Elaborate the steps involved in on-line trading.
Online trading involves a systematic procedure to facilitate transactions over the internet. The process ensures that the buyer and seller can interact effectively without physical presence.
The first step is Registration. Before online shopping, one has to register with the online vendor by filling up a registration form. This implies that the buyer has an 'account' with the online vendor. A crucial detail filled in is a 'password'. This is necessary because the sections relating to the 'account' and 'shopping cart' are password protected to prevent others from logging in and shopping in the user's name, which could cause trouble.
The second step is Placing an order. This involves picking and dropping items in the shopping cart. The shopping cart is an online record of what has been picked up while browsing the online store. Just like in a physical store, items can be added or removed from the cart. Once the buyer is sure of what they want to buy, they can 'checkout' and choose their payment options.
The third step is the Payment mechanism. Payment for the purchases through online shopping may be done in a number of ways. This step finalizes the purchase deal and initiates the process of fulfilling the order.
Explanation
The answer is derived directly from the textbook context which outlines the three main steps involved in online transactions: Registration, Placing an Order, and Payment Mechanism. The explanation strictly adheres to the provided text, detailing the purpose of registration (creating an account and password protection), the function of the shopping cart (online record of items), and the checkout process leading to payment.
Solution Steps
Step 1: Registration - Filling up a form to create an account with a password for security.
Step 2: Placing an Order - Selecting items and adding them to the shopping cart, followed by checking out.
Step 3: Payment Mechanism - Finalizing the purchase through available payment options.