E-Commerce, Introduction Types, and many more

Introduction

In simple words, e-commerce is nothing but can be defined as Electronic commerce where goods and services can be purchased and sold online.

Definition

The activity that involves buying and selling goods and services, money transfers, and analyzing other companies’ data through the Internet is known as e-commerce.

Types of E-commerce

Business to customers: In this type of business, customers can directly deal with the manufacturers or the companies where sales and purchases occur. There are no mediators between them.

Business to business: In this business, companies interact with each other directly with one another. They are the wholesale retailers and manufacturers of themselves.

Direct to customers: Here, customers can directly deal with the customers. There should not be any mediator like a distributor, retailer, or wholesaler. These companies now send the products to their end customers.

E-commerce goods

Physical goods: This type includes financial value for purchasing tangible and intangible goods and services.

Digital goods: It involves the exchange of money value for intangible goods like books, video files, etc.

Advantages

A Large Market: E-commerce allows every firm or customer to reach each other worldwide. They provide a platform for every individual to explore their business in the market.

Low cost: By holding the hands of e-commerce, it has become more accessible to firms and companies that can run their business with a low budget.

Personalized messaging: They provide a facility for the firms to communicate directly.

Disadvantages

Product and Price Comparison:

This is the most common factor of e-commerce: prices. This may cause loss due to comparing the same products on different apps. This may affect the profit line.

Need to access to the Internet:

Every business entity related to e-commerce should be available online continuously. If they are offline, this may cause a loss to their business.

Credit card Fraud:

This is a natural problem online businesses face, which may lead to bad reputations, losses, and penalties.