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E Commerce Also Called Electronic Commerce Information Technology Essay

3153 words (13 pages) Essay in Information Technology

5/12/16 Information Technology Reference this

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E-commerce, also called electronic commerce is use of the Internet and to transact the business. More formally, we must focus on the digital enabled commercial transactions between and among the organization and the individuals. Each of these components is very important in the e-commerce. The digitally enabled transactions are include all the transactions that mediated by the digital technology. These means the transactions will occur over the Internet and the Web. Besides that, the commercial transactions are involved with the exchange of the value such as money across the organizational or the individual boundaries in return for the services and the products. The exchange of the value is very important for understanding the limits of the e-commerce because without an exchange of the value, there will not have the commerce occurs. Other than that, e-commerce can do different types of the business activity such as online shopping, electronic payments, online auctions, internet banking, online ticketing and others. The online shopping is the people can buy or selling the goods through the Internet. The electronic payments are when the people buy the goods at the e-commerce website, they will be use the electronic payments to pay the fee and this also can reduce the inefficiency and associated with writing or mailing the checks. The internet banking is the people can do the banking operations through the bank’s website and no need to visit to the bank, so it will save our time. The online ticketing is the people can book the tickets such as train tickets, movie tickets, air tickets and other tickets through the online, so the people no need to queue up at the ticket counters. Moreover, there have the seven unique features of the e-commerce technology, which are ubiquity, global reach, universal standards, richness, interactivity, information density and personalization/ customization. So, the e-commerce website that I choose is the eBay.com.

3.0 Answer of Question 1:

The eBay website is the website that allow the people sales or purchase the goods. The people can register the account of this website to get more clearly information and easily to sales your goods on this website or purchase the goods on this website. When people have the account, the website wills automatic record the history that they selling and purchasing and the people also can send the message to merchant to get more clearly information about the goods.

3.1 Seven Unique Features of E-commerce

Besides that, there are the seven unique features of e-commerce technology inside this website and have one feature is implementing well and one is implementing poorly.

3.1.1 Ubiquity

Ubiquity means that the commercial transaction or any activities that related with the e-commerce is available at everywhere such as at workplaces, at homes and even on the mobile devices and also can sign in to the e-commerce websites anytime. The ubiquity of e-commerce website can help the consumers reduces the transaction costs that the costs of participating in the market. In additional, the consumers no need to spend the time to go market to make a purchase. During this time, the people will always choose the path that requiring the least effort and can make them more convenient, so the e-commerce website is more suitable to them. For example, the eBay website is not only in Malaysia but also in United Kingdom, United States, Australia, Canada, China, Korea, Singapore and other country. So, the consumers can purchase the goods from other country. In addition, this website also can stay connected to Facebook, Google+, Twitter and eBay mobile.

3.1.2 Global Reach

Global reach means that the e-commerce technology is permits the commercial transaction to cross the national boundaries and make it more conveniently. So, they have many e-commerce merchants will create an e-commerce website to make it become a potential market and famous in the world. The total number of the users or consumers in the e-commerce business can obtain is a measure of its reach. For example, eBay website is the ubiquity website, so people in the whole world can go through this website to do the goods sales or purchases. It also can let people do the commercial transaction between each nation.

3.1.3 Universal Standards

A universal standard means the standards that are shared by all nations around the world. The universal technical standards of the e-commerce are a greatly lower market entry cost, which means the merchants must pay the costs of the goods that they bring to the market. Besides that, for the consumers, the universal standards will reduce the search costs, which means the effort required to find the suitable products. Furthermore, to create the one-world marketspace, where the prices and product descriptions must be inexpensively displayed for all people to see and the price discovery must becomes faster, simpler and more accurate. For example, eBay website has the universal standard that can share by all nations which have this website. The entire eBay website will have free cost of visit this website for users and users can register the account to get more details information of the products.

3.1.4 Richness

Richness means the complexity and content of a message. Back to the early days, the traditional markets have a great richness; they are able to provide the personal, face-to-face services using an aural and visual cue when they do the selling with consumers. So, the richness of the traditional markets makes them have a powerful selling or commercial environment. The e-commerce technologies have changed the traditional trade-off between the richness and reach, the larger the people reached, the less rich the message. For example, the eBay website will deliver the full descriptions or details of each product. So, it will let the consumers know the feature of each product and decide whether want to buy the product or not. Besides that, eBay website provide the community to let the seller communicate with the consumers to promote and explain the products to them.

3.1.5 Interactivity

Interactivity means the technology that allows for two-way of communication between the merchant and consumer. The interactivity is works through the interaction with the people. Moreover, the interactivity is allows the online merchant to attract the consumer in the ways similar to the face-to-face experience and it is more massive and global scale. For example, the eBay website has provided a community to allow everyone do any announcement, enquiry and discussion between each and other. So that, the buyer and consumers which are stay at different nation also can do the commercial transaction. They can communication at the eBay website or change the e-mail each other for more detail asking.

3.1.6 Information Density

Information Density means the total amount and the quality of information are available to all market participants. It is reduce the information costs and increases the quality of the information to making it more useful and important. For example, the eBay website is full of the information such as the detail information of the goods with the picture. So that, the consumers no need to pay any costs for searching the details information and the information that provide by eBay website is accurate and useful.

3.1.7 Personalization/Customization

Personalization means the merchants can target their marketing messages to the specific individuals by adjusting the message to the person’s name, last purchases and interests. For example, eBay website will send the different marketing messages to the different consumers which are already register and have the record in their system. The customization means the users can change the delivered goods or service based on their own preferences or prior behaviour. For example, eBay website allows the consumers do the wish list that is which products that you want to deliver first or which service you want to the seller to do.

3.2 Implement Well and Implement Poorly

The ubiquity is implementing well in the eBay website because there are many country have this official website, so the people can sales or purchase the goods from different country. So, consumers can do the comparison of products between different country and choose the suitable products that they need.

The interactivity is implementing poorly in the eBay website because it is not a real time chat. They just provided the community to allow everyone do any announcement, enquiry and discussion between each and other. If the consumers do the announcement, they must wait for the seller do the reply and this is inconvenience. In my opinion, I suggest the eBay website must add the real time chat like the Facebook’s real time chat because it let the consumers and seller can communicate to each other, so can easily do the commercial transaction. This method can increase the interactivity between the seller and consumer and can make eBay website more famous.

4.0 Conclusion of Question 1:

In the conclusion, there have many advantages of the online purchase. The first advantages are lower price. The goods are usually cheaper on the website because the warehouse and staff costs are lower and the e-commerce website want to attract and keep the customers. The second advantages are convenience. People can access the e-commerce website through the internet and they can do it at anywhere such as home and it also can save their time. The third advantages are wide choice. There have many e-commerce website around the world, so it will give more choices to the people to choose the good and famous website. The last advantages are quick delivery. Most of the e-commerce website will deliver the goods to consumer within a few days. So, the e-commerce website gives many benefits to the people.

5.0 Introduction of Question 2:

During this technology generation, there have many people are using the computer through online to visit the e-commerce website to do online shopping. This means the online purchase has gained immense popularity and famous in today’s times. What is means of the online shopping? Online shopping is the process that the sellers will sales the goods to the e-commerce website or the buyers purchase the goods through the e-commerce website. The sellers and buyers will interact and negotiate through the e-mail messages, chat, or video call by using the VoIP (Voice-over Internet Protocol) service providers. Some of the e-commerce website can stay connected to the Facebook, Twitter or Google+ like the eBay website, and then the sellers and buyers also can do interact in these few website. Besides that, there are some several names that we can find pertaining to the online shopping itself such as e-store, e-shop, web store, web shop, virtual store and online store. In addition, there also have the advantages and disadvantages of the online purchase.

6.0 Answer of Question 2:

6.1 Buying Products through Online

I have chosen to buy the product through online and didn’t buy from the physical shop because it is more convenience. I can just order the product that I need at home or anywhere through the internet and no need to go to the physical shop or shopping mall to purchase the product. After do the order, I just need to wait for the product that delivers to my home. Besides that, I not have my own vehicle so cannot always go out to the physical shop to purchase the product and it is give the inconvenience to me. So, that is why I have chosen to buy the product through online. In addition, it also can save my time because I no need to spent time to go the physical shop and I can use that time to do my own work. Furthermore, I can do the comparison of the products such as the features and prices of the products and it can help me to do the deciding to purchase which products better.

6.2 Advantages of Online Purchase

There are many advantages of the online purchase such as convenience, research capabilities, infinite choice and no pressure sales.

6.2.1 Convenience

The first advantages of the online purchase are convenience. All the e-commerce websites are allow the people to purchase the products in 24 hours a day, 7 days a week. So people can visit the websites anytime and can do online purchase at their leisure or regardless of their time zone. Besides that, people also can do the online purchase at everywhere such as their home or office and no need to go the physical shop to purchase the products. This is especially useful for mothers that want to take care for the small children. By purchasing through online, people no need worry about the inclement weather or haven’t vehicles to go to the physical shop. So, the online purchase is making us more convenience.

6.2.2 Research Capabilities

The second advantages of the online purchase are research capabilities. There are many e-commerce website in internet to allow people purchase the product. So, people can easily do the comparison of the features and prices of the products that they want. It can let the people can purchase the good products and also can save their money. Besides that, the online merchants can provide more detail information about their product that they sales on the website and this can help them save the cost of print catalog. They also can share the product’s information and reviews to some website to let people interest to the product.

6.2.3 Infinite Choices

The third advantages of the online purchase are infinite choices. There are many e-commerce website and people can choose the website that they think is good. There are some famous e-commerce websites such as eBay.com, Amazon.com and Mudah.com. There are many products sales in the e-commerce website such as cloths, mobile phones, computer, jewellery and vehicles. So, people have the infinite choices to choose the products that have the good quality, features and lower prices. Other than that, because have the infinite choices of the products, people can easily to do the comparison of the products. For example, people can do the comparison between the own country products and other country products to know about which country products are the best.

6.2.4 No Pressure Sales

The last advantages of the online purchase are no pressure sales. When we are go to the shopping mall, must have the aggressive salesman often pressurize us to test their products and then call us to buy their products. This action will make us feel troublesome and don’t want to go there again. On the contrary, the online shopping will not have this kind problem and we also can keeps annoying salesman at bay. The e-commerce website will not force people to purchase anything and they just allow them to visit their website with no cost entering.

6.3 Disadvantages of Online Purchase

There are many disadvantages of the online purchase such as cannot physically see the products, must wait the products arrive, delivery risks and online security.

6.3.1 Cannot Physically See the Products

The first disadvantages of the online purchase are cannot physically see the products. Normally, when we are going to the physical shop, we at least can see the model of products and we can choose the size and colour of the products. On the contrary, when we are purchase the products through online, we just only can see the picture of the products and cannot to see the physical products, so that we cannot touch and try out the products to estimate the qualities of the products. Some people are like to try the products before do the payment, but this feature is cannot find in the online purchase.

6.3.2 Wait the Products Arrive

The second disadvantages of the online purchase are must wait for the products to arrive. When we are purchase the products through the e-commerce website, we must take the few days to wait the products to arrive and during the times to wait for the products, it can be make us quite frustrating. If we are purchase the products from other country like United States, so we must take a long time to wait for the products because the distance is too far. On the contrary, if we are purchase the products at the physical shop, we can get it after make a payment and no need to wait for long times.

6.3.3 Delivery Risks

The third disadvantages of the online purchase are delivery risks. When we are doing the online purchase, we must be wait deliver to us. What if the products that we are expecting are never arrives at long time, we will worry about is the seller scam us or the courier company didn’t deliver the products to us. Besides that, what if the courier company is deliver the products to us during the time we are not at the home, is the courier company leaves the products on the door and the passer will steal it when see the products at the outside of door. In addition, what if the shipping company is broke our products and we are realizing it after opening the products when the courier man has already gone away. Then, when we are doing the feedback to the seller, the seller might claim that is our broking it and cannot make the amends.

6.3.4 Online Security

The last disadvantages of the online purchase are online security. During the recent survey showed that the majority of the online shoppers were not aware of the various phishing scams, hacker attacks, and how it will affected to them. Furthermore, we are making the payments through online is usually safe but not always. There may have some of the e-commerce website are not secure because they do not encrypt our personal credit card data, so if the hacker is breaks their system, our personal data will be compromised.

7.0 Conclusion of Question 2:

In the conclusion, there are many advantages and disadvantages of the online purchasing. The introduction of the e-commerce give the convenience to the people such as people can purchase the products that needs through online and no need to go to the physical shop and this help the people save for their time to do other important work. On the contrary, the convenience of the e-commerce maybe will make the people become lazy because they always dependent to the e-commerce website and don’t want go out to the physical shop. So that, if you think the e-commerce give you more advantages, then it will good for you.

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