Pros and Cons of E-Commerce
“The web is the ultimate customer empowering environment. He or She who clicks the mouse gets to decide everything. It is so easy to go elsewhere; all the competitors in the world are but a mouse click away.” Jacob Nielsen, Designing Web Usability. There are many Pros and Cons when it comes to e- commerce. The use of the internet e commerce has grown drastically in recent years. E commerce is the buying and selling of goods and services on the internet. Even though there are tangible privacy and security issues that keep people on guard, consumers face a dilemma each time they need to divulge highly personal information online, the ability to provide secure shopping transaction via the internet and companies can sell directly to the customers instead of a middle person and the internet allows companies to have access to a global market. E-commerce offers buyers maximum convenience. They can visit the web sites of multiple vendors round the clock any given day to compare prices and make purchases, without having to leave their homes or offices from around the globe. In some cases, consumers can immediately obtain a product or service, such as an electronic book, a music file, or computer software, by downloading it over the Internet.
E-commerce is attractive because it reduces the cost of doing business. Sending a few bytes of data over a network is cheaper, faster and more convenient than sending a messenger or even making a phone call. E-commerce covers any form of business or administrative transactions or information exchange that is executed using any information and communications technology. E Commerce has changed the way companies function in today society. The technology has advanced over the decade and the internet has given business better opportunities to grow and expand their business and reach national or even global levels. The internet allows any small business the opportunity to have a business in their living room rather than having an actual store front building. An example would be Dell computers. “Since its launch in the mid '90s, Dell's e-commerce business has been a poster child for the benefits of online sales, says Aberdeen Group analyst Kent Allen. The company's strategy of selling over the Internet -- with no retail outlets and no middleman -- has been as discussed, admired and imitated as any e-commerce model. Dell's online sales channel has proven so successful, Launched as a static page in 1994, Dell.com took the plunge into e-commerce shortly thereafter, and by 1997 was the first company to record a million dollars in online sales, according to Dell spokesperson Deborah McNair.” Privacy and security issues keep people on guard, as they face a dilemma each time they put their personal information online. Anup Ghosh, Weak Links, Best Defenses states that “despite the potential rewards of conducting business on the internet, major corporations have been slow to embrace this technology. The number one rated concern for both business and consumers is the potential for loss of assets and privacy due to breaches in the security of commercial transaction and corporate computer systems. A single publicized security breach can erode confidence in the business and not only damage the reputation of the firm, but also hurt the e-commerce industry as a whole.” There are several security concerns when it comes to e-commerce. There are many security concerns when using the internet such as spyware, phishing, and data theft. An increased Phishing and Online attack causes a major concern for some consumers. Companies selling goods and services to consumers via the internet must address these concerns and safeguard and protect the privacy of the consumer. Spyware is malicious software that is installed on a consumer’s computer without their knowledge or authorization. This type of spyware steals consumer’s passwords and other sensitive information. There are...
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