Concept of E-commerce

   

          E-commerce refers to the commercial transactions of services in an electronic format. E-commerce is  generally described as a method of buying and selling products and services electronically. Mostly people think E-commerce means online shopping but it is just only a small part of E-commerce. E-commerce is doing business electronically by bringing together buyers and sellers. It integrates data, electronic communication and security services to facilitate business applications. It makes use of computers and telecommunications for several business transactions that comprise the basic operation of the company including communication and co-ordination with suppliers, financial institutions, consumers, banks, insurance agents, distribution channels and other trading partners. E-commerce is a dynamic set of technologies applications and business processing that link enterprises, consumers and communities through electronic transactions and the electronic exchange of goods, services and information. E-commerce has been able to change the way business functioned and the strategies that business organization would adopt in order to face competition.
Even small organization would be able to access large number of consumers. Improved and speedier interaction between buyers and suppliers reduction in operating costs and increase in productivity and high profit. Through electronic means detail information on products and services can be made available very easily to customers. Also information and feedback from customer and users can be available, so that the supplier or service provider can know the needs of the customer. Internet offers an integrated marketing, services and sales facility because Internet marketing and advertising has a global reach and information on Internet can be updated and made available on no time.