...James Davis Advantages and Disadvantages of E-commerce Bus 107 Debra Wilson November 22, 2010 Abstract In today’s economy, business moves at a rapid pace and shows no sign of slowing down. Many of the revolutionary changes that have taken place and supplied this economic engine with fuel are due to electronic commerce. The introduction of the computer into the workplace has brought about manifold changes and seemingly unlimited possibilities for merchants. This new technology offers many advantages for businesses but there are disadvantages as well. Each company must weigh the pros and cons while determining what direction they will take. Advantages and Disadvantages of E-commerce Electronic commerce is a fundamental part of today’s business world. It has undergone many changes since its inception and will continue to do so. The information technology field has always moved rapidly and businesses must align themselves with these changes in order to remain competitive. E-commerce has many advantages and has transformed business, as we know it. Although fewer in number, there are also disadvantages associated with e-commerce. The advantages of e-commerce are great in number and have quite a range of variation. E-commerce is still fairly young but has brought manifold changes in the way business is conducted. Businesses great and small have taken advantage of the new opportunities afforded by electronic transactions. As we move on in the twenty first century...
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...Subject: | Information Technology | Unit number + Title | 8. E-Commerce | Assignment number + Title: | 1. Why E-Commerce? | Assessment Criteria: | P1 P2 P3 M1 M2 D1 | Purpose / Aims (learning outcomes) | LO1 Understand the web architecture & componentsP1 Describe the technologies required for e-commerceP2 Explain the impact of introducing an e-commerce system to an organisationP3 Explain the potential risks to an organisation of committing to an e-commerce systemM1 Recommend methods to promote an e-commerce systemM2 Discuss how security issues in e-commerce can be overcomeD1 Evaluate the use of e-commerce in a ‘brick & click’ organisation | Introduction (Scenario) | You work for a firm of e-commerce consultants in the West Midlands and have been asked to provide a ‘guide to e-commerce’ leaflet for a local retail business considering e-commerce. Your guide will cover the regulations related to e-commerce and the implications of e-commerce on society. You will also put together an e-commerce strategy for the business. | Assignment 1 (Scenario) | You visit the Managing Director of your local retail business to go over what is needed for e-commerce, including the different technologies to be bought. The MD is not very IT literate and therefore you need to explain the different hardware & software and networking technologies needed for e-commerce. | | No | | Criteria | Tasks | 1 | For P1, you need...
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...5 Advantages and Disadvantages of E-Commerce We have a lot faster internet connectivity now, and we also get much more powerful tools on websites. It makes increase on the numbers of e-commerce fans. You may want to learn on the advantages and disadvantages so you can earn more benefits from there. The Advantages #1. Cost Effective The entire financial transactions will eventually become electronic, so sooner conversion is going to be lower on cost. It makes every transaction through e-commerce payment a lot cheaper. #2. Higher Margin E-commerce also enables us to move better with higher margin for more business safety. Higher margin also means business with more control as well as flexibility. You can also save time from the e-commerce. #3. Better Productivity Productivity here means productivity for both companies and customers. People like to find answers online because it is faster and cheaper, and it costs a lot cheaper expense as well for the company. #4. Quick Comparison E-commerce also enables you to compare price among several providers. In the end, it leads you to smart shopping. People can save more money while they shop. #5. Economy Benefit E-commerce allows us to make transaction without any needs on stores, infrastructure investment, and other common things we find. Companies only need well built website and customer service. The Disadvantages #1. Security Customers need to be confident and trust the provider of payment method. Sometimes, we can...
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...the correct approach and research in order to be successful. Identifying the advantages and disadvantages of taking your small business online by performing a SWOT analysis. While conducting a SWOT analysis of my clothing store along the Jersey Shore boardwalk, I determined what my strengths, weaknesses, opportunities and threats could potentially be. My research has indicated that my Strength’s would be my customer service skills, flexibility in my direction and focus, experience in the clothing industry and being able to provide a good value to customers. Weaknesses would be my competition, lack of reputation to gain customer response and potential cash flow. Within the opportunities category, I determined that the weak economy in some regard would be a benefit to apply for government grants and SBA loans to help with my overall business intent. My competition may be slow to adopt new technologies; giving my business the opportunity to excel. The threats that may be a concern are also a weak economy. The developments in technology could change the clothing market beyond our ability to adapt and larger competitors could destroy our chances in the clothing industry. The advantages that I anticipate would be the ability to run my business from virtually anywhere, lower overheads, cheaper start up costs, growth potential is at my discretion and establishing worldwide presence. The disadvantages would be the low barriers for anyone to copy your business model and compete with...
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...Business Research Report E-Commerce: The future of ABC Corporation. A look into the features, advantages, and benefits of entering the online sales arena in today’s retail market. October 2012 Assessment Code: RWT1 Date: October 21, 2012 Table of Contents Cover page…………….……………………………………………………………….….1 Table of contents……………………………………………………………………….….2 Executive Summary…………………………………………………………………….…3 Introduction…………………………………………………………………………….….4 Advantages and Disadvantages…………………………………………………………………………….5-6 Potential for Impact...………………………………………………………………….....7-9 Requirements……....………………………………………………………………....…..9-10 Recommendation…………………………………………………………………………11 Conclusion………………………………………………………………………………..12 References……………………………………………………………………………..…13 Executive Summary ABC Corporation is a retail establishment that has attained a stronghold in the United States through brick and mortar stores. Desiring to increase revenue and broaden its customer base, ABC is currently entertaining the idea of entering the online sales arena. Allison Enright, (2012) Editor of Internetretailer.com, states that,” U.S. e-commerce sales accounted 5.1% of total retail spending, according to an estimate released last month by the U.S. Department of Commerce. It is the first time that e-commerce as a percentage of total retail spending has topped 5%.” These figures suggest ABC’s desire to...
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...E-Business Kathleen Wood ACC/370 June 22, 2015 Mike Raponi E-Business The intent of this paper is to examine the advantages and disadvantages of E-Business. We will also look into one particular business and see what if anything E-Business has done for them. What is E-Business? E-Business or E- Commerce is quite simply using the Internet and information technology to do business. The main purpose in doing this is to increase sales and profitability for the company. There are both advantages to doing E-Business, although as this paper will show, far outweigh the disadvantages. The Internet began commercial usage in 1991 (Commerce-Land), at this point EDI (Electronic Data Interchange) and EFT (Electronic Funds Transfer) began. These technologies opened the door for businesses to handle their transactions electronically. Since the beginning, there are now thousands of companies that are doing the bulk of their business through the Internet. Advantages There are many pros to using E-Business, for both the consumer and the company. For the company, one of the advantages is that it is cheaper for them to set up a website then it would be for them to build and open a brick-and-mortar type business. Another plus for companies is the cost of advertising is better with E- Business. In advertising, more people can be reached at a lower cost by using the Internet than any other form of advertising. The ability to be able to reach more people is one of the best advantages...
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...Task 2 Advantages of ecommerce Having a business open 24/7 I have been asked the discus in detail the impacts and negative impacts of an e-commerce business; I am going to first discus the impacts of an e-commerce business running 24/7. There are many impacts with having an 24/7 e-commerce online business, I first looked at the website tokokoo.com (online) that it mention that the advantage of it being opened 24/7 is that people all over the world can purchase what the e-commerce website is selling, this impacts your business as all parts of the world we be buying your products and services at all times ‘Even while you’re sleeping, your customers can visit your store and browse your products and place their orders’. Another advantage of it being opened 24/7 is that you can purchase items/services anytime you want this is a good impact new targets markets can be made which is for the people who work long hour days which means they are too busy in the day because there working which means they do not have time for shopping in the day, this impacts your business and achieves more customers which means you will sell more. Includes that customers will be satisfied as they can purchase items from their own home. A disadvantage of having a 24/7 business is that you will have to pay more for staff to keep this e-commerce business operated at all times, people who would be operating the website are not on a normal wage like a shelf stacker it is far more. The negative impact...
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...development of these areas. This study aims at identifying the problems that are caused by ICT in the application of electronic commerce and electronic business in rural Nigeria. The paper will point out these limitations and give solutions to each, thereby ensuring a smooth development process. The following limitations were found: System scalability and available customers, fraud and identity theft, delivery time and uncertainty, trust and customer satisfaction. Key words: Electronic commerce, Electronic business Methodology: The method used in this research is Internet research and personal observation. Solutions To The limitations Of E-commerce And E-business According to Wikipedia: “Electronic commerce consists of the buying and selling of products or services over electronic systems such as the Internet and other computer networks. It is more than just buying and selling products online. It also includes the entire online process of developing, marketing, selling, delivering, servicing and paying for products and service”. Wikipedia also stated: “Electronic business may be defined as the application of information and communication technologies (ICT) in support of all the activities of a particular business” This type of business has many disadvantages that deprive people of its advantages especially those in the rural areas” E-commerce and E-business are very important ICT tools that can help businesses and organizations...
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...network connection device containing software that connects network systems and controls traffic flow between them. * Switch: Main linking device within a network. * Connecting two or more nodes in the same network or different network. Distinguish between the main two types of conducted media (wired media). * Provides a physical path along which signals are transmitted * Electrical Conductors * Wires (STP & UTP) * Coaxial cable * Light Conductors * Fiber optics Distinguish between centralized data processing, decentralized data processing, and distributed data processing. * Centralized: Processing is done at one central computer. * Advantage * Being able to exercise tight control on system operations and applications * Disadvantage * Lack...
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...Business Proposal Sheldon Hensley BIS/220 March 19, 2012 Ross Sines Business Proposal Rock Bottom Records A Business Proposal to Add E-Commerce to the Company Prepared for Rock Bottom Records Prepared by Sheldon Hensley March 19, 2012 Table of Contents Executive Summary 4 Introduction 5 Background 5 Proposed Action 5 Cost Table 8 Executive Summary Doing business in today’s economic structure is not the same as it was 20 years ago. The induction of e-commerce and e-business to economic infrastructure, traditional brick and mortar businesses are finding it difficult to compete with more streamlined businesses that are outsourcing their products and services via the Internet. Streamlining Rock Bottom Records by adding a relational database management system (RDMS) and a website will increase productivity and cost savings by reducing the amount of time it takes for analyzing productivity, ordering and shipping, financial, and payroll. Adding a website with a RDMS and offering digital music downloads the company will be able to compete with other companies worldwide. The most popular affordable RDMS’s that are in use today are Microsoft Access that comes with Microsoft Office (Professional) is popular with most small businesses ("Microsoft Access Database: The Pros With Less Cons When Using Microsoft Access As Your Database", n.d.)., PostgreSQL which runs on multiple operating systems and is an open source database...
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...Running head: E-Commerce Commerce over the Internet is Relatable Safe Insert Name Insert Grade Course Insert Tutor’s Name 23 November 2010 Outline Introduction This section defines the term internet commerce and gives a brief overview of its history. Requirements for E-commerce It gives some of the major requirements involved in starting up an E-business. This includes; 1. Online store- for processing or transactions, and making purchases 2. Website- for marketing products 3. Secure interface- for preventing unauthorized people from accessing critical information Benefits of E-commerce This section gives some of the benefits and opportunities accrued to a business involved in E-commerce. They are; 1. Large number of potential customers- A large number of people rely on the internet thus they are likely to access information pertaining a particular product 2. Timeliness- transactions are facilitated quickly and customers get their products on time 3. Reduced marketing cost- requires very minimal marketing costs as compared to direct marketing 4. Reduced communication cost- communication is done online which is a bit cheaper than use of mobile phones or mails Limitation and challenges This part of the research paper gives some of the disadvantages associated with E-commerce 1. Limitation on the type of product- not all products can be sold over the internet because...
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...Definition of Electronic commerce (EC) The process of buying, exchanging products, selling, services, or information via computer networks. Analyze the various types of EC activities Business-to-Business (B2B) An interaction between the business people and other organizations is known as Business-to-Business (B2B). For example www.walmart.com and www.Sams club.com Business-to-consumer (B2C) Business selling to individual shoppers is known as Business-to-consumer (B2C). For example www.Barnes&Nobles.com. E-tailing Online shopping having access to products of interest for the consumers, by visiting their website directly is called E-tailing. For example Amazon, e-Bay. Business-to-Business-to-consumer (B2B2C) Business providing some product or service to a client business that maintains its own customers is known as (B2B2C). Consumer-to-Business (C2B) A consumer uses internet to sell products or services to organizations or individuals seeking sellers, to bid on products or services they need. For example e-Bay. Business-to-employees (B2E) Organization delivers services, information, or products to its individual employees. For example www.asics.com Consumer-to-consumer (C2C) Consumer sells the product directly to other consumer. For example www.craigslist.com List of advantages and disadvantages of Electronic Commerce Advantages - 24/7 services for buying or selling products - Readily available to customers - Easy to manage a business - Faster and user...
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...Individual work Question 1 Visit smallbusiness.yahoo.com, google.com or any other search engine to find out at least four e-commerce companies that are successful and failure. Identify and discuss briefly the factors that contribute for their successfulness and failures. Four (4) types of successful e-commerce companies. Amazon.com At first glance, it appears that this site is very focused on selling (as they should be), but if you notice, there is much more there than simply “Click here to buy this book”. There are: •Excerpts from the books for sale •A list of the 100 “hot” books, updated hourly •The top video and audio sellers for the day •Reviews both by other customers and professional reviewers •Author interviews •Contests Amazon.com relies heavily on content to promote return visits and sales. They encourage their customers to review the products and provide live testimonials. Some customers will return to this site, simply because of the reviews and other Question 2 Define “social e-commerce” and describe why it is a new form of advertising, search, and potentially commerce. A working definition of “social e-commerce” involves online commercial transactions that take place in an online social milieu involving friends, acquaintances, and others in the consumer’s social network. In many respects this is similar to a traditional village market where consumers search for, evaluate, and purchase products, in the presence...
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...to Know about e-Commerce This article talks about Electronic Commerce, what it is and its advancing role in this Internet age. E-Commerce or Electronic Commerce (EC) is the practice of buying and selling varied good and services on the World Wide Web (Internet). e-Commerce in its basic sense means the same as traditional commerce where buyers and sellers come together for doing business by buying and selling goods and services. The difference is that e-Commerce happens over wired communication lines connected throughout the globe where the World Wide Web serves as the central medium for all trading transactions. e-Commerce also happens through the use of more limited forms of communication such as email, facsimile or fax. e-Commerce enables sell and purchase of commodities and services right from your home and without leaving for seeking what you need. You have to simply hit the service provider's website, search for what you need or setup what you want to provide and instantly get the business done. If you are making purchases online for virtual products and services, most of the time you will get the products and services at the instance of your payment acknowledgment. Monetary transactions happen over secure gateways and encrypted channels, so we can term e-commerce to be a reliable trading environment. Payments can be made with the use of Credit Cards, e-Checks, Payment Gateways or even through traditional payment systems. Types of e-Commerce Business to Business...
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...Business Studies E-Commerce For first teaching from September 2009 For first award in Summer 2011 GCSE E -Commerce At the end of this unit students should be able to: Explain what is meant by e-commerce and e-business; Analyse the advantages of e-commerce for customers and businesses; Analyse the disadvantages of e-commerce for customers and businesses; and Discuss how e-commerce supports international business. Setting the scene: Amazon.com was founded in Seattle, Washington by Jeff Bezos in 1994, and was officially launched in 1995. It started out as an online bookstore but quickly diversified by adding other items, such as DVDs, music CDs, software, video games, electronics, MP3s, clothing, furniture, toys and even food items. Amazon.com grew rapidly throughout the late 90’s, and managed to survive what became known as the dot com crash. Amazon.com has become one of the world’s largest on-line retailers with almost 25,000 employees and global sales in excess of $24 billion per year. The company continues to go from strength and is currently the UK favourite on-line retailer and third favourite retailer overall. The impact of ICT on business Developments in information and communications technology have fundamentally changed the way businesses sell and distribute their goods and services. New technology such as the internet and broadband has opened up a whole new world of opportunities for business. The amount of trade conducted electronically has grown dramatically...
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