The Impact of E-Commerce on Small Businesses

1871 Words Dec 25th, 2007 8 Pages
Introduction:

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.
This research is looking at the small businesses, and its importance in the market and economy, EC and its benefits and limitation, and what impact has electronic commerce had on the businesses.

Small Business:

Definition: A small business may is a business with a small number of employees. The definition of "small business" often different by country and industry, but is generally under one 100 employees in the United States, while under 50 employees in the European Union. These businesses are normally privately owned corporations, partnerships, or sole
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Benefits for Businesses:

The fast expansion of E-commerce is the most important recent trend in small business starts ups, it has helped firms to expand and create new businesses mush easier and faster than before as it has provided new ways of doing business.

International reach: it has helped businesses to reach domestic and international markets with minimum cost to find the best and most efficient suppliers, expand the business, attract more customers, and collaborate and find the best suitable partners for the business.

Reduce expenses: This is also the main advantage of website designing as once the web site is design for you it greatly reduces the cost of hiring an offline organization for marketing. Website design also promotes your business without customary charges, such as electricity bills, in-house expenses associated to offline marketing. When you decide to use web site designing all work is being done for you. You don't have to go to any specific location to promote your business as the design website is accessible all over the world.

Interaction with customers: EC helps to improve the relations with customers, as personalized communication in buying the products, and doing services will attract consumers.

Up to date stock: all products on the web site will be up to date in term of quality, price, and type.

No Government permits: when a company launches a web site, it doesn't need to register and pay license fees fore the web site.

Long hours: the