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.
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.
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.
13. 1.SECURITY
1. The biggest drawback of e-commerce is
the issue of security.
2. People fear to provide personal and
financial information, even though
several improvements have been made in
relation to data encryption.
3. Certain websites do not have capabilities
to conduct authentic transactions.
4. Fear of providing credit card
information and risk of identity limit the
growth of e-commerce.
14. 2. LACK OF PRIVACY
1. Many websites do not have high
encryption for secure online
transaction or to protect online
identity.
2. Some websites illegally collect
statistics on consumers without
their permission.
3. Lack of privacy discourages
people to use internet for
conducting commercial
transactions.
15. 3 . T A X I S S U E
• 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
1. People fear to
operate in a
paperless and
faceless
electronic world.
2. People do not
know with whom
they are
conducting
commercial
17. 5. PRODUCT SUITABILITY
1. People have to rely on
electronic images to purchase
products.
2. Sometimes, when the products
are delivered, the product may
not match with electronic
images. Finally, it may not suit
the needs of the buyers.
3. The lack of ‘touch and feel’
prevent people from online
shopping.
18. 6. CULTURAL OBSTACLES
1. E-commerce attracts
customers from all over the
world.
2. Habits and culture of the
people differ from nation to
nation.
3. They also pose linguistic
problems. Thus, differences in
culture create obstacles to both
the business and the
consumers.
19. 7. HIGH LABOUR’S COST
1. Highly talented and technically
qualified workforce are required to
develop and manage the websites of
the organization.
2. 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 . L E G A L
I S S U E
1. The cyber laws that govern the e-commerce transactions are
not very clear and vary from country to country.
2. These legal issues prevent people from entering into electronic
contracts.
21. 9. TECHNICAL LIMITATIONS
1. Some protocol is not
standardized around
the world.
2. Insufficient
telecommunication
bandwidth and
server down may also
pose technical
problems.
22. 10. HUGE TECHNOLOGICAL COST.
1. It is difficult to
merge electronic business
with traditional business.
2. Technological
infrastructure may be
expensive and huge cost
has to be incurred to keep
pace with ever changing
technology.
23. SUMMARIZE:
• The internet has openedso manyopportunities 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 typeof business that does not require a full-time
commitment, especiallyif you are selling a limited number of products.
• The biggest drawbackof 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.
1. ACKNOWLEDGEMENT:
• TEACHER: Milind J Kulkarni.
• PRINCIPAL: DR.Neha Jagtiani
• COLLEGE: RD and SH National College and SWA Science College.
