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MI0039 —E-Commerce

MI0039 —E-Commerce

Summer 2013

Master of Business Administration- MBA Semester 4

MI0039 —E-Commerce-4 Credits

(Book ID: B1325)

Assignment (60 marks)

Note: Answer all questions. Kindly note that answers for 10 marks questions should not exceed 400 words. Each question is followed by evaluation scheme.


Q1. Warigon is a retail company and they want to automate the payment system. Assume that you are the design engineer of that company. What are the factors that you would consider while designing the electronic payment system?

 (Analyzing- 5 marks, Factors- 5 marks) 10 marks

Answer : Analyzing the electronic pay system :

Simply put an electronic payment gateway is a custom-made software application package that forms part of the electronic credit and debit card processing on-line. When developing an e Commerce website, there four critical factors to bear in mind when choosing a payment processing solution for your online store. These factors are as follows ease of access, use and integration



Q2. For many years companies have been using computers to send business documents instead of mailing paper documents (i.e. most of our pay checks are directly deposited into our bank accounts). This transfer of funds is accomplished by the use of an electronic file being sent from your company to your bank). The problem was that the all employed proprietary used unique formats to pursue this task. The absence of a standard format led to the condition where computers could no longer “talk” to one another without a great deal of effort by programmers. For example, Supplier X could recognize an electronic Purchase Order from Retailer A but not from Retailer B. To avoid the above condition ANSI formulated a committee for the entire world to have standardized format for the electronic transaction. What is the name of the standard? Discuss the working concepts of that standard.

 (Recognizing the standard — 1 mark, defining the standard- 2 marks, listing the various components — 3 marks , explaining the working — 4 marks) 10 marks

Answer : Recognition of standard :

The standard formulated by ANSI for electronic transaction was EDI for e commerce.


Components of EDI :

1.  Translator and mapper:

As received, an EDI transaction set contains all the information about a purchase order or payment, but not in a form that is either human-readable or usable by any other electronic business software

2. Communication tools :

Most EDI software packages will contain a communications management tool used for sending and receiving trading partner data. This tool will typically support multiple transport protocols such as TCP/IP, FTP, HTTP, SMTP, AS1, AS2, etc.


Q3. The four Ps concept in marketing are the four major ingredients of a traditional marketing mix directed at the customer or target market. List and explain the four Ps of marketing? Are the 4 Ps really applicable to Internet marketing? How?

(list — 1 mark, explain four Ps- 3 marks, answering yes or no — 1 mark, reasoning the answer — 5 marks ) 10 marks


Answer :  4 Ps of marketing :

1. Product

2. Place

3. Price

4. Promotion

Explanation :

1. Product :

Products are the goods and services that your business provides for sale to your target market. When developing a product you should consider quality, design, features, money dollars covering costs expenses packaging, customer service and any subsequent after-sales service.


Q4. Website is the most important front end tool in the online marketing. It provides the interactive mode of operation to the user. Define what is a website? Analyze the structure of a website.

 (defining the website — 1 mark, diagram- 2 marks, analyzing with the justification- 7 marks)

Answer :  Website :

A webpage is a document, typically written in plain text interspersed with formatting instructions of Hypertext Markup Language (HTML, XHTML). A webpage may incorporate elements from other websites with suitable markup anchors.

Analyzing the structure of Website :

The website structure is similar to the human skeleton or nervous system. A website is connected through a network of links into something that provides form and function to the site. In order to analyze the web structure, we first have to understand the basic web structure. A website consists of three main areas or three tiers, which is the home page, the main sections and subsections as shown in figure One of the factors for the success of a websites structure is the ease with which the viewers can navigate the site.


Q5. RIBA is one of the famous online library which uses online catalogues. Online catalogues are the best way to browse and locate material from the collections of the British Architectural Library at the RIBA. List the benefits of online catalogue

 (List 5 benefits- 5 marks, Explain- 5 marks) 10 marks

Answer : Benefits of online catalogue :

1. Facilitates the buyer to buy at anytime and tracks the product line interest.

2. Broadens your market reach locally and globally.

3. Saves customers time and money with the help of online capability.

Explanation :

An online catalogue is a list or itemized display, as of titles, course offerings, or articles for exhibition or sale, usually including descriptive information or illustrations. It is a time saving tool that provides valuable information to the prospective customers about your product specifications. It facilitates the potential customers to locate the products according to their specifications.


Q6. Mobile advertising has become a no-brainer for some brands to drive in-store traffic and online revenue. This is possible only after the growth of M commerce. Define M commerce. Describe the areas of its potential growth and future of m Commerce

 (Definition and example- 2 marks, Areas of potential growth-5 marks, Future of m Commerce- 3 marks) 10 Marks

Answer : Definition of M-Commerce :

m-commerce does not have any precise definition. m-Commerce and its definition varies from every individual. m-Commerce is called as next generation e-commerce. The process of buying and selling of goods and services through wireless devices such as cellular telephone and personal digital assistants (PDAs) is called as m-commerce.

The newly appearing technology behind m-commerce is based on the Wireless Application Protocol(WAP). The traditional e-commerce is replaced by the m-commerce. Anywhere anytime is the important feature of m commerce that leads us to implement m-commerce in place of e-commerce.


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