E Commerce Critical Analysis

Although e-commerce application is not very popular in Sri Lanka, there are several organizations which successfully apply e-commerce in their business. One of the such organization is Kapruka (www. lanka. info). The main objective of Kapruka is to provide online shopping facilities. In addition they have wide range of services for customers. They are gift delivery in Sri Lanka, photo print and delivery to customers, download Sinhala Mp3, rent a car in Sri Lanka, astrology services, and obtain Sinhala books / DVD / Videos.

The business model operates by Kapruka is mainly B2C (Business to Customers) and B2B (Business to Business) transactions also happens. The B2C model involves transaction between business organization and consumers. The business organization sells its products or services to consumers over the internet. The following illustration briefly describes the process. Consumer Kapruka Internet Hosts product details Access product information Receive order process Place an order for the and dispatches product product We can see B2B model involves in Kapruka services when reloading mobile phones Through the internet.

Advantages of E-Commerce

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Faster buying/selling procedure, as well as easy to find products.  Buying and selling at all times 24/7. More reach to customers, there is no theoretical geographic limitations.  Low operational costs and better quality of services.  No need of physical company set-ups. Easy to start and manage a business.Customers can easily select products from different providers without moving around physically. Customization-sellers can provide according to specific individuals requirements. Eliminate Travel Time and Cost. In modern days when we are doing electronic based transactions via web there are many problems that we are faced. The first reason is people are not interested in this kind of transitions because they do not fully trust online payment systems. The reason is consumers think their bank information is not secured with internet. However if a customer’s agreed with this system still majority of people are not familiar with computers.

So that they do mistakes when doing a transaction and they are reluctant to use internet. When doing internet transactions we must get register on certain organizations. In that case we have to give all the details for them. Examples are user name, passwords, credit card numbers, bank account number. This step is the most dangerous thing in transaction because the cyber criminals access our details and they can hack our bank accounts. So they can buy anything they want using our accounts. And there are some many more concerns when dealing with electronic based transactions via web.

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