Presentation on theme: "Week 11 Global Impact of e-Commerce on Society How to Evaluate e-Current System Financial Implications of an e-Commerce Solutions."— Presentation transcript:
Week 11 Global Impact of e-Commerce on Society How to Evaluate e-Current System Financial Implications of an e-Commerce Solutions
EC 2006Prentice Hall 2 Global Impact of EC on Society Advantages –Faster buying/selling procedure, as well as easy to find products. –Buying/selling 24/7. –More reach to customers, there is no theoretical geographic limitations. –Low operational costs and better quality of services. –No need of physical company set-ups. –Easy to start and manage a business. –Customers can easily select products from different providers without moving around physically.
EC 2006Prentice Hall 3 Global Impact of EC on Society Disadvantages –Any one, good or bad, can easily start a business. And there are many bad sites which eat up customers money. –There is no guarantee of product quality. –Mechanical failures can cause unpredictable effects on the total processes. –As there is minimum chance of direct customer to company interactions, customer loyalty is always on a check. –There are many hackers who look for opportunities, and thus an ecommerce site, service, payment gateways, all are always prone to attack.
Financial Implications of E-Commerce –Lower cost of direct sale. Traditional means to sell orders on the web involves a low direct cost of sale hence a cheaper means by comparison with using other means. –Low cost of searching by consumers Customers will be able to search almost any kind of products online and therefore the company will be in a better position to advertise its products with competitive prices online through e-commerce and this will yield and increase its customer base (Kuksov & Lin 2010). EC 2006Prentice Hall 4