Unique Features of E-commerce Technology

Ubiquity: –

E-commerce is ubiquitous, meaning that it is available just about everywhere at all times. It liberates the market from being restricted to an e-commerce physical space and makes it possible to shop from your desktop. The result is called a market space. From a consumer point of view, ubiquity reduces transaction costs.

Global Reach: –

E-commerce technology permits commercial transactions to cross-cultural and national boundaries far more conveniently and effectively as compared to traditional commerce. As a result, the potential market size for e-commerce merchants is roughly equal to the size of the world’s online population.

Universal Standards: –

One strikingly unusual feature of e-commerce technologies is that the technical standards of the Internet and therefore the technical standards for conducting e-commerce are universal standards i.e. they are shared by all the nations around the world.

Interactivity: –

Unlike any of the commercial technologies of the twentieth century, with the possible exception of the telephone, e-commerce technologies are interactive, meaning they allow for two-way communication between merchants and consumers.

Information Density and Richness: –

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 costs. At the same time, these technologies increase greatly the accuracy and timeliness of information, making information more useful and important than ever.

Personalization: –

E-commerce technologies permit personalization. Merchants can target their marketing messages to specific individuals by adjusting the message to a person’s name, interests, and past purchases.

E-commerce technologies make it possible for merchants to know much more about consumers and use this information more effectively than ever before.

What is Business, Commerce, Industry, Trade, and Ads in Trade?

Business: –

“Any legal activity in earning the profit.”

A business can be defined as an organization that provides goods and services to others who want or need them

A business (also called a company, enterprise or firm) is a legally recognized organization designed to provide goods and/or services to consumers.

Commerce: –

Commerce is the exchange of items of value between persons or companies. Any exchange of money for a product, service, or information is considered a deal of commerce.

Trade: –

Trade is the voluntary exchange of goods, services, or both. Trade is also called commerce or transaction. A mechanism that allows trade is called a market. The original form of trade was barter, the direct exchange of goods and services

A producer might sell items or provide a service, and a customer pays them for it. This is trade.

Industry: –

An industry (from Latin industries, “diligent, and industrious”) is the manufacturing of a good or service within a category. Although the industry is a broad term for any kind of economic production.

The industry refers generally to areas of economic production which involve large amounts of upfront capital investment before any profit can be realized.

Aids in Trade:

All the activities, which help in trade e.g. Transportation, insurance, agents/brokers, banks, etc.

What Are The Eight Key Elements Of Business Model?

A business model is extremely important to ensure a business is set up properly and has the ability to run smoothly. The business model is the main component of a business plan and this is necessary when looking for investors from both individuals and banks.

There are 8 components which make up Business Model:

Value Proposition: –

Value Proposition basically outlines why a customer would buy from you. There must be a definition of what product of service you provide and why customers would choose you.

Revenue Model: –

Stating exactly how the business will make money. Earning revenue and generating profits is usually the primary objective of a business so this is particularly important.

Market Opportunity: –

Market Opportunity refers to a company’s intended market space and the overall potential financial opportunities available to the firm in that market space.

Competitive Environment: –

Competitive Environment whereby other competitions selling similar products and operating in the same market space are outlined along with additional information such as how large they are, their net profits, their share of the market space and the price of their product.

Competitive Advantage: –

To compete against established and well-trusted companies, your firm must have some kind of advantage over the competition, which will encourage customers to use your products or service. It may be a cheaper product or a higher quality.

Market Strategy: –

Market Strategy a Plan that details how a company intends to enter a new market and attract strategy such as promoting products or services to attract a target audience.

Organization Development: –

Organization Development Explaining what types of organizational structures within the business need to be in place to ensure it runs smoothly and all the necessary work is completed.