Ecommerce is a part of the economy that covers all financial and trading transactions, including business processes related to such operations, with the help of computer networks, and the use of global computer networking technologies for business. It allows you to combine almost all processes that arise in a modern business as a single system. E-commerce is the sale and purchase of products or services through the Internet. Consumers can search for products or services using the Internet, as well as make payments by order. In addition, other users may exchange ideas and share information about their products or services. Government agencies can use the Internet to collect tax returns and spread official information.
- Electronic information exchange (Electronic Data Interchange, EDI),
- Electronic Funds Transfer (EFS),
- E-commerce (e-commerce),
- Electronic money (e-cash),
- Electronic marketing (e-marketing),
- Electronic banking (e-banking),
- Electronic insurance services (e-insurance).
Types of electronic commerce
There are some commonly known categories of e-commerce divided.
B2B or business plan
The principle of this kind of interaction is very simple. An entity trades with another entity. B2B is one of the most promising and actively developing fields of electronic commerce. It significantly simplifies operations at all stages of the Internet platforms, making trading more transparent and transparent.
B2C scheme or business client
In this case, the entity is directly trading with the customer. Here, as a rule, we talk about the retail sale of goods. This is a way to facilitate and accelerate the business process for the customer.
C2C scheme or consumer-consumer
This way of implementing electronic commerce involves the execution of transactions between two consumers. The main advantage of such systems for customers is that the price of the product is slightly lower than stores.
Advantages of e-commerce
- Having a global scale
- Cost reduction
- Supply Chain Improvement
- It’s always open (24/7/365)
- Fast access to commodities in the market
- Wide variety of products and services
- Cheap products and services
- Extensive services (ex. education, health, public services)
- Improving living standards
- Strengthening national security