E-Commerce Q&A

_______________________________ANSWERS_______________________________

COURSE CODE

• DMTW-E-F 2/11

GROUP MEMBER

1. SITI AISHAH BINTI AMINUDDIN ( 1111100182)
2. WAN MUHAMMAD IFFAN BIN WAN SHARIMAN ( 1111100187 )

2) Conducts some research on an area of e-commerce (C2C Trading) and prepare a Blog that discusses the following :

( i ) Cite two examples of organizations engaged in this type of E-Commerce.
Online auction sites have become more popular for C2C. Top C2C auction sites in Malaysia are Mudah.my and Lelong.com.my. 

Mudah.my is the largest online marketplace in Malaysia. The service allows anyone to buy and sell in his or her region conveniently in a very simple manner. Mudah.my connects buyers and sellers in Malaysia and delivers remarkable user experience. With more than 5.2 Million unique visitors a month, Mudah.my is one of the most visited internet sites in Malaysia.

Lelong.com.my powers a robust and secure avenue for trading in Malaysia. The idea of an auction site in Malaysia has taken off with tremendous response. With the experience Lelong.com.my have gained from running the site for the past years, their team are well poised to deliver a site that is full of quality content to the members. Starting based on Consumer-to-Consumer (C2C) transactions, many distributors have realised the power of using the auction system and are now using this site to trade and grow their business.

( ii ) Discuss how the changes influenced by e-commerce have changed the business model/s for this sector.
A business model can be explained as the methods of doing business, which the plan was implemented by a company to generate revenue and make a profit from operations. The model includes the components and functions of the business, as well as the revenues it generates and the expenses it incurs.

Revenue Model would explain the best among the most revolutionary changes influenced by E-Commerce. Since it is the easiest way for consumers to receive their payment after a trade through electronic way. To be example PayPal, Maybank2U, CIMB Clicks, and Bank Islam Biz. They provide an online banking service and the money is just on consumer’s finger tips. Easy to shop, buy and sell.

Next, supply chain model is another business model that explained the changes of traditional way to C2C. A supply chain is a network that was created amongst different companies producing, handling and distributing a specific product. Specifically, the supply chain encompasses the steps it takes to get a good or service from the supplier to the customer. As for C2C, the products are mostly cheaper and affordable compared to those in retails shop because of the transaction costs has been reduce.

( iii ) The use of this type of e-commerce world-wide and in Malaysia.
C2C or might known as Consumer-To-Consumer is one of E-Commerce transaction type which involves the electronically facilitated transactions between consumers through some third party. A common example is the online auction, in which a consumer posts an item for sale and other consumers bid to purchase it.

In Malaysia, Mudah,my is using Consumer-To-Consumer type of transaction. Besides, Mudah also dominating C2C trading in Malaysia as they has been known as one of the largest marketplace for buying and selling online. Consumers can buy, sell and find almost anything. From the latest gadgets (mobile phones, computers), houses to be rent, jobs vacancies and even live pets. Anything in one site. This is what we call an E-Mall. And it is user friendly as consumers can select the region of their choice and easily find the best deal among 1, 205,003 ads online.

As for worldwide view, eBay.com is the best example for an online auction site.  eBay is the world's largest online marketplace, where practically anyone can buy and sell practically anything. Founded in 1995, eBay connects a diverse and passionate community of individual buyers and sellers, as well as small businesses. These include fashions (accessories, shoes, handbags, etc.), motors, electronics, collectible arts (antiques), home and outdoor decor (crafts, gardens), entertainment (music, movie, video games) and much more. In addition, eBay also linked to 37 different countries from all over the world. Moreover, PayPal has made it possible for individuals and businesses to pay and get paid online across different locations, currencies and languages. Responding to the eBay community, which had quickly adopted PayPal as its preferred payment method, eBay Inc. acquired the company in 2002. Since then, PayPal's customer base has grown, both on eBay and across E-Commerce.

( iv ) Compare the difference between Malaysia and Global examples. The aspect must cover User Friendliness, Ranking Access, Competition and Overall Impression.

C2C Company / Aspects	Mudah.my	eBay.com
User Friendliness	The service allows anyone to buy and sell in a very simple manner. Mudah also place a video as a guide to user.	Easy to use. With PayPal, payments are easy to be made for buyers and directly depositing into seller checking account.
Ranking	Top 5 – Google MY	Top 1 – Google
Access	Easy to find good deals, specialize for Malaysian. But, also linking with 26 other countries under SPH and SCM.	Easy to be use as eBay is open to worldwide and corporates in 37 other countries. Malaysia is one of them.
Competition	Online auction site in Malaysia, Second Mover Advantage. Eg.  Lelong, Shoppy	Worldwide competition as eBay is one of the successful online auction site.  Eg. Amazon, Craiglist
Overall Expression	I prefer Mudah.my. Because the market base is in Malaysia itself. Easier for me to purchase and make a deal with the dealer as we are in the same region.	Such a well-organized and structured website. Best in the world but as the network range is too wide, it is not effective for me to do online shopping using eBay.

____________________________REFERENCES______________________________

• http://www.wiki.answers.com

• http://www.investopedia.com

• http://www.rachanchels.wordpress.com

• http://www.wikipedia.org

• http://www.mudah.my

• http://www.lelong.com.my

• http://www.ebay.com