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Exploring E-Commerce and Databases Integration

Discover the world of E-commerce and databases in this chapter, exploring electronic transactions, order processing, and database organization. Learn about the risks and decisions involved in moving your business online, as well as the anatomy of online transactions and the importance of database management.

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Exploring E-Commerce and Databases Integration

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  1. Invitation to Computer Science 5thEdition Chapter 14 Electronic Commerce and Databases

  2. Objectives In this chapter, you will learn about: • E-commerce • Databases Invitation to Computer Science, 5th Edition

  3. Introduction • E-commerce world • Financial transactions are conducted by electronic means • E-business • Orders are processed, credit is verified, transactions are completed, debits are issued, shipping is alerted, and inventory is reduced, all electronically Invitation to Computer Science, 5th Edition 3

  4. E-Commerce • Do you want to: • Broaden your customer base? • Recapture customers you are losing to competitors with online stores? • Better serve your existing customer base? • Better integrate departments/functions within your existing business? Invitation to Computer Science, 5th Edition 4

  5. The Vision Thing • Risks involved with moving into e-commerce • Will you just move your in-store customers online and achieve no overall gain? • When you expose yourself to online competition, will you have something unique to offer? • Does your existing customer base need or want anything that you don’t or can’t provide in your traditional business environment? • Are the employees in your Shipping and Accounting departments in agreement with this idea? Invitation to Computer Science, 5th Edition

  6. The Vision Thing (continued) • Costs involved • Do you have all the necessary hardware (computers), software, and infrastructure (network connectivity) to host a business Web site? • Do you have the personnel and skills you need to build and maintain a Web site? • Do you know the potential costs of diverting resources away from your existing traditional business? Invitation to Computer Science, 5th Edition

  7. Decisions, Decisions • First major decision • Choose between in-house development and outsourcing • Are you going to use your existing staff to develop this e-business • Will you lease space on someone else’s commercial Web server Invitation to Computer Science, 5th Edition

  8. Anatomy of a Transaction • Goals • Draw potential customers to your site • Keep them there • Set up optimum conditions for them to complete a purchase Invitation to Computer Science, 5th Edition

  9. Figure 14.1 A Typical Online Transaction in Nine Steps Invitation to Computer Science, 5th Edition

  10. Step 1: Getting There • How does your potential customer learn your URL? • Conventional advertising • Obvious domain name • Search engine • Portal Invitation to Computer Science, 5th Edition

  11. Step 2: Do I Know You? • Cookie • Small text file that Web server sends to user’s browser that gets stored on the user’s hard drive • Stateless • No information about the exchange is permanently retained by the server Invitation to Computer Science, 5th Edition

  12. Step 3: Committing to an Online Purchase • Encryption • Encodes data to be transmitted into a scrambled form • Authentication • Process of verifying the identity of the receiver of the data • Spoofing • Practice of impersonating a legitimate site for the purposes of stealing money or stealing identity Invitation to Computer Science, 5th Edition

  13. Steps 4 and 5: Payment Processing Figure 14.2 Secure Site Assurance Invitation to Computer Science, 5th Edition

  14. Steps 6–9: Order Fulfillment • Step 6 • Once customer’s credit is approved, order entry system must alert inventory system • Step 7 • Contact shipping system • Step 8 • Shipping system works with the shipping company • Step 9 • Pick up and deliver the purchase to the customer Invitation to Computer Science, 5th Edition

  15. Designing Your Web Site • Taxonomy • How information is classified and organized so customers can easily find what they want • Site map or a navigation bar • Can provide a high-level overview of your site architecture • CRM (customer relationship management) strategy • Improve customer satisfaction • Build customer relationships • Bring people back to your Web site time and time again Invitation to Computer Science, 5th Edition

  16. Behind the Scenes • Middleware • Software that allows separate, existing programs to communicate and work together seamlessly • Disaster recovery strategy • What are your plans for backing up critical data? • What is your plan to keep your online business open even when your server fails? • What will you do if a hacker breaks into your Web site and steals customer information? Invitation to Computer Science, 5th Edition

  17. Databases • Bit • Most basic unit of data • Combined into groups of eight called bytes • Fields • Group of bytes • Record • Collection of related fields Invitation to Computer Science, 5th Edition

  18. Databases (continued) • Data file • Stores related records • Database • Made up of related files Invitation to Computer Science, 5th Edition

  19. Figure 14.3 Data Organization Hierarchy Invitation to Computer Science, 5th Edition

  20. Figure 14.4 Records and Fields in a Single File Invitation to Computer Science, 5th Edition

  21. Figure 14.5 One Record in the Rugs-For-You Employees File Invitation to Computer Science, 5th Edition

  22. Database Management Systems • Manage the files in a database • Entity • Fundamental distinguishable component • Attribute • Category of information • Primary key • Attribute or combination of attributes that uniquely identifies a tuple Invitation to Computer Science, 5th Edition

  23. Figure 14.6 Employees Table for Rugs-For-You Invitation to Computer Science, 5th Edition

  24. Database Management Systems (continued) • Query languages • Enable user or another application program to query the database, in order to retrieve information • Composite primary key • Needed to identify a tuple uniquely • Foreign key • Key from another table that refers to a specific key, usually the primary key Invitation to Computer Science, 5th Edition

  25. Figure 14.7 Insurance Policies Table for Rugs-For-You Invitation to Computer Science, 5th Edition

  26. Figure 14.8 Three Entities in the Rugs-For-You Database Invitation to Computer Science, 5th Edition

  27. Other Considerations • Performance issues • Affect the user’s satisfaction with a database management system • To significantly reduce access time: • Create additional records to be stored along with the file • Distributed databases • Allow the physical data to reside at separate and independent locations that are electronically networked together Invitation to Computer Science, 5th Edition

  28. Summary • E-business • Every part of a financial transaction is handled electronically • Opening an online store • Requires a significant amount of planning • Database • Allows data items to be stored, extracted, sorted, and manipulated • Relational database model • Conceptual model of a file as a two-dimensional table Invitation to Computer Science, 5th Edition

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