.

ACKNOWLEDGEMENT

I take this opportunity to express my deep sense of gratitude to Prof.B.B Swain my

project officer, who permitting me to do my project on “E-COMMERCE-IT’S
EFECTIVENESS IN BUSINESS INDUSTRY” & also extended full co-operation
& support to me which helped me to reach final stage of making this report

I alone am responsible for my error, which may remain.

MONALISA RATH
ROLL NO-513C-007
 GUIDANCE CERTIFICATE

This is to certify that Miss.Monalisa Rath, a student of S.C.S(AUTONOMOUS)

COLLEGE, PURI has successfully completed her project on “E-COMMERCE-
IT’S EFECTIVENESS IN BUSINESS INDUSTRY” under my guidance .Her
performance was good &the project was submitted within the specified period.

I wish her all success In her future endeavor.

MONALISA RATH
ROLL NO-513C-007
 DECLARATION

I hear by declare that the present study entitled “E-COMMERCE-IT’S

EFECTIVENESS IN BUSINESS INDUSTRY” is being submitted by me to the
department of commerce in partial fulfillment of the requirement for the degree of
Bachelor of commerce from S.C.S(AUTONOMOUS)COLLEGE, PURI. This has not
been submitted to any other Institution/University for any degree in diploma.

MONALISA RATH
ROLL NO-513C-007
INTRODUCTION
SCOPE OF E-COMMERCE
BENEFITS OF E-COMMERCE
LIST OF TOP E-COMMERCE COMPANIES IN INDIA
GROWTH OF E-COMMERCE
WHAT IS THE IMPACT OF E-COMMERCE
MAJOR IMPACT OF E-COMMERCE EMERGE
CASE STUDY-DELL COMPUTER
CONCLUSION
BIBLIOGRAPHY
 INTRODUCTION

Electronic commerce as a new way of doing business has significant

opportunities. It is fast gathering momentum and becoming a reality in
India as in other parts of the world. As a symbol of globalization and in
many ways its leading feature, e-commerce represents the cutting edge.
E-commerce stands for electronic commerce and pertains to trading in
goods and services through the electronic medium. It has unleashed yet
another revolution, which is changing the way businesses to buy and sell
products and services. India is showing tremendous growth in the
Ecommerce. The low cost of the PC and the growing use of the Internet
is one of reasons for that. There is a growing awareness among the
business community in India about the opportunities offered bye e-
commerce. The future does look very bright for e-commerce in India
with even the stock exchanges coming online providing a online stock
portfolio and status with a fifteen minute delay in prices. In the next 3 to
5 years, India will have 30 to 70 million Internet users which will equal,
if not surpass, many of the developed countries.
SCOPE OF E-COMMERCE :-
India is showing tremendous growth in the E-commerce. Rival
tradeindia.com has 700,000 registered buyers and it has the growth rate of 35%
every year which is likely to double in the year 2010. Indiamart.com claims
revenues of Rs. 38 corers and has a growing rate of 50 every year. It receives
around 500,000 enquiries per month. Undoubtedly, with the middle class of 288
million people, online shopping shows unlimited potential in India. The real estate
costs are touching the sky. The travel portals' Share in the online business
contributed to 50% of Rs4800 corers online market in 2007-08. The travel
portalMakeMyTrip.com has attained Rs 1000 corers of turnovers which are around
20% of total e-commerce market in India. Further an annual growth of 65% has
been anticipated annually in the travel portals alone.

BENEFITS OF E-COMMERCE :-
There is a growing awareness among the business community in India about
the opportunities offered by e-commerce. Ease of Internet access and navigation
are the critical factors that will result in rapid adoption of Net commerce. Safe and
secure payment modes are crucial too along with the need to invent and popularize
innovations such as Mobile Commerce. India Reports provides accurate and easy
to understand India specific reports that capture trends, map business landscapes
and custom-made reports for specific needs. The other reports available on India
Reports are on retail, outsourcing, tourism, food and other emerging sectors in
India.
• Easy reach to a fast growing online community
• Unlimited shelf place for products and services
• Fuse the global geographical and time zone boundaries
• Helps reach national and global markets at low operating costs. Research studies
have indicated several factors responsible for the sudden spurt in growth of E-
Commerce in India such as:
• Rapidly increasing Internet user base
• Technology advancements such as VOIP (Voiceover-IP) have bridged the gap
between buyers and sellers online
• The emergence of blogs as an avenue for information dissemination and two-way
communication for online retailers and e-commerce vendors
• Improved fraud prevention technologies that offer a safe and secure business
environment and
help prevent credit card frauds, identity theft sand phishing
• Bigger web presence of SME’s and Corporate because of lower marketing and
infrastructure
LIST OF TOP E-COMMERCE COMPANIES IN
INDIA:-
1) ASA Systel Communications Pvt. Ltd. :-
It is a leading E-commerce company in India which provides innovative and
superb quality web services which encompasses the building of e-commerce
related websites and portals. The company also uses the latest payment modes and
security. The company has its offices in Chennai, Lucknow and will shortly set up
offices in Delhi, Mumbai, Kathmandu, Bhopal.
2) Candid Info:-
This Indian E-commerce company is based in New Delhi. It is a renowned
Offshore Outsource Web designing development e-commerce Company. It offers
off shore web development, designing, and SEO solutions for large corporations
and SME's.
3) Chenab Information Technologies Private Limited:
This E-commerce company in India comprises of web enabled business and
web bases services, airline and security systems by using the internet technologies
and tools of the state of the art. The company has three Software Development
centers in Mumbai and the overseas branch office in New York. It is the first
software company across the globe to get the certification of ISO 9001:2000.
4) Euro link Systems Limited:
This leading E-commerce company provides consulting and e-business
solutions, Flex TCA Systems, Trillium Protocol services to the global community.
The company has its office in England, U.S, Switzerland, and India with about
200employee strength.
5) Hash Pro Technologies: It offers e-business and traditional analysis,
development, implementation, design and strategic planning. It is a leader in the
provider of integrated talent management software organization In India. It is key
technology consulting provider. It renders services like the E-commerce Hosting,
Internet Marketing and Human Resources. The e-Workforce initiative of the
company will enable the company to become a 100percent e-Corporation.
6) Compare Info Base: The Company is leading provider of e-commerce portals
and IT solutions. The company manages about 1500 websites and portals with
4000domain names. It has web presence in Maps, Software Development, GIS
Travel, Education, Media, and Greetings etc. It specializes in Content development
services, Website development services; PHP Programming & Development etc. It
has its office in Mumbai, Kolkata and Delhi.
7) Sanver E-solutions:
This company is based in Mumbai. They believe that Information Technology is a
way to the business objectives. It is a IT consulting and Solutions Provider which
offers personalized and personal business solutions using Information and
Communication Technology.
8) Planet Asia: This E-commerce company in India uses track record and deep
experience in externalized applications to produce high quality B2SPEC(Business
to Partner, Supplier, Customer solutions to global enterprises.
9) Candid Web Technology- This fast growing E-Commerce Company in India is a
provider of Complete Web Solutions for the design and development of dynamic
web sites .The clients of the e-commerce company spans from the small scale
companies to corporate organizations.
10) Trisoft Design: Trisoft Systems is a software services company that offers
solutions exclusively on the
Microsoft Platform to customers worldwide. 10 years of experience on the
Microsoft Platform puts the company at the forefront of .Net Technology. We
invite you to explore our website and we look forward to helping your business
unleash its potential.
GROWTH OF E-COMMERCE:-
During the year 2000-2001, two major Industry Associations produced separate
reports on e-commerce in India. One was prepared by the National Committee on
E-Commerce set up the Confederation of Indian Industry(CII), while the other was
commissioned by the NASSCOM and prepared by the Boston The Confederation
of Indian Industry (CII) report estimates the volume of e-commerce to grow to Rs
500 billion (US$ 10.6 billion) in the year2003. The NASSCOM-BCG Report, on
the other hand, estimates for the same year that the total volume of ecommerce will
be Rs 1,950 billion (US$ 41.5 billion). Amul, milk cooperative, automotive sectors
are improving their customer relationship through this medium. According to the
Indian Ecommerce Report released by Internet and Mobile Association of India
(IAMAI) and IMRB International, “ The total online transactions in India was Rs.
7080 corers (approx $1.75 billion) in the year 2006-2007 and expected to grow by
30% to touch 9210 corers(approx $2.15 billion) by the year 2007-2008. Between
2006and 2011, the aggregate CAGR for the five countries will be 23.3%.
Fig.

Online travel is the largest e-commerce sales category in most major countries. E-
Marketer forecasts that from 2006 to 2011 online travel sales will grow at a 24.8%
annual rate, higher than the 23.3% rate for B2C e-commerce. This indicates that
travel is one of the key drivers of e-commerce sales in the APAC region.
Fig. 2

In China and India, online-travel spending drives B2C e-commerce sales, and it
accounts for a majority of total sales. Consumers are less wary of buying services
like train or airline tickets online, and sellers can avoid the logistics and delivery
problems associated with physical goods. Jeffrey Grau, senior analyst at e
Marketer, said that such preferences underscore how e-commerce in the region has
a vast amount of growth ahead. E-commerce in these markets will have come of
age when consumers start buying more expensive, high-touch categories such as
apparel, home furnishings and jewelry.
WHAT IS THE IMPACT OF E-COMMERCE:-
E-commerce will not only have an impact on the supply chains of medium to
large companies. It will also change the way we live and work in our cities and
communities, it will change government at both a local and national level and it
will affect the way that we build contingency into our lives. Internet technologies
have grown out of a range of standards that are based on the need to communicate
and interact openly. As such, we can expect to see day-to-day activities such as
shopping, ordering, booking tickets and personal services increasingly moving
online. This will have a dramatic impact in cities. More than 90 percent of all
telephone calls are local. Most people spend most of their income within a small
radius (less than 50 miles) from where they live. It seems logical to predict that the
design and execution of local supply chains within cities will change significantly.
Local distribution will change, as will the role of the city centre. Local and national
government will need to adapt to new realities such as taxation, voting patterns,
education levels and payments as people question the need for fixed assets and
locations such as buildings. Government and local supply chains will need to be
more responsive or companies and people will be increasingly willing to
circumvent their authority and control. While e-commerce will make us more
efficient it is also likely to make our supply chains more vulnerable to shocks.
After 11 September 2001, we are all more aware of the need to be prepared for
catastrophic changes in business conditions. This does not mean a return to high
levels of company level safety stocks, but a more mature approach to contingency
between companies and geographies based on greater cooperation around mutual
interests. New e-commerce technologies will also emerge and have an impact,
including wireless data communications such as 2.5 and 3Gand radio frequency
identification (RFID). This will give us the very real prospect of being able to not
only track products and to transfer data using mobile communications but also the
possibility of managing products and deliveries to the individual product level in
real time. The amounts of data involved could be huge and will require significant
enhancements to current ERP systems. Companies will see the benefits and
penalties involved in giving all their products an individual personality.
MAJOR IMPACT OF E-COMMERCE EMERGE:-
A central theme of this chapter is that organizations are generally
underestimating the impact that e-commerce will have on supply chains and
overestimating how quickly change will happen. These are common mistakes that
are made when dealing with disruptive technologies. Many companies have
certainly had a tendency to be better at starting supply chain initiatives than rolling
out and completing their delivery. It was not uncommon to find senior executives
losing interest in supply chain initiatives that they had sponsored after the first few
implementations. The likely impact of e-commerce can be divided into three
distinct phases over the next five to ten years.
 Early stage impacts (up to 2004) In the early stage, companies will focus on
getting the basics right while experimenting with some new solutions. This
period is likely to be characterized by two developments. First, companies
will focus on getting the basics right and rolling out existing solutions, such
as ERP, e-procurement, e-order management, and demand and supply
planning, across organizations. Second, there will be a period of limited
experimentation around new solutions, 438 Virtual supply chains such as e-
fulfillment, tracking and tracing, collaborative design, and between supply
chain partners. Some companies, for instance, could experiment with one-to-
one collaboration between trusted partners. These would be aimed at new
retail models and in connecting manufacturers (such as automotive) more
closely to their customers. We expect the early stage to be a critical time for
the leading companies of the future to establish dominance around
operational excellence and continuous innovation.
 Medium stage impacts (2004–07)A range of robust and sophisticated e-
commerce solutions will be rolled out, while leading partners will
experiment with synchronization solutions. In the medium term, we can
expect to see the rollout of a much broader range of robust and sophisticated
e-commerce solutions in the supply chain. E-marketplaces are likely to take
a limited but important role in industry-level connectivity and in logistics
solutions. The ‘one supply chain at a time’ solutions are likely to broaden as
best supply chain partners gradually start to include a wider range of
partners in their value chains.During this period a shake-out of poorer
performing companies is inevitable as they will be forced by economics to
either focus on niche areas of supply chain excellence or to rescale their
businesses to reflect their diminishing supply chain power.
 Later stage impacts (2008 and beyond) Major companies will achieve
success in their supply chain synchronization initiatives, unlocking huge
potential. By this late stage, we can start to expect to see the increasing
impact of supply chain synchronization initiatives in major companies.
Supply chain synchronization is in many ways the ‘Holy Grail’ of current
supply chain thinking. It will require e-commerce to work. It represents a
world in which machine-driven decision-making ,combined with very, very
smart human analysis will be able to synchronize and re-synchronize multi-
regional (if not global) supply chains on a real-time basis. The potential for
this technology is huge. However, it is not simple. The first live simulators
of synchronization were being built five years ago – and the technology
worked then. However, the sheer scale of the changes in boundaries that are
required suggests that effective implementation by 2008 is still very
ambitious
CASE STUDY DELL-COMPUTER:-
Dell Computer is breaking the boundaries between departments to develop next-
generation capabilities in supply chain management. Dell is an excellent example
for breaking the boundaries. Dell Computer Corporation is the world’s leading
direct computer systems company, with more than 16 000 employees in 33
countries. Dell has completed a supply chain program called DSi2 to rapidly
develop next-generation capabilities in supply chain management for the
organization. The new capabilities are focused on breaking the boundaries between
departments through.
 Re-designing materials requirements planning (MRP) processes and
configuring i2’s Supply Chain Planner (SCP) tool.
 Enabling collaboration with suppliers regarding forecast and purchase
information and configuring i2’s Rhythm Collaboration Planner (RCP) tool.
 Assimilating and summarizing global demand and supply data from each of
Dell’s regions and providing the business community visibility to this much
sought-after data e-commerce and supply chains – breaking down the
boundaries 437. Automating factory scheduling processes to create build
schedules based on materials availability and configuring i2’s Factory Planner
(FP).
 Enabling collaboration with third-party distribution hubs for materials
replenishment pulls every two hours into Dell manufacturing sites, including
the configuration of i2’s RCP tool.
During the 12 months after project initiation, the project paid for itself with more
than $32 million in measurable benefits and a 500 percent plus return on
investment. Factory utilization has increased by more than 5 per cent, with
considerable factory headcount and space savings, reduced factory inventory and
expedition costs, improved shipping to target and increased efficiency for materials
planners and procurement. The globally consistent processes for demand
fulfillment and supply planning have improved inventory visibility across the
supply chain (for Dell and its suppliers), providing a proven large-scale program
methodology with a reusable framework. Automation of previously manual
processes has led to a reduction in error introduction points, contributing to lower
factory employee attrition rates.
 CONCLUSION

A developing country can become industrialized and modernized if it can

extensively apply IT to enhance productivity and international competitiveness,
develop e-commerce applications. An information-based society or knowledge
based society is composed of IT products, IT applications in society and economy
as a whole. Many countries in Asia are taking advantage of e-commerce through
opening of economies, which is essential for promoting competition and diffusion
of Internet technologies. Large enough to have a critical mass of 10 to 20 million
users to be able to make an impact on e-commerce. In the next 3to 5 years, India
will have 30 to 70 million Internet users which will equal, if not surpass, many of
the developed countries. Internet economy will then become more meaningful in
India. With the rapid expansion of internet, e-commerce is set to play a very
important role in the 21stcentury, the new opportunities that will be thrown open,
will be accessible to both large corporations and small companies. The role of
government is to provide a legal framework for E Commerce so that while
domestic and international trade are allowed to expand their horizons, basic rights
such as privacy, intellectual property, prevention of fraud, consumer protection etc
are all taken care of.
 BIBLIOGRAPHY
[1] Sinha (April 2009), “Ecommerce in India – The Real Challenges”
[2] Chaudhury, Abijit; Jean-Pierre Kuilboer (2002). E-Business and e-Commerce Infrastructure.
McGraw-Hill.
[3] Frieden, Jonathan D.; Roche, Sean Patrick (2006), "E-Commerce :Legal Issues of the Online
Retailer in
Virginia", Richmond Journal of Law & Technology,13(2).
[4] Miller, Roger (2002), “The Legal and E-Commerce Environment Today”, Thomson
Learning, pp. 741 pages.
[5] Turban E, Lee J King D and Chung H M (1999),”Electronic Commerce: A Managerial
Perspective”,
Prentice Hall
[6] Ubois, Jeff (1995), “Wheels of Commerce- an Interview with commerce”, pp 62-69
[7] Megna, Michelle (2008); “E-Commerce Trends for2008 and 2009”.
[8] Rastogi, Rajiv; “Country’s report on E Commerce Initiatives”.
[9] Berger, A. J. and Gattorna, J. L. (2001), Supply Chain Cybermastery, Aldershot: Gower
Publishing.
[10]Brooks, J. and Dik, R. (2001), ‘B2B – the Smart Path Forward’ Internal paper, Accenture.
[11]Davenport, T. et al. (2001), ‘The Dynamics of e-commerce Networks’, internal paper,
Accenture.
[12]Porter, M. (1999), ‘Rethinking competition’ in Rethinking the Future, Nicholas Brealey
Publishing.