IMPACT OF E-COMMERCE

Impact of E-Commerce



Impact of E-Commerce

Introduction

E-Commerce became an instrument of strategic significance for markets and organizations. The choice of e-commerce assumes deploying and developing intercompany architects supported by the information technology use and communications. Many organi0tnal processes are facilitated by the internet technology in commercial transactions and evaluating the changes made within the company.

Impact of E-Commerce on the Market

E-commerce activates the concept of full competition in the market, where the work of e-commerce is to reduce the distances between producers and consumers, enabling presence between the seller and the buyer which leads to improve the level and quality of the product through the services of pre and after-sales. E-commerce provides information on the nature of the products and prices and producers in the markets, as well as a rapid response to market demands, leading ultimately to improve the degree of competitiveness in the electronic markets. The low transaction costs and low barriers to entry in the markets reduces some of the differences in the commercial market, and move the economic activities and access to the economy to be based on vibrant competition (Melville,Kraemer,319).

Secondly, e-commerce lowers costs of business processes. It includes trade transaction costs of information gathering, negotiation and brokerage fees and sales commissions, administrative procedures and other important part in the price of the product. It also enables e-commerce businesses to coordinate their strategies, resources and skills composition of long-term relationships through electronic networks that enable the information sharing (Melville, Kraemer, 319). There is now the speed and ease of shopping, where consumers can access a wider range of shopping via the Internet, around the clock, on any place on Earth. Anyone who has a computer and connected to the Internet, they can become consumers of the world.

E-commerce provides many options for the consumer as a result of access to products and shopping centres not available close to the consumer. With access to consumer e-commerce, the opportunity is available to him that the products he looks for are available with detailed information on internet commercial (Quayle, 59). Besides, there is the availability of e-commerce opportunities to increase exports through access to consumption centres, and the possibility of shopping for goods and services globally at minimal cost. E-commerce provides the ability to quickly hold and end of trade deals, as well as the ability to analyze markets and respond to the changing requirements of consumers.

Impact on Organizational Relationships

The impact ...