CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
Online Market, commonly known as e-commerce or e-business is the system whereby consumers directly buy goods, services etc. from a seller interactively in real-time without an intermediary service over electronic systems such as the Internet and other computer networks. An e-commerce evokes the physical analogy of buying products or services at a bricks-and-mortar retailer or in a shopping mall. The metaphor of an online catalogue is also used, by analogy with mail order catalogues. All types of stores have retail web sites, including those that do and do not also have physical storefronts and paper catalogue. Online shopping is a form of electronic commerce used for business-to-business (B2B) and business-to-consumer (B2C) transactions.
For optimal sales and inventory management processes, you need robust functionality for managing logistics facilities. Support for inventory management helps you record and track materials on the basis of both quantity and value. Using this software we can reduce costs for warehousing, transportation, order fulfillment, and material handling -while improving customer service. Additional benefits of inventory management include improved cash flow, visibility, and decision making. Employees can plan, enter, and document warehouse and internal stock movements by managing good receipts, good issues, storage, picking and packing, physical stock transfers, and transfer postings. For after sales, wireless product identification technologies also makes new customer services model possible, especially in the business-to-business (B2B) after sales benefits to the customer. For instance, we would construct a portable maintenance database that may update with each service transaction.
An online shopping system called wed shop is an e-commerce package that is a fully featured friendly, online store. It makes shopping easy and convenient for your costumers and provides a management system which puts you in control of your productions and sales online. Everything from adding and updating products through to receive orders can be handled by your office, store or home computer via the web. E-commerce system may include laptops motherboards, power pack, flash, mouse, keyboards, printers, scanners computer ICs etc.
What motivated or propelled me to write this project is because of so many reasons; firstly, delay in processing transactions that leads to delay in the giving out receipts to customers, information and records stored in files and documents could be physically damaged or lost due, and finally, unauthorized records access that is no restriction to the database.
- Statement of the Problems
Some of the problems observed in the existing system are:
- Poor information circulation: poor information circulation leads to loss of customers, as the customers may be unaware of changes effected or if they could not obtain most of the time, the quantity of products they need.
- It takes a long time to process transactions and this leads to delay in the delivery of the products.
- Mistakes are made in the invoice given to customers.
- Difficulty in determining when the branch is running out of stock.
- The control system is time consuming, less accurate and less efficient.
- Not having enough and accurate inventory system which may lead to profit loss
- Data loss to simple accidents like rodent attacks, fire outbreaks etc. due to lack of backup.
1.3 Aim and Objectives of the Study
The aim of this study is to design and implement an e-commerce web application system. The objectives are;
- To create a database for the company.
- To develop software that will keep proper stock record so that stock will not be over stocked or under stocked.
- To develop speedy update of stock when the company is out of stock.
- To develop software that will enhance the computation of customers’ transactions.
- To develop an e-commerce software that would help the computation of sales made on daily basis.
- To ensure that the accurate Invoices are given to customers.
- To ensure data security by restricting access to the program and to the database.
- To ensure easy flow of information between the company and their customers.
1.4 Significance of the Study
The essence of the design and implementation of an e-commerce web application system is to deliver or supply the right quantity of product and at the right time/place. E-commerce application system examines sales reports to see what product and services made the highest sales. The analysis is used to determine how to stock inventory, how to measure the effectiveness of a sales force, how to set manufacturing capacity and to see how the company is performing against its goals. At any time during the fiscal year, sales managers may analyze the trends in the report to determine the best course of action.
1.5 Scope of the Study
This project work covers the whole of an e-commerce system for Daco Supermarket, Onitsha. It is also aimed at recording all the transactions in the shopping mall and it is highly secured program.
1.6 Limitations of Study
In the course of carrying out this research work a number of problems were encountered.
- Lack of adequate fund to finance the project: this was another limitation to this work because much money is needed to carry out a detailed research work which is not easily borne by every student.
- Power Routine: The source and authority of Electric power supply Enugu Electricity Distribution Company (EEDC) is another limitation of this project. Some typed work was lost due to the power interruption and had to be retyped.
- Time Constraints: this is as a result of the research work colliding with academic work schedules thereby reducing the time for doing the research.
- The limited knowledge of Visual Basic programming was great challenge to this project. However, more research was made to complete this project successfully.
1.7 Definition of Terms
Analyst: This is a person or professional who studies the problem encountered by a system and creates means of solving them by introducing a better system.
Business-to-Business (B2B): it is the form of transaction between businesses, such as one involving a manufacturer and wholesaler, or a wholesaler and a retailer.
Business-to-Customer (B2C): it is a business that involves selling of products or services to end customers.
Code: It is a written guideline that helps to determine whether a specific action is ethical or unethical.
Computer: Computer is an electronic device operating the control of instructions stored in its memory that can accept data (input) manipulate the data according to a specified rules (processing) produces result output and stores the result for future use.
Consumers Satisfaction: It can be defined as the extent to which consumer perceptions of the online shopping experience confirm their expectations.
Data Analysis: Data analysis is the process of evaluating data using analytical and logical reasoning to examine each component of the data provided.
Data processing: is defined as the entire process of converting or manipulating data into definite meaningful information (Adigwe, & Okoye, 2015).
Data: It is the facts collected for decision making they are facts that are kept to be processed to get more information.
Database Management System (DBMS): it is software which controls the flow of data and checks and checks on how data are stored.
Database: is an organized /unique collection of related files. It is a collection of schemas, tables, queries, reports, views and other object.
Demand: It is the amount requires by sales or production
Design: is the art or process of designing how something will look, work.
Distribution: Transferring or dispatching of a particular product into different locations.
Documentation: material that provides official information or evidence that serves as record; written specifications and information that describes the product.
E-Commerce: it is the exchange of goods or services over electronic system such as internet or computer networks.
Electronic Data Processing Equipment (EDP): it is a machine that performs the work of data manipulation.
External Environment: This refers to those contextual factors that impact consumer’s online shopping attitudes and behavior.
Information: is a processed data that can be read and understand.
Invoice: It is a piece of legal paper smarting the intake or transfer of a certain material in and out of a store or warehouse.
Management Information System (MIS): Information system that generates accurate timely and organized information so that manager and other user can make decision, solve problem supervise activities and track progress.
Market Value: The market value of a share is the current price at which goods can be sold.
Online Shopping: Is the process of purchasing products or services via the internet.
Order ID: it is a unique identifier assigned to a customer order in clear commerce.
Order: Confirmed request by one party to another to buy, sell, deliver, or receive goods or services under specified terms and conditions.
Output: output are inputs which are processed by a computer or the user in order to get the required information through output devices such as printers and the visual display unit and the matrix dot printer.
Personal Characteristics: This can be defined as a group of specific customers’ features that may influence their online shopping attitudes and behavior, such as their internet knowledge, need specificity and cultural environment.
Report: Reports are often used to display the result of an experiment, investigation, or inquiry.
Sales Analysis Report: This shows the trends that occur in a company’s sales volume over time. In its most basic form, a sales analyst shows whether sales are increasing or declining.
Sales Analysis: Sales analysis examines sales reports to see what goods and services have and have not sold well. The analysis is used to determine how to stock inventory, how to measure the effectiveness of a sales force, how to set manufacturing capacity and to see how the company is performing against its goals.
Sales: The process of selling of a particular product to individual that wishes to buy.
Security: This helps to prevent unauthorized users from illegally accessing certain data within the database, it protects your data/ files.
Software: These are set of logically related instructions given to the computer to perform some specific task.
Storage: is a device for recording (storing) information (data).
System: Is the collection of hardware and software, data information procedure and people.
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