E-Finance



E-Finance

Introduction

E-commerce and E- finance is the activity or process of business through the Internet which includes not the only transaction of goods or information but also includes the collaboration of inter-electronic, e-integration and e-service. It includes different electronic-activities of business such as: trade with another organization, the internal process of a company that use to support buying and selling processes, planning and other activities. Indeed, it is the area of business and technology that remains comparatively new although business emerges and constantly changes its area. Using E-commerce and E- finance thousand of transactions can be made in a single click within a second between buyer and seller.

E-Commerce

Electronic commerce (e-commerce) is generally defined to encompass any commercial activity that uses the transmission of electronic data to facilitate buying and selling. E-commerce therefore spans a wide variety of industries, not only those trading in tangible goods (as traditional brick-and-mortar storefronts do) but also those brokering the transfer of intangible ownership rights. It also uses a wide variety of technologies, ranging from the simple buying and selling of products using electronic mail to more complex inventory-tracking systems that automatically replenish stock based on sales (Dekleva, 2004). Over the past 10 years, e-commerce has become an integral part of business organization and economic strategy—accounting for more than $3.3 trillion worth of transactions in the U.S. economy in 2007 (Census 2009). E-commerce is of particular relevance to the study of geography as it enables (though it does not guarantee) change in the spatial organization of the economy. This entry reviews how e-commerce can help overcome the frictions of geographical distance while operating as a centralizing force throughout the global economy (U.S. Census Bureau, 2009).

The terms e-business and e-commerce have slightly different meanings. E-business is “. . . a broader term that encompasses electronically buying, selling, servicing customers, and interacting with business partners and intermediaries over the Internet. Some experts see e-business as the objective and e-commerce as the means of achieving that objective” (Davis and Benamati 2003, 8). In essence, e-business means any Internet or network-enabled business, for example companies can buy parts and supplies from each other, collaborate on sales promotion, and conduct joint research (Dekleva, 2004).

On the other hand, e-commerce is a way of doing business using purely the Internet as a means, whether the business occurs between two partners (business to business—B2B), between a business and its customers (business to customers—B2C), between customers (C2C), between a business and employees (B2E), or between a business and government (B2G) (Kowtha, 2001, Pp. 242).

According to Effy Oz (2002), an expert in information technology and ethics, there are three categories of organizations that want to incorporate the Web into their e-business: (1) organizations that have a passive presence online and focus on online advertising, (2) organizations that use the Web to improve operations, and (3) organizations that create stand-alone transaction sites as their main or only business (Chaffey, 2009).

In contrast, e-commerce is not exclusively about buying and selling. Although the ultimate goal of business is profit ...