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E-commerce

2020-12-30 00:35:00

E-commerce is the most important component of e-business. This term refers to any form of business agreement in which the interaction of the parties is carried out electronically and as a result of which the right of ownership or the right to use the goods (services) is transferred from one person to another. 

The term "e-commerce" can be described as running business through the Internet. This concept consists of three components: business entities (participants), processes, and networks (through which participants are connected and processes are provided). 


All this can be divided into large categories:

Online sales; 

Internet banking;

Online marketing;

Online booking of tickets / services / rooms;

Transactions in payment systems.

E-commerce consists of three bases: a server, a database and a system for delivering goods or services to the consumer. 


Let's look at these points in more detail. 

The first and most important thing is a fast and high-quality server. If your object of sale is very large or plans to grow to immeasurable sizes - the database - will become your strength. And to organize methods of delivery will not be difficult. 


How exactly does this "machine" work? The client makes a choice on the site from any convenient resource (smartphone / laptop / tablet). Then, the application automatically flies to the system administrator for processing, checks the availability of goods, its condition and the ability to go to the customer. Subsequently, the processed information is provided to the customer. The process of electronic payment begins, its result comes to the warehouse, where the goods are prepared for shipment and given to logistics. The customer receives an SMS with a message that the product is in place. The usual process that each of us goes through almost every day. 


BUT in such trade there are several varieties.

• C2C (Consumer-to-Consumer). The scheme "consumer - to the consumer". For example, OLX and ebay.com and similar, where any user, even if he is not an entrepreneur, can sell any thing or service. 


• B2B (Business-to-Business). Business-to-business scheme. This type of sales is more massive. Large batches of goods are sold to the dealer. He transfers the goods to small wholesale online stores that usually sell it to the consumer. 


 • B2C (Business-to-Consumer), "business-to-consumer". This is a retail agreement between legal entities and individuals. Rent, purchase of coaching courses, payment in the online store. 


• E2E (Exchange-to-Exchange), "exchange - exchanges". In the Internet, this type is used for transactions between the sites or brokers to exchange goods and services between entrepreneurs. E2E can be considered as a form of B2B. 


 • G2C (Government-to-Citizens). Payment for utilities, taxes, licenses, certifications and so on. In response, citizens receive government information, at which point it ceases to be "e-commerce." 

There are a number of disadvantages of this type of business, for example:


• Every day someone leaks confidential user data for big money used by scammers. This also includes the problem of constant server crashes and inaccessibility of online payments. 


• Copyright. Unable to track distributed pirated content. Accordingly, the rights of authors are violated every hour. 


• Law on Advertising. Provisions governing advertising activities are enshrined in law. But even under modern conditions, it is impossible to track every case of non-compliance with these laws on the Internet. 


• Fraud. We often read various schemes of "Internet fraud" and fraud. 


• Non-payment of taxes. E-commerce allows you to circumvent the law and evade the official registration of the company and the payment of taxes. 

Now about the benefits: 


 • Savings. In order to open an online store, you do not need to rent an office and hire people. This greatly simplifies the business process in many areas of business. 


• Huge target. The Internet allows you to sell anything, to anyone, anywhere. There may be some problems with the delivery of goods, but all these issues are quite raised. 


• Minimization of intermediaries. There is a real opportunity to reduce the cost of intermediaries and work directly with the manufacturer. Due to this, the cost of goods is significantly reduced and the seller-buyer contact is established. 


• Ability to track, analyze, calculate sales, costs, promotion and overall business development online. Modern analytics and reporting systems allow you to 100% monitor the situation on your platform. 

As of today, e-commerce is developing and gaining momentum. Due to the situation in the world, people were initially forced to use online shopping, but now, realizing all its charms, it has become an integral part of their lives. And if you ask the question "is it worth occupying this niche?", We will no doubt answer - yes, even assessing the possible risks. 


Well, in the end, we have listed for you the TOP-7 sites for e-commerce: 


1. Smilodo 

2. Shopify 

3. BigCommerce 

4. Yahoo store 

5. Volusion 

6. 1shoppingCart 

7. Wix 


 Each has its advantages and disadvantages, but we have done a great job to identify these leaders, among the massively saturated market. 

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