E-Commerce – Advantages

E-Commerce – Advantages

E-Commerce advantages can be broadly classified in three major categories:

  • Advantages to Organizations
  • Advantages to Consumers
  • Advantages to Society

 

Advantages to Organizations

  • Using E-Commerce, organization can expand their market to national and international markets with minimum capital investment. An organization can easily locate more customers, best suppliers and suitable business partners across the globe.
  • E-Commerce helps organization to reduce the cost to create process, distribute, retrieve and manage the paper based information by digitizing the information.
  • E-commerce improves the brand image of the company.
  • E-commerce helps organization to provide better customer services.
  • E-Commerce helps to simplify the business processes and make them faster and efficient.
  • E-Commerce reduces paper work a lot.
  • E-Commerce increased the productivity of the organization. It supports “pull” type supply management. In “pull” type supply management, a business process starts when a request comes from a customer and it uses just-in-time manufacturing way.

Advantages to Customers

  • 24×7 support. Customer can do transactions for the product or enquiry about any product/services provided by a company any time, any where from any location. Here 24×7 refers to 24 hours of each seven days of a week.
  • E-Commerce application provides user more options and quicker delivery of products.
  • E-Commerce application provides user more options to compare and select the cheaper and better option.
  • A customer can put review comments about a product and can see what others are buying or see the review comments of other customers before making a final buy.
  • E-Commerce provides option of virtual auctions.
  • Readily available information. A customer can see the relevant detailed information within seconds rather than waiting for days or weeks.
  • E-Commerce increases competition among the organizations and as result organizations provides substantial discounts to customers.

Advantages to Society

  • Customers need not to travel to shop a product thus less traffic on road and low air pollution.
  • E-Commerce helps reducing cost of products so less affluent people can also afford the products.
  • E-Commerce has enabled access to services and products to rural areas as well which are otherwise not available to them.
  • E-Commerce helps government to deliver public services like health care, education, social services at reduced cost and in improved way.

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