Any type of company or commercial transaction that involves sharing information via the internet is referred to as online business or e-business. Commerce is the exchange of goods and services between firms, groups, and individuals, and it is one of the most important aspects of any company.
Electronic commerce is concerned with the use of information and communication technology to enable a company's external operations and interactions with individuals, groups, and other companies, whereas e-business is concerned with doing business over the internet.
When it comes to e-Business, there are numerous benefits, the majority of them are related to making business easier. The advantages of using e-Company tools are found in the streamlining of business processes rather than in the use of technology. Here are a few examples:
Advantages
Easy to set up:
Setting up an electronic business from home is simple; all you need is software, a device, and an internet connection.
Flexible Business Hours:
Because the internet is available to everyone at all times, there are no time constraints for a location-based business. Everyone with an internet connection can use your products and services.
Cheap:
Although it is less expensive than a regular firm, it is more expensive to start. Transactions are also less expensive.
Geographical Dispersion:
The largest advantage is the lack of geographical boundaries. Anyone, at any moment, can order anything from anywhere.
Subsidies from the government:
The government encourages digitalization and provides the required resources.
Newmarket entry:
It has the ability to open up hitherto untapped markets that a typical business would be unable to access.
Lower inventory levels:
By digitizing assets, electronic business allows organizations to reduce their inventory levels. (For example, Netflix no longer sells physical DVDs and instead recommends online streaming entertainment.)
Lesser marketing and sales costs:
E-commerce allows industry players to advertise for their product/service offer (i.e., housing rental) at a lower cost than promoting their firm physically.
Disadvantages
Despite all of the benefits, there are certain drawbacks that must be addressed. The following are the most typical electronic business limitations:
Lack of Personal Touch: Before making a final purchase, the products cannot be examined or felt. We have a more personal customer experience in the old model, although this is rarely the case in internet business. Another area where a personal touch is lost is online transactions.
Delivery Time:
In traditional company, instant pleasure is achievable since you receive the product immediately after purchasing it, however in electronic business, this is not possible.
Security Concerns:
Scams may be a role in people's distrust of electronic commerce. Hackers can easily obtain financial and personal information from customers. Because of security, reliability, and integrity difficulties, some customers still have reservations about trusting electronic firms.
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