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UNIVERSITY OF DHAKA
Faculty of Business Studies
Department of International Business
Course Code: EIB-520: Organizational Behavior
Term Paper on
Online Business and COVID-19: Benefits & Challenges
Supervised by
Dr. Muhammad Shahin Miah, CPA
Assistant Professor
Department of International Business
University of Dhaka
Prepared by
Name ID No. Group no.
Md. Asif Raihan 801827004
9
Md. Sabriat Hossain 801827049
Md. Zahidul Alam Bhuiyan 801827055
Kazmee Al Faruk Chowdhury 801827062
Date of Submission: 11th
September, 2020
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ABSTRACT
Due to increasing the Information Technology around the world have a strong role in business
sector that have already turned into online business. This online business refers to the E-
commerce which is recently moved in to developing countries like Bangladesh (BD). This paper
describes the present benefits and challenges of online/E-commerce business during COVID-19
in BD. Proper E-commerce sites play a vital role in employment generation as well as increasing
the internet utilization .This research mainly describes the present status of BD’s E-commerce
sites and the benefits and challenges in this challenging situation of COVID-19.
As news of COVID-19 spread and as it was officially declared a pandemic by the World Health
Organization, people responded by stocking up. They bought out medical supplies like hand
sanitizer and masks and household essentials like toilet paper and bread. Soon, both brick-and-
mortar and online stores were struggling to keep up with demand, and price gouging for supplies
became rampant. Humans respond to crises in different ways. When faced with an uncertain,
risky situation over which we have no control, we tend to try whatever we can to feel like we
have some control. Retail businesses around the world are being affected by COVID-19 through
everything from rapidly changing customer behavior to supply issues. As people are making
buying choices based on new and ever-changing global and local circumstances, the product
categories that are being purchased are also changing.
By surveying fruitful questionnaire from online business holders, we got a vibe of the COVID-
19 impact in this online business medium. Market middlemen, and industry and firm value chain
are the most involvement in traditional businesses.
The comparative analysis of different Ecommerce sites represents an analytical initiative. Due to
lock down online / E-commerce business has got some challenging situation & also to mitigate
they have some others way to grow to survive which will be represented through this analysis.
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Table of Contents
ABSTRACT ...............................................................................................................................1
Chapter 1: Introduction ...............................................................................................................3
1.1. Introduction: .................................................................................................................3
1.2. Objectives of the Study .................................................................................................3
1.3. Findings of the study:....................................................................................................3
1.4. Contribution of the study:..............................................................................................4
1.5. Limitations of the study: ...............................................................................................5
1.6. Thesis framework..........................................................................................................5
Chapter-2: Literature Review ......................................................................................................6
Chapter 3: Research Methodology.............................................................................................11
3.1. Data Collection and sample size description....................................................................11
3.1.1. Method of collecting date: ........................................................................................11
3.1.2. Survey process .........................................................................................................11
3.2. Questionnaire design and important questions so that the reader can understand. ............14
Chapter 4: Results analysis........................................................................................................16
5. Conclusions...........................................................................................................................30
Reference..................................................................................................................................31
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Chapter 1: Introduction
1.1. Introduction:
E-commerce platforms that lately have been mostly trading essential products are enjoying
heyday as consumers prefer virtual shopping to avoid contracting COVID-19.The sales of such
online platforms have gone up manifold over the last few months and it has put extra pressure on
the operators because of sudden change in consumers' behavior. To cope with the bulging
demand and make it sustainable, the entrepreneurs are now working in ensuring smooth supply
of products from the growers' level to doorsteps of the consumers while enhancing systemic
capacity of the platforms.
As the ramifications of the COVID-19 crisis continue to be felt across the world, entire industries
are struggling under the weight of demand downturn, labor shortages and inability to maintain
their supply chain processes. However, demand downturn has not been the issue of primary
concern for all industries. One such industry would be E-Commerce, which has seen an
unprecedented rise in orders for certain businesses and growth of overall consumer base owing to
the lock-down in place.
1.2. Objectives of the Study
 Economic risk monitoring during the Corona period.
 Knowing the importance of online business to keep the economy moving in times of Covid-
19.
 To deal with online business problems.
 To know about the condition of new entrepreneurs in the Corona period.
 To gain authentic and statistic based information.
1.3. Findings of the study:
As the corona virus outbreak continues the more and more customers are turning to e-commerce
as a solution to get the items they need and want. Many ecommerce and other businesses are
reporting issues with inventory and supply chain, especially with products that are made
overseas, though that’s been the case for many for several weeks. So, it's turning out to be both a
blessing and a curse for online businesses during this COVID-19 period. It has benefits and
challenges both. We have collected data from 50+ business owners who run their businesses
through online from different categories. It's benefits and challenges are given below:
Benefits:
 Online businesses are becoming popular day by day during Covid-19. So, it creates big
opportunities for the e-commerce sector.
 There are no specific policies for online businesses yet, So, it's easier to run businesses online
without any hassles of trade license and other documents.
 It is much more cost efficient than a physical store.
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 Earning more profit from specific products.
 Reaching more visitors than physical stores through online.
Challenges:
 Moving offline customers to online is quite challenging.
 To navigate customers to the web store is too hard.
 Looking after existing customers and their communities is very challenging.
 Setting up a proper return and refund process is also a matter of concern.
 Launching a new product is also challenging.
 Use caution when promoting corona virus related sales.
 Product presentation approach is important also.
 Recognizing fraud online buyers or sellers is a big challenge.
 Maintaining safety measures to protect employees and customers is a big matter of concern.
 Managing logistics and delivery services timely is very important.
1.4. Contribution of the study:
Many in the corona virus epidemic are now turning to online marketing, especially those who
have access to computers or smart phones because there is no need to go out for shopping, the
risk of hanging out with strangers can be avoided. Many people, of course, have been
accustomed to online marketing for a long time. Amazon, eBay. e-valy , daraz are very familiar
names to them but now online businesses are getting popular all over during this COVID-19
period. Our study will reflect and contribute the important information and facts of online
businesses during Covid-19 period. Following are the contributions of the study:
 The findings of the study will be truly helpful for the online business sector and consumers
both.
 Knowledge about online page promotions.
 Information about services of the online business.
 Ideas about making a profit in online business.
 Ideas about fraud organized by online buyers or sellers.
 Concepts about consumer demand and affordability.
 Collection of information about the seller's product delivery process.
 Acquisition of raw material and conservation ideas.
 Reports of online sellers attempt to raise prices unfairly.
 A proper guideline should be introduced for online business to prevent unfair policies and
bounding them to do business according to law.
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1.5. Limitations of the study:
Although the research has reached its aims, there were some unavoidable limitations also.
Following are the limitations of the study:
 It was time consuming to collect data through online to gain response.
 It is difficult to collect authentic information via online.
 Entrepreneurs are reluctant to answer questions.
 Entrepreneurs were uncomfortable to share their pricing policy.
1.6. Thesis framework
Fig: Thesis Frame work
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Chapter-2: Literature Review
Introduction
A Literature review explains to the previous research taken place as well as the gap in the
literature which needs to be fulfilled. With the help of the literature review, this study objective
was framed. There are limited studies which are directly relevant to the study concerned.
Online shopping is still in the developing stage in Bangladesh, and a few studies, in fact, almost
no particular research have been conducted on the challenges and benefits faced by online
businesses due to covid-19.
This study has been developed after reviewing a considerable number of earlier works of
literature. The content of the review is limited to the aim of this study. The most relevant
literature to this study is explained in this chapter.
Studies on Online Business and covid-19 impacts
Prof.Dr. Abu Bakar Abdul Hamid, Prof. Dr. Huam Hon Tat [1] discussed about the role of
china in global economy and the complications of import from china to Malaysia during
pandemic covid-19.The key purpose of this research is to determine the impact of coronavirus
(Covid-19) on the online business in Malaysia. Conceptual factors consist of 3 factors: covid-19,
customer behavior and e-commerce. The researchers here conducted a survey taking 60
respondents as sample in an effort to gather data and for the making the questionnaires the 7
points Likert’s scale has been used. The demographic variables selected by the researcher are
representing the demographic details such as gender, age group, income and the occupation of
the selected respondents. Kaiser-Meyer-Olkin and Bartlett's Test is seen to be helping in
measuring the suitability of the data for executing the factor analysis. The data analysis executed
above is illustrating that the negative impact is established on the e-business in Malaysia due to
corona virus (COVID-19). The negative impact established is impacting the sales as well as the
buying behavior of the customers. The weakening of the business environment in Malaysia is
seen due to COVID-19. The challenges faced by the retailers present in the e-business are the
lowering of the buying behavior of the customers. The lowering of the buying behavior is also
lowering the supply and the shipping processes. As per the survey processes executed, the
situation identified will be lasting at least four months more. This will be degrading the e-
business as well as huge losses will be acquired by the e-businesses. The presence of the Chinese
products in the Malaysian market is also lowering the demand for the products by lowering the
buying behavior of the consumers. Due to this reason, more effect is established on the e-
business present in the Malaysian market. As the concerns present in the buyer that with the
delivery of the food products by the e-businesses, there lies a change of food contamination. Due
to this reason, the limitation of human to human contact is being made which is leading to the
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degradation of ecommerce sales. Thus, the analysis provided is supporting the research questions
as well as the research objectives framed by the researcher.
Verma and Gustafsson’s[2] article presents the findings of a bibliometric study of COVID-19
literature in the business and management domain to identify current areas of research and
propose a way forward. The analysis of the published literature identified four main research
themes (overall impact on business, on technology, on supply chain and on service industry) and
18 sub-themes. The findings and propositions of this study suggest that COVID-19 will be the
catalyst of several long- and short-term policy changes and requires the theoretical and empirical
attention of researchers. The offered propositions will act as a roadmap to potential research
opportunities.
Bharat and Nerita Patil’s [3] study attempted to understand the effect of novel corona virus
disease (COVID-19) on the consumers buying behavior. The objective of the study was to
identify the factors affecting the consumers buying behavior, identify challenges and suggest
remedial measures. For understanding the consumer buying behavior under COVID-19 disease
the paper writers used an explanatory research design. The present study is based on the behavior
of the consumers in pandemic situation. For the selection of sample, researchers used an
empirical investigation conducted through the Google Form by asking dichotomous questions to
the selected samples. Nonprobability convenience sampling technique was used for the present
study. The researchers had selected 33 respondents for the present study. The researchers found
that the online marketing companies suspended their services to protect and care the life of
consumers and their staff during lockdown. In that period consumers were not more conscious
about specific brands of goods.
ROLAND SCHMUCK[4]revealed the huge role of online economy in today’s world. The goal
of this paper is to analyze the global online economy by countries of origin answering the
question which countries dominate the internet. After deep literature survey on the subject the
Alexa Top 500 database is used to analyze it by the most visited websites in the world. The
analysis shows the online economy is dominated by the USA and China. Correlation analysis
confirms that GDP correlates with websites originating from that country. This means highly
developed countries have better online economy with more websites, dominating the online
economy.
The Romanian Research Paper [5] has highlighted the particularities of the emergence of this
sanitary crisis at the local economy level of Romania. The bibliographic documentation has used
the specialty literature available in Clarivate Analytics, Research Gate and Google Scholar
scientific databases. For the legislative regulations, the official announcements of the Romanian
public institutions, the regulations of the European Commission or the recommendations of the
World Health Organization were used. In order to evaluate the consumer’s behavior, the studies
of companies specialized in market research have been used. The results of the research have
been analyzed, graphically represented and interpreted. The conclusions of own research have
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been compared to the ones of some specialty papers, in order to obtain results as close to the
truth as possible. The findings the research paper contains several suggestions related to their
national medical system and online shopping.
Tsai et al. (2011) [6] have done a descriptive study ― The Effect of Online Privacy Information
on Purchasing Behavior: An Experimental Study. The primary aim of the study was to determine
whether a more prominent display of private information would cause consumers to incorporate
privacy considerations into their online purchasing decisions. They designed an experiment in
which a shopping search engine interface displays privacy policy information. For this study,
they collected 272 complete responses. When such information is made available, consumers
tend to purchase from online retailers who better protect their privacy. Participants in the privacy
information condition made a more significant proportion of purchases from sites that displayed
privacy icons. Participants in the no privacy indicator condition were significantly less likely to
buy from the corresponding sites. The study indicated that when privacy information is made
more salient and accessible, some consumers are willing to pay a premium to purchase from
protective privacy websites. The study proved that the observed behavior could not merely be
attributed to an interest in purchasing from websites labeled with attractive indicators. The result
suggested that businesses may be able to leverage privacy protection as a selling point. During
the review, a shortcoming was observed that participants made purchases using their credit cards,
the purchases were made in a laboratory setting following a specific experimental protocol, so
this setting was not necessarily reflective of ordinary search activity.
Sivakumar and Gunasekaran [7] revealed that the online market in India is growing at an
exponential rate, predominantly driven by the massive and extensive promotional activities. This
strategy may not be appreciable in the long run, hence a real value addition is essential, which is
explored through this study. The main objective of this research is to study about the
determinants that are affecting the online purchasing behavior of millennial consumers.
Conceptual framework, which consists of four factors that may induce online purchase behavior
among millennial consumers: consumer innovativeness, perceived benefits, perceived risks,
attitude and intention. The population of the study is from the millennial customer’s segment of
Chennai metro, Tamil Nadu, India, and the study used systematic random sampling. The
statistical tools applied are chi-square, ANOVA, correlation, multiple regression, and factor
analysis. From the outcomes of this study, factors influencing online purchase are analyzed, and
suggestive strategies for online companies are recommended.
Hung-Hao Chang and Chad Mayrhofer [8] discussed about the demand for online food
shopping services in Taiwan during Covid-19 pandemic. For the data purpose they took help
from research gate and relied mostly on the articles of the largest newspapers of Taiwan. They
have created several variables and usedHerfindahl-Hirschman index as a mean to conduct their
intended study. They have found that an additional confirmed case of COVID-19 increased sales
by 5.7% and the number of customers by 4.9%. The demand for grains, fresh fruit and
vegetables, and frozen foods increased the most, which benefited small farms over
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agribusinesses. Online food shopping was highly responsive to COVID-19 media coverage and
online content. Because Taiwan did not impose a stay-at-home order, the demand for online food
shopping may be similar in other countries after they lift mobility restrictions.
Jagdish Sheth[9] explores how Covid-19 has affected different aspects of consumers’ lives,
ranging from personal mobility to retail shopping, attendance at major life events like marriage
ceremonies, having children, and relocation. As the paper is more like a fully descriptive one so
no quantitative data as well as methods has been used here. The author investigates four contexts
of construed consumer behavior, namely social context, technology, co working spaces, and
natural disasters. Additionally, the author foresees eight immediate effects of the pandemic on
consumer behavior and consumption. Hoarding—the mad scramble observed at the start of the
COVID-19 outbreak—applies not only to consumers but also to unauthorized middlemen who
buy products in excess to sell at increased prices.
Real-Time Economics: A New Platform to Track the Impacts of COVID-19 on People,
Businesses, and Communities Using Private Sector Data [10]is a different kind of paper,
more like a proposal on a project by some experts, a data tracker related to the impacts of the
pandemic on various aspects. They have built a new, publicly available economic tracker that
measures economic activity at a high frequency, granular level. Using anonymized data from
several large businesses {credit card processors, payroll firms, job posting aggregators, and
financial services firms}, they construct statistics on consumer spending, employment rates,
incomes, business revenues, job postings, and other key indicators. They report these statistics in
real time using an automated pipeline that ingests data from these businesses and reports
statistics publicly on the data visualization platform, typically with a lag of three days or less
after the relevant transactions occur. They present fine disaggregation of the data, reporting each
statistic by county and by industry and, where feasible, by initial (pre-crisis) income level and
business size. They illustrate how the tracker can be used by measuring the economic impacts of
the COVID-19 crisis on people, businesses, and communities and estimate the causal effects of
recent local policy decisions. Going forward, they hope this tracker will serve as a public good
that facilitates more precise targeting of policies and rapid diagnosis of the root causes of
economic crises.
Reference Citation:
1. Abu Bakar Abdul Hamid, Prof. Dr. Huam Hon Tat’.The Impact of Coronavirus (Covid-
19) on E-Business inMalaysia.Asian Journal of Multidisciplinary Studies
Vol. 3, No. 1, (2020).
2. Verma and Gustafsson. Investigating the emerging COVID-19 research trends in the field
of businessand management: A bibliometric analysis approach.journal of Business
Research 118(2020).
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3. Bharat Patil and Nerita Patil. IMPACT OF COVID-19 PANDEMIC ON CONSUMER
BEHAVIOUR. MuktShabd Journal.ISSN NO : 2347-3150
4. Roland Schmuck.SEFBIS Journal 2013. No.8
5. https://doi.org/10.35219/eai1584040975
6. Tsai, J. Y., Egelman, S., Cranor, L., &Acquisti, A. (2011). The effect of online
privacy information on purchasing behavior: An experimental study. Information
Systems Research, 22(2), 254-268.
7. SivaKumar, A., & Gunasekaran, A. (2017). An empirical study on the factors
affecting online shopping behavior of millennial consumers. Journal of Internet
Commerce, 16(3), 219-230.
8. Hung-Hao Chang and Chad Meyerhoefer. COVID-19 and the Demand for Online Food
Shopping Services: Empirical Evidence from Taiwan.
9. Jagdish Seth. Impact of Covid-19 on consumer behavior: Will the old habits return or
die?.Journal of business Research 117 (2020) 280-283.
10. Raj Chetty, John N. Friedman, Nathaniel Hendren, Michael Stepner,and the Opportunity
Insights Team.Real-Time Economics: A New Platform to Track the Impacts of COVID-
19 on People, Businesses, and Communities Using Private Sector Data
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Chapter 3: Research Methodology
3.1. Data Collection and sample size description
The data analysis process is seen to be executed by the help of analyzing the quantitative data.
The quantitative research method is used in this research to gather the data appropriately.
Three stages to the data collection process
 Permission to proceed
 Data collection
 Data handling
3.1.1. Method of collecting date:
The sampling design is identified as a framework that is used by the researcher for the selection
of the survey sample. The sample size selected by the researcher for executing the survey process
is 56 respondents. These respondents are helping the researcher in gathering the data related to
the benefit & challenges on online business during corona virus (COVID-19) . For designing the
survey questionnaire, online survey method was carried out by the researcher for accomplishing
the research objectives by the researcher. It is helping the researcher in gathering the survey data
from the selected respondents. The random sampling process is also used by the researcher for
gathering the data responses provided by the respondents.
3.1.2. Survey process
We have done our research and survey about the benefits and challenges of online business
during the COVID-19 situation. That’s why we took our data from many online business
man/organizations by doing the survey through online. Mainly those who run the online food
business, electronics & gadgets, fashion & clothing's and others online sellers took part in this
survey.
We created a total of 25 questions for the survey. We took the online survey by Google form. We
got total 56 responses. We got the maximum response from who run the food, gadgets &
electronic and health and medical accessories product by online in this Covid situation.
 We got total 32.1% response from Food & drink business
 Total 23.2% response from health, beauty & medical accessories business.
 Total 16.1 % response from fashion & apparel business and
 Total 12.5% response from electronics and computing.
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Total data collection data of excel file are given below:
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3.2. Questionnaire design and important questions so that the reader can understand.
We created total 25 questionnaires for this survey. Our research paper on “online business and
COVID-19: benefits and challenges. So, we made the questionnaires based on the COVID-19
situations.
During pandemic situation people will suffer a lot. During the lockdown it was impossible for
people to go out from their home for buy goods for their needs. That’s why some people were
started to deliver the product by online order. And those are doing online business from previous
they are also started to increasing their business capacity. Some of their affected by corona, some
of them shut down their physical store due to the pandemic situation. Some of them switch their
business during corona, such as they are started to doing sell “COVID safety kits’ – face mask,
hand sanitizer, hand gloves, disinfection spray etc. By doing online business during this time
some have a good experience, some have bad, some doing profit, some faces loss to their
business. Some came up with new products, some switch their business. Some people increased
the price of the product; some of them give discount to their customer during COVID situation.
And we designed our questionnaire based on the situation discuss on the above.
Description of some important questions
We made 25 questions for the survey. And now we are going to discuss some important question
from our survey.
1. How have your online sales been affected by COVID-19?
 Lower
 No change
 Higher
In this question we ask them, how COVID-19 affected their business. We give 3 options for the
questions. 50.9% people respond that their business was highly affected during the corona
situation. The mostly affected when the lockdown was starts. That time all of the business
institution got affected highly. 30.9 % business institution got affected lower. The main reason of
affected business highly because of less production, less supply, high price of the raw materials
and because of the situation some of them increased the price and some of them decreased the
product price because the financial condition of the people.
We also add another question related to this question. In this question we ask them –
2. What is the biggest factor from COVID19 that is affecting your online sales? (For those
who answered higher in Q-3)
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 We have proactively lowered our ad spend
 We have less items in stock and lower level of supply
 We have increased discounts levels or lowered prices
 Other
In this question 51.6% people responded to “We have increased discounts levels or lowered
prices”. Yes, many business man discounted and decreased the price of the products due to
corona time financial crisis, as well as they are facing lack of customer due to COVID lockdown,
so they need sell their product which was stocked for many days, that’s why some of them
discounted their product price and some of them decreased the price of the product. 27.7%
people response to the option “We have fewer items in stock and lower level of supply”. Because
of the less production maximum business man highly affected to their business. On the other side
they couldn’t stock the product in time due to lockdown and closed down off the border. Also all
the production house was closed during the COVID time.
3. Did you move to online store from physical stores?
 Yes
 No
 Have both
We ask on our survey that, did the people switch their business from physical shop to online
shop. 48.2% response that they don’t want to switch their physical to online store. Because 41.1
% people response that they have both shop, online shop with physical shop. That’s why they
don’t want to shut down their physical shop. Because they know that after end of this pandemic
people will do shopping again from the physical shop. Only 10.7% people permanently switch
from the physical store to online store.
4. Fraud customer amount doing business online during this pandemic situation
 0%
 1-10%
 11-20%
 21-50%
 Above
During the Covid situation not only the customer got affected but also the sales man and the got
cheated by fake and fraud customer. Fraud customer means, after order some product from
online sometime customer doesn’t pay the money or they stay out from the place. Total 40%
business man response to the survey that they affected by the fraud customer and face losses.
And 32.7% people think that more than enough fraud customers destroyed their business profit.
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Chapter 4: Results analysis
Analysis and interpret
To complete this study properly, it is necessary to analyze the data collected in order to test the
hypothesis and answer the research questions. The survey questionnaire consists of 25 questions;
the survey was participated by 56 online business owners from different business categories.
Here comprise the analysis, presentation and interpretation of the findings resulting from this
study. The analysis and interpretation of data is carried out in based on the results of the
questionnaire, deals with a quantitative analysis of data.
Interpretation of Data:
Question 1:
1. What types of product do you sell?
Analysis:
Got response from different online business sectors where most of them are from Food & Drink
business , Health & beauty , Fashion & electronics. Among them one respondent liked to hide
his business area. Others gift, grocery, jute & leather & others.
2. Have you launched/promoted any new product during COVID-19?
Analysis:
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Analysis:
Among the total respondents 30 participants promoted new product & 26 others did not take any
initiative to launch any new item.
3. How have your online sales been affected by COVID-19?
Analysis:
Due to COVID-19 around 50.9% were affected directly & less affected was 30.9%. But 18.2%
participants business was not affected in this period. Main challenge was the demand during
COVID-19 was like customers were a bit scared to get infected.
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4. What is the biggest factor from COVID19 that is affecting your online sales? (For those
who answered higher in Q-3)
Analysis:
To cope up with the situation & to run the business major portion promoted with increased
discount level with different offers which helped to clean out the stock but with very less or
some time without having any profit. Transportation was also a fact for the less supply delivery.
5. Did you increase price of the product in this pandemic?
Analysis:
Increased price might result in limitation on sales so 64.3% were did not increase the product
price. Rest of them was affected in high charge of raw materials alternative way of transportation
which was high.
6. Have you increased discounting due to COVID-19?
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Analysis:
Increased discount in trial basis was result in good selling & also helped to clear the stock which
we got receipt from 67.9% sellers . Others 32.1% didn’t increased the discount.
7. Are you seeing issues with production due to the COVID-19 virus in these markets?
Analysis:
Most of the online business was seeing issue due to COVID-19 virus in these markets as the
uncertain situation might turn any condition good to bad. So, most of the sellers were thinking of
reputation down as online business competitors might use this as a weapon.
8. Are you seeing issues with your supply chain due to COVID-19?
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Analysis:
In COVID 19 there a lot suppliers changed their materials & some had to sell out their business
to survive due to scarcity of demand. This is a part of the supply chain & if one portion breaks
down it would affect on the others.
9. How much did you experience customer return in Covid-19?
Analysis:
There included many more new customers & also some sellers were new in online business
turning from shop to online phase so the new business persons had no idea what kinds of
precautions need to take to secure the product in delivering to customers & so they had to
experience customer return.
10. Compared to normal time what is the status of online order?
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Analysis:
As physical store were off in most of the cases & also customers were scared to go for
purchasing thinking of getting infected, compared to normal time in pandemic online sales
increased for 83.9% business responders.
11. Did transportation limitations in lock down effect on on-time delivery?
Analysis:
Some areas were blocked to reach & those(57.1 %) who had to rely on different delivery
organizations had experienced delay in delivery. For those (42.9%) who had customers within
short area or 0 km area could deliver smoothly.
12. Fraud customer amount doing business online during this pandemic situation
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Analysis:
Online platform is an area where sometimes it is tough to judge the real or fraud. 1-10% were
fraud experiences by online responders & those who were new & delayed in shipment couldn’t
reach to the customers on time, they didn’t receive the products.
13. Have your business operations been affected by the corona virus (COVID-19) pandemic?
Analysis:
42.9% responded that they were effected slightly, 19.6% affected moderately , strongly 26.8%
and not effected 10.7% as sometimes product category range & demands were not suitable for all
product categories.
14. Has your store adjusted its operations to help manufacture COVID-19 necessities (e.g.,
masks, face shields, hand sanitizer, etc.)
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Analysis:
Due to a huge demand of masks, hand sanitizers , PPE etc some started to collect these items to
make profit in this time period. It was mostly for short term plan as pandemic doesn’t last for so
long.
15. Do you have physical stores?
Analysis:
From this question it is seen that most of the correspondents are agree (55.6%) because they have
physical store and another (44.6%) correspondents are replied that they have no physical store.
24 | P a g e
16. Did you move to online store from physical stores?
Analysis:
From this question it is seen that most of the correspondents are repaired in the negative (48.2%)
because they did not move to online business from physical store, another (41.1%)
correspondents are replied neutral because they have both store and also seen that around (10.7)
correspondents have physical store.
17. When inventory is low, how difficult is it for you to change how you rank your products on
category pages on your online store?
25 | P a g e
Analysis:
From this question it is seen that most of the correspondents are repaired that (61.8%)it was
neither easy mot difficult to them, (14.5%) are replied Moderately quick and easy in this
question and another peoples are replied very quick and easy it is.
18. Are you satisfied with the time spent and difficulty of changing how you rank your
products on category pages on your online store?
Analysis:
In this Survey question it is seen that most correspondents are satisfied (61.8%), around (32.7%)
are neither satisfied nor dissatisfied that means they are neutral type and few correspondents are
strongly satisfied and dissatisfied while time spending and difficulty of changing to rank the
product.
19. How has your web traffic been affected by COVID-19?
26 | P a g e
Analysis:
In This survey question it is seen that (51.8%) correspondents are answered higher, around
(25%) correspondents are replied no changer and the rest correspondents are replied lower that
means many web traffics are affected due to corona virus.
20. What is the online service employee status?
Analysis:
In This survey question it is seen that (75.9%) correspondents are answered increased and rest of
them are answered it is reduced.
21. Is it slow sale or rapid sale in this pandemic situation?
27 | P a g e
Analysis:
From this question it is seen that most of the correspondents are replied (73.2%) fast and another
(26.6%) are replied slow in this question.
22. Are you planning extend your online business even though in this pandemic?
Analysis:
From this question it is seen that most of the correspondents are replied (78.6%) in the
affirmative and another (21.4%) are replied in the negative.
23. Did your productivity increase or decrease?
28 | P a g e
Analysis:
In This survey question it is seen that (55.4%) correspondents are answered increased and rest of
them (44.6%) are answered it is reduced.
24. Which one is more popular?
Analysis:
In this question it is seen that most correspondents are (75%) paid cash during delivery time and
rest of them (25%) prefer online payment. So we can understand from that question is cash on
delivery is more popular than online payment.
29 | P a g e
25. Do you think online business is more convenience and profitable than physical store?
Analysis:
From this question it is seen that most of the correspondents are replied (89.3%) in the
affirmative and another (10.7%) are replied in the negative.
30 | P a g e
5. Conclusions
6. CONCLUSION
From last few years, organizations have conducted business electronically by employing a
variety of electronic commerce solutions. In the conventional scenario, an organization enters the
electronic market by establishing trading partner agreements with retailers or wholesalers of their
choosing. These
agreements may include any items that cannot be acquiescent electronically, such as terms of
transfer, payment mechanisms, or implementation conventions. Global pandemic COVID-19 has
impacted a lot on this E-Commerce business & also had some benefits & challenges. In this
paper we formulate current ecommerce issues, challenges and benefits in COVID-19 .
31 | P a g e
Reference
 https://docs.google.com/forms/d/1hPcmhfsXJqKXzjdo9ZVPdfb48gqbpxc8g50_MVIfMBA/edit
 https://docs.google.com/forms/d/1hPcmhfsXJqKXzjdo9ZVPdfb48gqbpxc8g50_MVIfMBA/edit#re
sponses
 https://www.facebook.com/OfficialGoGadget/
 https://tbsnews.net/bangladesh/daraz-takes-steps-ensure-customers-basic-needs-amid-corona-
60262
 https://www.daraz.com.bd/health-care/?spm=a2a0e.home.cate_4.10.73524591MXlOjK
 https://databd.co/stories/delivery-services-in-bangladesh-coping-with-covid-19-12228
 https://thefinancialexpress.com.bd/education/how-covid-19-impacts-digital-marketing-
landscape-1589385334
 https://www.lightcastlebd.com/insights/2020/06/02/e-commerce-in-bangladesh-struggling-to-
capitalize-on-opportunity
 https://thefinancialexpress.com.bd/economy/foodpanda-stands-beside-heroes-in-the-line-of-
duty-1588421440
 https://www.facebook.com/ONLINESHOPKGM/
 https://www.dhakatribune.com/business/2020/04/12/foodpanda-shwapno-launch-grocery-
delivery-service
 https://www.facebook.com/groups/1972250889695916/?ref=share
 https://www.lightcastlebd.com/insights/2020/06/17/covid-19-impact-industries-experiencing-
growth-due-to-the-pandemic
 https://www.uktech.news/news/85000-businesses-launch-online-shops-as-lockdown-creates-
digital-economy-boom-20200703
 https://www.bloombergquint.com/business/pandemic-accelerates-online-shift-for-small-
businesses
 https://apparelresources.com/business-news/retail/online-sales-surge-lockdown-mitigating-
brands-losses/.

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Online business and covid 19 benefits & challenges term-paper-ob-group-09

  • 1. UNIVERSITY OF DHAKA Faculty of Business Studies Department of International Business Course Code: EIB-520: Organizational Behavior Term Paper on Online Business and COVID-19: Benefits & Challenges Supervised by Dr. Muhammad Shahin Miah, CPA Assistant Professor Department of International Business University of Dhaka Prepared by Name ID No. Group no. Md. Asif Raihan 801827004 9 Md. Sabriat Hossain 801827049 Md. Zahidul Alam Bhuiyan 801827055 Kazmee Al Faruk Chowdhury 801827062 Date of Submission: 11th September, 2020
  • 2. 1 | P a g e ABSTRACT Due to increasing the Information Technology around the world have a strong role in business sector that have already turned into online business. This online business refers to the E- commerce which is recently moved in to developing countries like Bangladesh (BD). This paper describes the present benefits and challenges of online/E-commerce business during COVID-19 in BD. Proper E-commerce sites play a vital role in employment generation as well as increasing the internet utilization .This research mainly describes the present status of BD’s E-commerce sites and the benefits and challenges in this challenging situation of COVID-19. As news of COVID-19 spread and as it was officially declared a pandemic by the World Health Organization, people responded by stocking up. They bought out medical supplies like hand sanitizer and masks and household essentials like toilet paper and bread. Soon, both brick-and- mortar and online stores were struggling to keep up with demand, and price gouging for supplies became rampant. Humans respond to crises in different ways. When faced with an uncertain, risky situation over which we have no control, we tend to try whatever we can to feel like we have some control. Retail businesses around the world are being affected by COVID-19 through everything from rapidly changing customer behavior to supply issues. As people are making buying choices based on new and ever-changing global and local circumstances, the product categories that are being purchased are also changing. By surveying fruitful questionnaire from online business holders, we got a vibe of the COVID- 19 impact in this online business medium. Market middlemen, and industry and firm value chain are the most involvement in traditional businesses. The comparative analysis of different Ecommerce sites represents an analytical initiative. Due to lock down online / E-commerce business has got some challenging situation & also to mitigate they have some others way to grow to survive which will be represented through this analysis.
  • 3. 2 | P a g e Table of Contents ABSTRACT ...............................................................................................................................1 Chapter 1: Introduction ...............................................................................................................3 1.1. Introduction: .................................................................................................................3 1.2. Objectives of the Study .................................................................................................3 1.3. Findings of the study:....................................................................................................3 1.4. Contribution of the study:..............................................................................................4 1.5. Limitations of the study: ...............................................................................................5 1.6. Thesis framework..........................................................................................................5 Chapter-2: Literature Review ......................................................................................................6 Chapter 3: Research Methodology.............................................................................................11 3.1. Data Collection and sample size description....................................................................11 3.1.1. Method of collecting date: ........................................................................................11 3.1.2. Survey process .........................................................................................................11 3.2. Questionnaire design and important questions so that the reader can understand. ............14 Chapter 4: Results analysis........................................................................................................16 5. Conclusions...........................................................................................................................30 Reference..................................................................................................................................31
  • 4. 3 | P a g e Chapter 1: Introduction 1.1. Introduction: E-commerce platforms that lately have been mostly trading essential products are enjoying heyday as consumers prefer virtual shopping to avoid contracting COVID-19.The sales of such online platforms have gone up manifold over the last few months and it has put extra pressure on the operators because of sudden change in consumers' behavior. To cope with the bulging demand and make it sustainable, the entrepreneurs are now working in ensuring smooth supply of products from the growers' level to doorsteps of the consumers while enhancing systemic capacity of the platforms. As the ramifications of the COVID-19 crisis continue to be felt across the world, entire industries are struggling under the weight of demand downturn, labor shortages and inability to maintain their supply chain processes. However, demand downturn has not been the issue of primary concern for all industries. One such industry would be E-Commerce, which has seen an unprecedented rise in orders for certain businesses and growth of overall consumer base owing to the lock-down in place. 1.2. Objectives of the Study  Economic risk monitoring during the Corona period.  Knowing the importance of online business to keep the economy moving in times of Covid- 19.  To deal with online business problems.  To know about the condition of new entrepreneurs in the Corona period.  To gain authentic and statistic based information. 1.3. Findings of the study: As the corona virus outbreak continues the more and more customers are turning to e-commerce as a solution to get the items they need and want. Many ecommerce and other businesses are reporting issues with inventory and supply chain, especially with products that are made overseas, though that’s been the case for many for several weeks. So, it's turning out to be both a blessing and a curse for online businesses during this COVID-19 period. It has benefits and challenges both. We have collected data from 50+ business owners who run their businesses through online from different categories. It's benefits and challenges are given below: Benefits:  Online businesses are becoming popular day by day during Covid-19. So, it creates big opportunities for the e-commerce sector.  There are no specific policies for online businesses yet, So, it's easier to run businesses online without any hassles of trade license and other documents.  It is much more cost efficient than a physical store.
  • 5. 4 | P a g e  Earning more profit from specific products.  Reaching more visitors than physical stores through online. Challenges:  Moving offline customers to online is quite challenging.  To navigate customers to the web store is too hard.  Looking after existing customers and their communities is very challenging.  Setting up a proper return and refund process is also a matter of concern.  Launching a new product is also challenging.  Use caution when promoting corona virus related sales.  Product presentation approach is important also.  Recognizing fraud online buyers or sellers is a big challenge.  Maintaining safety measures to protect employees and customers is a big matter of concern.  Managing logistics and delivery services timely is very important. 1.4. Contribution of the study: Many in the corona virus epidemic are now turning to online marketing, especially those who have access to computers or smart phones because there is no need to go out for shopping, the risk of hanging out with strangers can be avoided. Many people, of course, have been accustomed to online marketing for a long time. Amazon, eBay. e-valy , daraz are very familiar names to them but now online businesses are getting popular all over during this COVID-19 period. Our study will reflect and contribute the important information and facts of online businesses during Covid-19 period. Following are the contributions of the study:  The findings of the study will be truly helpful for the online business sector and consumers both.  Knowledge about online page promotions.  Information about services of the online business.  Ideas about making a profit in online business.  Ideas about fraud organized by online buyers or sellers.  Concepts about consumer demand and affordability.  Collection of information about the seller's product delivery process.  Acquisition of raw material and conservation ideas.  Reports of online sellers attempt to raise prices unfairly.  A proper guideline should be introduced for online business to prevent unfair policies and bounding them to do business according to law.
  • 6. 5 | P a g e 1.5. Limitations of the study: Although the research has reached its aims, there were some unavoidable limitations also. Following are the limitations of the study:  It was time consuming to collect data through online to gain response.  It is difficult to collect authentic information via online.  Entrepreneurs are reluctant to answer questions.  Entrepreneurs were uncomfortable to share their pricing policy. 1.6. Thesis framework Fig: Thesis Frame work
  • 7. 6 | P a g e Chapter-2: Literature Review Introduction A Literature review explains to the previous research taken place as well as the gap in the literature which needs to be fulfilled. With the help of the literature review, this study objective was framed. There are limited studies which are directly relevant to the study concerned. Online shopping is still in the developing stage in Bangladesh, and a few studies, in fact, almost no particular research have been conducted on the challenges and benefits faced by online businesses due to covid-19. This study has been developed after reviewing a considerable number of earlier works of literature. The content of the review is limited to the aim of this study. The most relevant literature to this study is explained in this chapter. Studies on Online Business and covid-19 impacts Prof.Dr. Abu Bakar Abdul Hamid, Prof. Dr. Huam Hon Tat [1] discussed about the role of china in global economy and the complications of import from china to Malaysia during pandemic covid-19.The key purpose of this research is to determine the impact of coronavirus (Covid-19) on the online business in Malaysia. Conceptual factors consist of 3 factors: covid-19, customer behavior and e-commerce. The researchers here conducted a survey taking 60 respondents as sample in an effort to gather data and for the making the questionnaires the 7 points Likert’s scale has been used. The demographic variables selected by the researcher are representing the demographic details such as gender, age group, income and the occupation of the selected respondents. Kaiser-Meyer-Olkin and Bartlett's Test is seen to be helping in measuring the suitability of the data for executing the factor analysis. The data analysis executed above is illustrating that the negative impact is established on the e-business in Malaysia due to corona virus (COVID-19). The negative impact established is impacting the sales as well as the buying behavior of the customers. The weakening of the business environment in Malaysia is seen due to COVID-19. The challenges faced by the retailers present in the e-business are the lowering of the buying behavior of the customers. The lowering of the buying behavior is also lowering the supply and the shipping processes. As per the survey processes executed, the situation identified will be lasting at least four months more. This will be degrading the e- business as well as huge losses will be acquired by the e-businesses. The presence of the Chinese products in the Malaysian market is also lowering the demand for the products by lowering the buying behavior of the consumers. Due to this reason, more effect is established on the e- business present in the Malaysian market. As the concerns present in the buyer that with the delivery of the food products by the e-businesses, there lies a change of food contamination. Due to this reason, the limitation of human to human contact is being made which is leading to the
  • 8. 7 | P a g e degradation of ecommerce sales. Thus, the analysis provided is supporting the research questions as well as the research objectives framed by the researcher. Verma and Gustafsson’s[2] article presents the findings of a bibliometric study of COVID-19 literature in the business and management domain to identify current areas of research and propose a way forward. The analysis of the published literature identified four main research themes (overall impact on business, on technology, on supply chain and on service industry) and 18 sub-themes. The findings and propositions of this study suggest that COVID-19 will be the catalyst of several long- and short-term policy changes and requires the theoretical and empirical attention of researchers. The offered propositions will act as a roadmap to potential research opportunities. Bharat and Nerita Patil’s [3] study attempted to understand the effect of novel corona virus disease (COVID-19) on the consumers buying behavior. The objective of the study was to identify the factors affecting the consumers buying behavior, identify challenges and suggest remedial measures. For understanding the consumer buying behavior under COVID-19 disease the paper writers used an explanatory research design. The present study is based on the behavior of the consumers in pandemic situation. For the selection of sample, researchers used an empirical investigation conducted through the Google Form by asking dichotomous questions to the selected samples. Nonprobability convenience sampling technique was used for the present study. The researchers had selected 33 respondents for the present study. The researchers found that the online marketing companies suspended their services to protect and care the life of consumers and their staff during lockdown. In that period consumers were not more conscious about specific brands of goods. ROLAND SCHMUCK[4]revealed the huge role of online economy in today’s world. The goal of this paper is to analyze the global online economy by countries of origin answering the question which countries dominate the internet. After deep literature survey on the subject the Alexa Top 500 database is used to analyze it by the most visited websites in the world. The analysis shows the online economy is dominated by the USA and China. Correlation analysis confirms that GDP correlates with websites originating from that country. This means highly developed countries have better online economy with more websites, dominating the online economy. The Romanian Research Paper [5] has highlighted the particularities of the emergence of this sanitary crisis at the local economy level of Romania. The bibliographic documentation has used the specialty literature available in Clarivate Analytics, Research Gate and Google Scholar scientific databases. For the legislative regulations, the official announcements of the Romanian public institutions, the regulations of the European Commission or the recommendations of the World Health Organization were used. In order to evaluate the consumer’s behavior, the studies of companies specialized in market research have been used. The results of the research have been analyzed, graphically represented and interpreted. The conclusions of own research have
  • 9. 8 | P a g e been compared to the ones of some specialty papers, in order to obtain results as close to the truth as possible. The findings the research paper contains several suggestions related to their national medical system and online shopping. Tsai et al. (2011) [6] have done a descriptive study ― The Effect of Online Privacy Information on Purchasing Behavior: An Experimental Study. The primary aim of the study was to determine whether a more prominent display of private information would cause consumers to incorporate privacy considerations into their online purchasing decisions. They designed an experiment in which a shopping search engine interface displays privacy policy information. For this study, they collected 272 complete responses. When such information is made available, consumers tend to purchase from online retailers who better protect their privacy. Participants in the privacy information condition made a more significant proportion of purchases from sites that displayed privacy icons. Participants in the no privacy indicator condition were significantly less likely to buy from the corresponding sites. The study indicated that when privacy information is made more salient and accessible, some consumers are willing to pay a premium to purchase from protective privacy websites. The study proved that the observed behavior could not merely be attributed to an interest in purchasing from websites labeled with attractive indicators. The result suggested that businesses may be able to leverage privacy protection as a selling point. During the review, a shortcoming was observed that participants made purchases using their credit cards, the purchases were made in a laboratory setting following a specific experimental protocol, so this setting was not necessarily reflective of ordinary search activity. Sivakumar and Gunasekaran [7] revealed that the online market in India is growing at an exponential rate, predominantly driven by the massive and extensive promotional activities. This strategy may not be appreciable in the long run, hence a real value addition is essential, which is explored through this study. The main objective of this research is to study about the determinants that are affecting the online purchasing behavior of millennial consumers. Conceptual framework, which consists of four factors that may induce online purchase behavior among millennial consumers: consumer innovativeness, perceived benefits, perceived risks, attitude and intention. The population of the study is from the millennial customer’s segment of Chennai metro, Tamil Nadu, India, and the study used systematic random sampling. The statistical tools applied are chi-square, ANOVA, correlation, multiple regression, and factor analysis. From the outcomes of this study, factors influencing online purchase are analyzed, and suggestive strategies for online companies are recommended. Hung-Hao Chang and Chad Mayrhofer [8] discussed about the demand for online food shopping services in Taiwan during Covid-19 pandemic. For the data purpose they took help from research gate and relied mostly on the articles of the largest newspapers of Taiwan. They have created several variables and usedHerfindahl-Hirschman index as a mean to conduct their intended study. They have found that an additional confirmed case of COVID-19 increased sales by 5.7% and the number of customers by 4.9%. The demand for grains, fresh fruit and vegetables, and frozen foods increased the most, which benefited small farms over
  • 10. 9 | P a g e agribusinesses. Online food shopping was highly responsive to COVID-19 media coverage and online content. Because Taiwan did not impose a stay-at-home order, the demand for online food shopping may be similar in other countries after they lift mobility restrictions. Jagdish Sheth[9] explores how Covid-19 has affected different aspects of consumers’ lives, ranging from personal mobility to retail shopping, attendance at major life events like marriage ceremonies, having children, and relocation. As the paper is more like a fully descriptive one so no quantitative data as well as methods has been used here. The author investigates four contexts of construed consumer behavior, namely social context, technology, co working spaces, and natural disasters. Additionally, the author foresees eight immediate effects of the pandemic on consumer behavior and consumption. Hoarding—the mad scramble observed at the start of the COVID-19 outbreak—applies not only to consumers but also to unauthorized middlemen who buy products in excess to sell at increased prices. Real-Time Economics: A New Platform to Track the Impacts of COVID-19 on People, Businesses, and Communities Using Private Sector Data [10]is a different kind of paper, more like a proposal on a project by some experts, a data tracker related to the impacts of the pandemic on various aspects. They have built a new, publicly available economic tracker that measures economic activity at a high frequency, granular level. Using anonymized data from several large businesses {credit card processors, payroll firms, job posting aggregators, and financial services firms}, they construct statistics on consumer spending, employment rates, incomes, business revenues, job postings, and other key indicators. They report these statistics in real time using an automated pipeline that ingests data from these businesses and reports statistics publicly on the data visualization platform, typically with a lag of three days or less after the relevant transactions occur. They present fine disaggregation of the data, reporting each statistic by county and by industry and, where feasible, by initial (pre-crisis) income level and business size. They illustrate how the tracker can be used by measuring the economic impacts of the COVID-19 crisis on people, businesses, and communities and estimate the causal effects of recent local policy decisions. Going forward, they hope this tracker will serve as a public good that facilitates more precise targeting of policies and rapid diagnosis of the root causes of economic crises. Reference Citation: 1. Abu Bakar Abdul Hamid, Prof. Dr. Huam Hon Tat’.The Impact of Coronavirus (Covid- 19) on E-Business inMalaysia.Asian Journal of Multidisciplinary Studies Vol. 3, No. 1, (2020). 2. Verma and Gustafsson. Investigating the emerging COVID-19 research trends in the field of businessand management: A bibliometric analysis approach.journal of Business Research 118(2020).
  • 11. 10 | P a g e 3. Bharat Patil and Nerita Patil. IMPACT OF COVID-19 PANDEMIC ON CONSUMER BEHAVIOUR. MuktShabd Journal.ISSN NO : 2347-3150 4. Roland Schmuck.SEFBIS Journal 2013. No.8 5. https://doi.org/10.35219/eai1584040975 6. Tsai, J. Y., Egelman, S., Cranor, L., &Acquisti, A. (2011). The effect of online privacy information on purchasing behavior: An experimental study. Information Systems Research, 22(2), 254-268. 7. SivaKumar, A., & Gunasekaran, A. (2017). An empirical study on the factors affecting online shopping behavior of millennial consumers. Journal of Internet Commerce, 16(3), 219-230. 8. Hung-Hao Chang and Chad Meyerhoefer. COVID-19 and the Demand for Online Food Shopping Services: Empirical Evidence from Taiwan. 9. Jagdish Seth. Impact of Covid-19 on consumer behavior: Will the old habits return or die?.Journal of business Research 117 (2020) 280-283. 10. Raj Chetty, John N. Friedman, Nathaniel Hendren, Michael Stepner,and the Opportunity Insights Team.Real-Time Economics: A New Platform to Track the Impacts of COVID- 19 on People, Businesses, and Communities Using Private Sector Data
  • 12. 11 | P a g e Chapter 3: Research Methodology 3.1. Data Collection and sample size description The data analysis process is seen to be executed by the help of analyzing the quantitative data. The quantitative research method is used in this research to gather the data appropriately. Three stages to the data collection process  Permission to proceed  Data collection  Data handling 3.1.1. Method of collecting date: The sampling design is identified as a framework that is used by the researcher for the selection of the survey sample. The sample size selected by the researcher for executing the survey process is 56 respondents. These respondents are helping the researcher in gathering the data related to the benefit & challenges on online business during corona virus (COVID-19) . For designing the survey questionnaire, online survey method was carried out by the researcher for accomplishing the research objectives by the researcher. It is helping the researcher in gathering the survey data from the selected respondents. The random sampling process is also used by the researcher for gathering the data responses provided by the respondents. 3.1.2. Survey process We have done our research and survey about the benefits and challenges of online business during the COVID-19 situation. That’s why we took our data from many online business man/organizations by doing the survey through online. Mainly those who run the online food business, electronics & gadgets, fashion & clothing's and others online sellers took part in this survey. We created a total of 25 questions for the survey. We took the online survey by Google form. We got total 56 responses. We got the maximum response from who run the food, gadgets & electronic and health and medical accessories product by online in this Covid situation.  We got total 32.1% response from Food & drink business  Total 23.2% response from health, beauty & medical accessories business.  Total 16.1 % response from fashion & apparel business and  Total 12.5% response from electronics and computing.
  • 13. 12 | P a g e Total data collection data of excel file are given below:
  • 14. 13 | P a g e
  • 15. 14 | P a g e 3.2. Questionnaire design and important questions so that the reader can understand. We created total 25 questionnaires for this survey. Our research paper on “online business and COVID-19: benefits and challenges. So, we made the questionnaires based on the COVID-19 situations. During pandemic situation people will suffer a lot. During the lockdown it was impossible for people to go out from their home for buy goods for their needs. That’s why some people were started to deliver the product by online order. And those are doing online business from previous they are also started to increasing their business capacity. Some of their affected by corona, some of them shut down their physical store due to the pandemic situation. Some of them switch their business during corona, such as they are started to doing sell “COVID safety kits’ – face mask, hand sanitizer, hand gloves, disinfection spray etc. By doing online business during this time some have a good experience, some have bad, some doing profit, some faces loss to their business. Some came up with new products, some switch their business. Some people increased the price of the product; some of them give discount to their customer during COVID situation. And we designed our questionnaire based on the situation discuss on the above. Description of some important questions We made 25 questions for the survey. And now we are going to discuss some important question from our survey. 1. How have your online sales been affected by COVID-19?  Lower  No change  Higher In this question we ask them, how COVID-19 affected their business. We give 3 options for the questions. 50.9% people respond that their business was highly affected during the corona situation. The mostly affected when the lockdown was starts. That time all of the business institution got affected highly. 30.9 % business institution got affected lower. The main reason of affected business highly because of less production, less supply, high price of the raw materials and because of the situation some of them increased the price and some of them decreased the product price because the financial condition of the people. We also add another question related to this question. In this question we ask them – 2. What is the biggest factor from COVID19 that is affecting your online sales? (For those who answered higher in Q-3)
  • 16. 15 | P a g e  We have proactively lowered our ad spend  We have less items in stock and lower level of supply  We have increased discounts levels or lowered prices  Other In this question 51.6% people responded to “We have increased discounts levels or lowered prices”. Yes, many business man discounted and decreased the price of the products due to corona time financial crisis, as well as they are facing lack of customer due to COVID lockdown, so they need sell their product which was stocked for many days, that’s why some of them discounted their product price and some of them decreased the price of the product. 27.7% people response to the option “We have fewer items in stock and lower level of supply”. Because of the less production maximum business man highly affected to their business. On the other side they couldn’t stock the product in time due to lockdown and closed down off the border. Also all the production house was closed during the COVID time. 3. Did you move to online store from physical stores?  Yes  No  Have both We ask on our survey that, did the people switch their business from physical shop to online shop. 48.2% response that they don’t want to switch their physical to online store. Because 41.1 % people response that they have both shop, online shop with physical shop. That’s why they don’t want to shut down their physical shop. Because they know that after end of this pandemic people will do shopping again from the physical shop. Only 10.7% people permanently switch from the physical store to online store. 4. Fraud customer amount doing business online during this pandemic situation  0%  1-10%  11-20%  21-50%  Above During the Covid situation not only the customer got affected but also the sales man and the got cheated by fake and fraud customer. Fraud customer means, after order some product from online sometime customer doesn’t pay the money or they stay out from the place. Total 40% business man response to the survey that they affected by the fraud customer and face losses. And 32.7% people think that more than enough fraud customers destroyed their business profit.
  • 17. 16 | P a g e Chapter 4: Results analysis Analysis and interpret To complete this study properly, it is necessary to analyze the data collected in order to test the hypothesis and answer the research questions. The survey questionnaire consists of 25 questions; the survey was participated by 56 online business owners from different business categories. Here comprise the analysis, presentation and interpretation of the findings resulting from this study. The analysis and interpretation of data is carried out in based on the results of the questionnaire, deals with a quantitative analysis of data. Interpretation of Data: Question 1: 1. What types of product do you sell? Analysis: Got response from different online business sectors where most of them are from Food & Drink business , Health & beauty , Fashion & electronics. Among them one respondent liked to hide his business area. Others gift, grocery, jute & leather & others. 2. Have you launched/promoted any new product during COVID-19? Analysis:
  • 18. 17 | P a g e Analysis: Among the total respondents 30 participants promoted new product & 26 others did not take any initiative to launch any new item. 3. How have your online sales been affected by COVID-19? Analysis: Due to COVID-19 around 50.9% were affected directly & less affected was 30.9%. But 18.2% participants business was not affected in this period. Main challenge was the demand during COVID-19 was like customers were a bit scared to get infected.
  • 19. 18 | P a g e 4. What is the biggest factor from COVID19 that is affecting your online sales? (For those who answered higher in Q-3) Analysis: To cope up with the situation & to run the business major portion promoted with increased discount level with different offers which helped to clean out the stock but with very less or some time without having any profit. Transportation was also a fact for the less supply delivery. 5. Did you increase price of the product in this pandemic? Analysis: Increased price might result in limitation on sales so 64.3% were did not increase the product price. Rest of them was affected in high charge of raw materials alternative way of transportation which was high. 6. Have you increased discounting due to COVID-19?
  • 20. 19 | P a g e Analysis: Increased discount in trial basis was result in good selling & also helped to clear the stock which we got receipt from 67.9% sellers . Others 32.1% didn’t increased the discount. 7. Are you seeing issues with production due to the COVID-19 virus in these markets? Analysis: Most of the online business was seeing issue due to COVID-19 virus in these markets as the uncertain situation might turn any condition good to bad. So, most of the sellers were thinking of reputation down as online business competitors might use this as a weapon. 8. Are you seeing issues with your supply chain due to COVID-19?
  • 21. 20 | P a g e Analysis: In COVID 19 there a lot suppliers changed their materials & some had to sell out their business to survive due to scarcity of demand. This is a part of the supply chain & if one portion breaks down it would affect on the others. 9. How much did you experience customer return in Covid-19? Analysis: There included many more new customers & also some sellers were new in online business turning from shop to online phase so the new business persons had no idea what kinds of precautions need to take to secure the product in delivering to customers & so they had to experience customer return. 10. Compared to normal time what is the status of online order?
  • 22. 21 | P a g e Analysis: As physical store were off in most of the cases & also customers were scared to go for purchasing thinking of getting infected, compared to normal time in pandemic online sales increased for 83.9% business responders. 11. Did transportation limitations in lock down effect on on-time delivery? Analysis: Some areas were blocked to reach & those(57.1 %) who had to rely on different delivery organizations had experienced delay in delivery. For those (42.9%) who had customers within short area or 0 km area could deliver smoothly. 12. Fraud customer amount doing business online during this pandemic situation
  • 23. 22 | P a g e Analysis: Online platform is an area where sometimes it is tough to judge the real or fraud. 1-10% were fraud experiences by online responders & those who were new & delayed in shipment couldn’t reach to the customers on time, they didn’t receive the products. 13. Have your business operations been affected by the corona virus (COVID-19) pandemic? Analysis: 42.9% responded that they were effected slightly, 19.6% affected moderately , strongly 26.8% and not effected 10.7% as sometimes product category range & demands were not suitable for all product categories. 14. Has your store adjusted its operations to help manufacture COVID-19 necessities (e.g., masks, face shields, hand sanitizer, etc.)
  • 24. 23 | P a g e Analysis: Due to a huge demand of masks, hand sanitizers , PPE etc some started to collect these items to make profit in this time period. It was mostly for short term plan as pandemic doesn’t last for so long. 15. Do you have physical stores? Analysis: From this question it is seen that most of the correspondents are agree (55.6%) because they have physical store and another (44.6%) correspondents are replied that they have no physical store.
  • 25. 24 | P a g e 16. Did you move to online store from physical stores? Analysis: From this question it is seen that most of the correspondents are repaired in the negative (48.2%) because they did not move to online business from physical store, another (41.1%) correspondents are replied neutral because they have both store and also seen that around (10.7) correspondents have physical store. 17. When inventory is low, how difficult is it for you to change how you rank your products on category pages on your online store?
  • 26. 25 | P a g e Analysis: From this question it is seen that most of the correspondents are repaired that (61.8%)it was neither easy mot difficult to them, (14.5%) are replied Moderately quick and easy in this question and another peoples are replied very quick and easy it is. 18. Are you satisfied with the time spent and difficulty of changing how you rank your products on category pages on your online store? Analysis: In this Survey question it is seen that most correspondents are satisfied (61.8%), around (32.7%) are neither satisfied nor dissatisfied that means they are neutral type and few correspondents are strongly satisfied and dissatisfied while time spending and difficulty of changing to rank the product. 19. How has your web traffic been affected by COVID-19?
  • 27. 26 | P a g e Analysis: In This survey question it is seen that (51.8%) correspondents are answered higher, around (25%) correspondents are replied no changer and the rest correspondents are replied lower that means many web traffics are affected due to corona virus. 20. What is the online service employee status? Analysis: In This survey question it is seen that (75.9%) correspondents are answered increased and rest of them are answered it is reduced. 21. Is it slow sale or rapid sale in this pandemic situation?
  • 28. 27 | P a g e Analysis: From this question it is seen that most of the correspondents are replied (73.2%) fast and another (26.6%) are replied slow in this question. 22. Are you planning extend your online business even though in this pandemic? Analysis: From this question it is seen that most of the correspondents are replied (78.6%) in the affirmative and another (21.4%) are replied in the negative. 23. Did your productivity increase or decrease?
  • 29. 28 | P a g e Analysis: In This survey question it is seen that (55.4%) correspondents are answered increased and rest of them (44.6%) are answered it is reduced. 24. Which one is more popular? Analysis: In this question it is seen that most correspondents are (75%) paid cash during delivery time and rest of them (25%) prefer online payment. So we can understand from that question is cash on delivery is more popular than online payment.
  • 30. 29 | P a g e 25. Do you think online business is more convenience and profitable than physical store? Analysis: From this question it is seen that most of the correspondents are replied (89.3%) in the affirmative and another (10.7%) are replied in the negative.
  • 31. 30 | P a g e 5. Conclusions 6. CONCLUSION From last few years, organizations have conducted business electronically by employing a variety of electronic commerce solutions. In the conventional scenario, an organization enters the electronic market by establishing trading partner agreements with retailers or wholesalers of their choosing. These agreements may include any items that cannot be acquiescent electronically, such as terms of transfer, payment mechanisms, or implementation conventions. Global pandemic COVID-19 has impacted a lot on this E-Commerce business & also had some benefits & challenges. In this paper we formulate current ecommerce issues, challenges and benefits in COVID-19 .
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