The major problem for large manufacturing companies is storage at their facilities of raw materials and finished products. Another thing global companies need to take into consideration is costs between countries and currencies as exchange rates can change dramatically, either reducing or increasing costs. While the main benefit of using the internet for value systems and supply chain management globally is communications, it also provides a number of new avenues for business owners to advertise and sell their product such as online stores (Amazon) and auctions (Ebay). This provides many companies the option to cut out steps from manufacturer to consumer thereby increasing profits. Introduction The traditional way of managing supply chains has changed dramatically over the past few years.
This era is one in need of an economic boost to better the world in its turmoil, and internet shopping may be the answer. The most important affect the internet bestowed, or e-shopping as we like to call it, is its affect on the economy. Now is the future, and our retailing process needs a major change, as Birch, Schneider, and Gerbert (who wrote E-Tail) said, ? [to] re-invigorate the prospects of players in traditional consumer business?? (E-Tail 10).
Retrieved from http://www.census.gov/epcd/www/ebusines.htm Rouse, M. (2005, April). E business search cio. Retrieved from http://searchcio.techtarget.com/definition/e-business
With the power of the internet, consumers are no longer are limited to shopping locally and with the introduction of mobile devices, consumers now have the world in the palms of their hands. According to Nielsen’s Global Connected Commerce Survey Report, online sales are set to “double between 2015 and 2019 and account for more than 12% of global sales by 2019”. Domestic shopping still holds a large portion of B2C commerce the landscape is shifting and international e-commerce is a growing at increasingly rapid rates. This provides retailers with both great opportunity and great challenges. Retailers now have access to consumers they never had to before and must now learn to adapt their marketing, logistics, technology in order to meet new customer cultural and local needs as well as country’s regulatory requirements.
Companies are getting more innovative to learn how to secure finance and infrastructure to support the strategy of e-business (Damanpour, 2001). In conclusion, this study has argued that e-commerce has more benefits than the risk in the business market. The research has been made and found evidences to take the position to explain the effect of the ecommerce development in the different part of the world. The adoption of the ecommerce has taken as one of the business strategy in the recent times. Business in the later stages of e-commerce adoption expected to sell more products and services than before.
www.aaaccess.com/merchant_account_101.html. March 16, 2005 Federal Trade Commission. www.ftc.gov/bpc/conline/pubs/payments.htm.April 28, 2005 "Giving Credit to the Web." Business Communications Review Jul. 1998: Vol.
44 Issue 1. Retrieved January 31, 2005 from http://search.epnet.com/login.aspx?direct=true&db=buh&an=15695115 Database: Business Source Premier
Because of this online businesses can sell their products for much less by passing their ... ... middle of paper ... ... Internet shopping is expected to increase by at least 50% into the millennium, which leaves much room for growth and new opportunities for new and adventurous companies.  E-commerce has opened up a new market in American industry that is forcing companies to become part of the online revolution or suffer the consequences in the long run. The freedom of the Internet combined with the huge amounts of information make for a more easily accessible environment that will revolutionize the way all business is conducted in the future. Notes 1. Shop.org.
With the use of EC, distribution channels are eliminated maki... ... middle of paper ... ...It benefits consumers immensely by providing convenience and variety. Computers and communication networks have paved the way for a technological driven economy in the last 20 years. Organizations are able to create efficient services and products, resulting in competitive markets, leading to specialization of products and concluding in higher profits and enhanced service. Moreover, the growth of E-commerce obliterates the ‘production focused economy’ of the industrial age and extends the information age to new heights through business services offered using the internet.
EID refers to transmission of business data within organizational networks in standard formats that favor transactions between businesses and clients. EDI has been an important milestone in the development of e-commerce in the sense that it paved way for the recent developments in e-commerce. Some of the contempo... ... middle of paper ... ...ctives in improving online trading. Regulatory authorities thus need to build clearer regulations to streamline e-commerce. There is also a need to create more effective B2C bandwidth to reduce technical barriers in e-commerce that might discourage people from online shopping.