How Electronic Commerce Is Affecting American Industry Essay

The internet offers the potential to achieve a global market success for any business. Businesses that go online increase their opportunities to reach their target market and is cost effective when compared with other forms of marketing. It creates opportunities, benefits and challenges for a business but in the long run is worth it for the added publicity and hopefully profits. Going online has benefited many organisations including Tesco PLC. I will be using Tesco as my example of the benefits, opportunities and challenges for a business by using the internet. Tesco has operated on the Internet since 1994 and started an online shopping service named 'Tesco Direct' in 1997 which

A way that the internet benefits by internet marketing is by providing all the necessary information about the product or service that the person is providing. Businesses are increasingly enabling the customers to find out even more information about their product. For example some companies advise you how to wash certain clothes so they do not get ruined and stay preserved. Organisation strives on building a customer and business relationship so by maintaining this they cater to the customer’s needs and wants. On the other hand on a customer’s point of view, this is a down fall because they would not be able to see or feel the product unless they purchased it first which increases product risk. Also another disadvantage of this is because the items get shipped, and if product gets to the consumer damaged the company does

Yet, this tendency changed over the years. Purchasing goods on the Internet can also brings some advantages. Indeed, wider choices of items are proposed and generally cheaper than in a shop, which is a good point considering the economic crisis, the process is quick and return is possible. Considering these advantages, it slowly becomes an economical tendency.

Online shopping has been growing since businesses put the first online store on the web, now you can shop from anywhere around the world and have it shipped to you directly. Comparing the product against other online store competitors; making it easier to find the best price on the web. You can research the product and make sure this is what you need before buying it. The internet is a twenty-four hour shopping center, you can shop at whatever time you want and wherever you have time for it, making it more convenient to use online shopping. Using it can create more time for the things you would like to do. The negative side of online shopping is you have to wait until the product is shipped to you. The shipping and handling charge is increased for more expedited shipping. There are instances you pay more in shipping than you do for the actual product. Beside shipping charges to purchase, there are shipping charges when you need to return the product back. Also there are those computer problems that can appear; you do not always know if your personal bank information is being

For consumers on the other hand the internet has been a huge breakthrough as it allows consumers to reach a global market 24 hours a day 7 days a week; without the added pressure of driving or walking to a high street and being restricted by opening hours or higher prices. Consumers today are not just using the internet for minor purchases but for

E-commerce has known during the last decades a significant growth, becoming more and more important for the companies worldwide. Nowadays due to globalization, technology is evolving at a very fast speed, forcing all the companies to adopt new technologies. E-commerce plays and it will play a key role in the economy in the future, and more and more companies will have to change their business strategies.

The e-commerce market has changed the way business is functioning, whether in retail or business-to-business, locally or comprehensively. Before the Internet, accomplishment in retail was said to depend on area. Presently, the Internet is a worldwide commercial center, managing even the littlest retailer a national - if not a worldwide - vicinity. Block and-mortar areas now have sites, and new organizations now offer items that were unimaginable preceding the Internet and the blast

Firstly, e-commerce websites are not limited by the geographical area that they can service, therefore the whole world is at their playground which is a massive positive in terms of increasing their market. Another intelligible positives of e-commerce is the reduction in costs. E-commerce bring about lower costs in advertising and marketing, billing, payments and other operational processes. Moreover, it isn’t necessary to invest in real estates since an e-commerce merchant demands no key physical location. Secondly, an e-commerce retail trader has the ability to access information about their customer’s buying habits by making use of the information they provide in the registration form. They can also gain access to information by placing cookies on the customer’s computer. They can then use this to communicate relevant information. For e.g, if people want a

E- Commerce is a phenomena that is emerging rapidly between businesses all over the world, and it has affected the businesses at all sizes in many aspects.

Nonetheless, as compared to spending on petrol and transportation, e-commerce is actually more cost saving. The transportation fee saved up by shopping online can be used to buy extra items while being charged the same shipping fees. Some e-commercial businesses even provide free delivery and some would waive off shipping fees when customers spend more than a certain amount. Besides avoiding spending on petrol and transportation, e-shoppers can also avoid the hassle of finding parking. They can ‘shop’ leisurely at home in their own time without the constant hammering of salespersons to look for the cheapest deal in

There are also many disadvantages to ecommerce and these are mainly to do with the exchanging of information over the internet and the security measures that this entails. Every time a transaction is made, it is often a credit card number that is submitted over the Internet. There are many consumers today that still refrain from the practice for fear of a third party obtaining their card numbers or other personal information Also, as the internet is accessed by millions and possibly billions of people every day the information that is exchanged can be accessed by people who know how to, this information can be protected with the use of certain software and the advice of people who are experienced in this field, but this costs money and more than often small companies who have tight profit margins do not always give the customers the protection that they

In today’s world of business, everything is computerized and most of the companies use the Internet and information business to help keep their quality, save time and also cost. It also can reach out to more customers worldwide. For an example, with a website in the internet, it would relay the message to millions of viewers worldwide regarding the product and service that the particular company can provide and indirectly saves cost in advertising in television and print advertisments.

The internet’s debut in 1988 which had revolutionized commercial transactions all around the globe had grown exponentially over the past decade. In fact, the world internet users and population statistics by the Miniwatts Marketing Group (2009) showed that 23.5% of the world’s population are internet users and that the growth of internet users from 2000-2008 is 336.1 %. This rapid increase in internet users paved the way for the development of electronic commerce or E-commerce. E-commerce, the exchange of information, goods or services online, had also gained popularity over time as more and more people discover the expediency of online transactions. However, the internet, which is a huge storage room of information, poses

As the Internet began to adapt and evolve it integrated into the economic aspect of American life. The economy of the United States has been greatly impacted by the Internet in many different ways. Things such as Internet marketing, stock trading, shopping, venture capital financing, and music downloads.(Card 41, Williamson) Another reason the economy was impacted was that businesses created new, quicker ways to make and sell their goods. Aided by the growing need for people, especially young adolescents, to be the first to get something or to get what’s “in style” sped up supply and demand for major businesses. So, in order to adapt to this many businesses went online. The Internet enables businesses to respond to the customers needs and changing circumstances faster than ever before. (Card 16, Graham) This method was adapted quickly by most major name brand companies such as Nike, Gamestop, and even Walmart. It was quickly realized that because of the amount of businesses that are now accessible through the internet business owners needed to create away to get the most attention and to be the most popular. One of the ways that was created was advertising products and sales on other websites. Having an ad pop up on the computer screen, or play before a video on YouTube, which said a certain business was giving discounts, and having sales, is one of the most effective ways businesses get people to buy products.

The major disadvantages of e-commerce in the security aspects which include the possibility of hackers Backtrack e-commerce sites, in some cases and the information in it was stolen.