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Benefits of e-commerce to shop owners
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1.0 To conduct PEST (Political, Economic, Social, Technological) analysis to determine the external environment of international e-tailing. 1.1 Introduction E -commerce is enabling firms to establish market presence , or to increase existing market position by providing a distribution network is cheaper and more efficient to market their products or services . For example , one company has successfully used e -commerce is the target . This mass retailers not only have physical stores , but also has an online store where customers can buy everything from clothes through to food items. Should we use e -commerce to purchase goods or services online we also need to know the advantages and disadvantages of e -commerce. Some of the advantages of e -commerce for consumers is : • Convenience : E -commerce can take place 24 hours a day , seven days a week. • Selection : Many stores offer a wider range of products online than they do in brick - and -mortar their friends . And the stores that only exist online can offer consumers a choice of goods that they otherwise could not access . But e -commerce also has disadvantages for users : • Customer Service Limited . If you want to buy a computer and you shop online , there are no employees you can talk to about any computer will best meet your needs . • There is no instant gratification . When you buy something online, you have to wait for it to be delivered to your home or office . • No ability to touch and see the product. Online image does not always tell the whole story about the item . E-commerce transactions cannot be satisfactory when the user accepts the product is different than expected. 1.2 Politics Revenue global e- commerce tax shall be spent to finance global public goods... ... middle of paper ... ...help in the business. In addition, new technologies such as the internet and e -commerce comes with significant changes such as the continuous rise in the educational attainment of the workforce, the shift to the service sector and employment opportunities. Commercial e -commerce has enormous opportunities in the enterprise or business in Malaysia . Besides that introduce new techniques and styles in the transaction. Thus traders should prepare and formulate policies and strategies for entering new markets with e -commerce. With the world of technology , we now no longer blind IT . It can change the world we are in terms of saving time and being able to buy things from a global world. Moreover, we can identify a number of issues affecting the pricing of products for export , including the export operation costs , market conditions and environmental constraints .
This is also a disadvantage for e-commerce sites because customers cannot speak to anyone from the business, and prefer to shop in in stores, for this reason. Customers also like to physically see the item they are purchasing, however with e-commerce they are unable to do this. That is why there is a lack of human contact. Also if a customer wanted to buy clothes, in store they would be able to feel the quality and try it, but with e-commerce this is impossible.
Online retailing in China, dubbed ‘e-tailing’, has doubled every year since 2003. By 2020 the size of China’s online retail market is predicted to reach up to US$650 billion, exceeding the combined value of online markets in the USA, UK, Japan, German and France. With over 590 million internet users, China boasts the world’s largest online population - more than the US and Japan combined – and still growing at almost 10 per cent per annum.
Based on these concerns, retailers in the international marketplace have their work cut out for them. But through proper education of consumers, and the ever-expanding growth of the infrastructure in many countries, the future seems to be leaning heavily towards using the Internet for many needs.
Aside from the opportunities that exist in international e-commerce, the low barriers to entry will continue to attract new competitors to launch online retail sites at minimal costs and in a short amount of time using commercially available software, and offline retailers to develop online sites as well. As the industry is relatively new, competitors will need to concentrate on many factors such as the ability to attract buyers, volume of transactions and selection of goods, sustainable trust, and ability to keep fees and commissions low. The power of suppliers in the online auction industry will force competitors to reduce selling costs in order to keep a large supplier base an... ... middle of paper ... ... eBay because of the inventory obligations that must be passed on to the customer.
But because of e-business now anybody can find time for their shopping at any time even at night time also, just by clicking a mouse, the consumer can take tour of all the available e-resources for purchasing of textile products.
E-commerce, a system by which people can buy, sell and deal without even seeing the person on the other side, has taken a front seat in improving the economy of countries around the world. Technology today has made it possible for monetary institutions to help locate the customers resources and help solve their problems at any given time through online banking.... ... middle of paper ... ...
One of the fundamental factors that has affected the process of economic globalization is the improvements in the technology of transportation and communications. This has reduced the costs of transporting goods, services, and factors of production and of communicating economically useful knowledge and technology. There is no doubt that advances in information and communications technology are the most important technological advances of the past quarter century (Mussa, 2000). By far, the most important and business altering advancement is the internet. There is evidence everywhere that the internet has greatly affected international trade. The internet has opened up the world, and brought it right into everyone's home and business. In addition, technology and the internet have greatly reduced the costs of doing business. Even the smallest operation can now go global via the internet at almost no cost. However, there are still some problems that face these e-commerce activities. These problems are shot-term challenges and can be met. The key issues center around two areas:
Advantages of e-commerce: * The ability to reach a wider market * The ability to find information on competitors and to compete with larger businesses on an equal basis * Lower operating costs * The ability to buy as well as sell goods on the internet * Being faster than traditional retailing * Cost savings on marketing and promotion, e.g. producing fewer brochures * Offering more choice than traditional retailing * Establishing better customer and supplier relationships Disadvantages of e-commerce: * Staff- technical staff are an expensive resource * Building a customer base is expensive * Distribution- it is difficult when delivering orders to customers within a reasonable time period * Quality- online products should be equal in standard to the offline products * Expensive to set up e-commerce systems * Risk of fraud Interactive Communications Methods Interactive media is defined as the following: ‘A new telecommunication system designed to permit two-way communications between televisions or computers in one location with software stored on a central computer. Can also allow individuals in distant locations to communicate, teach, or learn from one another’. Examples of interactive communications methods include CD-ROMs; letters, memos and e-mails; the intranet; one-to-ones; meetings; phone calls and videoconferencing calls.
The report also talks about the differences between, advantages and disadvantages of e-business and e-commerce. Recommendations and advice have been given in the end for businesses intending to adopt an e-business dimension.
Online shopping is most convenient for individuals that don’t have time to go to the store. If you’re busy with an online job or online classes then online shopping can sometimes be more convenient. It’s also convenient since you don’t have to drive, catch the bus, wait in a long line, or deal with not being able to find an item. All you have to do is type in the item you’re looking for and it’s there. Once you find the item, you can order it at anytime because online stores never close.
The Internet is rapidly becoming widespread and widely used as a tool for globalization across the world. As the Internet became more easily accessible by most people in the world, the web is bringing significant implications and changes to the way we live, including the way we shop. There is a rapid growth with e-commerce and moving businesses onto the web and retail success is no longer about stores and shopping centers. In developed countries, about two thirds of the population have access to the Internet making the option of online shopping is easily accessible to most people (Valerio). With the ease of shopping in your own home there are many benefits of doing your shopping online. Consumers can easily compare prices online, there is a larger range of products on the web, you can save time by having your shopping delivered right to your doorstep and it also overcomes physical barriers. Over the last decade online shopping has challenged and replaced the traditional means of physically going into shops as the digital world has provided customers with further convenience, flexibility and comfort from shopping from your own home.
Electronic Commerce as popularly as E-commerce has become a big deal in our growing economy due to the increase use of online systems. E-commerce now of the fastest growing business in the world. The technology has change the way of business. Business that have physical location have now made it an effort to focus their online business. It is the new sort of business platform where you can make use of different technologies like electronic data interchange or transfer document electronically. Online business is an effective of sales.
In today’s era “INTERNET” is playing a significant role in our daily life. People can walk through the internet to one who is actually living on the different side of the planet, can send mails round the clock, search information & even buy things online. With this invention of internet there is a shift in traditional way of shopping. Now there is no need to open a physical store. One can be active at any time and place and purchase products and services. The number of users of internet is increasing day by day which means that online shopping is increasing. Various characteristics of online shopping is making it more convenient for the customers, as compared to traditional way of shopping such as the ability to view and purchase goods and
Online shopping allows you to compare prices with other stores and endless sizes and colors are available to you that normally wouldn’t be in stores. The convenience of being able to check multiple stores prices without having to waste gas to drive to multiple stores to find the best price is just one of the many ways shopping online can save you money. We all know children grow at an exponential rate so having to go to the mall multiple times a month is frustrating and tiring. Being able to have someone deliver whatever you desire right to your doorstep is like receiving a gift. Another pro of online shopping is having access to customer reviews. Yes, you may be able to physically hold the item if you were buying it from a store, but by reading the customer reviews you can decide if the product is worth the price. You can even write your own review to inform other people of your opinion of the product. If you don’t like the product, most places allow you to ship it back hassle-free with a full refund or