Beruflich Dokumente
Kultur Dokumente
SUBMITTED BY
CONDUCTED BY
UNIVERSITY OF MUMBAI
ACADEMIC YEAR
2015 - 2016
CERTIFICATE
We hereby certify that Mst:Ajay kumar anil of Deeps MIDC college of
Management studying in TYBMS has completed project on, global trend in
ecommerce in the Academic year 2015-16. The information submitted in the
academic year 2015-16. The information submitted in the project is true and
original to the best of our knowledge.
Project Guide:
Principal
Internal Examiner:
External Examiner:
College Seal
DECLARATION
ACKNOWLEDGEMENT
PREFACE
E-commerce as anything that involves an online transaction. E-commerce provides
multiple benefits to the consumers in form of availability of goods at lower cost,
wider choice and saves time. The general category of e-commerce can be broken
down into two parts: E-merchandise: E-finance. E commerce involves conducting
business using modern communication instruments: telephone, fax, e-payment,
money transfer systems, e-data interchange and the Internet. Online businesses like
financial services, travel, entertainment, and groceries are all likely to grow. Forces
influencing the distribution of global e-commerce and its forms include economic
factors, political factors, cultural factors and supranational institutions.
It has an impact over the economy of many countries among which India is on the
top of that list. It has named as new gold rush in e-commerce. E-commerce has
many reasons that why it is very crucial in developing the country . For the study
we have taken several parts of the world such as North America , Latin America ,
Europe , Middle-East , Africa and South Asia ,and Australia. E-commerce has an
intent to bring some transformation in the society and thats the reason its essential
for the B2B and B2C commerce .
SCOPE OF STUDY
This study being desk analysis" contains views of various writers and researchers
of E-commerce. This study includes the global trends including India as a major
source of E-commerce , increasing use of e- commerce in developing nations ,
reasons behind success of e-commerce as an industry , the use of e-commerce in
global sourcing , advantages of E-commerce and several more topics being
covered under the project analysis. The use of e-commerce in various countries and
their influence over the people or citizens of that country is remarkable.
RESEARCH OBJECTIVES
The study is focused on achievement of following objectives:
To assess the latest trend in e-commerce globally.
The impact of growth of e-commerce.
To analyse the latest global scenario of e-commerce.
The impact of growth on overall economy.
. EXECUTIVE SUMMARY
The Internet is dramatically expanding opportunities for business-to-business
(B2B), Business-to-consume ( B 2 C ) e -commerce transactions across borders.
For B2Ctransactions especially, the Internet sets up a potential revolution in global
commerce: the individualization of trade. It gives consumers the ability to conduct
a transaction directly with a foreign seller without traveling to the sellers country.
While this could be done in the past by post, telegram, phone, or fax, such sales
were relatively rare because the consumer had to know in advance where to make
contact and what to buy.
in the form of Web pages, in front of consumers all over the world. Technology
has expanded t h e consumer marketplace to an unprecedented degree, and it
will change the way we think about trade. The implications of this for economic
development, globalization, and cultural
exchange
are
immense .
This
squandered. But for all the potential of global e-commerce, there are countless
vexing policy questions to be worked out, any one of which can threaten the
viability of this nascent form of trade. All of the Internet issues being debated in
the United Statesconsumer
protect ion,
to global
free
trade . Moreover,
conducting electronic commerce across national border s adds many more policy
issues
intellectual property licensing, and morethat are only now being examined.
TABLE OF CONTENTS
Executive summary
Introduction of the topic
Scope of the study
Objectives
Acknowlegment
I.
Research methodology
Conceptual Framework
E-commerce in India
II.
INTRODUCTION
E-commerce (electronic commerce or EC) is the buying and selling of goods and
services on the Internet, especially the World Wide Web. In practice, this term and
a newer term, e-business, are often used interchangably. For online retail selling,
the term e-tailing is sometimes used
Electronic commerce is generally considered to be the sales aspect of e-business. It
also consists of the exchange of data to facilitate the financing and payment aspects
of business transactions.
E-commerce can be divided into
E-tailing or "virtual storefronts" on Web sites with online catalogs,
sometimes gathered into a "virtual mall"
The gathering and use of demographic data through Web contacts
Electronic Data Interchange (EDI), the business-to-business exchange of
data
E-mail and fax and their use as media for reaching prospects and established
customers (for example, with newsletters)
Business-to-business buying and selling
know how to utilize this tool for the growth and development of business.
So, whether you have an existing business or launching a brand new business,
whether the volume of your business is large or small, you can always generate
profit by demonstrating your products or services online, thereby acquiring a large
amount of viewer exposure. In concise, buying and selling will result in profits and
returns.
There are so many factors which makes e-commerce to come to the fore front in
today's world. Saving precious time involved in business transactions is really a
prominent factor. Like for instance, net banking makes it easy to carry out money
and baking transactions in a break neck speed as compared to the real banking
scenario. This asserts the fact that Ecommerce is beneficial to both business and
consumer wise as payment and documentations can be completed with greater
efficiency and reliability. Another important factor determining the flow of whole
business is connectivity. Connectivity is very important for both consumers and
business. Ecommerce provides better connectivity for all the potential candidates
all over the globe, thus helping in enhancing the business without any geographical
barriers. From the view point of the customer, Ecommerce is a good platform for
hassle free shopping by sitting in your home. The customer can browse through all
the products and services available and can review and compare the prices of the
similar products available in the online space.
In global market scenario, the emergence of Ecommerce as a forerunner has
opened up various windows of opportunities for a variety of online companies and
investors. More and more resources are being directed into electronic securities,
internet facilities, business plans and new technologies due to the boom in the
space of E-commerce. As a result various new markets have emerged from
Ecommerce itself giving a boost to the global market.
RESEARCH METHODOLOGY
Sources of Data
For having the detailed study about this topic, it is necessary to have
some of the secondary information, which is collected from the
following:-Books, Websites and Newspapers. So in this basically
secondary data is used in collecting the information. The sources of
data are:
Websites:
Wikipedia
Wikinvest
India-commerce
Newspapers:
Hindustan Times
Type of Study
CONCEPTUAL FRAMEWORK
Global trends in E-commerce
Government
programs
are
significant
vehicle
for
c-commerce
implementations
Retail, grocery and logistics industries are the most active in encouraging
trading partners to implement EDI
Small and medium sized companies demand flexible integration solutions
European companies focus on core competencies and outsource technology
to consulting groups
High percentage of first time implementers seek to achieve full integration
Organizations are seeking a scalable, reliable system that is easy to deploy
and manage
Software needs to be capable of handing different business processes and
must integrate with existing IT investments
As social media, app stores and global availability become standard, many
companies are looking to enhance the online customer experience. And while retail
and other transactions via Internet are customary, more than ever companies are
simplifying the ways in which customers interact with their website and ultimately
make online purchases. Here are eight trends happening right now in global ecommerce that seek to enhance the user experience:
Micro-payments Among the most revolutionary changes in the coming
monthsnot yearsis the use of micro-payment systems from a variety of
databases, a consumer could snap a bar code in Walmart and quickly reference
product reviews and prices on walmart.com (or compare prices with Walmart
competitors). Mobile technologies also facilitate impulse buys especially
with the advent of micro-payments tied to the mobile device. Just recently,
Starbucks customers can not only place an order with their Smartphone, but
also make a purchase.
Social media As Facebook has become the most visited site on the Web,
the role of social media, including Facebook and its local clones such as
Twitter, is increasingly important. Social media sites increasingly act as
points of entry to e-commerce sites, and vice versa, as e-commerce sites
build rating, loyalty and referral systems tied to social media. Group buying
(e.g., Groupon) is also gaining mainstream ground, with many "deal of the
day" sites competing for an increasingly savvy consumer base, but
improvements lie ahead as the social aspects and user experience are refined.
Fulfillment options I believe that users will want to have multiple
fulfillments and return options when interacting with a vendor: ship to
address, courier, pick-up in store, return to store, etc. Having many
fulfillment options is how customers view their overall customer experience.
E-COMMERCE IN INDIA
New Gold Rush in E-commerce in India
Kunal Bahl, founder- CEO of e-commerce site Snapdeal.com bought out
eSportsbuy.com for an estimated of Rs.50 crores.
Bahl has 20million (Rs. 100 crore) stash for acquisition-significant because
Snapdeal is itself a startup-but a rich on. It has raised Rs.52 million from ventures
funds.
Bahl is not alone who is scouting for potential suitor. In February this year
aggressively online shopping site Flipkart.com acquired rival Letsbuy.com. Early
last year, US-based social buying site Groupon acquired Indias SoSasta.com and
renamed it as Crazeal.com.
And so it seems that e-commerce is not about customers buying goods. It is about
firms shopping for others. Industry trackers say leading sites are gobbling up rivals
to build size, or acquiring customer niches either to add product segments or to get
technologies that help efficient operations.
In the game in which future share issues are on the radar for bigger players, the
smaller ones often prefer to cash out than be crushed in lonely pursuits in an
aggressively competitive game.
At stake is a huge market will growing potential because India has 900 million
mobile phones, with a big chunk of that growing up from voice talk to Internet,
wile the current Web user base at more than 100 million is in itself a significant
number.
Industry estimates say Indias e-commerce market will zoom from the current
Rs.51000 crore to Rs.10,20,000 crore in revenues by 2020. The race lead to
buyouts-often at the cost of profitability.
At present sites are falling over each other to offer deep discounts, but you do not
survive only through discounts. This only creates a disloyal discount shopper who
moves from one site to another in search of the cheaper deal, said Mahesh Murthy
, managing partner of investment firm Seefund Advisors. Murthy added that sites
without a credible differentiation strategy and loyal customers base would bleedand will be up for grabs.
Experts say acquisition of other sites is also a good strategy to built brand and
broaden a loyal customer base. Snapdeal.com snapped up eSportsbuy.com to get
access to its large catalogue of sports and fitness products. Flipkart.com started out
with books, added cameras and mobile handsets and then got Letsbuy.com to
acquire muscle in electronic goods, while Groupons buyout was to enter India.
There in no room for newer players in the general category but there is space for
niche category players, he said. This has been observed by Prashanth Prakash,
partner at Accel partners, which has invested in Flipkart.com.
Private enquiry is doing a huge amount of work backstage. Venture capitalists say
they more than doubled the funding level in e-commerce over the past year, and
the average size of investment has ranged from Rs.20 to 40 million.
However, having a deep pocket is no guarantee to success. Money can only delay
your death. The only key to survive is to have a credible differentiation strategy,
Murthy said.
Size is not everything, but could help if investors have a sense of timing. As the ecommerce companies grow and get brand loyalty the valuations are expected to
increase even further. It will be the time when we can offload our stake, for hefty
profits, a venture capitalist with significant stake in leading e-commerce site.
Hundreds of Internet startups went bust in 2000 and 2001 in the dotcom bubble
and comparing the current e-commerce rush to that may not be farfetched said
Shailen Amin, co-founder and CEO of footwear sites Bestylish.com.
There are a lot of guys in this business who dont have a retail background. They
are form either consulting or technology. So one should ask if they are really
qualified to run e-retail businesses.
State of Play
Acquiring site is a good way to built brand, broaden loyal customer base and
add categories.
The companies that are selling have real valuations, real transactions and
real customers, and are not based on eyeballs.
E-commerce companies in India offers the most tangible and finest e-commerce
solutions, provide high end e-commerce solution taking utmost care of the privacy
and security of the e-commerce website. E-Commerce service includes shopping
carts, database programmers, graphic design services, graphics, e-business, Flash
designs etc.
Flipkart :
This site offers various kinds of products and that too at one place. Mobile, its
accessories , books, camera and laptop accessories. and many more things are
available on this site. One can find deals for home appliances also that are
available at affordable prices. Check this site
Indiangiftsportal:
This is known for providing gifts for various occasions like birthdays ,anniversary,
wedding, bhai dooj, diwali and many more .Also flowers, cakes ,chocolates and
many more things are offered by this site. Browse it today to send gifts to your
loved ones.
MagazineMall:
This company specifically deals in magazines and one can get magazines of
different and unique categories like Gardening/Housekeeping, lifestyle,
fashion, luxury, current affairs and many more.
Bindaasbargain:
Here new deal comes everyday at 10 am and it is India's first One Deal A Day
online shopping site.Check out the site for new deal. Happy Shopping
Buytheprice.com:
The site offers Mobiles, Computers, Cameras, Home Appliances ,Life style, Audio
and Video and much more. Variety of products are available under each category.
Perfume2order:
It has categories like Perfumes for Men, Perfumes for Women, Deodorants & Deo
Stick, Perfume Gift Set, Designer Wallet & Belts, Flowers, Handbags & Clutches,
Sunglasses and many more things.
Looked at from both import and export traders' perspective, international trade is
easier conducted electronically. Here are the points why present international trade
depends much on E-commerce.
transforming work cultures around the world silently with China business playing a
major role.
Being an extension of open market dynamics, global sourcing facilitates the export
and import of goods to be in the reach of several small and medium enterprises in
different countries. In this b2b scenario, E-commerce plays an active role in the
global sourcing where the business houses are putting in deep efforts and reaping
the benefits. In this rally of export and import, traders happen to claim the share of
the pie in global sourcing.
Business strategies are becoming easy to execute and business houses are
having a wide range of options from where they can make their choices.
E-commerce has made the path of business smoother and has facilitated not
only in lower cost, but also resulted in procuring material from places where
there is specialization. Moreover, business negotiations are easier and
decisions are quicker due to this boon. Driving the import and export
business in this global sourcing scenario has opened new frontiers for higher
growth. The ease in supply chain is one of the best advantages that has come
from e-commerce in the global sourcing scenario.
China, a major player in the global sourcing scenario has reaped several
benefits in the e-commerce enabled era. The use of internet has facilitated
trade and boosted it at an immense rate. Business from all over the world has
been bagged by this country in spite of the competitive market. Chinese
traders have minted fast money and are still running in that race.
operators
as
well
as
global
sourcing
agents
alike.
E-commerce has arrived on the global sourcing scene as both import and export
and international trade partners are accepting it. Despite its growing stature and
popularity E-commerce is still thriving in retail sector domestically and the
international trade needs to cover a long distance before it catches up. Another
reason for import/export operators' leaning towards E-commerce is the growing
costs of delays in processing POs and invoices through traditional methods which
render global sourcing useless.
Today, even though there are less than 10 million internet users who are actually
engaging in e-commerce activities, there are about 150 million internet users in
India or around 75 million households that are ready for e-commerce.
In the global scenario, China is fast emerging as the biggest player in ecommerce. According to an e-commerce report, by 2015, it may well
surpass the U.S. In an astonishing illustration of its online growth rate,
China has added the equivalent of the entire population of France in
internet users in each of the last four years. It will add the equivalent of
the entire population of Canada as e-shoppers in each of the next four
years. China is projected to rise from 145 million e-shoppers today to
329 million by 2015.
Safe & secure:Customers can trust the process of going online and
purchasing only when transactions are fast, convenient and secure.
A high degree of integrity is possible only when the online
electronic payment provider is reputable and trustworthy. In India,
all payment transaction providers are required to comply with the
security requirements laid out by the Reserve Bank of India
making the system more robust and reliable.
Business people can spend less money and earn high profits with e-commerce
Easily we can track the segment of customers who are happy with purchasing
goods through online
Reduce Customer Support costs via e-mail marketing & customary newsletters
Instantly we can develop our business across the internet by using various ecommerce strategies
Customers can easily buy their products by using different payment gateways
a good example of this. These products pushed the perimeters of the market
out for goods bought on-line.
Books and CDs are relatively generic products. A CD bought in the US will
have the same music and quality as one bought locally (the exception is the
cover art) and so there is no doubt in the consumers mind exactly what the
product is. This is not the case with clothing, where sizes can confuse the
purchase decision... and where tactile senses figure strongly in the
purchasing decision.
Ebay has really transform purchasing behaviour on the web. Many people
have made their first ecommerce transaction on Ebay. Many people sell on
Ebay too, given raise to the work-from-home/drop shipping model of
ecommerce.
Interestingly though B2C transactions of previously localised or hard to find
products can be extremely strong. If you have a unique product that is highly
relevant to a niche audience, you are likely to do very well on the web.
Although sales are increasing rapidly on the Internet, the volume of turnover
figures continue to fail short of industry estimates. But as retail web sites
become more navigable and privacy policies are displayed, more people will
be drawn to Net-based purchasing by lower prices and convenience.
However the person browsing your site will notice the URL change to one
they do not recognise - or trust. This may put your customers off (although
there is no evidence of this). Therefore one of the advantages of buying your
own key would be to have a URL for your secure pages that is consistent
with the rest of your site.
Presently, in Australia, Verisign may sell you a key for over $800 while
foreign ecommerce providers like Instant SSL can sell it for $150. Although
Verisign will argue that their key comes with a range of value add benefits,
the bottom line is the product, i.e. the key, is the same.
CASE STUDY
eBay: Global Garage Sale Today,
eBay is the leader of world e-commerce. The company is a highly notable success story of the
dot-com bubble. Although it has been a subject to some controversy, eBay is one of the most
successful companies in the history of American businesses. The company has been in business
for more than 16 years, growing faster than any other company in the world during this time. It
now runs an online global market, holding in its hands a business with more than US$40 billion
in automobiles, clothing, computers, paintings, numismatics, arts, and everything else. eBays
first and most famous motto inviting sellers and buyers to its worldwide convention and flea
market was Come to think of it, eBay. Today, more than 430.000 people earn all or most of
their income from selling products on eBay. If they worked for the company, eBay would be the
second largest employer in the United States after Wal-Mart Stores Inc., which was listed as the
worlds largest public corporation according to revenues by the Forbes 2000 list in 2010. eBay
conducts more transactions every day than the NASDAQ Stock Market or the New York Stock
Exchange. It has more regular users than American Express has cardholders. More than
US$80.000 worth of goods and services change hands on the site every minute. No company
ever has created more opportunities for their customers, which is why eBays royalties run deep.
Every year the company hosts a conference called eBay live, where buyers and sellers from
around the world gather for a three-day celebration of the eBay experience. NG, t. 34/2011
Strokovni lanki Professional papers The current paper takes an unprecedented look inside this
company, whichin a remarkably short period of timehas moved itself into the fabric of
American culture and beyond. Even one of the most popular TV shows in America Live with
Jay Leno has a section of the show entitled Some of the stuff we found on eBay. During such
segments, Leno shows funny items sold on the site, such as a picture of Jesus\ Christ with his
autograph and a Doritos potato chip that looks like the Popes hand. Other bizarre items include
nuclear bombers, submarines, Soviet space capsules, and a grilled cheese sandwiche with the
picture of a Virgin Mary on it. However, eBay is not about selling funny or bizarre items. It is
much more than that. Within three of starting eBay on Labor Day weekend in 1995, Omidyar
(1942)the founder and chairmanhad become a darling of Wall Street and the media.
Omidyar was born in Paris to parents of Iranian origin, who moved to Washington DC when
their son was six years old. His background was originally in software engineering. He graduated
from St. Andrews and soon after earned a degree in computer science from Tufts University
(Bachelor of Arts/Science), planning to take over the Internet world. Omidyar once said that he
invented eBay in his free time solely because he had an interest in efficient markets. Omidyar is
now one of the worlds richest men and belongs to an elite group of Forbes 400 mavericks based
on the 2008 list. On October 3, 2009, he was listed as the 156th richest person in the world by
Forbes The Worlds Billionaires List. Fortune estimated his wealth to be US$1.6 billion based
on surging eBay stock prices, with shares increasing up to 115 percent in 2009. Four years after
its foundation, in September 1999, eBay made a debut on the NASDAQ Stock Market. It went
public with an initial public offering (IPO) that raised more than US$60 million. Investors were
attracted by the fact that eBay would not have any money invested in inventory. In four months,
the stock experienced a 17-fold rise. It went public at $18 and closed at $203 (Crane 2009, p. 4).
Today, Omidyar and his wife are well-known philanthropists who founded the Omidyar Network
in 2004. Another important figure in eBay is Margaret Meg Whitman (1956), who was the CEO
and president of eBay from 1998 to 2008 and served on its board of directors. When she joined
eBay in March 1998, it had 30 employees and revenues of approximately US$4 million. This
businesswoman was proclaimed by Harvard Business Review and Forbes as the most powerful
woman in American business. She graduated from Princeton University (B.A.) and Harvard
Business School (MBA). Whitman called eBay the first global online marketplace to connect
buyers and sellers 24 hours, seven days a week across the globe, without having to see or hear
each other. eBay has fundamentally changed how and what people think about trade. No one was
thinking of eBay as a global marketplace when Whitman took over as CEO in 1998. At the time,
eBay was a small business that traded Beanie Babies. Today, its headquarters are located on two
huge campuses in San Jose, California; the company also has a customer service in Salt Lake
City and operations in more than 30 countries. When they started with promotion on television,
eBay had approximately 9.000 employees and 135 million customers. By the first quarter of
2008, it had 15.500 employees. In 2009, it had annual revenues in excess of US$8,727 billion.
Records show that five years ago, more than 1,8 billion items were listed for sale. Today,
approximately 120 million items are listed in eBay stores, a place where sellers can show all of
their items. At any minute of the day, eBay knows exactly where its money is coming from.
Every time an item is listed on a site, eBay gets a fee; once the item sells, eBay gets another fee.
Additional fees are associated with listing pgrades, picture services, and stores. On average,
eBays stake in a sale of an item is roughly 7 percent of its selling price. In 2005, its fees added
up to US$4.2 billion. eBay also collects fees from its online processing center, PayPal, which is
eBays paying system that provides up to $1000 in insurance to both buyers and sellers. PayPal
is a form of an e-commerce business as well, allowing payment and money transfers to be made
via the Internet. Prior to PayPal, people used traditional paper methods (e.g., checks and money
orders) for the payment of services. PayPal provides an electronic alternative to these methods. A
PayPal account can be directly connected to an electronic debt from a bank account or to a credit
card. A recipient of a PayPal transfer has two alternatives; request a check from it and establish
his/her own PayPal deposit account or request a transfer to his/her bank account. This
intermediary service clearly facilitates worldwide e-commerce. PayPal also charges fees to
clients, including transaction fees for receiving money (i.e., a percentage of the amount sent
together with an additional fixed amount). Generally speaking, the fees charged depend on
several factors, including currency, payment option, country of the sender, country of the
recipient, amount, and recipients account type. In addition, eBay purchases made by credit card
through PayPal may incur a foreign transaction fee if the seller is located in another country. In
such cases, the credit card issuers are automatically informed of the sellers country of origin.
Thanks to eBays great cash flow, in October 2002, PayPal became its wholly owned subsidiary.
Five years later, PayPal began operating as a Luxembourg- based bank. Since March 2010, it has
had an agreement with the Peoples Republic of China bankcard association called China Union
Pay to allow the Peoples Republic of China to use PayPal to shop online. Today, PayPal, as a
subsidiary of eBay, is planning to expand its workforce throughout Asia to include 3.000
employees by the end of 2011 (The Economist, July 2010, p. 38).
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