E-commerce is beneficial for retailers and for consumers, but we cannot…
I and my friend Jimmy discussed with each other and fight to go in the market for shopping, where I suggest to go for online shopping and she said: ” No I can’t trust e-commerce industry I rely only on retail.”. So have you faced the same issue in your life too. ? if yes, then I will let you know detail about the versatile and vast industry of E-commerce.
E-commerce where E stands for Electronic Commerce. E-Commerce or can say the internet or online commerce is the place which is used by folks for business; nowadays most of the people use E-Commerce for sale and purchase or goods and service worldwide. But as the market for E-commerce is on a boom, this not only use of trade but this also facilitates the money transactions through NEFT, RTGS, IMPS or by using different sits also.
E-Commerce also emerges a term which is E-Business, in E-Business business is operates through online, where E-Commerce specifies the transactions of goods and services. In the year of 1994 on 11th August, the first E-Commerce transactions begin, when a person sold a music CD to his friend via his personal website. E-Commerce provides benefits to small and big retailers. E-commerce products and services are easily discoverable and available at the scale which is not possible in past, or by off-line sales or market.
The market analyst estimated the cost and market of this E-Commerce industry in the year of 2020 up to the extent of 27$ trillions.
Transactions and market can be easily understood by know more about models of E-Commerce. E-Commerce transactions take place via four types of models.
Business to Business i.e (B2B), in which service and goods sales from one business to another business. Business to Consumer i.e (B2C), in this type of E-Commerce transactions services and goods, take places among business to individual consumer. C2B stands for Consumer to Business, in this professional individuals or consumers provide their services and good to business peoples. Consumer to Consumer (C2C) in this type of E-Commerce consumer provides services and goods to a consumer to consumer.
Impact of E-Commerce over Retail Market
E-Commerce leads a big impression or effect on the retail market. But a coin has two sides so effects also good and bad. E-commerce has some advantage along with non-avoidable limitations. By entering into the E-Commerce retailers now can sell their service and products on a large scale, and now the market for retailers in not limited to local only, now they have a platform of E-commerce through this now retailers sell doing trade and transaction at international level. Now traditional retail and business owners have advanced technologies, like trade websites and mobile apps i.e Amazon, Flipkart, E-Bay or so on. E-Commerce also provides a method of communication between user and seller. Use of E-Commerce or online trade also increases the revenue of retailers as now they can sell on a large level and increase the customer database also. Now by online-commerce local retailers become rich by doing import and export of goods and services to other countries. Import and export also benefited the countries as countries can increase the foreign money in accounts too. In E-Commerce one and purchase or sell any time as it runs 24/7 and in the whole year. E-commerce is also a cost-effective technique because most of the things are performed by apps, software or other technologies, so retailers can save their money by not doing overstaffing.
But E-commerce also has limitations too, where retailers are not familiar with technologies and still following the trading methods for business they find difficulties to get involved in the market, and they run behind in business trade and also not capable to compete with new business world i.e E-Commerce world. Some limitations are of technologies because, in the current advance world, technology keeps on changing every other day. Adapting and implementing new software technologies of E-commerce can lead extra cost to retailers. Also retailers those are using E-Commerces are depend on E-Commerce process and sometimes due to less bandwidth or less access of software dial-ups interrupt the business transaction and that can lead to business loss too. Still, some retail does not find e-commerce and they don’t want to leave their traditional way of business, and some consumer also has some trust issue as E-commerce is a faceless process. Cyber crimes, money frauds also keep consumers and retailers out to use E-Commerce. Less information or knowledge also keep out retailers to use E-Commerce, as they don’t know how to use E-Commerce for business.
It’s a Boon or Curse
E-commerce is beneficial for retailers and for consumers, but we cannot be denied it got some limitations too. But we can’t deny the fact that this is an emerging money worthy industry which provides retailers an opportunity to become rich and wealthy.
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