The Internet has become more and more present in everyday life. The expansion of social networks such as Twitter or Facebook has revolutionized the way people interact with their family and their friends. The Internet made communicating and exchanging easier: you can now send an e-mail to the other side of the world in less than a second. The number of users is rapidly growing: the International Telecommunication Union estimates that more than 2.7 billion people have access to the Internet in 2013. These changes did not only affect private life. The “Net” is now more and more important in the business environment: it is now used as a professional tool in nearly all existing companies. Some companies are even completely based on the Internet: they are commonly called “dot-com companies”. A new industry was also created: the Electronic Commerce (or e-commerce) industry: the buying and selling of products (or services) are entirely conducted over the Internet. McKinsey & Company, one of the most prestigious consulting firm in the world, estimates that almost $8 trillion were exchanged in 2011 thanks to e-commerce.
However, the Internet did not only create new industries. For McKnight et al. (2001), the Internet also led to a process of creative destruction (defined by Schumpeter in the 20th century as the destruction of existing technologies and methods of productions by innovation): “clearly defined industry boundaries, entry barriers, and market positions within the telecommunications industry have been replaced, perhaps permanently, by blurred and fluid industry borders, rapidly shifting interfirm alliances, and the unrelenting introduction of cost-reducing product and process innovations.” Indeed, the Internet led to drastic cha...
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...fers. In the last section, we have studied the effects of the Internet on the supply and demand economic model, thanks to a comparison with an e-Commerce environment, and concluded that the costs of both consumers and producers are reduced thanks to the Internet, while information asymmetry is less and less likely to happen, thanks to the easily available amount of information on the “Net”.
To conclude, I would say that the Internet has had a great impact on traditional industries, mostly positive for consumers and producers. Even if some negative effects can be pointed out (such as piracy or job destruction in printing houses, for example), we can assume that the current situation is the most convenient for everyone. However, the Internet is changing rapidly and we are still at the beginning of this process: we can expect even more changes in the near future.
The Internet is the future of business. Bring your company up-to-date and provide customers, not only with product descriptions and information, but with a way to shop, communicate and interact with your company via the web. The Internet also provides less chance for human error in the ordering process because fewer individuals have to handle information. And, most importantly, the Internet speeds up operations, whether it is use for sending information to employees or receiving custom orders from customers.
Many believe the internet was an over night sensation, that one day, someone invented the internet and it spread in popularity faster than Tickle Me Elmo or the Macarena. Although the internet did have a surge of commercial popularity, with the invention of Mosaic and later with e-commerce, it was created many years ago with the development of military networking technologies. Also, the internet, unlike many pop culture fads of the nineties, will continue to see a growth in popularity and usefulness as a form of media throughout the information age. Sure, the internet became overambitious to the point where many internet start-up companies lost their businesses in the recession of the past few years. The quality of the internet, however, has increased as companies realize that there exists competition and smarter consumers that demand superiority. The internet has taken the world so far in its short commercial life; the future of the internet provides limitless possibilities of a much different future.
Of course the internet (in some respects) is much like the steam engine and mass transit in the way it facilitates more commerce, more social interaction between Americans, greater senses of common identity. These forms of technology will definitely continue to change the social and cultural situation of the American people, compounding the effects of the industrial revolution in America’s history; i.e. compounding the social, cultural, economic, technological, as well as geographical changes accompanying technology. However, the variety of ways in which this
The Internet and international business is an interesting topic- discussing an area of business that will probably be around for many years and possibly centuries to come. Since its earliest days, the Internet has been a means of communication, an essential tool in almost instant communication.
With the rapidly advancing technologies that are occurring in modern business, organisations are required to be ready, and able to adapt within their ever-changing environment. It is true across all diverse industries that in order to stay competitive, organisations must be able to utilise the various tools that technology has to offer. Technological factors have been of growing importance, particularly in recent years. A major factor involved in these technology issues is the use of the Internet as a major issue to modern organisations. The Internet has been rapidly growing since its inception and is now commonly used in all sectors of societies, in all corners of the...
The Internet allows companies to increase and strengthen their presence on the market, offers possibilities for market development and increases sales, improves services for customers, allows companies to change a potential custo...
Rausas, M. P. D., Manyika, J., Hazan, E., Bughin, J, Chui, M., & Said, R. (2011). Internet matters: The Net's sweeping impact on growth, jobs, and prosperity. Retrieved on February 28th, 2014, from, http://www.mckinsey.com/insights/high_tech_telecoms_internet/internet_matters
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). They also said, ?[?] [A] ?low price? but ?high delivered value? position has been economically irrational[?]to the retailer until now? (11). Such as it is right now: specialty stores deliver a high price and high quality, department stores deliver a high price and medium quality, warehouses deliver medium prices and quality, discount stores deliver medium prices and low quality, warehouse clubs deliver low price and quality, and internet shopping is the answer: it delivers low price and high quality (Birch, Schneider, and Gerbert 14). Within these past years, internet sales have increased. Although e-sales make up a paltry 1.5-3% all in all (Puente 2E), e-sales make up 23% of all book, music, electronic, computer, and toy sales (Puente 2E). According to Jupiter Research, internet revenues have increased $40 billion in 2002, as opposed to the increases in 2001 ($30 billion) and 2000 ($24 billion); U.S. online revenue has been growing 30-40% a year as opposed to 4% a year in offline retail (Puente 2E). Due to the incident of September 11th, 5% of the 2,000 people NetRatings asked said they would do their shopping online in case of terrorism in public places (Tsao C1). Out of the Americans with internet access, 29% will make a purchase during the month (Voglestein 1c). Holiday shopping has extenuated this increase. Goldman Sachs and Nielsen/Net Ratings reported that shoppers spend 17.5% of holiday money on the internet in 2002. Also, on Black Friday (the major shopping day after Thanksgi...
The Internet has become a key ingredient of strenuous and busy lifestyle. ‘Internet’ has become the central-hub for communication, explorations, connecting with people or for official purposes. Resultantly, Internet growth has led to a plethora of new developments, such as decreased margins for companies as consumers turn more and more to the internet to buy goods and demand the best prices.
As internet search developed, online shopping has gained its popularity significantly. Thanks to the internet, consumers are now able to get accurate information on products and services easily, without even having to leave home. Internet has played an important role in both searching and purchasing goods. In this essay I would like to discuss the impact of internet to markets in theory, and what happens in the real world.
The growth of the Internet in the past 10 years has been phenomenal. Companies large and small have embraced the Internet as a tool that can potentially expand their business beyond the traditional boundaries, which can give them a competitive advantage in the market place. The Internet and E-business websites seemed to many companies in the mid nineties as an elaborate, expensive and unnecessary company brochure. But the rapid evolution of e-business and Internet usage has seen their opinion dramatically change. In fact, companies now realise that they must participate in the e-business revolution to succeed in the modern and complex business environment. In 1996, Forrester Research Institute, a major E-commerce industry analyst, predicted that Business to Customer sales would be a $6.6 billion business in 2000, up from $518 million in 1996. In 2000 Business to Customer sales in the United States were actually about $18 billion, or 1% of total retail sales. In addition to that it is predicted that total e-commerce transactions in the US is predicted to reach between $3-$7 trillion in 2004 alone. Using the figures as a yardstick it is easy to see how far e-business has come and how much people have embraced it in such a short period of time.
Over the last few years the rapid expansion of the internet has lead to many technological, business and social shift. Examples of such shifts are the increased demand for greater internet bandwidth, the movement from physical shops to online shops and the social acceptance and trust in using the internet for financial transactions. As the internet and E-Commerce become more integrated into our lives they continuingly drive changes in how we work and live as mentioned above. The future of E-Commerce promises to bring further changes in our lives as the internet continues to expand and it is these possible future shifts which I will discuss in further detail.
The Internet has changed the way people interact with each other and entertain themselves. It has changed the way business is done. It has also changed the way people date, commit crime, and interview for jobs, it has even changed health care, among many other things. Technology and the Internet are not going away and the need for people to adapt is prominent. Internet is so prominent in Management Information systems. There are Internet based information systems. These systems are important because they can improve company efficiency. These systems can house data with extreme efficiency. Internet based information systems leave the possibilities of efficiency unlimited. Technology is only going to expand farther and new ways to communicate digitally will be introduced into businesses. It has already altered the way we interact with one another, and consumers to suppliers.
The beneficial impacts of online shopping are greatest on the nation’s economy. Consumers do not only purchase items online, but the internet allows consumers to compare and browse items online. This then results in consumers going out and buying those items at stores. “But because people also go online to investigate merchants and compare products, the internet winds up influencing about six times that many offline purchases” (Freeman Evans 1). The internet has allowed holiday sales to grow twenty one percent from last year to $16.8 billion. December 9th seems to be the busiest day of shopping online. Purchases totaled in $367 million. Another example of online shopping is Overstock.com. This site’s sales were up 75% from last year. Another benefit of online shopping is free shipping and no waiting in lines. With all of these advantages online shopping has become very popular. “Online sales will represent 4.5 percent of total holiday sales- an estimated $12.2 billion of a total of $271 billion” (Suneel Ratan 2). With all of thes...
The internet has revolutionized all forms of communication since the beginning of its existence. The world has now become smaller' or more like a global village', so to speak. The internet was first used by the U.S military for communications purposes. The internet, from the communication point of view, has brought on new developments and techniques to keep in touch not only for individuals, but for businesses as well. An example of how the internet has impacted communication would be an example of doctors now communicating through live video feeds via the internet with patients or other doctors to diagnose patients or to even guide and advise surgeons through complicated procedures.