Using IT for E-commerce

 

USING INFORMATION TECHNOLOGY FOR E-COMMERCE

MARINA PURNAMA AYU

7 A REGULER, STAN, TANGERANG EMAIL:  [email protected]  EMAIL: [email protected]   This paper is established as part of the assignment given in subject Management Information System for 7th Semester.

Abstract -

INTRODUCTION E-commerce today plays a significant role in growing business transactions. In some industries, like transportation material and medicine distribution, nearly half of sales transaction is made through e-commerce. Companies commonly build e-commerce with the information technology as its platform. Thus, this paper will describe what an e-

competitors, and thus it is called competitive intelligence (CI).

commerce is and how information technology (IT) is used for it. E-COMMERCE Electronic commerce, commonly known as e-commerce, is a type of o f industry in dustry where  buying and selling of product or service is conducted over electronic systems such as the Internet and other computer networks. But on a  broader view, we define e-commerce e-commerce as the use of the computer to facilitate fac ilitate all of the firm’s operations, whether they are external or internal

firms that are linked functionally as a single system to achieve a common objective. This is called trading partners or business partners. The trading partners may gain some benefit by their IOS venture, such as: internal efficiency, interorganizational efficiency, offering unique  product features, reducing search-related search-related costs, and by increasing switching costs. A term frequently used for IOS is EDI or Electronic Data Interchange. EDI consists of direct computer-to-computer transmission among multiple firms of data in a machine-

transactions. Firms using e-commerce are expected to result in three main benefits: improved customer customer service, improved relationships with suppliers and the financial community, and increased in return on stockholder and owner investments. In 1960s and 1970s, US firms paid little attention to the need of gathering information. However, today the gathering, storage, and dissemination of environmental information represent an important computer application in many companies around the world. The

readable structured format. There are some choices of technology in using EDI for building inter-organizational system: direct connectivity, value-added network, and the Internet. Direct connectivity is a data communication links in a more traditional way with its trading partners using circuits  provided by carriers, whereas value-added value-added network is provided not only with circuit but also other EDI services by vendor. The internet has more global network. The internet provides links not only to traders, but also to consumers

application

all around the world.

gathers

information

of

the

ELECTRONIC COMMERCE STRATEGY: IOS, EDI, INTERNET, AND FIREWALL If any problems occurred, a firm needs to find several possible solutions by determining the best electronic commerce strategy. Interorganizational System (IOS) is a combination of

 

Internet and website are currently the most  popular way to use an enterpriseenterprise-wide wide network in business. They work together as a single system that can be used from any computer  platform. But, when the computer computer resources are linked into the internet, they have a security risk. Firms engaging in e-commerce may find that hackers are attempting to get into their computer systems much more frequently than they expect. Therefore, they need a network security. The internet security can be achieved  by means of firewall, a filter that restricts the flow of data between the firm’s internal network and the internet. It establishes one safeguard for all computers on the network rather than separate safeguard for each computer. Firewalls can provide varying degrees of security according to their type: packet-filtering firewall, circuit-level firewall, or application-level firewall. REAL EXAMPLE: WORDPRESS AND TWITTER FOR E-COMMERCE  Nowadays, besides using website, firms firms may choose to make blogs as their e-commerce  platform. One of the most public known blog is WordPress. There are 60 million installation installationss of WordPress. One-sixth of all sites, in the top million sites by traffic, are powered by WordPress. It is completely free, open source, and built entirely by volunteers. It is constantly updated to present better functionality and security. Therefore, using blogs such as WordPress might become a new alternative for e-commerce platform. Another new alternative in building ecommerce platform is using Twitter. Twitter has evolved and people engage with it so that it can  be used for business. The number of active Twitter users has surpassed 500 million, and the number is growing rapidly. So today, there is no faster ways to send messages than twitter. It is also more likely to become a business platform  because there are ways to complete transactions transactions

on twitter itself. There are services such as Chirpify that allow firms to accept payments without requiring users to exit twitters. So it may be cocluded that Twitter might be a new great alternative for e-commerce today. REFERENCE [1.] Raymond McLeod, Jr., George Schell,  Managementt Information System-8  Managemen System-8th ed.,  ed.,   Prentice Hall, London:2001 [2.] James O’Brien, George M. Marakas,  Managementt  Managemen Information System, McGraw Hill-Irwin, 2010. [3.] http://ecommerce.about.com/od/ecom merceresources/a/Wordpress-ForEcommerce.htm 

[4.] http://ecommerce.about.com/od/Socia l-Ecommerce/tp/Using-Twitter-ForEcommerce.htm