Homework Question on E-commerce
- Write an Essay about Electronic Commerce
- The implications of online buying
Homework Answer on E-commerce
Electronic commerce involves the act of trading goods or services through computer networks, mostly the use of internet. Shopping online is perceived as a convenient and faster way of shopping, as compared to actual or physical purchase of goods in stores. However, most consumers still consider buying items in stores as the suitable way, after they have done item research online.
Implications of Storefront Buying on Online Merchants
- Item Obsolescence: Due to customers considering retail store purchase of goods and the day-to-day technological changes, it can be a disadvantage for online merchants. This is because displayed items on the internet websites may face obsolescence, thus becoming out of date and forcing the merchant to either sell locally for a cheaper price or discard it.
- Loss: As a result of reduced demand or even lack of purchases, online merchants incur losses in their business since there are no profits acquired and no regain of their business’ initial capital is possible.
3.Business Stagnation: Lack of consumer purchase of online items makes the merchants in online business to face stagnation in their trade dealings. These result from customer preferences, with clients preferring to acquire the physical store items for the purposes of efficient consumer experiences and thus making online business dormant.