Assignment Code: BCOS-184/TMA/2022-23

Course Code: BCOS-184

Assignment Name: E-Commerce

Year: 2022-2023

Verification Status: Verified by Professor

Maximum Marks: 100

Note: Attempt all the questions.

Section – A

Q.1 Explain the different models of E-commerce? (10)

Ans) The different models of E-commerce are as follows:

B2B: Business-to-Business Model of E-commerce

Businesses that are part of the supply chain, such as a manufacturer selling a product to a wholesaler and the wholesaler selling the product to a retailer, come together to transact business with one another utilising a shared portal in a business-to-business e-commerce system. In this situation, the manufacturer might have a website or web portal that the wholesaler could use to order the product, which would then be processed and sent to the wholesaler. The wholesaler might also place orders with a retailer through the same portal or use it to advertise the product. This form of e-commerce is known as B2B type.

B2C: Business-to-Consumer Model of E-Commerce

This type of e-commerce is regarded to be the process by which a business or firm uses the Internet to sell its goods, services, and products directly to the customer. The customer is free to browse the Internet, filter, examine, and inspect products before placing a purchase. The business processes and sends an order directly to the customer after receiving it.

C2C: Consumer-to-Consumer Model of E-Commerce

This type of e-commerce is generally believed to be a model where people use online technologies and the internet to sell commodities, services, and products to another customer. This business strategy entails the sale of a variety of goods, such as real estate and portable assets.

C2B: Consumer-to-Business Model of E-Commerce

Consumers themselves supply commodities, services, and products to an organisation in this sort of commerce. Another variation of this model involves the customer creating and using their own social media profiles to connect back to the product sold on the business's ecommerce website or web portal. By doing this, the customer helps the firm sell its items and is typically compensated by the business.

B2G: Business-to-Government Model of E-Commerce

Business-to-government refers to trade between the private sector as a supplier and a government body as a customer. It is sometimes referred to as business-to-administration. This type of e-commerce, which is really a "B2B" model, refers to the circumstance when enterprises do business with the government. The business network gives companies a platform to compete for government contracts through auctions, tenders, application submissions, and so on for a variety of services.

C2A: Consumer-to-Administration Model of E-Commerce

The model alludes to the e-commerce procedure used by customers who deal directly with government organisations. Among other things, this could take the shape of donations, requests for information access, or feedback to various organisations. For developing contact between the public and the government, the consumer to government/administration model for e-commerce is the best solution.

P2P: Peer-to-Peer Model of E-Commerce

P2P models are essentially networked, direct-to-consumer business models. As a result, it is a distributed platform that enables various people to engage in transactions with one another without a middleman. This network configuration is distinct from the client-server approach, in which communication is handled by a central server.

D2C: Direct-to-Consumer Model of E-Commerce

Direct-to-consumer marketing is the practise of selling goods directly to clients without the use of any middlemen like wholesalers, retailers, or other middlemen. Companies that sell directly to consumers are changing the way people purchase. Consumer habits and expectations are being drastically altered by these brands, which include everything from detergent to footwear.

Q.2 What do you understand by Distributed Ledger Technology? Do you think it is revolutionizing the world? If so, how? (10)

Ans) A distributed ledger is a ledger of any transactions or contracts that is maintained in a decentralised manner across several places and individuals, doing away with the requirement for a central authority to maintain oversight and prevent fraud. This eliminates the requirement for a central authority to approve or validate any transactions. With the use of keys and cryptographic signatures, all the data on the ledger can be retrieved and is accurately and securely kept using cryptography. When data is stored, it turns into an immutable database that is subject to network regulations.

As a result, distributed ledger technology is a digital system for documenting asset transactions in which the specifics of each transaction are recorded simultaneously in numerous locations. Distributed ledgers don't have a central data store or management features, in contrast to conventional databases.

A distributed ledger is a database that is widely accessible and cooperatively shared across numerous locations, organisations, or geographies. It permits transactions to be "witnessed" in public. Each participant can access and keep a duplicate copy of any recordings that are shared among network nodes. Any additions or modifications to the ledger are immediately reflected and duplicated to all participants. The same technology that underpins block chains, which underpin bitcoin, also underpins distributed ledgers. Bitcoin uses a particular kind of distributed ledger called a block chain.

Advantages of Distributed Ledgers:

1. Distributed ledgers are intrinsically more difficult to attack than centralised ones since an attack must simultaneously target every distributed copy in order to be successful. These records are also hard to alter maliciously by a single party. Distributed ledgers enable great transparency because they are challenging to attack and manipulate.

2. Additionally, distributed ledgers eliminate operational inefficiencies, shorten the time it takes to complete a transaction, are automated, and therefore operate around-the-clock, all of which lower total costs for the organisations that utilise them.

3. Distributed ledgers also provide for a simple information flow, which makes it simple for accountants to follow an audit trail when they analyse financial accounts. This lessens the likelihood that fraud will affect a company's financial records. The environment benefits from the usage of paper being less.

Use of Distributed Ledgers:

1. The use of distributed ledger technology has the potential to completely alter how businesses, institutions, and governments operate. It can assist governments with tax collection, passport issuance, land registry recording, licence issuance, payment of Social Security benefits, and voting procedures.

2. Even while distributed ledger technology has many benefits, it is still in its infancy and the best ways to utilise it are still being researched. The future format of centuries-old ledgers will be decentralised, that much is certain.

Q.3 State the various phases of the website development process. (10)

Ans) The various phases of the website development process are as follows:

Innovative Requirement

The first and greatest necessity of the web development process is innovation. The customer communicates his ideas, goals, and requirements with the web developers during this primarily conversation-focused process, and the developers use that information to come up with creative solutions that best meet the client's expectations.

Information Gathering

The phase of discovery is another name for the information gathering stage. This is the most crucial stage of the website design and development process where the designer transfers the client's vision to paper. Understanding the reason for developing a website, the target market, and the kind of material they seek out are crucial in this step. The essential stage of website design is where these aspects must be decided upon.

Planning

Good planning yields a good website. Planning is crucial after information collecting. Setting priorities for tasks is what planning entails. This stage involves creating the website's sitemap, which contains information about the website's navigation, menu, and contents.

Web Design

A well-designed website stands out from the competition because to its appealing appearance and user experience. This stage of website design is the creative one. Designers work hard during this stage to make the website appealing and distinctive from competitors. The designer must comprehend every detail of the client's expectations and attempt to sketch them. This level involves learning about logo design, templates, etc.

Web Development

Development, usually referred to as "implementing phase," comes after designing. This stage marks the beginning of the website's actual implementation. A very important step for the design of the website is the development phase. All of the data obtained in the first phase is incorporated in this step, including building a database, logic, and programming itself, to mention a few.

Testing

A testing and discovery phase comes after the development phase. Quality Assurance (QA), which is also in charge of creating the test cases, does the testing during this stage. There are many different kinds of website testing. Testing for content, functionality, and design, etc.

Maintenance

The final stage is maintenance, during which the website is only maintained for a little amount of time. Updating the website's design and content is referred to as maintenance. The company offers the maintenance facility for a set period of time; however, if the user wishes to extend the service, there is an additional fee.

Q.4 What is Cyber Security? State its importance in today’s digitally connected world. (10)

Ans) Information technology security, often known as computer security or cyber security, refers to the safeguarding of computer systems and networks against unauthorised access to data, theft or damage to their hardware, software, or electronic data, as well as from service disruption or rerouting. The field is steadily becoming more significant as a result of the increased reliance on computer systems, the Internet, and wireless network standards like Bluetooth and Wi-Fi, as well as the expansion of "smart" gadgets like smartphones, televisions, and the many "Internet of things" devices.

Based on the examination of numerous cyberthreats, it has been shown that hackers primarily rely on human mistake whereas cyberattackers primarily rely on human error. What else do they require? people committing errors. Cybersecurity training is essential for anyone who uses computing devices for work but does not work in IT because it helps them realise how small errors or oversights could have severe effects on their organization's security or bottom line.

It's a smart move to make on a personal level as well, because even if your error was totally unintended, you still face repercussions. Nobody wants to lose their job, especially if they didn't do anything wrong to hurt their company, but this is exactly what can happen if you fall prey to a social engineering scam or email phishing operation and become the conduit through which your business divulges confidential data. Learn to be wary and circumspect when it comes to operational security.

Importance of Cyber Security in Today’s Digitally Connected World

Everyone benefits from modern cyber defence strategies in today's connected society. A cyber-security breach can result in anything for a single person, including identity theft, extortion attempts, and the loss of crucial information like family photos. Critical infrastructure including power plants, hospitals, and financial service providers are essential to everyone. For our society to continue to run smoothly, it is crucial to secure these and other organisations. On the other side, raising awareness of the value of cyber security and developing open source tools would make the Internet a safer place for all users.

Q.5 What are different types of apps in various domains and segments? (10)

Ans) Mobile applications may be classified by numerous methods. A common scheme is to distinguish native, hybrid, and web-based apps.

Native Apps: Native apps are created specifically for a platform, utilising all of the operating system and software characteristics. These apps run faster because they have direct access to the device's hardware, such as the GPS, camera, microphone, etc. This leads to a better user experience. Native apps are any mobile applications designed specifically for a particular mobile platform. As a result, an Android device cannot run an app designed for an Apple device. Because of this, the majority of firms create apps for many platforms.

Hybrid Apps: A hybrid app combines native and web-based apps in its design. This group includes applications created using tools like Apache Cordova, Xamarin, React Native, Sencha Touch, and others. These are designed to support native and web technologies on many platforms. Additionally, these apps may be created more quickly and easily. It calls for the usage of a single code base that is compatible with numerous mobile operating systems.

Web-based Apps: A specific class of software called web-based apps enables users to communicate with a distant server using a web browser interface. Users are not needed to download from the app store because it works on any browser, including Chrome, Opera, and Samsung Internet Browser. These apps have gained tremendously in popularity in recent years, displacing desktop programmes and turning into an essential tool for both small and large organisations worldwide.

The different types of apps in various domains and segments are as follows:

Desktop Applications: Numerous desktop programmes exist, and they can be divided into various groups. While some are more fully featured (like Microsoft Word), others might only be able to perform one or two tasks (like a clock or calendar app).

1. Word Processors: A word processor makes it possible to write letters, create flyers, and create a variety of other documents. Microsoft Word is the most well-known word processor.

2. Media Players: Use a media player if you want to watch downloaded movies or listen to MP3s. Popular media players include iTunes and Windows Media Player.

Mobile Apps: Applications can be run on a variety of devices besides just desktop and laptop computers. For mobile devices like smartphones and tablets, you can also download apps. Here are a few illustrations of mobile applications.

1. Gmail: Email viewing and sending on mobile devices is done through Gmail. Both Android and iOS devices can use it.

2. Instagram: Instagram enables rapid photo sharing with friends and family. Both iOS and Android are supported.

3. Duolingo: The Duolingo software can aid with language learning through a variety of tests, games, and other exercises. Both iOS and Android are supported.

Section – B

Q.6 State the various key elements of a business model. (6)

Ans) The various key elements of a business model are as follows:

1. Identify your Specific Audience: A company won't be able to find the correct customers—those who actually need and want the good or service—by targeting a large audience. Instead, when developing a business model, reduce the number of audiences to two or three and thoroughly research the consumer profiles.

2. Establish Business Processes: Make sure you fully comprehend the steps necessary to implement the business model before it goes live. To create an effective business process, it is crucial to identify the core business operations. Finding the foundational components of the company's offering is the first step.

3. Record Key Business Resources: To make sure the business model is properly equipped to sustain the needs of the company, list the necessary business resources.

4. Develop a Strong, Preferably a Unique Value Proposition: A business must provide its clients an additional value proposition in the shape of a new service or a ground-breaking product in order to distinguish out from its rivals. Value proposition is all about adding value to the company and demonstrating how it differs from competing brands. Once the company has a few value propositions, it's critical to connect each one to a method of providing a service or good to clients in order to ascertain how the company will continue to be valuable to them over time.

5. Determine Key Business Partners: Without important partners who contribute to the ability of the business to service clients, no business can run smoothly. It is important to select the main partners when creating a business model, such as suppliers, strategic allies, or advertising partners.

Q.7 What are the requirements metrics of a payment system? (6)

Ans) The requirements metrics of a payment system are as follows:

1. Security: When payments are made electronically, security becomes a major concern. From the beginning, people need to be able to trust that their money is safe and that their personal information will not be compromised.

2. User Experience: Companies are paying close attention to user experience, and many of them are creatively rethinking important interfaces. Although the initial focus of a product or application may be on how the general concept is received, it has been tried and shown over time that applications with a fantastic user experience can take the business to a completely new level.

3. Functionality: Functionality testing is a feature validation of a product's full function or component and is a subset of functional testing. To ensure that the defect rates are decreased, software testing companies offer end-to-end test coverage beginning with the requirements-gathering phase.

4. Performance: Performance testing is unquestionably important. Performance testing is essential to determine whether the app will respond as planned overall, from tracking the application's response time to making sure load and stress testing is completed. It's crucial to be able to accurately choose the optimal methodology and approach for performance testing and the validation that follows.

5. Data Integrity: Banking firms must take precautions to ensure that such data is never compromised because the results could be severe.

Q.8 Why is customer engagement and retention an important tool for an E-commerce business? (6)

Ans) Customer retention and engagement are crucial tools for an online store. Customer engagement refers to interacting with customers on various social media platforms in a way that increases their level of trust. Customers today seek to analyse brands in order to comprehend the core advantages and distinctive value proposition offered by the brand. They also look for offers, discounts, and special season offers, a mechanism for questions or clarifications about the products on display, interaction with customer support representatives, etc. It should be emphasised that in order to effectively utilise the greatest technology, a constant effort should be made to pay attention to features and functionalities that will improve the client experience. One-to-one customer experiences are becoming a reality in business because to sophisticated electronic-commerce technology, and new age retailers will be able to retain customers by offering personalised services and products, which is the most a consumer can realistically hope for.

Q.9 Explain the process of encryption in Digital Signatures. (6)

Ans) Traditionally, an individual's signature on any document aids in its authenticity and gives the recipient assurances about its reliability. This is possible when dealing with a paper-based document, but when dealing with an electronic document, simply including the sender's name at the end of the document or email offers very little confidence that the document is real. Public key cryptography is recognised by the IT Act of 2000 as a means of protecting electronic documents.

The process of encryption in digital signatures are as follows:

1. A method known as the hash function is used to outline and process the message that has to be signed using a digital signature. The output that has been processed in this way is known as the hash result, and it is particular to the message.

2. The sender's private key is used to encrypt the hash result that has been generated. The digital signature appears here.

3. The communication is then sent over the internet to the recipient with the Digital Signature attached.

4. As soon as the message reaches the recipient, he decrypts it using the sender's public key. The receiver is guaranteed of the message's validity and integrity if the sender's message is successfully decrypted using his public key, the hash result is computed, and it is compared with the output of the digital signature.

Q.10 What are the various advantages of E-services? (6)

Ans) The term "sales of goods and services over the internet or other electronic sources, for personal and household use by consumers" is known as "e-tailing," which stands for "e-retailing," also known as "e-retail.

The various advantages of E-services are as follows:

1. Location Utility: For the traditional retailing process to offer convenience and utility to its customers, location is of highest importance. However, in e-commerce, geography is not crucial. Internet access is required for both retailers and buyers to engage in online shopping, which can be done from anywhere in the nation or outside.

2. Less Expensive: E-commerce is less expensive than organised retailing since it avoids paying salespeople's salaries as well as facility and maintenance costs. These costs are minimal in comparison to what the internet costs.

3. High Reach: As clients can be local, national, or international, e-tailing places a high value on customer integration. E-tailers can reach a huge audience by using the internet.

4. 24*7 Businesses: E-commerce offers users a high level of time utility because they can purchase goods and services at any time and from any location.

5. Feedback: On the basis of client feedback, customer relationship management in e-tailing is simple to handle.

Section – C

Q.11 Briefly comment on the following: (10)

a) “As compared to organised retailing, e-tailing is less expensive as it saves wages of salesmen and premises cost and maintenance.”

Ans) Selling consumer goods or services to clients through a variety of distribution channels in order to make a profit is known as retail. Retailers meet demand that has been tracked down through a supply chain. The term "retailer" is often used to describe a service provider who fulfils modest orders from numerous end users as opposed to large orders from a select few wholesale, corporate, or government clients. Retail thus refers to the selling of goods at a physical location where the buyer and the seller interact face-to-face. E-tail, on the other hand, refers to the online sale of items when the transaction takes place in a virtual setting. Amazon, Flipkart, Zomato, Swiggy, MakeMyTrip, and other well-known online shops including Walmart, McDonald's, and Big Bazaar are among the popular participants in the e-commerce industry.

The term "sales of goods and services over the internet or other electronic sources, for personal and household use by consumers" is known as "e-tailing," which stands for "e-retailing," also known as "e-retail." The European nations were where the word "e-retailing" first emerged. While all e-commerce is often passive, it has both passive and interactive retail systems. Airline tickets and other forms of entertainment booking are typically created using interactive systems.

Internet access is required for both retailers and buyers to engage in online shopping, which can be done from anywhere in the nation or outside. Location is not crucial in online retail. As clients can be local, national, or international, e-tailing places a high value on customer integration. E-tailers can reach a huge audience by using the internet. E-commerce offers users a high level of time utility because they can purchase goods and services at any time and from any location. As a result, e-tailing is less expensive than organised retailing because it avoids paying salespeople's salaries as well as facility and maintenance costs. These costs are minimal in comparison to what the internet costs.

b) “Hackers have a lot to gain from successful data breaches.”

Ans) An intelligent coder who wants to get access to another user's computer system is referred to as a hacker. They have the ability to send data, transfer it, and install a covert application that runs in the background to track user behaviour. They can even request dangerous files without any human involvement. A system can be hacked with the intention of stealing data or leaking information, causing system damage, defacing a website or business information system, etc.

Identity theft is a problem that is getting worse every day as more people use the internet and conduct business online. One type of cybercrime is the illicit acquisition of a user's personal or financial information via the internet. The information might be used to get counterfeit identification documents, steal money from the account holder's bank, or buy a variety of goods or services using the victim's credit card. Identify online fraud, which has been a major target of credit card data thieves. Many times, various e-commerce websites serve as the starting point for criminal activity when online offenders gather user personal data in order to commit consumer fraud.

Nearly every company has a website and systems that are accessible from the outside, which might be used by thieves to access internal networks. Successful data breaches offer hackers a lot to gain, and several instances of well-funded, well-planned cyberattacks against some of the biggest UK companies can be found. Because highly sophisticated assaults are more frequent, businesses must prepare for a breach by putting rules in place that enable them to identify and react to malicious behaviour before it causes harm or interruption.

c) “Online presence helps in the expansion of the target market.”

Ans) Nowadays, it is essential for any type of organisation to have an internet presence. They inevitably outperform their rivals as a result of it. The majority of well-known companies are present online, which contributes to their increased reputation and perceived credibility among clients. A website can be used to address every what and why a potential customer might have. Furthermore, having a high-quality, user-friendly website gives people confidence that they will have a favourable experience across the board with the company.

It is very possible that any company player's competitors have a website if they don't. This may result in missing out on possibilities to attract new clients and achieve prominence. It is essential that no chance is lost and that the competition secures every opportunity. Every firm must therefore have an online presence in order to keep ahead of the competition and have a stronger market presence. Being available to everyone worldwide, having an online presence aids in extending the target market. Anyone, from any nation, can quickly find the business, which makes them a prospective consumer. Online presence truly enables businesses to significantly increase their market share and capitalise, which would not be feasible otherwise.

d) “Security is a massive cause of concern when payments become digital in nature.”

Ans) The subject of how to increase the security of digital transactions becomes more important as more individuals start using digital payments over the long term. Our economy is aiming to become "less cash" in the future, so the sudden push to "move digital" will put the frameworks for fraud and security under a lot of stress. Users are continuously at risk of losing money and having their personal information compromised by data breaches of all sizes, which occur every day. Mobile virus, phishing attacks, making duplicate SIM cards, and actual theft are some of the most common risks. Additionally, users may be perplexed by the various techniques fraudsters are using to steal sensitive financial information from the digital ecosystem.

Since the start of the epidemic, there has been a considerable growth in the amount of digital payments, with cashless transactions rising by 40%. As a result, more people are now exposed to cybersecurity dangers such phishing, virus assaults, and malware. Security is therefore a major worry when it comes to digital payments. From the beginning, people need to be able to trust that their money is safe and that their personal information will not be compromised.

Q.12 Distinguish between the following: (10)

a) Private Labelling and White Labelling

Ans) The differences between Private Labelling and White Labelling are as follows:

Private labelling refers to an internet marketplace where individuals, designers, and small businesses can "seek" reputable brand labels for their goods. Such a private labelling e-commerce network connects designers who lack the resources to produce their own goods with manufacturers or "well-established" companies looking to diversify their product offerings. This service is offered for a variety of products by Indiamart.in.

For instance, a reputable brand may "private label" products or formula from a small manufacturer of herbal cosmetic products through Indiamart.in. The opposite of private labelling is white labelling. According to this approach, a brand's goods could be repackaged, rebranded, and marketed by a different company.

It is important to note that these are only a few of the widely used e-commerce implementation strategies, and that e-commerce business entities have adopted several variations to these fundamental implementation strategies in response to new technological trends and because excessive digitalization was made popular during the COVID era.

b) E-Government and E-Governance

Ans) The differences between E-Government and E-Governance are as follows:

Using information and communication technologies (ICTs), such as computers, mobile phones, information kiosks, the Internet, community radio, digital TVs, etc., to give public services and administrative information to the public is known as "e-Government."

The availability and submission of application forms online for a variety of governmental services, including as passports, ration cards, and grievance resolution, as well as the facilitation of electronic utility payments and access to land records, are examples of e-government.

On the other hand, e-Government makes it possible in new ways to include communities and citizens in online discussions about matters of public interest. e-participation, digital democracy, and online voting are some further e-governance applications. As a result, "good government" is realised through the use of all digital possibilities for involving, empowering, and engaging the populace. A country's affairs are being better and more effectively managed through this effort, which places an equal priority on citizen inclusion.

The goal of e-Government is to increase and hasten administrative efficiency. The goal of e-Government is to improve citizen interactions with one another and with the government.

c) Hacking and Identity Theft

Ans) The differences between Hacking and Identity Theft are as follows:

Computer programmers who hack into digital systems, networks, and devices are known as hackers. They may use a variety of tools and methods in the process, such as vulnerability scanners, or software that looks for potential weak spots or loopholes, distributed denial-of-service (DDoS) attacks, which can disrupt connections and services, and rootkits, a type of malware that can remotely control a system.

They aren't necessarily all bad guys, though. Many hackers are actually security experts that software companies have engaged to look for unknown weaknesses and then assist in fixing them. Prior to malicious actors discovering them and exploiting them, they seek to detect defects and vulnerabilities.

Your name, birthdate, and Social Security number are stolen personal details that identity thieves utilise for their own selfish gain. A someone who steals your identity might obtain a loan, start a new line of credit, or even receive medical care under your name. Without the use of a computer, identity theft can occur when someone uses your Social Security number to apply for a job in person.

d) Advantages and Disadvantages of E-tailing for buyers

Ans) The differences between Advantages and Disadvantages of E-tailing for buyers are as follows:

Advantages of E-tailing for Buyers

1. Due to consumers' ability to shop whenever they want.

2. Place utility because customers may shop online.

3. Convenience factor since customers may shop using a PC, a laptop, or a mobile device.

4. Option utility because e-tailing offers customers a wide variety of options.

Disadvantages of E-tailing for Buyers

1. Customers could be unsure of the calibre of the goods and services available online.

2. Fear of online fraud and financial loss.

3. Every time, not all products are offered.

4. Absence of technological expertise.