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confidence. This is at the expense of breadth and detail. A good many<br />

of the expected impacts, mostly those of a qualitative nature are not<br />

included in the modelling in exchange for increased confidence in<br />

our results.<br />

Non-quantifiable impacts. The study will reinject some of the detail and<br />

technical insight about the impact of e-commerce by using a case study<br />

approach in a limited number of key activities. This will work to maintain<br />

a balance between confidence and detail. These are included in the<br />

sectoral reports in Part 2.<br />

Within the broad definition e-commerce can also be viewed as being<br />

formed of a number of differing layers of activity. The layers that are<br />

most often discussed in the industry and their relative significance is set<br />

out in the exhibit below.<br />

Box A.1<br />

Layers of e-commerce activity<br />

Consumerto-consumer<br />

Business-to-consumer<br />

Business-to-business<br />

Electronic commerce infrastructure<br />

EFT, credit card payments and the payments system<br />

EFT and Other Payments Systems is the transactional foundation upon which a great<br />

deal of e-commerce is based or follows. There are already a great number of<br />

transactions in the economy that occur at this level. Key activities at this level<br />

include use of Automatic Teller Machines (ATMs), the huge raft of transactions that<br />

occur daily between banks in the payments system, as well as credit card payments,<br />

electronic payrolls and many more.<br />

E-commerce infrastructure includes network service providers, hardware, software and<br />

enabling services.<br />

Business-to-business represents the major proportion of e-commerce activity. The<br />

focus of business-to-business e-commerce has been on the inter-corporate or<br />

inter-organisational supply chain, although non-supply chain interactions are<br />

also significant.<br />

Business-to-consumer e-commerce can involve electronic transactions in marketing,<br />

ordering and paying, after sales service and, in the case of intangible or virtual<br />

goods and services, even delivery.<br />

Consumer-to-consumer e-commerce consists primarily of websites where consumers<br />

deal directly with one another, such as online communities, free personal classifieds<br />

pages, auction houses such as eBay, and swap sites.<br />

Source:<br />

Based on OECD 1997b, Measuring E-commerce, Committee for Information, Computer and<br />

Communications Policy, Paris, OCDE/GD(97)185, p. 19.<br />

45

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