Notes-E Commerce

E Commerce and its advantages

E Commerce is the buying and selling of goods and services on the Internet.It refers to all commercial transactions involving both organization and individual that are based on electronic processing for the exchange of products,services,information between supplier and consumer.

Advantages of E Commerce

*facility to conduct business in 24 X 7 environment
*access to global marketplace
*fast service
*opportunity to reduce costs
*allows customer self service
*information about the product
*eliminates the need of whole seller and retailer

Electronic Data Interchange

It is an electronic way to transfer documents in an organization internally (between various departments) or externally (with suppliers,customers,e.t.c.)

Following are few important documents used in EDI:-

*business correspondence letters
*purchase orders
*financial information
*shipping requests

Advantages of EDI:-

*reduction in data entry errors
*shorter processing life cycle
*electronic form of data
*reduction in paperwork
*cost effective
*standard means of communication