E-COMMERCE-THEORY PRACTICAL

Define e-commerce

Commerce is the exchange of goods (products) and services, usually but not exclusively for money. E-Commerce, short for electronic commerce, is simply commerce that is transacted over electronic media.

Web business processes

Electronic media infers all kinds of media including television, radio, fax, and email; but increasingly, e-commerce has come to mean commerce transacted on the Web.

A “transaction” typically involves three basic business processes, including:

Supplying potential customers with the information they need to understand the features and benefits of products and services, as well as disclosing terms for payment and servicing, and sometimes techniques to negotiate the terms.

Providing customers the means to actually purchase and deliver the products and/or services, which includes all the related services to the purchase, including invoice copies, payment histories, and shipment tracking.

Giving customers the ability to obtain support for products and services they have purchased.

 

History of e-commerce

The term electronic commerce came into widespread use after was developed in 1993 and freely distributed around the world. Drawn by the ease of use of the browser, millions of home consumers, businesses, and educators connected to the Internet, creating the conditions for Internet-based commerce. Businesses flocked to the Internet, attracted by the ease of setting up electronic storefronts and the potential access to a global market of Internet subscribers. Sales of goods and services to consumers, often referred to as (B2C) business-to-consumer e-commerce have grown steadily each year, despite the failure in 2000 and 2001 of so many new Internet businesses (known as dot-coms because of the domain name in their Internet address). Even more dramatic has been the extent to which businesses have adopted the Internet for supporting exchanges with other firms, such as suppliers and business customers. This is generally called business-tobusiness (B2B) e-commerce. Because of this rapid growth, e-commerce has become an important subject of study in its own right, and many schools now offer courses and degree programs focusing on it.

E-Commerce or Electronic Commerce

E-commerce is a popular term for electronic commerce or even internet commerce. The name is self- explanatory, it is the meeting of buyers and sellers on the internet. This involves the transaction of goods and services, the transfer of funds and the exchange of data.

Define e-commerce

Commerce is the exchange of goods (products) and services, usually but not exclusively for money. E-Commerce, short for electronic commerce, is simply commerce that is transacted over electronic media.

Web business processes

Electronic media infers all kinds of media including television, radio, fax, and email; but increasingly, e-commerce has come to mean commerce transacted on the Web.

A “transaction” typically involves three basic business processes, including:

Supplying potential customers with the information they need to understand the features and benefits of products and services, as well as disclosing terms for payment and servicing, and sometimes techniques to negotiate the terms.

Providing customers the means to actually purchase and deliver the products and/or services, which includes all the related services to the purchase, including invoice copies, payment histories, and shipment tracking.

Giving customers the ability to obtain support for products and services they have purchased.

 

History of e-commerce

The term electronic commerce came into widespread use after was developed in 1993 and freely distributed around the world. Drawn by the ease of use of the browser, millions of home consumers, businesses, and educators connected to the Internet, creating the conditions for Internet-based commerce. Businesses flocked to the Internet, attracted by the ease of setting up electronic storefronts and the potential access to a global market of Internet subscribers. Sales of goods and services to consumers, often referred to as (B2C) business-to-consumer e-commerce have grown steadily each year, despite the failure in 2000 and 2001 of so many new Internet businesses (known as dot-coms because of the domain name in their Internet address). Even more dramatic has been the extent to which businesses have adopted the Internet for supporting exchanges with other firms, such as suppliers and business customers. This is generally called business-tobusiness (B2B) e-commerce. Because of this rapid growth, e-commerce has become an important subject of study in its own right, and many schools now offer courses and degree programs focusing on it.

E-Commerce or Electronic Commerce

E-commerce is a popular term for electronic commerce or even internet commerce. The name is self- explanatory, it is the meeting of buyers and sellers on the internet. This involves the transaction of goods and services, the transfer of funds and the exchange of data.

Define e-commerce

Commerce is the exchange of goods (products) and services, usually but not exclusively for money. E-Commerce, short for electronic commerce, is simply commerce that is transacted over electronic media.

Web business processes

Electronic media infers all kinds of media including television, radio, fax, and email; but increasingly, e-commerce has come to mean commerce transacted on the Web.

A “transaction” typically involves three basic business processes, including:

Supplying potential customers with the information they need to understand the features and benefits of products and services, as well as disclosing terms for payment and servicing, and sometimes techniques to negotiate the terms.

Providing customers the means to actually purchase and deliver the products and/or services, which includes all the related services to the purchase, including invoice copies, payment histories, and shipment tracking.

Giving customers the ability to obtain support for products and services they have purchased.

 

History of e-commerce

The term electronic commerce came into widespread use after was developed in 1993 and freely distributed around the world. Drawn by the ease of use of the browser, millions of home consumers, businesses, and educators connected to the Internet, creating the conditions for Internet-based commerce. Businesses flocked to the Internet, attracted by the ease of setting up electronic storefronts and the potential access to a global market of Internet subscribers. Sales of goods and services to consumers, often referred to as (B2C) business-to-consumer e-commerce have grown steadily each year, despite the failure in 2000 and 2001 of so many new Internet businesses (known as dot-coms because of the domain name in their Internet address). Even more dramatic has been the extent to which businesses have adopted the Internet for supporting exchanges with other firms, such as suppliers and business customers. This is generally called business-tobusiness (B2B) e-commerce. Because of this rapid growth, e-commerce has become an important subject of study in its own right, and many schools now offer courses and degree programs focusing on it.

E-Commerce or Electronic Commerce

E-commerce is a popular term for electronic commerce or even internet commerce. The name is self- explanatory, it is the meeting of buyers and sellers on the internet. This involves the transaction of goods and services, the transfer of funds and the exchange of data.

The ability to market often differentiates companies. With the web, however, the marketing differences between companies become far easier for buyers to compare. With only a few keystrokes and clicks, a buyer can compare the web sites, and thus the products, prices and associated services of competitors.

The web generates new prospects and customers for companies, and new methods of marketing to those prospects/customers and existing customers.

A new science of marketing known as e-marketing has evolved to deal directly with the marketing challenges of doing business on the web. One of the disciplines of e-marketing. known as personalization, enables organizations to simulate one-to-one marketing to prospects and customers.

The notion of brand remains every bit as important on the web as it did before the web gained popularity.

Many companies have always taken pride in differentiating themselves from their competition through superior customer service. ecommerce offers new opportunities for organizations to distinguish themselves by offering customer self-service on the web.

Companies that provide extensive product information, or related product/service information, and even access to customer support specialists through email or chat, not only keep their web-centric customers happy, but cna reduce the overall operational costs of customer service.

Of course, the most obvious business model change resulting from e-commerce falls in the area of sales. E-commerce web sites may significantly reduce the cost of sales and savvy dot-comes and click-and-mortars have figured out ways of empowering web prospects and customers.

Allow web prospects and customers to perform their own product/service comparisons, configure their own pricing, choose their own shipping, make the payments, and track the fulfillment, all without the aid on an actual salesperson.

Impact of ecommerce

Impact of global reach, virtual sales, and online payment

With the incredible global reach offered by e-commerce comes an array of risks that many businesses and organizations never even considered. Global reach, virtual sales, and online payment all carry dangerous risks that can potentially put a company out of business.

Risks of Web-based e-commerce

Payment fraud and other security issues,new forms of tax and customs considerations, and

misrepresentation of products and services all mean that these risks are real, and that businesses cannot enter into e-commerce lightly.

In summary, Web-based e-commerce empowers all kinds of businesses, start-ups and established players alike, to test new markets, form creative partnerships, and chase previously untouchable business opportunities on a worldwide basis by means of a few simple keystrokes and clicks.

 

APPLICATIONS OF E-COMMERCE:

APPLICATIONS OF E-COMMERCE:

The applications of E-commerce are used in various business areas such as retail and wholesale and manufacturing. The most common E-commerce applications are as follows:

  • Online marketing and purchasing
  • Retail and wholesale
  • Finance
  • Manufacturing
  • Online Auction
  • E-Banking
  • Online publishing
  • Online booking (ticket, etc)

Online marketing and purchasing

Data collection about customer behavior, preferences, needs and buying patterns is possible through Web and E-commerce. This helps marketing activities such as price fixation, negotiation, product feature enhancement and relationship with the customer.

Retail and wholesale:

E-commerce has a number of applications in retail and wholesale. E-retailing or on-line retailing is the selling of goods from Business-to-Consumer through electronic storesthat are designed using the electronic catalog and shopping cart model. Cybermall is a single Website that offers different products and services at one Internet location. It attracts the customer and the seller into one virtual space through a Web browser.

Finance:

Financial companies are using E-commerce to a large extent. Customers can check the balances of their savings and loan accounts, transfer money to their other account and pay their bill through on- line banking or E-banking. Another application of E-commerce is on-line stock trading. Many Websites provide access to news, charts, information about company profile and analyst rating on the stocks.

Manufacturing:

E-commerce is also used in the supply chain operations of a company. Some companies form an electronic exchange by providing together buy and sell goods, trade market information and run back office information such as inventory control. This speeds up the flow of raw material and finished goods among the members of the business community. Various issues related to the strategic and competitive issues limit the implementation of the business models. Companies may not trust their competitors and may fear that they will lose trade secrets if they participate in mass electronic exchanges.

Auctions:

Customer-to-Customer E-commerce is direct selling of goods and services among customers. It also includes electronic auctions that involve bidding. Bidding is a special type of auction that allows prospective buyers to bid for an item. For example, airline companies give the customer an opportunity to quote the price for a seat on a specific route on the specified date and time.

E-Banking:

Online banking or E- banking is an electronic payment system that enables customers of a financial institution to conduct financial transactions on a website operated by the institution, Online banking is also referred as internet banking, e-banking, virtual banking and by other terms.

Online publishing:

Electronic publishing (also referred to as e-publishing or digital publishing) includes the digital publication of e-books, digital magazines, and the development of digital libraries and catalogs.

Online booking (ticket, seat.etc)

An Internet booking engine (IBE) is an application which helps the travel and tourism industry support reservation through the Internet. It helps consumers to book flights, hotels, holiday packages, insurance and other services online. This is a much needed application for the aviation industry as it has become one of the fastest growing sales channels.

ONLINE ENTERTAINMENT

When people think about the e-commerce sector they mostly consider the purchasing of products online. However, there is subscription based e-commerce which includes the online entertainment sector. Some of the biggest ecommerce entertainment companies include Amazon, Netflix, hulu, and Spotify. These companies depend a lot on the subscription based model. Online entertainment has taken over the entertainment sector. Long ago we used to watch television nowadays people have replaced television with Netflix. Another change in entertainment is Spotify which has taken over the online entertainment sector by storm. It is a music playing platform. The way we entertain ourselves has been drastically changed by the e-commerce sector.

E-Marketing and its types.

Web marketing, digital marketing, internet marketing or online marketing; all of these words are synonymously used for E-Marketing. What it means is the marketing of products or services by using the internet. E-mails and wireless marketing also fall into the category of e-marketing.

We can say that it uses different technologies and media to connect customers and businesses. Especially in this era of technology, e-marketing has become a very important part of the marketing strategy of different companies.

Types of Internet Marketing

  • Social media
  • Influencer
  • Affiliate
  • Email
  • Content
  • Search engine optimization (SEO)
  • Paid

What is ecommerce advertising?

Ecommerce advertising is the act of placing paid content on an online or offline property. Online properties include a website, search engine, social media network, podcast, newsletters, or other interactive online property such as chat or instant messaging.

Offline properties include more traditional forms of advertising such as TV spots, radio commercials, out-of-home advertising (such as billboards), direct mail campaigns, and more.

These paid messages allow you to reach people who may or may not have heard of your business and products. The goals of advertising campaigns can include everything from growing brand awareness to getting a direct response such as a newsletter subscriber, app signup, or a sale.

Search Engines

Search engines have three primary functions: Crawl: Scour the Internet for content, looking over the code/content for each URL they find. Index: Store and organize the content found during the crawling process. Once a page is in the index, it’s in the running to be displayed as a result to relevant queries.

How do search engines work?

Search engines have three primary functions:

Crawl: Scour the Internet for content, looking over the code/content for each URL they find.

Index: Store and organize the content found during the crawling process. Once a page is in the index, it’s in the running to be displayed as a result to relevant queries.

Rank: Provide the pieces of content that will best answer a searcher’s query, which means that results are ordered by most relevant to least relevant.

E-Banking

Electronic banking has many names like e banking, virtual banking, online banking, or internet banking. It is simply the use of electronic and telecommunications network for delivering various banking products and services. Through e-banking, a customer can access his account and conduct many transactions using his computer or mobile phone. In this article, we will look at the importance and types of e-banking services.

Types of e banking

Banks offer various types of services through electronic banking platforms. These are of three types:

e banking

Level 1 – This is the basic level of service that banks offer through their websites. Through this service, the bank offers information about its products and services to customers. Further, some banks may receive and reply to queries through e-mail too.

Level 2 – In this level, banks allow their customers to submit instructions or applications for different services, check their account balance, etc. However, banks do not permit their customers to do any fund-based transactions on their accounts.

Level 3 – In the third level, banks allow their customers to operate their accounts for funds transfer, bill payments, and purchase and redeem securities, etc.

Most traditional banks offer e-banking services as an additional method of providing service. Further, many new banks deliver banking services primarily through the internet or other electronic delivery channels. Also, some banks are ‘internet only’ banks without any physical branch anywhere in the country.

m-commerce (mobile commerce)

M-commerce (mobile commerce) is the buying and selling of goods and services through wireless handheld devices such as smartphones and tablets. As a form of e-commerce, m-commerce enables users to access online shopping platforms without needing to use a desktop computer. Examples of m-commerce include in-app purchasing, mobile banking, virtual marketplace apps like the Amazon mobile app or a digital wallet such as Apple Pay, Android Pay and Samsung Pay.

Over time, content delivery over wireless devices has become faster, more secure and scalable. As of 2017 the use of m-commerce accounted for 34.5% of e-commerce sales. The industries affected most by m-commerce include:

Financial services, which includes mobile banking (when customers use their handheld devices to access their accounts and pay their bills) as well as brokerage services, in which stock quotes can be displayed and trading conducted from the same handheld device.

Telecommunications, in which service changes, bill payment and account reviews can all be performed from the same handheld device.

Service and retail, as consumers are given the ability to place and pay for orders on-the-fly.

Information services, which include the delivery of financial news, sports figures and traffic updates to a single mobile device.

Types of m-commerce

M-commerce can be categorized by function as either mobile shopping, mobile banking or mobile payments. Mobile shopping allows for a customer to purchase a product from a mobile device, using an application such as Amazon, or over a web app. A subcategory of mobile shopping is app commerce, which is a transaction that takes place over a native app. Mobile banking includes any handheld technology that enables customers to conduct fanatical transactions. This is typically done through a secure, dedicated app provided by the banking institution. Mobile payments enable users to buy products in-person using a mobile device. Digital wallets, such as Apple Pay, allow a customer to buy a product without needing to swipe a card or pay with physical cash.

How mobile commerce works

With most m-commerce enabled platforms, the mobile device is connected to a wireless network that can be used to conduct online product purchases. For those in charge of developing an m-commerce application, important KPIs to monitor include the total mobile traffic, total amount of traffic on the application, average order value and the value of orders over time. Similarly, tracking the mobile add to cart rate will help developers see if users are becoming customers. M-commerce developers may also be interested in logging average page loading times, mobile cart conversion rates and SMS subscriptions.

In terms of mobile payment products specifically, they operate through a form of peer-to-peer (P2P) sharing. Once a mobile device is paired with a bank card’s information, the phone can be waved over a payment terminal to pay for a product. This contactless payment using a mobile device is possible due to the use of Near Field Communication (NFC).

Advantages and disadvantages of mobile commerce

The advantages of m-commerce include:

  • Added customer retention by being more easily
  • More convenience for customers in comparing prices, reading reviews and making purchases without the need of a desktop
  • Wider variety of products and
  • Automates a businesses’ point of customer contact and

Disadvantages of m-commerce include:

  • A poorly executed mobile experience can deter customers from making
  • Mobile payment options are not available in every geographic location and may not support every type of digital
  • Businesses must know and comply with tax laws and regulations of all countries they ship to (some businesses will avoid this by only allowing purchases and shipping from their country of origin).

WHAT IS ONLINE TRADING & ADVANTAGES OF ONLINE TRADING?

Investing is very much essential these days as savings alone is not adequate to fulfill all our financial goals and also to beat inflation. There are several investment options available and you can choose them as per your needs and convenience. You have to start your investments right from a young age so as to get good returns. Investment habit brings a sense of financial discipline in a person’s life as it makes you allocate a certain amount of money periodically for the purpose of investment. Based on your risk appetite and time horizon to achieve your financial goals, you can select the appropriate investment option. There are some financial assets that help you achieve your short term goals and other assets that help you achieve your long term goals. In today’s busy world, technological advances have made the entire process of investing and managing investments easier without any hassles. Anyone can have a complete hold on investments even through smartphone. You can stay connected with the market always as investing in the stocks requires constant monitoring of the stock market.

Trading in the stock market has become less time consuming these days as you can trade all by yourself without the assistance of a broker by means of online trading. Just like shopping for groceries online, you can buy and sell stocks online. You need not be an expert to begin online trading as these trading platforms are user friendly and do not necessitate any special learning. have even made things easier for an investor or trader as you can carry out any transaction in the stock market through your smartphone itself. You can trade from anywhere anytime through the mobile trading app.

Trading platforms provide all the necessary support and assistance by providing secured real time access to trading, research reports, price analysis of stocks, market news, etc. You can buy or sell shares if you have a trading account and an internet connection. Not only that, you can trade in currency, commodity, etc. through one single trading platform. platforms help you trade without any difficulty as these platforms enable high speed trading. These platforms have revolutionized the way trading is done. You can simply download these to your system or mobile and can begin trading.

What is Online Trading? 

You can place trade orders or cancel orders at your will from the comforts of your home. It allows you to make your own decision with regards to trading without any interference of the broker. You can buy shares or invest in IPO or buy mutual funds as well.

Online trading can be done by simply opening a demat and trading account with any SEBI registered broker. Account opening can be done in a matter of 15 minutes. The documents required to open an account are PAN card, address proof, AADHAAR card, mobile number linked to AADHAAR, bank statement, cancelled cheque leaf and passport photograph.

Documents issued by trading member/broker:

Contract note: The trading member or the broker has to issue contract note within 24 hrs of the execution of trade. Digital contract notes are issued these days. You have to check the contract notes regularly and any discrepancy has to be taken up with the broker immediately. The broker also issues a quarterly statement of funds in digital format.

Benefits of Online Trading 

The Advantages of Online Trading are:

  • Its Simple
  • It is Less Expensive
  • Quick & less time
  • Complete Control
  • Chances of Error is less
  • Monitor Investment All time
  • Access

It is simple:

It enables a trader to have a hassle free trading experience. Anyone can use these platforms as specific skill is not required to carry out trading online.

It is less expensive:

It is less expensive as compared to traditional mode of trading. Brokers also promote online trading as it reduces maintenance and other costs incurred by the broker.

Quick and less time consuming:

Trading can be done in a seamless manner and in less time. Before the advent of online technologies, trading was a cumbersome process as you had to visit the broker or call your broker for placing or cancelling trade orders. Now, you can carry out trading even through a smartphone in the simplest way.

Complete control:

It allows you to have complete control over your portfolio. You can place trade orders from anywhere anytime. That is the kind of flexibility you get due to online trading.

Chances of error are less:

In case of traditional offline trading, there were more chances of errors due to miscommunication between the traders and brokers. But in online trading, you can place trade orders or cancel without broker’s interference and hence can manage trade transactions by yourself.

Monitor investment at all times:

You can monitor investments anytime. There are mobile trading apps that can be downloaded in your smartphone which help you stay in touch with the markets and also monitor your investment anytime and take proper strategic moves accordingly. Loss making stocks can be removed and profit making stocks can be added to your portfolio by observing the way the market moves.

Access to research reports:

You can get access to top research recommendations, reports, analysis on stock price based on various charts. There are various brokerage websites through which you can have discussions with research experts as well. You can take the best move with the help of financial advisors too.

Safety measures that have to be taken in case of online trading:

  • Trade orders should not be placed from shared PCs or cyber
  • Always log out after carrying out trade in order to avoid any misuse of your
  • Personal computers have to be protected against viruses by installing anti-virus
  • Do not click on “remember me” option when you sign in to your trading account from a different
  • Investment in financial assets is offered by several brokers. You can choose that which suits your needs and demands after comparison of brokers on the basis of services, brokerage charges, Online trading helps you trade or invest in the most secured way. Its simple, easy and fast to trade online.

Definition of ‘E-learning’

Definition: A learning system based on formalised teaching but with the help of electronic resources is known as E-learning. While teaching can be based in or out of the classrooms, the use of computers and the Internet forms the major component of E-learning. E-learning can also be termed as a network enabled transfer of skills and knowledge, and the delivery of education is made to a large number of recipients at the same or different times. Earlier, it was not accepted wholeheartedly as   it   was   assumed   that   this   system   lacked   the   human   element   required   in   learning.

However, with the rapid progress in technology and the advancement in learning systems, it is now embraced by the masses. The introduction of computers was the basis of this revolution and with the passage of time, as we get hooked to smartphones, tablets, etc, these devices now have an importance place in the classrooms for learning. Books are gradually getting replaced by electronic educational materials like optical discs or pen drives. Knowledge can also be shared via the Internet, which is accessible    24/7,      anywhere,      anytime.

Description: E-learning has proved to be the best means in the corporate sector, especially when training programs are conducted by MNCs for professionals across the globe and employees are able to acquire important skills while sitting in a board room, or by having seminars, which are conducted for employees of the same or the different organizations under one roof. The schools which use E- learning technologies are a step ahead of those which still have the traditional approach towards learning.

No doubt, it is equally important to take forward the concept of non-electronic teaching with the help of books and lectures, but the importance and effectiveness of technology-based learning cannot be taken lightly or ignored completely. It is believed that the human brain can easily remember and relate to what is seen and heard via moving pictures or videos. It has also been found that visuals, apart from holding the attention of the student, are also retained by the brain for longer periods. Various sectors, including agriculture, medicine, education, services, business, and government setups are adapting to the concept of E-learning which helps in the progress of a nation.

Advantages of E-Learning 

  • You are able to link the various resources in several varying
  • It is a very efficient way of delivering courses
  • Due to its convenience and flexibility, the resources are available from anywhere and at any
  • Everyone, who are part time students or are working full time, can take advantage of web- based learning.
  • Web-based learning promotes active and independent
  • As you have access to the net 24×7, you can train yourself anytime and from anywhere
  • It is a very convenient and flexible option; above all, you don’t have to depend on anyone for
  • Not only can you train yourself on a day to day basis, but also on weekends or whenever you have the free time There is no hard and fast rule.
  • Through discussion boards and chats, you are able to interact with everyone online and also clear your doubts if
  • The video instructions that are provided for audio and video learning can be rewound and seen and heard again and again if you do not happen to understand the topic first time

Disadvantages Of eLearning

  • Well, there are not many disadvantages of eLearning, the main one being that you get knowledge only on a theoretical basis and when it comes to putting to use whatever you have learnt, it may be a little different. The face-to-face learning experience is missing, which may matter to some of
  • Most of the online assessments are limited to questions that are only objective in
  • There is also the problem of the extent of security of online learning
  • The authenticity of a particular student’s work is also a problem as online just about anyone can do a project rather than the actual student
  • The assessments that are computer marked generally have a tendency of being only knowledge-based and not necessarily practicality-based.

E-shopping 

E-shopping is a form of electronic commerce which allows consumers to directly buy goods or services from a seller over the Internet using a web browser. The process of selling and buying products over the internet is called online shopping or e- shopping.

Advantages and Disadvantages of E-Shopping Advantages of e-shopping

Due to rapid growth of technology, business organizations have switched over from the traditional method of selling goods to electronic method of selling goods. Business organizations use internet as a main vehicle to conduct commercial transactions.

Online stores do not have space constraints and a wide variety of products can be displayed on websites. It helps the analytical buyers to purchase a product after a good search.

1.  Convenience of online shopping

Customers can purchase items from the comfort of their own homes or work place. Shopping is made easier and convenient for the customer through internet. It is also easy to cancel the transactions.

Saves time and efforts. Convenience of Shopping at home.

Wide variety / range of products are available. Good discounts / lower prices.

Get detailed information of the product. We can compare various models / brands.

2.  No pressure shopping

Generally, in physical stores, the sales representatives try to influence the buyers to buy the product. There can be some kind of pressure, whereas the customers are not pressurized in any way in online stores.

3.  Online shopping saves time

Customers do not have to stand in queues in cash counters to pay for the products that have been purchased by them. They can shop from their home or work place and do not have to spend time traveling. The customers can also look for the products that are required by them by entering the key words or using search engines.

4.  Comparisons

Companies display the whole range of products offered by them to attract customers with different tastes and needs. This enables the buyers to choose from a variety of models after comparing the finish, features and price of the products on display, Sometimes, price comparisons are also available online.

5.  Availability of online shop

The mall is open on 365 x 24 x 7. So, time does not act as a barrier, wherever the vendor and buyers are.

6.  Online tracking 

Online consumers can track the order status and delivery status tracking of shipping is also available.

7.  Online shopping saves money 

To attract customers to shop online, e-tailers and marketers offer discounts to the customers. Due to elimination of maintenance, real-estate cost, the retailers are able to sell the products with attractive discounts through online. Sometimes, large online shopping sites offer store comparison.

Disadvantages of E-Shopping

Ease of use is the prime reason that drives the success of e-commerce. Though internet provides a quick and easy way to purchase a product, some people prefer to use this technology only in a limited way. They regard internet as a means for gathering more information about a product before buying it in a shop. Some people also fear that they might get addicted to online shopping.

The major disadvantages of online shopping are as follows.

1.  Delay in delivery

Long duration and lack of proper inventory management result in delays in shipment. Though the duration of selecting, buying and paying for an online product may not take more than 15 minutes; the delivery of the product to customer’ s doorstep takes about 1-3 weeks. This frustrates the customer and prevents them from shopping online.

2.  Lack of significant discounts in online shops 

Physical stores offer discounts to customers and attract them so this makes it difficult for e-tailers to compete with the offline platforms.

3.  Lack of touch and feel of merchandise in online shopping

Lack of touch-feel-try creates concerns over the quality of the product on offer. Online shopping is not quite suitable for clothes as the customers cannot try them on.

4.  Lack of interactivity in online shopping

Physical stores allow price negotiations between buyers and the seller. The show room sales attendant representatives provide personal attention to customers and help them in purchasing goods. Certain online shopping mart offers service to talk to a sales representative,

5.  Lack of shopping experience

The traditional shopping exercise provides lot of fun in the form of show-room atmosphere, smart sales attendants, scent and sounds that cannot be experienced through a website. Indians generally enjoy shopping. Consumers look forward to it as an opportunity to go out and shop.

6.  Lack of close examination in online shopping

A customer has to buy a product without seeing actually how it looks like. Customers may click and buy some product that is not really required by them. The electronic images of a product are sometimes misleading. The colour, appearance in real may not match with the electronic images.

People like to visit physical stores and prefer to have close examination of good, though it consumes time. The electronic images vary from physical appearance when people buy goods based on electronic images.

7.  Frauds in online shopping

Sometimes, there is disappearance of shopping site itself. In addition to above, the online payments are not much secured. So, it is essential for e-marketers and retailers to pay attention to this issue to boost the growth of e-commerce. The rate of cyber crimes has been increasing and customers’ credit card details and bank details have been misused which raise privacy issues.Customers have to be careful in revealing their personal information. Some of the e-tailers are unreliable.

 

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