E-Commerce Advantages

Electronic Commerce, better known as e-commerce, is the trading of products and services on a network, such as the internet. E-commerce relies heavily on technologies such as mobile commerce, electronic transfer funds, supply chain management, internet marketing, online transaction processing, electronic data interchange, inventory management systems, and automated data collection systems. Modern e-commerce has allowed the modern person to shop and sell from the comfort of his own home. In addition, e-commerce has opened new opportunities for companies, allowing them to target a new and diverse market, as well as the ability to further increase product sales. Thus, it is safe to assume that e-commerce has a wide variety of uses and dynamic

Outsourcing to another company that specializes in a certain function can help reduce unnecessary overheads, capital costs and investments, allowing room to maneuver and focus on providing customers with a valuable product that ensures success. Proud traditional companies are finding themselves out-matched by smaller companies, even startups, based on an e-commerce model. The reason being that these traditional companies have costly infrastructures and processes that are outdated in the modern era. E-commerce allows small companies and even startups to grab a hold of market share that was previously held by traditional companies very quickly because they avoid the costs of large overheads. In addition, most e-commerce enterprises will sell items that are shipped directly to customers from distributors, allowing fund allocation to finding out the market wants and ensuring superior customer service. For example, Amazon is a virtual company that has challenged traditional enterprise, grabbing a fair market segment, forcing book stores to also offer their products online often at a reduced price to the store price. Lastly, E-commerce has forced companies to change and think carefully about forging the right partnerships to ensure

Online banking has increased dramatically with most if not all banks utilizing online banking. In addition, these banks also incorporate the use of applications for devices (tablets, smartphones, etc.) to make online banking simpler and on the go for customers. Selling and buying online is common nowadays. For example, EBay allows almost anyone over 18 to sell and buy goods online. This use of e-commerce has facilitated day-to-day shopping for individuals and has also given way for the need for companies such as UPS and Fedex. Online marketing appears to be everywhere on every website. Almost every website one visits has some form of online marketing. For example, YouTube has taken to playing advertisements before viewing a video and Facebook has allowed companies to place ads on Facebook. Lastly, Data interchange has become common amongst companies. Companies trade relatable data amongst each other to improve their products. Typically, the companies interchanging data are companies that gather data with those needing data. For example, there are companies that dedicate themselves completely to gathering data, then selling it to companies needing that data. A common example of companies that gather data is companies that operate websites that ask people to fill out surveys. Thus, it is crystal clear that e-commerce has many uses and a large sum