E-commerce (electronic commerce) is the buying and selling of goods and services, or the transmitting of funds or data, over an electronic network, primarily the internet. These business transactions occur either as business-to-business (B2B), business-to-consumer (B2C), consumer-to-consumer or consumer-to-business. Every ecommerce business needs an ecommerce store, which is essentially just an online landing place where their customers can come to explore, learn about and purchase their products.
Selling products and services online is less costly than traditional methods. The retailers cannot afford to sell the products at a low cost, because many fixed costs involving when they setup a retail outlet or service office. E-commerce seems to be everywhere these days. You can’t go online without seeing article after article proclaiming that e-commerce is destroying brick and mortar stores. While many of these changes may feel sudden, but the fact is Amazon has been influencing consumer buying behaviors since 1994, allowing the company to affect an entire generation of purchasing decisions. You will be left behind if you insist with the traditional selling method.
E-commerce has the capability to integrate all inter-company and intra-company functions
Low Entry Cost
An eCommerce business is able to reduce labor and other costs in many areas, including: document preparation, reconciliation, mail preparation, telephone calling, data entry, overtime and supervision expenses.
Reduce Transaction Cost
E-commerce transactions make shopping cheap for the customer, which can increase your net revenues. To get to a retail store requires a customer to travel to your location.
Access to Global Market
Global Market Access (GMA) is the process of determining applicable regulations and managing product compliance to those regulations with respect to accessing global markets.
Secure Market Share
A percentage of total sales volume in a market captured by a brand, product, or company. Market share refers to a company’s portion of sales within the entire market in which it operates.