E Commerce in Bangladesh e-commerce e-commerce e-commerce
[Pick th
Report of FIN-5213:
E-Commerce & E-Banking
Report On
E-Commerce in Bangladesh
Submitted To
Sk. Alamgir Hossain
Lecturer,
Department of Finance,
Faculty of Business Studies,
Jagannath University, Dhaka
Submitted By
Sultan Ahmed Khan
Representative of the group
Epimetheus
MBA 3rd Batch (2012-13)
Department of Finance,
Faculty of Business Studies,
Jagannath University, Dhaka
Group Name: Epimetheus
Name of the members of the group:
Serial No:
Name of the members of the group
Roll Number
01
Sultan Ahmed Khan
M120203050
02
Md. Anik Mahmud
M120203073
03
Mohammad Mahmudul Hasan
M120203014
04
Sakhawat Hosain Chowdhury
M120203081
05
Md. Mofazzal Hossen
M120203064
06
Nahid Sultana
M120203043
Group Representative: Sultan Ahmed Khan.
Contact
: epimetheus.jnu@gmail.com
Web
: epimetheus.yolasite.com
October 22, 2014
The Course Instructor
Sk. Alamgir Hossain
Lecturer
Department of Finance
Jagannath University, Dhaka.
Sub: Thanks giving letter to the respective faculty member.
Sir,
We are the student of Department of Finance (3rd batch) of Jagannath University, Dhaka &
also from the group named “Epimetheus”. We are very much enthusiastic about our
presentation. We are really happy to have such a presentation of challenging and interesting
like this presentation & also thanks to you for making us worthy for corporate. Our topic is
“E-Commerce in Bangladesh”. We have learned many things from this topic which will help
us in future to conduct as a finance official. There were some obstacles we have faced at the
time of collecting data about our topic. But we have overcome all the obstacles by the
endeavor effort by each member of our group and tried our best to give an overview of our
topic.
We the group “Epimetheus” tried our best to make this term paper impeccable, interesting,
informative and enjoyable by the help of electronic and print media in association with our
honorable teacher, mentor, counselor, instructor and advocate “Sk. Alamgir Hossain”. We are
really grateful to him. We had limitations at the time preparing presentation. So mistakes may
occur in our demonstration of our presentation. We hope that, you will exempt our mistakes.
Thanking in anticipation,
Yours Fidel,
Sultan Ahmed Khan
Group Representative,
Group-“Epimetheus”
MBA 3rd Batch
Department of Finance
Jagannath University,Dhaka.
First of all we would like to thank the Almighty for giving us the strength, and the aptitude to
complete this report within due time. We are deeply indebted to our course teacher, mentor,
and counselor, Sk. Alamgir Hossain for assigning us such an interesting topic named “ECommerce in Bangladesh”. We also express the depth of my appreciation to our honorable
course teacher for his suggestion and guidelines, which helped us in completing this report.
In this 21st century shopping online is not a fashion but necessity and the world makes this
necessity a weapon to live a faster and lavish life. However, E commerce makes our
opportunities bigger than any other trade form evolved in a few past centuries. It is as
imperative as the evolution of barter and trade system. But, we are not yet accustomed to the
form of this Godly business as the 1st world country understands. They are in every form of
this type of commerce and services where we are only in a few forms. Actually we are
lagging behind in payment method and bestowing trust in it.
Bangladesh only practice B2B, B2C and B2G. If we can accommodate e commerce in our
country then our business process will be going to run for 24x7. The price of stuff will be
reduced. But, some problem will arises because of our trade weakness such as customer loses
their chances to bargain with seller. Sometimes transportation cost may increase product cost.
Mostly, this business is not growing here because of our perception about the business
although the opportunities are far more delicious against the weakness and threats. But, our
infrastructure is supporting us very crucially that we have a huge mobile user in country those
who can easily access in internet. The telephone density is quite impressive. Our academic
status is not juicy enough but is growing with keeping pace with the mounting opportunities.
Moreover, Banking has gone internet in a rapid way. It is not tough to find out the benefits of
this current form business. It is going to expands the Marketplace to national and
international market, decrease the cost of creating, processing, distributing, storing and
retrieving paper based information, allows reduced inventories and overhead by facilitating
pull-type supply chain management, the pull-type processing allows for customization of
products and services which provides competitive advantage to its implementers, reduces the
time between the outlay of capital and the receipt of product and services, enables consumers
to shop or do other transaction 24 hours a day, all year round from almost any location ,
provides consumers with less expensive products and services by allowing them to shop in
many places and conduct quick comparisons, facilitates delivery of public services at reduced
cost, increases effectiveness and or improve quality. But, to get this benefits we need some
facilities such more Govt. permission over some issues, web service, database engine,
storefront software, order tracking and fulfillment software etc. Then with banking service all
other sector going to be see boom market. But the dire risk to generate this business is
technical such as DDOS, SQL injection, price manipulation, session hijacking. But to
overcome this Govt. has make some legal act and initiative under the agenda of Digital
Bangladesh.
Those days are not far away when we will get all the charm of E commerce. To ensure this
we need Bangladesh Telecommunications Regulatory Commission (BTRC) should be
established independently out of the government control. Moreover, VOIP gateway should be
allowed and political commitment to establishment is needed. Beside all of this both of
Ministry of Commerce & Ministry of Science and Information & Communication
Technology should update the act & article regarding to e-commerce in accordance with
global market to put a significant footsteps in the world economy.
NAME
Page no
Executive Summary
Chapter-1
Chapter -2
Introduction
01
Rationale of the Report
01
Objective of the Report
01
Scope of the Report
02
Methodology
02
Limitations
02
E-Commerce
03
Development of E-Commerce
04
Types of E-Commerce
05
Importance of E-Commerce
11
E-Commerce Transaction Method
14
Components of E-Commerce
17
E-Commerce in Bangladesh
19
Historical Background of E-Commerce in BD
21
Implementation Stage of E-Commerce in BD
25
Infrastructural Support
25
Benefits of E-Commerce in Bangladesh
29
Requirement to Establish E-Commerce in BD
31
E-Commerce in Different Sectors
33
Support for E-Commerce from Different Bodies
33
Chapter -3
Available Methods of Payment for E-Commerce
38
Payment Procedure for E-Commerce in BD
40
Challenges of E-Commerce for Bangladesh
42
Risk of E-Commerce for Bangladesh
43
Legal Issue of E-Commerce in Bangladesh
45
Constraints of E-Commerce Implementation
47
Overcome to E-Commerce Implementation
48
Findings of the Report
51
Reference
52
Chapter- 01
Introduction
The term E-Commerce refers to the process of buying or selling products or service over an
electronic network. Ecommerce allows consumers to electronically exchange goods and
services with no barriers of time or distance. Electronic commerce has expanded rapidly over
the last few years and is predicted to continue at this rate, or even accelerate. In the near
future the boundaries between "conventional" and "electronic" commerce will become
increasingly blurred as more and more businesses move sections of their operations onto the
Internet.
In this term paper we have tried to show the structure of e-commerce. Beside this we have
included its type, how it works, its future, payment method and regulation for this.
Rationale of Report
The term paper is assigned by our course teacher Sk. Alamgir Hossain as a part of our “ECommerce & E-Banking” course. The topic of our report is “E-Commerce in Bangladesh”.
By conducting this report we can enhance our knowledge regarding ecommerce and skills
that will help in our professional life as well as higher educational life. The report has given
us a chance to raise our quality in developing ecommerce and its secure applications
necessary to structure this. By doing so, we can boost our acceptability in job market and
develop our real life knowledge.
Objective of the Report
Primary objective
The main objective of the report is to know about E-Commerce business procedure in
Bangladesh.
Secondary objective:
The report has some following objectives:
Business types of ecommerce and relationship with parties involved.
International method of payment & local payment.
Risk & overcome to ecommerce.
Support from related parties to establish ecommerce in Bangladesh.
Scope
There were huge scopes to work in the area of this Report. Considering the dead line, and
exposure of the paper has been wide-ranging. The report “E-Commerce in Bangladesh” has
covered details scenario of ecommerce market in the world. Beside this it has covered
payment procedure, method, support form parties, & future of its in Bangladesh. It deals Emarket scenario of Bangladesh. By preparing this report, we have got a chance to work on
modern & high tech upcoming commerce market.
Methodology
We have used the concept of the course, information of several companies operate ecommerce business in Bangladesh from their own website and regulation, act & other
different legal information is being gathered from Ministry of Commerce, Ministry of
Science and Information & Communication Technology.
Sources of Data
Here the secondary sources of information were used. The secondary sources are:
Website of Ministry of Commerce & Ministry of Science and Information &
Communication Technology.
Websites of different e-commerce website like Amazon.com, eBay, etc.
Limitations
Although it has been tried on the level best to make this report based on facts and complete
information available, there are some limitations that are inevitable. They are following:
Deficiencies in data required for the report.
There were some restrictions to have access to the information confidential by
concern authority.
The time which we got was not enough to gather practical knowledge and prepare a
report on a topic like this one. As the tenure of the report preparation was limited, it
was not possible to highlight everything deeply
Inaccurate or contradictory information.
Too much sensitive information for any organization.
Sufficient records, publications were not available as per our requirement.
Chapter- 02
E-Commerce
E-Commerce refers to the process of buying or selling products or service over an electronic
network. The most popular medium in which e-Commerce is conducted is the internet. It
combines a range of process such as: Mobile Commerce, Electronic Fund Transfer, Supply
Chain Management, Internet Banking, Online Transaction Processing, Electronic Data
Interchange (EDI), Electronic mail (E-mail), World Wide Web (WWW), Internet
Applications, and Network Applications. It is the process where trading of products and
services are done through communication networks.
Basically E-Commerce involves the sale or purchase of goods or services over computer
mediated networks. These goods or services may be ordered through these networks, but
payment for them and the ultimate delivery of the goods and services may be conducted on or
off line. Some analyst define E-Commerce as simple buying and selling over electronic
networks; and use E-Business to refer to these wider range of supporting business activities
that can be conducted over such networks.
E-commerce businesses usually employ some or all of the following practices:
a) Provide Etail or "virtual storefronts" on websites with online catalogs, sometimes
gathered into a "virtual mall
b) Buy or sell on websites or online marketplaces.
c) Gather and use demographic data through web contacts and social media.
d) Use electronic data interchange, the business-to-business exchange of data.
e) Reach prospective and established customers by e-mail or fax (for example, with
newsletters).
f) Use business-to-business buying and selling.
g) Provide secure business transactions
Development of E-Commerce
In the 1971-1972: Understanding E-Commerce
The ARPANET is used to arrange a cannabis sale between students at the Stanford Artificial
Intelligence Laboratory and the Massachusetts Institute of Technology, later described as "the
seminal act of e-commerce" in John Markoff's book.
In the 1975: Card Shopping System
BankAmericard, Chargex, Barclaycard, Carte Bleue, and all other licensees united under the
new name, "Visa"for next generation online shopping system.
In the 1979: Online Shopping
Michael Aldrich demonstrates the first online shopping system.
In the 1981: B2B Shopping
Thomson Holidays UK is first business-to-business online shopping system to be installed. In
this year fours renowned bank offers home banking services which is presently known as IBanking services.
In the 1982: Telephone for Online order
Minitel was introduced nationwide in France by France Télécom and used for online
ordering.
In the 1983: First Hearing E-Commerce
California State Assembly holds first hearing on "electronic commerce" in Volcano,
California.
In the 1984: 1st Online Home Shopper & E-Mail
Gateshead SIS/Tesco is first B2C online shopping system and Mrs Snowball, 72, is the first
online home shopper. In April 1984, CompuServe launches the Electronic Mall in the USA
and Canada. It is the first comprehensive electronic commerce service. California becomes
first US state to enact an Electronic Commerce Act defining basic consumer rights online.
In the 1992: 1st Online Book Store
Book Stacks Unlimited in Cleveland opens a commercial sales website (www.books.com)
selling books online with credit card processing.
In the 1994: Navigator Browser
Netscape releases
the
Navigator
browser
in
October
under
the
code
name Mozilla. Netscape 1.0 is introduced in late 1994 with SSL encryption that made
transactions secure. Ipswitch IMail Server becomes the first software available online for sale
and immediate download via a partnership between Ipswitch, Inc. and Open Market. "Ten
Summoner's Tales" by Sting becomes the first secure online purchase.
For total file browse
http://adf.ly/6b2AP skip the add then ELearning Papers and Acts> Papers.
It’s free!!!!! free!!!!! free!!!!!
Report of FIN-5213:
E-Commerce & E-Banking
Report On
E-Commerce in Bangladesh
Submitted To
Sk. Alamgir Hossain
Lecturer,
Department of Finance,
Faculty of Business Studies,
Jagannath University, Dhaka
Submitted By
Sultan Ahmed Khan
Representative of the group
Epimetheus
MBA 3rd Batch (2012-13)
Department of Finance,
Faculty of Business Studies,
Jagannath University, Dhaka
Group Name: Epimetheus
Name of the members of the group:
Serial No:
Name of the members of the group
Roll Number
01
Sultan Ahmed Khan
M120203050
02
Md. Anik Mahmud
M120203073
03
Mohammad Mahmudul Hasan
M120203014
04
Sakhawat Hosain Chowdhury
M120203081
05
Md. Mofazzal Hossen
M120203064
06
Nahid Sultana
M120203043
Group Representative: Sultan Ahmed Khan.
Contact
: epimetheus.jnu@gmail.com
Web
: epimetheus.yolasite.com
October 22, 2014
The Course Instructor
Sk. Alamgir Hossain
Lecturer
Department of Finance
Jagannath University, Dhaka.
Sub: Thanks giving letter to the respective faculty member.
Sir,
We are the student of Department of Finance (3rd batch) of Jagannath University, Dhaka &
also from the group named “Epimetheus”. We are very much enthusiastic about our
presentation. We are really happy to have such a presentation of challenging and interesting
like this presentation & also thanks to you for making us worthy for corporate. Our topic is
“E-Commerce in Bangladesh”. We have learned many things from this topic which will help
us in future to conduct as a finance official. There were some obstacles we have faced at the
time of collecting data about our topic. But we have overcome all the obstacles by the
endeavor effort by each member of our group and tried our best to give an overview of our
topic.
We the group “Epimetheus” tried our best to make this term paper impeccable, interesting,
informative and enjoyable by the help of electronic and print media in association with our
honorable teacher, mentor, counselor, instructor and advocate “Sk. Alamgir Hossain”. We are
really grateful to him. We had limitations at the time preparing presentation. So mistakes may
occur in our demonstration of our presentation. We hope that, you will exempt our mistakes.
Thanking in anticipation,
Yours Fidel,
Sultan Ahmed Khan
Group Representative,
Group-“Epimetheus”
MBA 3rd Batch
Department of Finance
Jagannath University,Dhaka.
First of all we would like to thank the Almighty for giving us the strength, and the aptitude to
complete this report within due time. We are deeply indebted to our course teacher, mentor,
and counselor, Sk. Alamgir Hossain for assigning us such an interesting topic named “ECommerce in Bangladesh”. We also express the depth of my appreciation to our honorable
course teacher for his suggestion and guidelines, which helped us in completing this report.
In this 21st century shopping online is not a fashion but necessity and the world makes this
necessity a weapon to live a faster and lavish life. However, E commerce makes our
opportunities bigger than any other trade form evolved in a few past centuries. It is as
imperative as the evolution of barter and trade system. But, we are not yet accustomed to the
form of this Godly business as the 1st world country understands. They are in every form of
this type of commerce and services where we are only in a few forms. Actually we are
lagging behind in payment method and bestowing trust in it.
Bangladesh only practice B2B, B2C and B2G. If we can accommodate e commerce in our
country then our business process will be going to run for 24x7. The price of stuff will be
reduced. But, some problem will arises because of our trade weakness such as customer loses
their chances to bargain with seller. Sometimes transportation cost may increase product cost.
Mostly, this business is not growing here because of our perception about the business
although the opportunities are far more delicious against the weakness and threats. But, our
infrastructure is supporting us very crucially that we have a huge mobile user in country those
who can easily access in internet. The telephone density is quite impressive. Our academic
status is not juicy enough but is growing with keeping pace with the mounting opportunities.
Moreover, Banking has gone internet in a rapid way. It is not tough to find out the benefits of
this current form business. It is going to expands the Marketplace to national and
international market, decrease the cost of creating, processing, distributing, storing and
retrieving paper based information, allows reduced inventories and overhead by facilitating
pull-type supply chain management, the pull-type processing allows for customization of
products and services which provides competitive advantage to its implementers, reduces the
time between the outlay of capital and the receipt of product and services, enables consumers
to shop or do other transaction 24 hours a day, all year round from almost any location ,
provides consumers with less expensive products and services by allowing them to shop in
many places and conduct quick comparisons, facilitates delivery of public services at reduced
cost, increases effectiveness and or improve quality. But, to get this benefits we need some
facilities such more Govt. permission over some issues, web service, database engine,
storefront software, order tracking and fulfillment software etc. Then with banking service all
other sector going to be see boom market. But the dire risk to generate this business is
technical such as DDOS, SQL injection, price manipulation, session hijacking. But to
overcome this Govt. has make some legal act and initiative under the agenda of Digital
Bangladesh.
Those days are not far away when we will get all the charm of E commerce. To ensure this
we need Bangladesh Telecommunications Regulatory Commission (BTRC) should be
established independently out of the government control. Moreover, VOIP gateway should be
allowed and political commitment to establishment is needed. Beside all of this both of
Ministry of Commerce & Ministry of Science and Information & Communication
Technology should update the act & article regarding to e-commerce in accordance with
global market to put a significant footsteps in the world economy.
NAME
Page no
Executive Summary
Chapter-1
Chapter -2
Introduction
01
Rationale of the Report
01
Objective of the Report
01
Scope of the Report
02
Methodology
02
Limitations
02
E-Commerce
03
Development of E-Commerce
04
Types of E-Commerce
05
Importance of E-Commerce
11
E-Commerce Transaction Method
14
Components of E-Commerce
17
E-Commerce in Bangladesh
19
Historical Background of E-Commerce in BD
21
Implementation Stage of E-Commerce in BD
25
Infrastructural Support
25
Benefits of E-Commerce in Bangladesh
29
Requirement to Establish E-Commerce in BD
31
E-Commerce in Different Sectors
33
Support for E-Commerce from Different Bodies
33
Chapter -3
Available Methods of Payment for E-Commerce
38
Payment Procedure for E-Commerce in BD
40
Challenges of E-Commerce for Bangladesh
42
Risk of E-Commerce for Bangladesh
43
Legal Issue of E-Commerce in Bangladesh
45
Constraints of E-Commerce Implementation
47
Overcome to E-Commerce Implementation
48
Findings of the Report
51
Reference
52
Chapter- 01
Introduction
The term E-Commerce refers to the process of buying or selling products or service over an
electronic network. Ecommerce allows consumers to electronically exchange goods and
services with no barriers of time or distance. Electronic commerce has expanded rapidly over
the last few years and is predicted to continue at this rate, or even accelerate. In the near
future the boundaries between "conventional" and "electronic" commerce will become
increasingly blurred as more and more businesses move sections of their operations onto the
Internet.
In this term paper we have tried to show the structure of e-commerce. Beside this we have
included its type, how it works, its future, payment method and regulation for this.
Rationale of Report
The term paper is assigned by our course teacher Sk. Alamgir Hossain as a part of our “ECommerce & E-Banking” course. The topic of our report is “E-Commerce in Bangladesh”.
By conducting this report we can enhance our knowledge regarding ecommerce and skills
that will help in our professional life as well as higher educational life. The report has given
us a chance to raise our quality in developing ecommerce and its secure applications
necessary to structure this. By doing so, we can boost our acceptability in job market and
develop our real life knowledge.
Objective of the Report
Primary objective
The main objective of the report is to know about E-Commerce business procedure in
Bangladesh.
Secondary objective:
The report has some following objectives:
Business types of ecommerce and relationship with parties involved.
International method of payment & local payment.
Risk & overcome to ecommerce.
Support from related parties to establish ecommerce in Bangladesh.
Scope
There were huge scopes to work in the area of this Report. Considering the dead line, and
exposure of the paper has been wide-ranging. The report “E-Commerce in Bangladesh” has
covered details scenario of ecommerce market in the world. Beside this it has covered
payment procedure, method, support form parties, & future of its in Bangladesh. It deals Emarket scenario of Bangladesh. By preparing this report, we have got a chance to work on
modern & high tech upcoming commerce market.
Methodology
We have used the concept of the course, information of several companies operate ecommerce business in Bangladesh from their own website and regulation, act & other
different legal information is being gathered from Ministry of Commerce, Ministry of
Science and Information & Communication Technology.
Sources of Data
Here the secondary sources of information were used. The secondary sources are:
Website of Ministry of Commerce & Ministry of Science and Information &
Communication Technology.
Websites of different e-commerce website like Amazon.com, eBay, etc.
Limitations
Although it has been tried on the level best to make this report based on facts and complete
information available, there are some limitations that are inevitable. They are following:
Deficiencies in data required for the report.
There were some restrictions to have access to the information confidential by
concern authority.
The time which we got was not enough to gather practical knowledge and prepare a
report on a topic like this one. As the tenure of the report preparation was limited, it
was not possible to highlight everything deeply
Inaccurate or contradictory information.
Too much sensitive information for any organization.
Sufficient records, publications were not available as per our requirement.
Chapter- 02
E-Commerce
E-Commerce refers to the process of buying or selling products or service over an electronic
network. The most popular medium in which e-Commerce is conducted is the internet. It
combines a range of process such as: Mobile Commerce, Electronic Fund Transfer, Supply
Chain Management, Internet Banking, Online Transaction Processing, Electronic Data
Interchange (EDI), Electronic mail (E-mail), World Wide Web (WWW), Internet
Applications, and Network Applications. It is the process where trading of products and
services are done through communication networks.
Basically E-Commerce involves the sale or purchase of goods or services over computer
mediated networks. These goods or services may be ordered through these networks, but
payment for them and the ultimate delivery of the goods and services may be conducted on or
off line. Some analyst define E-Commerce as simple buying and selling over electronic
networks; and use E-Business to refer to these wider range of supporting business activities
that can be conducted over such networks.
E-commerce businesses usually employ some or all of the following practices:
a) Provide Etail or "virtual storefronts" on websites with online catalogs, sometimes
gathered into a "virtual mall
b) Buy or sell on websites or online marketplaces.
c) Gather and use demographic data through web contacts and social media.
d) Use electronic data interchange, the business-to-business exchange of data.
e) Reach prospective and established customers by e-mail or fax (for example, with
newsletters).
f) Use business-to-business buying and selling.
g) Provide secure business transactions
Development of E-Commerce
In the 1971-1972: Understanding E-Commerce
The ARPANET is used to arrange a cannabis sale between students at the Stanford Artificial
Intelligence Laboratory and the Massachusetts Institute of Technology, later described as "the
seminal act of e-commerce" in John Markoff's book.
In the 1975: Card Shopping System
BankAmericard, Chargex, Barclaycard, Carte Bleue, and all other licensees united under the
new name, "Visa"for next generation online shopping system.
In the 1979: Online Shopping
Michael Aldrich demonstrates the first online shopping system.
In the 1981: B2B Shopping
Thomson Holidays UK is first business-to-business online shopping system to be installed. In
this year fours renowned bank offers home banking services which is presently known as IBanking services.
In the 1982: Telephone for Online order
Minitel was introduced nationwide in France by France Télécom and used for online
ordering.
In the 1983: First Hearing E-Commerce
California State Assembly holds first hearing on "electronic commerce" in Volcano,
California.
In the 1984: 1st Online Home Shopper & E-Mail
Gateshead SIS/Tesco is first B2C online shopping system and Mrs Snowball, 72, is the first
online home shopper. In April 1984, CompuServe launches the Electronic Mall in the USA
and Canada. It is the first comprehensive electronic commerce service. California becomes
first US state to enact an Electronic Commerce Act defining basic consumer rights online.
In the 1992: 1st Online Book Store
Book Stacks Unlimited in Cleveland opens a commercial sales website (www.books.com)
selling books online with credit card processing.
In the 1994: Navigator Browser
Netscape releases
the
Navigator
browser
in
October
under
the
code
name Mozilla. Netscape 1.0 is introduced in late 1994 with SSL encryption that made
transactions secure. Ipswitch IMail Server becomes the first software available online for sale
and immediate download via a partnership between Ipswitch, Inc. and Open Market. "Ten
Summoner's Tales" by Sting becomes the first secure online purchase.
For total file browse
http://adf.ly/6b2AP skip the add then ELearning Papers and Acts> Papers.
It’s free!!!!! free!!!!! free!!!!!