Electronic Commerce

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The advancement of computer technology and internet, domestic as well as international businesses are being fascinated towards these technologies. Today, most of the small or big businesses and domestic or international businesses offer their products and services through Internet.

The business organizations these days have attractive and interactive website through which they promote and market their business.

The facility of computer based technology and Internet collectively integrates the fragmented markets by offering them a common arena. Technology has further helped organizations in cost cutting and has also helped reduce the cost of products and services.

Technology facilitates customers in buying products or services of their requirement by sitting at home or any place.

What is Electronic Commerce?

Electronic commerce or simply ecommerce is normally a process that involves facilitating the availability of products and services online. The users can search, choose, sell, buy from a wide range of options through Internet.

The major activities of ecommerce are as follows −

• Selling products and services online (through internet)
• Buying products and services online
• Paying and accepting payment online
• Transaction of businesses and other services online

Features of E-Commerce

Following are the important features of ecommerce −

• It efficiently increases the business capability.
• It substantially reduces the cost.
• It perceptively increases the delivery services.
• It unbreakable solution of quick business transactions and office automation.
• It potentially increases the intra-business functionality.
• It competently increases the business communication.

Types of E-Commerce

Following are the major types of e-commerce businesses −

Business-to-Business (B2B)

It is conducted between two business firms.

Business-to-Consumer (B2C)

It is conducted between the business firm and the consumer.

Consumer-to-Consumer (C2C)

Consumer-to-consumer business deals happen between two consumers; there are certain websites that facilitate a common platform to both the consumers - one who wants to buy and one who wants to sell.

Benefits of E-Commerce

Let us now discuss the benefits of e-commerce −

• It facilitates free market.

• It is available 24×7.

• Its presence is global (there is no constrain of political boundary as such).

• Set up cost is substantially low.

• It provides user-friendly technology.

• It offers multiple opportunity parallel and simultaneously.

• It provides frugal facilities to promote and market businesses.

• It has features to offer market research facility.

• It makes customer relations management easier.

• It facilitates the provision of 24×7 customer care services.

• It provides fund transfer facility domestically as well as internationally with simple steps.

Computer Related Jobs

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The fast computerization of every work and gradual dependency on computer based work has exponentially opened a new arena of Information technology for employment.

However, the IT field requires qualified and trained employees who can design and develop a new information system.

Information technology has also helped in research and development and has further developed new technologies. The IT employees emphasize on planning, designing, developing, managing the work, and providing technical support to various users.

Types of Computer Related Jobs

In recent times, a number of jobs have come up that are done with the assistance of computer. We will discuss the different job titles performing computer related jobs −

Programmer

A person who is qualified enough to write a creative code for the computer program is known as Programmer.

The codes written by programmer are the instructions given to the computer over what to do, how to do, when to do, etc.

There are dozens of languages, which are written by the different programmers. E.g. Java, C, C++, python, Ajax, etc.

System Analyst

The job of a system analyst is highly classified and also very crucial.

A system analyst fundamentally designs, develops, and implements new systems or adds some additional features in the existing system to give instructions to perform additional tasks.

System analyst also specializes in fields such as engineering, science & technology, finance, business, accounting, etc.

Database Administrator

A database administrator or simply DBA is a trained person who is accountable for the storage of and management of the database system.

Network Administrator

Computer networking is another specialized field where a qualified person is required.

A network administrator specializes in installing, configuring, and supporting computer network system. Likewise, he manages the local area network, wide area network, the Internet system or the segment of a network system in the respective organization.

The job of a network administrator is a very crucial one as almost every network in an organization requires at least one network administrator.

Web Designers

A web designer is an architect who designs an effective and communicative website.

He places the images, contents, and other such information on right places to make the website interactive and user friendly.

Information Security Analysts

This is one of the most significant jobs under which an Information Security Analyst designs, implements, and supports the security system of a computer or whole network.

Networking

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A computer networking is a process of connecting two more than two computers with the purpose to share data, provide technical support, and to communicate (especially for the business purpose.

Internet is the technology that is used to connect different computer systems (located in different geographic location). Networking technology has revolutionized the world and created a new arena for the overall development of every nation.

Advantages of Networking

Let us now discuss the advantages of networking. The advantages are described below −

Facility of Technical Support

Because of having computer networking, a person sitting in the United States of America provides technical support to a person sitting in a remote part of India.

Easy Sharing of Data

With the help of networking, it is very simple to share all formats of digital data from one computer system to another (irrespective of their geographic location).

Easy Sharing of Hardware Resource

With the help of networking, it has now become very simple to share the expensive resources including storage space, processor, fax, etc.

Easy Sharing Software

Through the networking system, it is easy to share and install the software from one computer system to another computer system.

Easy to Decentralize Data Processing

Through the networking system, it is very simple to decentralize the data processing system. It ultimately helps to control, secure, and manage the important data.

Easy to Communicate

With the help of networking, the communication system has now become highly efficient, frugal, and fast. The different modes of communication are text chatting, video chatting, emails, etc.

Types of Network

In this section, we will discuss the different types of network. The types are described below −

• Local Area Network (LAN)
• Metropolitan Area Network (MAN)
• Wide Area Network (WAN)

Local Area Network

Local Area Network or simply LAN is the technique of interconnecting a few computers located in a given premise. It is normally used for a single business office or a residential apartment.

The major purpose of such interconnectivity is to establish a communication system in order to make the work easier.

However, in such connectivity, some other devices can also be attached such as laser printers, fax machine, etc.

Metropolitan Area Network

Metropolitan Area Network or simply MAN is a system of network that normally covers a large metropolitan area (city part).

It provides high speed Internet services throughout the area covered within the network.

Wide Area Network

Wide Area Network or simply WAN is a system of network that covers a large geographical area across the world.

The services of WAN are provided by public (government) agencies as well as private agencies. The network also provides the facility to access databases located remotely.

The WAN system is highly beneficial for MNCs and other big corporate companies (offering online services).

Data Processing

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Collection, manipulation, and processing collected data for the required use is known as data processing. It is a technique normally performed by a computer; the process includes retrieving, transforming, or classification of information.

However, the processing of data largely depends on the following −

• The volume of data that need to be processed
• The complexity of data processing operations
• Capacity and inbuilt technology of respective computer system
• Technical skills
• Time constraints

Methods of Data Processing

Let us now discuss the different methods of data processing.

• Single user programming
• Multiple programming
• Real-time processing
• On-line processing
• Time sharing processing
• Distributed processing

Single User Programming

It is usually done by a single person for his personal use. This technique is suitable even for small offices.

Multiple Programming

This technique provides facility to store and execute more than one program in the Central Processing Unit (CPU) simultaneously. Further, the multiple programming technique increases the overall working efficiency of the respective computer.

Real-time Processing

This technique facilitates the user to have direct contact with the computer system. This technique eases data processing. This technique is also known as the direct mode or the interactive mode technique and is developed exclusively to perform one task. It is a sort of online processing, which always remains under execution.

On-line Processing

This technique facilitates the entry and execution of data directly; so, it does not store or accumulate first and then process. The technique is developed in such a way that reduces the data entry errors, as it validates data at various points and also ensures that only corrected data is entered. This technique is widely used for online applications.

Time-sharing Processing

This is another form of online data processing that facilitates several users to share the resources of an online computer system. This technique is adopted when results are needed swiftly. Moreover, as the name suggests, this system is time based.

Following are some of the major advantages of time-sharing processing −

• Several users can be served simultaneously
• All the users have almost equal amount of processing time
• There is possibility of interaction with the running programs

Distributed Processing

This is a specialized data processing technique in which various computers (which are located remotely) remain interconnected with a single host computer making a network of computer.

All these computer systems remain interconnected with a high speed communication network. This facilitates in the communication between computers. However, the central computer system maintains the master data base and monitors accordingly.

Generations of Computer

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The development of computer systems is normally discussed as the development over different generations.

With the succession of different generations, came the advancement in computer technology.

Computer Generations

Let us now discuss the development in Computer Technology over the different generations.

First Generation

• The period 1940 to 1956, roughly considered as the First Generation of Computer.

• The first generation computers were developed by using vacuum tube or thermionic valve machine.

• The input of this system was based on punched cards and paper tape; however, the output was displayed on printouts.

• The first generation computers worked on binary-coded concept (i.e., language of 0-1). Examples: ENIAC, EDVAC, etc.

Second Generation

• The period 1956 to 1963 is roughly considered as the period of Second Generation of Computers.

• The second generation computers were developed by using transistor technology.

• In comparison to the first generation, the size of second generation was smaller.

• In comparison to computers of the first generation, the computing time taken by the computers of the second generation was lesser.

Third Generation

• The period 1963 to 1971 is roughly considered as the period of Third Generation of computers.

• The third generation computers were developed by using the Integrated Circuit (IC) technology.

• In comparison to the computers of the second generation, the size of the computers of the third generation was smaller.

• In comparison to the computers of the second generation, the computing time taken by the computers of the third generation was lesser.

• The third generation computer consumed less power and also generated less heat.

• The maintenance cost of the computers in the third generation was also low.

• The computer system of the computers of the third generation was easier for commercial use.

Fourth Generation

• The period 1972 to 2010 is roughly considered as the fourth generation of computers.

• The fourth generation computers were developed by using microprocessor technology.

• By coming to fourth generation, computer became very small in size, it became portable.

• The machine of fourth generation started generating very low amount of heat.

• It is much faster and accuracy became more reliable.

• The production cost reduced to very low in comparison to the previous generation.

• It became available for the common people as well.

Fifth Generation

• The period 2010 to till date and beyond, roughly considered as the period of fifth generation of computers.

• By the time, the computer generation was being categorized on the basis of hardware only, but the fifth generation technology also included software.

• The computers of the fifth generation had high capability and large memory capacity.

• Working with computers of this generation was fast and multiple tasks could be performed simultaneously.

• Some of the popular advanced technologies of the fifth generation include Artificial intelligence, Quantum computation, Nanotechnology, Parallel processing, etc.

Applications

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A number of tasks in today’s world is computer based - filling an application, transferring fund, or doing online business everything can be done through computer application.

Easily accessible and user friendly, computer applications process the required transactions very quickly and accurately.

Computer applications are designed in such a simple manner that no qualification or training is required to use it; any person who can read and write can use computer application.

Uses of Computer Applications

In this section, we will discuss the different computer applications and their uses.

• On-line Application
• Real Time Application
• Business Application

Online Applications

Today, most of the applications are being accepted online, whether it is for opening a bank account, filling admission form, filling job application, etc.

Following are the important forms of online applications −

Banking

Most of the banks are interlinked through computer networking and offer core banking facilities. Computer networking helps maintain accounts online, offers net banking facility, makes available online transactions facility, and offers digital signature facility, the biggest advantage being that ATM machines can dispense money anytime, etc.

Ticket Booking

Ticket booking has become easier with computer networking. Flight ticket, railway ticket, and even bus ticket can be booked online with simple and easy steps.

Passport Application

If you want to apply for a new passport, you can do it by yourself online. Besides, you can also apply for other essential documents online such as PAN card, Aadhaar Card, etc.

Job Application

Today, most of the applications (private as well as government) are being filled online. Many of the organizations also conduct competitive exams leading to employment online.

Admission Application

Most of the schools and universities have made their admission applications available online; they also accept fees online.

Real-time Application

Real-time application is a computer based application program that functions in a given period of time. Or in other words, in a given period of time, a user has to perform certain functions before the time lapses.

For example, if you are making online transactions, then you have to provide the required information in a given time framework or else you will miss the chance.

Following are significant examples of real-time application −

Videoconferencing

With this technology, people can connect with each other visually from different places.

VoIP (voice over Internet Protocol)

This technology helps to make telephone calls over digital computer networks.

E-commerce transactions

This technology helps in buying and selling products over the digital computer network.

Online banking

Online banking is virtual banking from any place with the help of computer networks.

Instant messaging

This is where messages can be exchanged over the Internet instantly.

Online gaming

This enables playing of games partially or completely over the Internet.

Business Application

Different businesses have different computer applications; however, a few applications such as for maintaining the data base (of respective business), keeping employees’ records, offering online business facilities, online promotions, etc. are the common features of almost every business organization.

As such, introduction of computer technology has made business easier, simpler, and accessible 24×7.

Computer Networking Terminology

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In this chapter, we will discuss the major terminologies used in computer networking −

WAN

It stands for Wide Area Network and covers a wide area such as a city.

LAN

It stands for Local Area Network and covers a small area such as a small office or home. It physically connects all the computers located in the premises.

Internet

It is a computer network system that connects the computers of the world. It is normally connecting through WAN and LAN.

Intranet

It is a close room computer network system, as it covers a small area and only authorized people can access it.

Extranet

It is also a sort of Internet the access to which is granted only to a few.

World Wide Web (WWW)

It is the service that is used on Internet to view and search contents (in the form of web-pages).

Instant messaging (IM)

It is an online facility that facilitates us to chat or talk. Such service is provided by Skype, Google Talk, Windows Live Messenger, Yahoo Messenger, etc.

Voice over Internet Protocol (VoIP)

It is a Protocol, which is used especially for voice transfer over IP network. Likewise, it facilitates users to make phone-calls by using internet.

Really Simple Syndication (RSS)

It is a technique, which is used for the dissemination of information, articles, etc. Users normally subscribe to the RSS channel in order to receive news. After subscription, users do not need to visit the respective website rather they receive emails regarding the same.

Web log

It is a sort of online inventory (normally on a specialized topics) that consists of a series of entries. These entries are arranged in opposite chronological order. The person who maintains the weblog regularly update it with a new information.

Podcast

It is a digital file that normally contains audio or video record and is available on the Internet as well.

Social networking websites

It refers to the websites that facilitate users with a common platform where they can share their message (in text, audio, or even video form), images, videos, etc. For example, Facebook, Google+, Twitter, LinkedIn, MySpace, etc.

Chat Rooms

It is a dedicated area on the Internet that facilitates users to communicate.

Public Switched Telephone Network (PSTN)

It is a technical expression for public telephone system.

Integrated Services Digital Network (ISDN)

It is a set of communication standards that transmits voice, video, data, and other network services simultaneously.

Asymmetric Digital Subscriber Line (ADSL)

It is a sort of digital subscriber line (DSL) technology that facilitates faster data transmission.

Download

It is a process that saves data from Internet onto a personal computer.

Upload

It is a process that transfers the saved data from a personal computer to Internet server.

Dial-up

It is a technique in which a phone line is used in order to connect to the Internet.

Broadband

It is a wide bandwidth data transmission that transports multiple signals and traffic types swiftly.