Definisi dan Konsep E-Commerce #1 | E-Commerce

Summary

The lecture introduces e-commerce, explains how it fits within e-business, and surveys its processes, business models, advantages, and risks.

Definition and scope

• E-commerce (electronic commerce) means conducting trade in goods or services through electronic media or networks. The lecture includes the internet, computer networks, television, and radio as possible channels.
• E-commerce can involve selling physical products, such as clothes, food, or electronics, or selling services, such as repairs, design, website development, and consulting.
• Online transactions may include electronic payments, the exchange of business data, and automated systems for handling orders or customer information.
• E-commerce is one part of e-business:
  • E-commerce focuses mainly on online buying, selling, and related transactions.
  • E-business is broader and can include operations such as partnerships, staffing, marketing, production, and finance.

How an e-commerce transaction works

A typical transaction follows these steps:

1. A customer browses a product or service through a website, marketplace, app, or another electronic channel.
2. The customer selects an item, often placing it in a shopping cart.
3. The customer pays using an available method, such as a bank transfer, card, digital wallet, or cash on delivery.
4. The seller processes the order and arranges delivery, often through a courier for physical goods.
5. The system handles related tasks such as inventory management, transaction records, sales summaries, and customer notifications.

Running an online store requires software or applications to manage these activities. Its information system may need ongoing analysis and improvement: identifying errors, opportunities, obstacles, and user needs; planning the system; and refining its features and performance.

E-commerce business models and channels

• Partial e-commerce combines an online presence with physical goods or offline business activity. A store might sell through a website or marketplace while also operating a shop or handling tangible products.
• Pure e-commerce is conducted primarily online. The lecture gives downloadable software as an example, since a customer can pay for and receive the product digitally without visiting a physical storefront.
• The lecture contrasts traditional, non-internet commerce with internet-based commerce. The comparison covers:
  • Whether the product is physical or digital
  • Whether the business and transaction take place at a physical site or online
  • How customers pay
  • How products are marketed and delivered
  • Whether customer service is provided in person or online
• Examples of channels and services mentioned include websites, marketplaces, online banking, mobile devices, and interactive television.

Benefits of e-commerce

• Wider reach: An online business can serve customers beyond the area around a physical store.
• Lower operating costs: A business may avoid some costs associated with building or renting storefronts.
• Convenience and time savings: Customers can shop without travelling to a store, and online stores can accept orders at any time.
• Faster product discovery: Customers can search for specific goods online rather than visiting multiple shops.
• Price comparison: Online listings make it easier to compare prices and offers. However, a low price alone does not establish a product’s quality or authenticity.
• Marketing opportunities: Businesses can use search engines, social media, online advertising, and customer information—such as cookies—to reach and communicate with potential buyers.

Risks and cautions

Online commerce can involve:

• Financial risk: A customer may pay but not receive the goods, or lose money through a fraudulent seller.
• Product or performance risk: The delivered item or service may not match its description, photos, or the customer’s expectations.
• Privacy and security risks: Personal details, addresses, phone numbers, or payment information may be misused or exposed.
• Service interruptions: Power or internet outages can prevent transactions from being completed.
• Delivery delays: Goods may arrive late or be misrouted.
• Social, psychological, and time-related concerns: Customers may feel uneasy about buying online, dislike not meeting a seller, find the process difficult, or spend time resolving a problem.

To reduce the chance of a bad purchase, the lecturer advises customers to check store and product reviews, verify that a business appears legitimate, be wary of implausibly low prices, and consider whether the seller offers meaningful guarantees or return protections. The lecture also notes the role of encryption and authentication in protecting online transactions.

Course information

The presenter says the course includes individual assignments, practical work, and exams. According to the lecture, students need at least 75% attendance to take the midterm.

Speakers and sources featured

• Unnamed lecturer/presenter: The only identifiable speaker in the subtitles; no name is given.
• WTO: A definition is attributed to “WTO” in the auto-generated subtitles, though that portion of the captions is unclear.
• Examples mentioned in the lecture, not additional speakers: GoFood, Shopee, Tokopedia, Bukalapak, online banking, PayPal, OVO, GoPay, Google, Chrome, and Firefox.