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E Commerce

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LIMITATIONS OF E-COMMERCE
Technical Limitations
 Lack of sufficient system's security, reliability, standards, and communication protocols.
 Insufficient telecommunication bandwidth.
 The software development tools are still evolving and changing rapidly.
 Difficulties in integrating the Internet and electronic commerce software with some existing applications and databases.
 The need for special Web servers and other infrastructures, in addition to the network servers (additional cost).
 Possible problems of interoperability, meaning that some E-commerce software does not fit with some hardware, or is incompatible with some operating systems or other components.
Non-Technical Limitations
 Cost and justification (35% of the respondents)
The cost of developing an EC in house can be very high, and mistakes due to lack of experience, may result in delays. There are many opportunities for outsourcing, but where and how to do it is not a simple issue. Furthermore, to justify the system one needs to deal with some intangible benefits which are difficult to quantify.
 Security and Privacy (17% of the respondents)
These issues are especially important in the B2C area, and security concerns are not truly so serious from a technical standpoint. Privacy measures are constantly improving too. Yet, the customers perceive these issues as very important and therefore the E-commerce industry has a very long and difficult task of convincing customers that online transactions and privacy are, in fact, fairly secure.
 Lack of trust and user resistance (4%)
Customers do not trust an unknown faceless seller, paperless transactions, and electronic money. So switching from a physical to a virtual store may be difficult.
 Other limiting factors o Lack of touch and feel online. o Many unresolved legal issues. o Rapidly evolving and changing E-commerce. o Lack of...

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