Explanation of the Issue
* Electronic commerce and its related activities over the internet can be the engines that improve domestic economic well-being through liberalization of domestic services, more rapid integration into globalization of production, and leap-frogging of available technology. Since electronic commerce integrates the domestic and global markets from its very inception, negotiating on trade issues related to electronic commerce will, even more than trade negotiations have in the past, demand self-inspection of key domestic policies, particularly in telecommunications, financial services, and distribution and delivery. Because these sectors are fundamental to the workings of a modern economy, liberalization here will rebound to greater economic well-being than comparable liberalization in more narrowly focused sectors. Thus, the desire to be part of the e-commerce wave can be a powerful force to erode domestic vested interests that have slowed the liberalization of these sectors.
* The Internet continues to change every aspects of our life, and changes the way to understand ecommerce from a broad perspective, to learn the basics of underlying consumers make their purchase decisions. It is essential for organizations, large or small, technology, to assess the impact of the technology on business processes, to foresee how the Internet may shape the course of the future in our everyday life and business word, and to fully enjoy the benefits of electronic ecommerce in their business practices.
* E-commerce has completely changed the 21st century in a way that few other technologies have and is actively changing commerce as a whole on a daily basis. The amount of information and products that are available online is growing, and the amount of information people acquire and purchase daily online is growing also. The Internet is one of the youngest and fastest growing depositories of information in today’s world. Internet growth is still accelerating, which indicates that the Internet has not yet reached its highest expansion period. Over the past decade, ecommerce has grown into a full-blown industry and today, nearly everyone has made at least one purchase on the internet.
* E commerce is rising at 12% annually in the U.S, and EU. It is expected that in the few coming years the productivity gap between the European countries and the United states will close rapidly. Ecommerce sales are expected to reach $3.2 trillion by 2005. Advancing the Internet revolution is more than ever a key public policy goal.
* The impact of e –commerce on developing countries could be even stronger than that on developed countries because the scope for reducing inefficiencies and increasing productivity is much larger in the developing countries. To summarize, by cutting costs, increasing efficiency and reducing time and distance, e-commerce could become an important tool for development.
Discussion of the issue
* What does E-Commerce Mean:
* The term E-commerce is really a "catch-all" phrase that encompasses many concepts. To help you better understand, presented below is my over-simplistic definition of e-commerce.
* It is clear that e-commerce is a very broad concept and does not have a clear cut definition. * One way of defining it, is that, it is a way of doing business transactions via the internet. * E-commerce or e-business is based on the electronic processing and transmission of data, including * Text, sound, and video-commerce as it is commonly known is the use of technology to conduct financial transactions online. * E-commerce can occur within and between three basic participant groups – business, government, and individuals (see Figure)
“e-commerce is the online transaction of business, featuring linked computer systems of the vendor, host and buyer. Electronic transactions involve the transfer of...
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