electronic commerce jeff campbell, piyanuch chuasiripattana, travis flood, matthew janocko, kent...

Electronic CommerceJeff Campbell, Piyanuch Chuasiripattana, Travis Flood, Matthew Janocko, Kent Woodburn

Research on Electronic Commerce


Research on Electronic Commerce

• Travis Flood: E-Commerce and Business Strategy• Jeff Campbell: Intermediaries and the Internet• Piyanuch Chuasiripattana: Payment Systems• Matthew Janocko: Intelligent Agents• Kent Woodburn: Role of Digital Signatures


E-Commerce and Business Stragegy


Strategic Relationship Model

Manufacturer/

SupplierMarketplace

End Run

Bus to Bus

Customer

Intermediary

Bus to Cus


Business to Customer• Selling

• Transacting along Value Chain

• Communication

• Service


Business to Business• Selling


• Communication

• Service


Marketplace• Selling


• Communication

• Service


End Run• Selling


• Communication

• Service


Intermediaries and the Internet


Intermediaries and the Internet• Intermediaries add costs

– wholesalers– retailers

• The Internet allows companies to get closer to the end-user– personalization– global reach


Intermediaries and the Internet• Intermediaries add value

– items from multiple vendors in one location– customization– reduced logistics costs for producers


Intermediaries and the Internet• Cybermediary

– aggregate buyer demand or seller products to achieve economies of scale

– act as an agent of trust between buyer and seller– facilitate the market by reducing operating costs– match buyers to sellers


Intermediaries and the Internet• amazon.com

– search engine– retains user preferences for orders

• Auto-By-Tel– matches used car buyers to member agencies

• eBay– matches multiple buyers to multiple sellers– members provide feedback on participants


Payment Systems


Drivers in the development• Type of Transaction

• Total cost of making payment should be cost-effective

• Payment system should be varied- depends on the value of the products and the cost of payments.


2 major type of payments• Centrally Account Payment

– Use SET (Secure Electronic Transaction) Standards.

– Electronic check, credit cards– Cyber Wallet

• Electronic Cash Payments– Stored Valued Cards– Electronic Cash/Coin


Future• The trend that cyber wallet will become a part

of web browser.

• Combine Cyber tokens, e-check, debit cards, and credit cards into Cyber Wallet.


Intelligent Agents


Intelligent Agents• Intelligent Agent Definition

– An intelligent agent is an atomic software entity that takes autonomous action for the benefit of the owner, without constant human input and intervention.

• Intelligent Agents Uses / Examples– Comparative Shopping– Online Stock Monitoring and Trading


1 Needs Identification – Amazon’s “Eyes” www.amazon.com

2 Product Brokering – Firefly www.firefly.com – PersonaLogic www.personalogic.com – Tete-a-Tete

(www.ecommerce.media.mit.edu/tete-a-tete )

Intelligent Agents in the Buying Process


3 Merchant Brokering– Jango www.jango.excite.com – Andersen Consulting’s Bargainfinder www.bf.estar.ac.com.bf

4 Negotiation– Kasbah www.kasbah.media.mit.edu

– AuctionBot www.auction.eecs.umich.edu – Tete-aTete www.ecommerce.media.mit.edu/tete-a-tete

5 Purchase and Delivery

6 Product Service and Evaluation

Intelligent Agents in the Buying Process


Mobile Agents

• Dispatched to do owners business– Made of code and parameter settings– Can be active on foreign servers – Use Java or XML + class types– Distributed Processing– Security Features– To Learn More : Communications of the ACM


Role of Digital Signatures


Digital Signatures (Key Points)

• E-commerce is a rapidly growing market…people want security

• Digital Signatures are a way to get the needed securityPublic Key Encryption is the technique used

• Digital Certificates used to authenticate signatures

• The Legal Nature of the Signature• An outlook on the future


Digital Signatures

• E-commerce should generate 3.2 Trillion dollars by 2003

• 81% of internet users plan to buy on-line in 1999

• there needs to be a way to secure these transactions over the internet

• Digital signatures are one way to increase security


Digital Signatures

• Provide sense of legality and security

• uses encryption to ensure security of transmission - Public Key Encryption

• due to electronic nature harder to forge or alter data

• allows for non-repudiation


Public Key Encryption

• Prevents a document from being read, altered, or accepted by unauthorized party

• two keys - public & private• private - creates jumbled content• public - returns jumbled content to

original form


Digital Certificates

• Will identify a party as a legitimate entity

• are issued by third party agents - certification authorities

• will include the party’s name, serial no., expiration date, the public key, and the certification authority’s signature


Traditional Signature (A.B.A.)

• Signature acts as evidence• Signature acts as

ceremony• Signature acts as approval• Signature acts as

efficiency• Thus once signed, a

document is attributable, legal, authorizing, and clarifying


Digital Signature (A.B.A. )

• The digital signature has two additional attributes

• first, signer authentication - it will identify who signed & will be hard to copy

• second, documentation authentication - identifies what has been signed & makes it hard to alter content


An Outlook

• The internet is the fastest growing market today

• digital signatures will become legally recognized as more states pass legislation

• e-commerce will become the “American Express” of the internet


Questions??

electronic commerce jeff campbell, piyanuch chuasiripattana, travis flood, matthew janocko, kent...

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