Online Business or e-business is any kind of business or commercial transaction that includes sharing information across the internet.Commerce constitutes the exchange of products and services between businesses, groups and individuals and can be seen as one of the essential activities of any business. Sharing of private information can put them in danger if hacked. *You can also browse our support articles here >. 3. Registered Data Controller No: Z1821391. Over the past decades e-business has helped and provided various methods in which buyers and sellers can transact In the decades to come, exploiting the full potential of developments could have profound impacts in individual sectors of the economy as well as for macroeconomic performance and economic policies. E-business may take place between firms (B2B), between firms and their customers (B2C), or between firms and the government (B2G). Thus, a few companies can participate in an e-business. And using web technology to In the last few years travel pattern has changed in the EU. An e-business offers no such opportunity to its customers. In 2004 the EU retail sector, the industry comprised of approximately 17 million firms that employed people in the EU27 (e-business watch 2007). This article will look at some of the impacts that have resulted from the advent and development of e-commerce. The term “e-business” was coined by IBM’s marketing and Internet team in 1996. This special issue is a global effort to address some of the pandemic-related issues affecting society. The term commerce is viewed as transactions conducted between business partners. Company Registration No: 4964706. Do you have a 2:1 degree or higher? International Journal of Information Management, 28(3), 203-214. They utilize them in the production of finished goods. This information is enticing to hackers and particularly vulnerable to data breaches, so e-business website owners are responsible for incorporating methods, … One prefers buying a physical good from a local store rather than ordering it online. 1.Provides Flexibility: E-business interacts with more customers, can entail more,and can offer an innovative experience through website. Easy jet has never used the travel agent network, they rely on the internet because all their flights are booked online by customers. Free resources to assist you with your university studies! Also, the online payment processing software eliminates the need for a store clerk. Over the past decades e-business has helped and provided various methods in which buyers and sellers can transact In the decades to come, exploiting the full potential of developments could have profound impacts in individual sectors of the economy as well as for macroeconomic performance and economic policies. E-business supplies numerous e-services and is a superior platform for services such as teaching. Electronic commerce is an emerging concept that describes the process of buying and selling or exchanging of products, services and information via At the aggregate level, productivity and economic growth could rise, at least for some time, as a result of more efficient management of supply and distribution, lower transaction costs, low barriers to e… Though it possesses stressful limitations, one can still eat desired fruits by implementing effective measures. Figures say that the climbing internet usage rate assures e-business growth. April 27, 2010, C Kapoor, Comments Off on Benefits Of E-Business. The introduction of E-business (ICT) in the European banking system has had a significant impact on banks operating system and their operations within physical branches. Google Scholar provides a simple way to broadly search for scholarly literature. In Due to technological advanc… In the retail sector, e-business has had great impact on the value chain. Operational benefits of Web use for industrial sellers are reduced errors, time, and overhead costs in information processing; reduced costs to suppliers by online bidding, submitting of bids, and awarding of bids electronically. We are witnessing a boom of new technologies, especially in the service sector (IT, Telecommunications, Internet, etc.). Study for free with our range of university lectures! Search across a wide variety of disciplines and sources: articles, theses, books, abstracts and court opinions. 11th Dec 2017 Accounting for trends in the overall economy can help business … Economic factors that influence the business are the collective of the nature of the country’s economic system, its structures, and economic policies, how the capital market is organized, and nature of factors of production, business cycles, and socio-economic infrastructure. From simple essay plans, through to full dissertations, you can guarantee we have a service perfectly matched to your needs. As delivery takes few days to reach the end customer, who pays at the time of ordering. Kim, Y.J., Song, J., & Koo, C. (2008). Coronavirus-driven event cancellations will spur marketers to explore digital alternatives and more event-like content promotion. (Journal of Air Transport Management, Volume 12, Issue 5, September 2006, Pages 253-260). The internet has contributed strongly to the growth of most budget airlines taking easy jet as an example. The negligible demand for man force reduces the cost of paying employees. On the one side, ecommerce makes it easier for businesses to reach a much wider audience at less expense than would be required if the traditional retail method was to be applied. The availability and continued growth of Internet technologies (IT) have created great opportunities for users all over the globe to benefit from IT services and use them in a variety of different ways. In total, there are 13 papers that cover different industry sectors (e.g., tourism, retail, higher education), changes in consumer behavior and businesses, ethical issues, and … Develops global economy. Customers frequently consult the Internet to … E-commerce has a significant impact on business costs and productivity. Hence, e-business makes transactions cost-effective and limits the burden on the companies. This, in turn, affects its profitability and growth. This factor is a major obstacle to the expansion of various online stores such as garments, leather or shoes among others. E-business stands for electronic business. Today, the internet is available 24 hours a day, which means a business stay open. E-business has a wide-ranging impact on the way organizations conduct business. Studies also shows productivity growth rose in the EU from year 2000 onwards, while average working hours per employee has decreased subsequently, this study tells use e-business investment is largely substituting labour particularly in retail banking. Copyright © 2003 - 2020 - UKEssays is a trading name of All Answers Ltd, a company registered in England and Wales. Notify me of follow-up comments by email. applicable as an ideal business purpose. Looking for a flexible role? E-business changes the macroeconomy in several beneficial ways. They utilize them in … Another negative effect of e-commerce is its potential threat to the security of consumers' personal information. At the same time, every business kind has pros and cons which we will discuss here. Read also: Positive and negative effects of eCommerce. In essence, retail companies will want to rationalize and reduce costs of supply and management of the supply chain, starting with purchasing cost. In the emerging global economy, e-business has increasingly become a very important and a necessary component of business strategy and a strong catalyst for economic development. However, there are a number of recent studies, which demonstrate that firms engaging in e-commerce need not perform better compared to more traditional enterprises. They will also want to differentiate their own offers from the competitors, exploiting customer relation management techniques as to communication, sales and customers’ loyalty (e-business Watch 2000). I will now discuss economic factors that have an impact on E-business. Electronic business or e-business refers to trade in goods and services using the internet. No plagiarism, guaranteed! In this special issue, we have invited scholars from different areas of business and management to write brief papers on various aspects of the effects of the COVID-19 pandemic. E-business, sure, is beneficial; however, its limitations need acknowledgement, as well. The companies across the globe face numerous challenges which include technology unavailability, expertise dearth, and shipping of grand products. Registered office: Venture House, Cross Street, Arnold, Nottingham, Nottinghamshire, NG5 7PJ. E-Business can be defined as any kind of transaction or exchange in which an electronic medium is used to facilitate the entire or part of the transaction. Economic Factors Affecting Businesses. Here, the buyer and the seller don’t meet personally. 138 on Minimum Age and ILO Convention No. It can provide a direct connection between airlines and customers without the need to use travel agents or Computer Reservation Systems (CRS), thereby leading to cost savings in the distribution of air tickets (Law and Leug, 2000) the internet has become very extensive in the travel industries and its impact has been particularly significant on the distribution channel for air travels and the use of the Internet for searching and purchasing airline tickets has become common in travel markets. Ecommerce Companies implement technology to create a competitive advantage in the business … E-business is a monolithic term encompassing the various business processes that aim to integrate the vendors or traders with the consumers and suppliers using the Internet. 182 on Worst Forms of Child Labour. E-business contributes in developing global economy by trading across international borders and reaching customers in the four corners of the world. E-Commerce has a chance to be widely adopted due to its simple applications. This write-up weighs the pros and cons of e-business for you. E-commerce is a revolution in business practices (Ohidujjaman, et al 2013). All work is written to order. According to Goldman Sachs (2000) study these gains range from between 2 and 40 percent of total input cost depending on the industry which may subsequently reduce the price in the overall economy. The results shed light on both the financial fragility of many small businesses, and the significant impact COVID-19 had on these businesses in the weeks after the COVID-19–related disruptions began. Electronic business is also known as online business. Thus it has a large economic impact. Electronic business (e-business) is a general concept covering any form of business transaction or information exchange executed using information and communication technologies (Whiteley, 2000). Disclaimer: This work has been submitted by a university student. Any successful organization pictures out the external factors that affect the business, anticipates the prospective market situations and work to minimize the costs while maximizing the profits. To share the fruits of all the manufactured goods produced across the world, international community stresses upon globalization. Overall, e-business benefits the economy in many ways. In the business-to-business context, higher efficiency can be gained from B2B e-commerce and B2B exchanges via lower procurement cost and better supply chain management. Benefits Of E-Business. Due to wide reach and availability of the internet, major corporations are conducting e-business to make supplies, collaborate on sales promotions and conduct joint research. It also highlighted the relevance of inter-business exchanges. Electronic Commerce provides the capability of buying and selling products and information on the internet and other on-line service. Ecommerce has affected businesses positively and negatively. E-business, also known as e-commerce, is the avenue companies use to sell goods and services via the Internet. It has made a great difference in terms of shelf life of products and stock rotation time. Every country in this world produces different raw materials as per their abilities and capacities of their land surface. In fact, retailers, beside their relationship with suppliers and consumers, have significant impact on intercompany exchanges through CEDI (centre of distribution). However, a key insight from our results is that the effect of e-business technology on operational development decreases over time at least in the subsequent periods. The UK figures released by the Office of National Statistics in February 2009 showed that internet retail sales, as a percentage of total retail sales, rose by 13.2% (average weekly value of £167 million). Political issues among few nations lead to the legal restriction on some products from specific countries. Due to this, groceries and confectionery product e-business makes small profits. Cyber attack is a major concern in an e-business. Look at some of the work produced by our essay writing service is here to help study free. Journal of information Management, 28 ( 3 ), 203-214 sector the. Solutions which enable most everyday banking services to be widely adopted due to this reason an... And growth Off on benefits of e-business: here are few reasons why businessmen prefer e-business over one! 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