What is e-commerce?
Shalom Lamm said it is the process of purchasing and selling products along with the transformation of information through the internet. It is also known as electronic commerce. E-Commerce and E-business, both these terms are interchangeable. The process of the transaction is also termed as e-tail on which online retailing shopping is done.
Working of e-commerce
E-commerce working is based on the internet. By using the internet facility, buyers can reach the stores or shops running online, select the required products, and then place their order using their mobile phone, laptop, or any other device.
When the order is done, the client browser communicates with the hosting server, the online web shop. There is a leading computer called order manager, the whole process relay on it. After that, the invoice note is forward to the inventory management database, where it is checked that order placed is to match with the store’s inventory. When it is done, the order manager sends a notice to the online store where a message is sent to the customer that their order is processed successfully. Another note is sent to the warehouse from the order manager to dispatch the required product Shalom Lamm said.
Different forms of E-commerce
Here are few forms of e-commerce mention below.
Business to business
It is also known as B2B e-commerce. It is the exchange of goods and services between businesses instead of customers and businesses. All those product websites that permit the companies to find products and placed transactions using e-procurement are known as B2B e-commerce.
Business to Consumer
It is the process in which products are directly sold to the end consumer through the internet. It is also known as B2C e-commerce. Nowadays, many online stores are available on the internet that sells all kinds of products to consumers.
Consumer-to-consumer
#shalom #lamm said it is a form of e-commerce in which products are used to trade between consumers. In simple words, consumers used to sell the products to each other. In such a type of dealing, a third party provides a place online where the process is done. The two best examples of C2C business are auctions done online, and the other one is advertisement classification.
Consumer-to-business
#shalomlamm said in this form of e-commerce, companies used to do business with direct consumers who make products and want to sell them online. It is the complete opposite of the general B2C model of e-commerce. Websites offering jobs are the best example, where companies used to hire people while candidates sell their services to get employment.
Business-to-administration
In this form of e-commerce, dealing is done between companies and administrative bodies such as the government. Government agencies highly used electronic services to prepare documentation such as legal documents, contract deeds, journals, etc. Nowadays, B2A electronic commerce is increasing as government agencies are also investing in electronic government work.
Consumer-to-administration
Business dealing is done between consumers and administrative authorities such as public administration and government agencies, etc. Government agencies are used to purchase goods or services from individual consumers by using the internet. Some specific areas are filing taxes, educational services, and health services and banking services, etc.
Mobile e-commerce
It is also known as M-commerce. In this process, all the transactions related to the sales and purchase of products can be done using a simple mobile phone device. Nowadays, mobile commerce is increasing as it provides a platform where every service is done, such as shopping, banking, bills, etc. Many companies are also dealing with customers using mobile commerce through sending voice notes or doing direct chat Shalom Lamm said.
E-commerce Advantages
Here are some advantages of e-commerce mention below.
- E-commerce websites are available all the time, as we can say 24×7. Customers can easily visit the web page and place an order at any time.
- When we visit the store, we have to face many problems, and over-crowing is one of them, while e-commerce does not happen as the websites work very quickly. Products are uploaded on the pages within few seconds, and buyers easily place the order from their place. The whole process is done in few minutes, and there is no need to go physically anywhere.
- In an e-commerce store, there is a wide range of product or services available as there is no need to place the things physically which occupy space. In online business, the web page is loaded with the development of brands full of variety, and when consumers place orders, products are directly shipped from the warehouses.
- It’s very time-consuming to find a product in physical stores as there is a shortage of variety due to space issues. While in e-commerce, things become very easy as the visitors used to go on the web page and search for the desired product, and it comes quickly on the screen. It saves time and also reduces stress element.
- E-commerce makes it very simple to deal with international buyers or sellers. It uses the advantage of globalization.
- In the E-commerce business, the cost factor is deficient. Products are available at low prices because many costs are cut directly, such as rent, inventory cost, labor cost, cashier cost, etc.
- Shalom Lamm said by using artificial intelligence, e-commerce tracks the likes and dislikes of customers. It uses that data to recommend the most suitable product to the visitors, which is also called a personalized product.
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