Features of e commerce and advantages 123

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1. E-COMMERCE FEATURES AND LIMITATIONS OF E-COMMERCE :

2. Definition of E-COMMERCE Ecommerce, also known as electronic commerce or internet commerce, refers to the buying and selling of goods or services using the internet, and the transfer of money and data to execute these transactions.

3. FEATURES OF E-COMMERCE: Ubiquity: Global Reach: Universal Standards: Information richness: Interactivity: Information Density: C ustomization: Social technology:

4. 1. Ubiquity internet/web tech is available everywhere. Market place can be created so shopping can happen anywhere

5. 2.Global reach tech reaches across national boundaries which makes marketspace potentially billion.

6. 3. Universal Standards  universal standard means the standards that are shared by all nations around the world. For example, eBay website has the universal standard that can share by all nations which have this website.

7. 4.INFORMATION RICHNESS Information richness  is defined as the ability of an  information  exchange to change participant's understanding within a time .

8. 5. Interactivity the tech works through interaction with the user . Interactivity occurs when the brand and product interact with a user before he or she even becomes a customer, creating a uniquely tailored social experience.

9. 6. Information density The internet vastly increases information density. It is the total amount and quality of information available to all market participants, consumers and merchants. E-commerce technologies reduce information collection, storage, communication and processing cost.

10. 7. Customization the tech that allows personalized marketing messages to be deliver to individuals as well as groups

11. 8.Social technology the internet and e-commerce technologies have evolved to be much more social by allowing users to create and share with their personal friends and a larger worlwide community content in the form of text, videos, music or photos.

12. Limitations of e-commerce. Security Lack of privacy Tax issue Fear Product suitability Culture obstacles Huge labour’s cost Legal issues Technical limitations Huge technological cost

13. 1.SECURITY The biggest drawback of e-commerce is the issue of security. People fear to provide personal and financial information, even though several improvements have been made in relation to data encryption. Certain websites do not have capabilities to conduct authentic transactions. Fear of providing credit card information and risk of identity limit the growth of e-commerce.

14. 2. Lack of privacy Many websites do not have high encryption for secure online transaction or to protect online identity. Some websites illegally collect statistics on consumers without their permission. Lack of privacy discourages people to use internet for conducting commercial transactions .

15. 3.Tax issue Sales tax is another bigger issue when the buyer and seller are situated in different locations. Computation of sales tax poses problems when the buyer and seller are in different states.

16. 4. Fear People fear to operate in a paperless and faceless electronic world. People do not know with whom they are conducting commercial transactions.

17. 5. Product sUitability People have to rely on electronic images to purchase products. Sometimes, when the products are delivered, the product may not match with electronic images. Finally, it may not suit the needs of the buyers. The lack of ‘touch and feel’ prevent people from online shopping.

18. 6. Cultural obstacles E-commerce attracts customers from all over the world. Habits and culture of the people differ from nation to nation. They also pose linguistic problems. Thus, differences in culture create obstacles to both the business and the consumers.

19. 7. High labour’s cost Highly talented and technically qualified workforce are required to develop and manage the websites of the organization. Since internet provides a lot of job opportunities, business organizations have to incur a lot of expenses to retain a talented pool of employees,

20. 8. Legal issue The cyber laws that govern the e-commerce transactions are not very clear and vary from country to country . These legal issues prevent people from entering into electronic contracts.

21. 9. Technical limitations Some protocol is not standardized around the world. Insufficient telecommunication bandwidth and server down may also pose technical problems.

22. 10. Huge technological cost. It is difficult to merge  electronic business with traditional business . Technological infrastructure may be expensive and huge cost has to be incurred to keep pace with ever changing technology.

23. SUMMARIZE: The internet has opened so many opportunities for doing business online, and e-commerce is one of the most popular ones. Not only does it require low investment, it actually is a type of business that does not require a full-time commitment, especially if you are selling a limited number of products. The biggest drawback of e-commerce is the issue of security

24. Scope: Successful e-commerce will become the notion which will be inseparable from the web because e-shopping is becoming more and more popular and natural.  ACKNOWLEDGEMENT: TEACHER: Milind J Kulkarni . PRINCIPAL: DR.Neha Jagtiani COLLEGE: RD and SH National College and SWA Science College .

25. THANK YOU