The Impact of E Commerce on Small Business
The Impact of E Commerce on Small Business
Impact of E-Commerce on Small Firms have factor that has influenced the processes of adoption and use of e-commerce in both small and medium enterprises and industries. Small scales firms that have adopted and have used e-commerce have taken into account not only the technological part and organisational aspects of implementation but also the strong user’s o the web sites with their own skills, attitude towards work, enthusiasm and fear of technology.
Whereas on the other side of the story, the majority number of consumers have to pace with and effectively use the services offered through internet by enterprises. Thus to carry out a successful relationship and transactions between consumers and firms, they not only have to exchange money and products but also information and mutual trust. E-commerce has been simply defined as a use of electronic range of networks to simplify, resolve, improve and pace up the various stages and processes of business like buying and selling and delivery of goods and services.
E-commerce`s prime driver is Internet which presents an hierarchical framework. The use of websites for small scales enterprises can create a major impact and global presence when compared to other Medias. The web are defined with no geographical boundaries or national boundaries but rather by the coverage of computer networks which offers widened access to different markets for small scales and micro enterprises. Small scale industries find more competitive markets and intense pressures with their limited resources and manpower and mainly of weaker market power.
Due to this SME`S had to undergo pressure to co operate more into networks to spread information, develop costs and risks. Small scale industries are amongst the last ones to benefit from the new technology and are happily excited about the widened opportunities increased through internet and E-commerce. Internet Web Spending includes capital and operation incurred expenses to build and support new systems of web based. Small enterprises sell both to businesses and consumers though a majority share is been sold to consumers than businesses.
Internet offers an access to wide range of goods and services that small scale industries are interested in and help them in their competitive field. It includes tools that small firms can use to enhance and flourish their businesses, reach new customers and maximize customer relationships. The basics must haves in internet usage of SME`S should be email, specialized industry/ professional information and product information. Email is to contact the same for urther relationship and to resolve any query. Professional information should be displayed as to stand out in the competitive market and showcase the goodwill of the enterprise and product information does creates an impact of the benefits it offers compared to other products and services. The final frontier is to reach the customers through the media created by Ecommerce. They are as follows: Creating a web site – The main state is the creation of a web site.
The web site creation is a tedious process as it involves of thinking process and building up a website, its content, designing, security measures, all take in a lot of engineering. Once the website is created, we are ready to do business. Banner exchange/ showcasing advertisements on other websites – Once the web site creation part is completed, the focus comes on the advertising part which makes it to publicize the website on other websites and social sites for example, google ads, facebook ads, and etc.
These are useful as they have a far reaching impact on state and national as well as global level. They are so effective that they can dig out customers from any corner of the earth, given that technology is available. Management tools for web sites – After the completion of the website, the management tools take in place such as that of the server, security and antivirus measures and many more. These are essential part of the tools and parts of the web site management.
Visitors counting – There is a space on the website which when visited by a person, displays his visit number and the total number of members who have visited. This informs us the number of times the web site has been visited and successful of the website creation of the business. Ecommerce solutions – The next solutions is the Ecommerce solutions that is the solutions leading to the Ecommerce and it’s far reaching impact on the business where a problem is encountered operationally.
The benefits to ecommerce impact on small scales industries are as follows: Global Reach: it has helped business to reach national and international markets with quite less costs incurred to find the best and most profitable suppliers, expand business, gain new customers and co-ordinate and find the best suitable partners for business. Minimise costs: Once the website is been designed it reduces the cost of hiring an offline mode of marketing. This acts as a major advantage of e-commerce. No customary charges are applied when website designs promotes the business.
Certain offline marketing costs are cut and thus it reduces the costs overall. Building customer relationship : E-commerce helps in building the customer relationship as the customer is aware of the whole process while buying the goods and services and it creates a better impression about the she’s to the customers . The SME`s benefit in a way that the customer becomes fully aware of the product and services as personalized communication helps to attract customers and built a goodwill for a enterprise. The goods and services are up to dated on the websites with quality, price and size.
Long Business Hours: Creating an online marketing field benefits the SMEs as in there is no fixed working hours. The sites are 24hours seven days a week available with no extra costs and transactions can be carried out any time of the day. Therefore Ecommerce has significantly showed a major growth in past few years. It has helped SME`S in enhancing growth, expanding and creating a new business measures in a much easier and implied manner. It has changed the way customers are been dealt and growth towards economy has also been observed.
University/College: University of Chicago
Type of paper: Thesis/Dissertation Chapter
Date: 7 January 2017
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