E-Commerce (part 2.a)

Scopes of e-commerce

A variety of businesses are conducted online, including retail businesses that sell products to consumers, service providers that sell services to consumers, auctioneers that create a marketplace for products and services, and business-to-business commerce. Retail transactions make up the largest part of e-commerce. Consumers can find computers, automobiles, clothing, books, music, airline and event tickets, food, and just about anything else for sale on the Internet.

A. Product Transactions

E-Commerce Web Site A page from the Amazon.com Web site illustrates the ease and immediacy of electronic commerce. Shoppers are able to search a wide variety of products, make their selection, order online, and receive updates about the status of their shipment. After years of operating losses, Amazon.com was among the first e-businesses to report a profit.Amazon.com

Retail Web sites typically include electronic catalogs that describe and display products for sale. Consumers can search for individual items or randomly browse electronic catalogs, some much larger than their mail order print counterparts. An Internet book retailer, for example, can offer millions of different book titles for sale on its Web site, far more titles than could fit into a store or that could be included cost-effectively in a print catalog.

Many online retailers allow customers to order products and then track the shipment of their order. Some computer manufacturers also allow consumers to choose different combinations of computer components, selecting the combination that best suits their budget and needs. Customers can then visit the company's Web site to track the progress of their computer purchase as it is being built and shipped. Many online retailers also automatically notify their customers by e-mail when the product has been shipped.

Shopping  

The exchange of goods and services by means of the Internet or other computer networks is called online shopping. E-commerce follows the same basic principles as traditional commerce-that is, buyers and sellers come together to exchange goods for money. But rather than conducting business in the traditional way-in stores and other "brick and mortar" buildings or through mail order catalogs and telephone operators-in e-commerce buyers and sellers transact business over networked computers.

A variety of businesses are conducted online, including retail businesses that sell products to consumers, service providers that sell services to consumers, auctioneers that create a marketplace for products and services, and business-to-business commerce. Retail transactions make up the largest part of e-commerce. Consumers can find computers, automobiles, clothing, books, music, airline and event tickets, food, and just about anything else for sale on the Internet.

 Positive Affect  

1. Customer Range  

There is no fixed customer range for the online shop. Anybody of the world can by product from an online shop.

 2. Low Set-up Cost  

There is no extra charge for buying shop premises, decorating and other cost.

 3. Running Cost  

In online shop there is no post for manager, sales-man and security guard. So there is no salary for those persons. More over there is no power or other utilities bill.

 4. Extension of Product Range  

There is no fixed range for the selling products. All shorts of products such as grocery goods, stationeries, electronics, vehicles, sports products etc. are sold in the online shop.

 5. Shopping Time  

Any one can buy product any time.

 6. Faster Response Times   

Customer can get all types of help like air ticket, hotel booking etc. instantly from the service provider.

 7. Real-time Information   

Customer can get all types of information like price, quality, validity ext. about product which one he/she wants to buy.

 8. Customer Expectation   

In an online shop any one can buy any thing as their want which is qualitative and reasonable price.

 Negative Affect  

1. Security  

Sometimes hackers or terrible online shopkeepers use customers VISA CARD or MASTER CARD for their won purposes.

 2. Competition   

Different price on the same product in many online shops. Customer finds the cheaper one and buys it.

 3. Cannot Physically See or Try The Products  

In online shop no one can get the physical information of the product the expected product is high-quality or worse.

 4. Product Must Be Delivered  

If the terrible online shopkeepers don't deliver the buying product than there is no other way to return the money which is used for total buying purpose.

 5. Carrying Cost  

            All Customers bear the delivery carrying cost.

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