Friday, 5 March 2010

electronic trading

The definition of electronic trading:-
E-business, but generally what people think it is just a trade or sale of goods over the Internet, e-business is a process to involve Information Technology, especially the Internet in transactions between the client and the service provider and also involving them in the process of marketing and product innovation, which fit in the cycle of production, this would be at best the beginning of supplier of raw materials and the end user customer.
or:-"Implementation of all operations related to buying and selling goods and services and information using the Internet, in addition to other global trading networks,".

E-commerce expression that can divide it into two sections:-

1-"trade", which refers to economic activity is through the circulation of goods and services between governments, institutions and individuals and is governed by several rules and regulations can be argued that an internationally recognized.
2-"Electronic" refers to a description of the area of trade performance, and is intended to perform commercial activity using media and electronic methods such as the Internet.

Characteristics of e-commerce:-

1-There is no use of paper documents exchanged and used to make and implement commercial transactions, and that the processes of interaction and exchange between dealers are conducted electronically and are not using any type of securities.
2-Can be handled through the application of e-commerce with more than one party at the same time.
3-Interaction between the two dealers e-commerce by the communications network, and distinguishes this method is a high degree of interactivity is that the parties at the same time online on the web.
4-The lack of joint coordination between all States in order to coordinate the issuance of a specific law of each country taking into account the laws of other countries, and this in turn impede the universal application of electronic commerce.
5-Can be buying and selling of non-physical goods, directly and through the communications network.
6-The use of computer systems available in the business for the flow of data between the two parties to be there without any direct intervention of manpower help to complete the business process at low cost and high efficiency.

Forms of e-commerce:-

1-E-commerce between businesses.
2-E-commerce between the enterprise and consumer.
3-E-commerce between the enterprise and the government.
4-E-commerce between the consumer and the government.

Levels of e-commerce:-

1-E-commerce low-level:-
This type of e-commerce promotion of goods and services, in addition to advertising for such goods and services, including services before and after the sale.
2-E-commerce with advanced level:-
The focus of this type on the processes and procedures for payment over the Internet, which is practically the same level of awareness needs to be a big part of dealers at this level.


The volume of electronic commerce in the world, about $ 3.8 trillion in 2003, according to UN estimates, the figure has doubled to reach $ 6.8 trillion at the end of 2004, although about 80% of the volume of world trade is in the United States, 155 in Western Europe, 5% in the rest of the world, most of them, or about 4% of which are in Japan.

Barriers to the use of e-commerce:-

1-Low level of per capita income.
2-Lack of awareness of what can be provided by information technology and e-commerce.
3-Inadequate infrastructure for wireless access to the Internet or the high cost of access to the Internet.
4-The lack of legal frameworks and regulatory.
5-Not use the local language and local content.
6-Lack of individual initiative.
7-The lack of payment systems can be in its role to support business transactions conducted on the Internet.
8-Cultural resistance to e-commerce on the Internet.