The aim of this unit is to ensure that learners know the technologies involved in e-commerce, understand the impact of e-commerce on organisations and on society, and that they are able to plan e-commerce strategies.
One of the most important developments in business in recent times has been the increasing use of ecommerce. It has revolutionised many marketplaces and opened up opportunities never before imagined. Businesses that are not exploring the use of e-commerce are in danger of finding themselves being overtaken by those who are utilising this technology.
The unit starts by looking at the technologies needed to operate e-commerce, ie the hardware, software and networking required for an e-commerce system to be implemented. Different categories of e-commerce such as e-tailers (those operating only online) and financial services, and the benefits and drawbacks for organisations of using e-commerce are considered. Attention is given to issues such as legislation and promotion. How do you get your company to the top of search lists? Security is a big issue as it affects customer trust. The unit considers the payment systems available and how they compare.
| Course Code: | NE45 | Fee €350 |
Exam fee:€25 |
| Duration: | Six classes |
Awarding Body |  |
| Start Dates: 2 intakes/yr | January/February | Next Starts Date: January | |
| Entry Requirement: | Applicants must be a minimum of 18 years old |
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Learning outcomes:
On completion of this unit a learner should:
Unit Content
Know the technologies required for an e-commerce system
Technologies: hardware and software eg web servers, browsers, server software, web authoring tools,
database system; networking eg TCP/IP addresses, ports and protocols; considerations eg domain names,
multiple registration of domains (.com as well as.co.uk), programming requirements, download speeds,
browser and platform compatibility.
Understand the impact of e-commerce on organisations
Benefits: eg global marketplace, 24/7 trading, relatively low start-up and running costs, competitive edge, search facilities, gathering customer information, alternative income sources, pricing opportunities eg differences, fluid pricing
Drawbacks: eg consumer trust, lack of human contact, delivery issues, international legislation, product
description problems, security issues
Promotion: effective use of search engines eg use meta tags, 'spiders', paying for prominence in search
result listing; newsgroups and forums; banners and pop-ups; spam; site name; direct marketing; ensuring
an effective user interface; establishing customer loyalty in a virtual environment
Security: issues eg prevention of hacking, viruses, identity theft, firewall impact on site performance, SSL,
HTTPS, RSA certificates, strong passwords, alternative authentication methods
Legislation: associated legislation eg Data Protection Act 1998, Computer Misuse Act 1990, Consumer
Credit Act 1974, Trading Standards, Freedom of Information Act 2000, copyright legislation, E-commerce
Regulations
Understand the effects of e-commerce on society
e-commerce entities: e-tailers eg Amazon.com, ebuyer.co.uk; manufacturers eg dell.com; existing retailers eg tesco.com, argos.co.uk; consumer led eg eBay; service providers eg easyJET.co.uk, lastminute.com; financial eg esure.com, banks
Social implications: changing customer perspective eg providing added value, providing service, ease and
security; economic and social impact due to speed of changes; bricks and clicks (integrating high street
and online presence); benefits for customers eg remote shopping, access to goods and services for the
housebound, anytime access, internet discounts; drawbacks eg payment security, assessing quality/fit
without actual product, reliance on delivery services; impact on employment; social divide
Payment systems: services available eg electronic cheque, PayPal, NoChex, credit or debit cards
Be able to plan e-commerce strategies
E-commerce strategy: structure of site; hosting; promotion; issues eg cost, security
Structure: customer interface eg ease of use, display of products, personal details entry, credit card entry,
other types of payment, delivery details; image; style
Hosting: choice of ISP; in house or sub-contracted
Promotion: marketing eg advertising the site, placing in search engines; message board; chat rooms
Costs: setup; maintenance; security; leasing; advertising; delivery strategy; staff training
Security: fraud protection; hackers; viruses
Unit Assessment
Assessment takes the form of written assignments, observations, in-class tests, verbal assessment and projects
To gain the unit learners must achieve, as a minimum, the Pass grade; the Pass grade is in effect the gaining of the credit for the unit, and this contributes to the overall qualification grade. All units must be passes within the rules of combination to achieve the overall qualification.
The table below shows the number of points scored per credit at the unit level and grade
| Level | Points per credit | ||
| Pass | Merit | Distinction | |
| 5 | 7 | 8 | 9 |
| 6 | 9 | 10 | 11 |
Learners who achieve the correct number of points within the ranges shown in the 'qualification grade' tables below will achieve the qualification Pass, Merit, Distinction or Distinction* grades (or combinations of these grades appropriate to the qualification).
