn allow people to apply for jobs and companies to hire candidates.
9. Government Services:
Citizens can pay taxes, apply for IDs, or download certificates through government portals.
10. Agriculture:
Farmers can buy seeds, tools, and even sell their crops through agri-commerce platforms.
Extra Use Cases:
● Food Delivery:
Apps like Zomato and Swiggy deliver food from restaurants to your home.
● Logistics and Courier:
E-commerce depends on delivery services to move goods efficiently.