The Internet & E-Commerce: A Global Connection - Research Paper

Introduction

The Internet also popularly known as "the Net" is a connected network structure that makes use of the TCP/IP to transmit data and information globally through different types of media. As a system of computer networks, the Internet can allow users using one computer to get data from other computers within the network. On the other hand, eCommerce refers to the buying and selling of goods and services via the Internet. E-commerce can also be referred to us as internet commerce, All the services involving E-commerce, which could include money or funds and data transfer are conducted via the Internet. E-Commerce applies different technologies in its operations like mobile commerce, internet marketing, electronic data interchange (EDI), electronic fund transfer, and inventory management systems. The transaction of funds and data in the E-commerce platform is done in four different ways: Business to Business, Customer to Business, Business to Customer and Customer to Customer.

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By the inception of the Internet, businesses do no longer depend on their local customers for their survival. The Internet has helped different businesses to get worldwide customers for their goods and services. The Internet has also changed the management of companies to communicate with their employees from various regions globally. Many businesses, however, can be on the verge of collapse when there are challenges with the Internet. When many business customers have problem with internet connections, particularly when internet service providers may have decided to give preference of faster speeds in internet provision to large companies and websites which could have paid to be prioritized (Yarmohammadi, Farnoush, & Nieminen,220). Any business that could not be treated as a priority by the internet service providers in the internet provision and that could be using web portal could be unable to serve their customers due to instability of internet connection. Removing regulations that protect net neutrality can have adverse effects on the ability of different E-commerce businesses to deliver services to their customers via the Internet. E-commerce depends heavily on a stable internet connection between the management, employees and their customers for effective service delivery. Small and medium E-commerce businesses may not be seen as a higher priority by the internet service providers. The low-income customers who could possibly not afford high priority internet connections could likely suffer with slower internet connections (Yarmohammadi, Farnoush, & Nieminen,220). The rural and the less developed areas where people struggle to get stable internet access could be isolated completely. The instability in internet access can inhibit and hamper the ability of E-commerce to deliver services to their customers efficiently. Changes to eliminate regulations that protect net neutrality can threaten development in the E-commerce industry. Net neutrality tries to analyze the regulations posted on the internet service providers not to limit the content provided by their clients by making sure that the Internet they provide to their client is distributed equally. Debates concerning network neutrality have been active for the last few years in many countries like the US.

The continued advancement in the E-commerce industry strictly relies on the stability of the Internet that is provided allowing business employees and the business customers to access necessary and relevant databases where they could get information concerning their businesses. The various developments and advancement in the E-commerce industry can directly be linked to the advancement in technology.

Free and accessible Internet to the E-commerce businesses has both pros and cons to these E-businesses. Some of the pros that are brought forth by fast and stable internet access include reduction of the operational costs for the E-businesses. It also facilitates effective customer care service, promotes a good marketing strategy. The Internet enables the E-business to access a wider global market and helps the E-business to reduce its marketing cost. The Internet allows different to collaborate, and E-businesses can research using the Internet. Also, many E-businesses can enjoy digital advertising through the use of the Internet leading to ease of communication. Finally, the Internet has led to the rise of telecommuting.

Stable and fast internet access can facilitate the reduction of cost for an E-business. The use of telecommunication systems and Internet in the E-business allows the business to cut on its operational costs. For example, the use of internet platforms like email to communicate during business operations has helped companies to save money that could have been as phone or postal charges. Also, when businesses decide to use video conferencing to conduct business meetings, it is likely to save finances and time that could have spent to travel to attend the meeting (Singh et al,68). Application of telecommunication services like the Internet allows the E-businesses to improve their customer services. For example, the use of the Internet by the E-businesses while making business transactions allows a quick and reliable platform for conveying goods and services in a wider area or market. Also, internet use has facilitated Online payment arrangements, thus reducing the costs that these E-businesses could have incurred like interest charges or fees charged by banks.

Internet access has facilitated the use of websites by businesses to conduct E-commerce. Use of websites has enabled many E-businesses to strategize their marketing, making it possible for them to sell their goods and services to a wider global market. Internet use of E-businesses allows these businesses to get new customers to whom they can market their goods. Websites facilitated by stable Internet used by the E-businesses allow customers to get clear and full details about the company as well as the product they could be willing to purchase from the company (Singh et al, 68). The E-businesses also benefit from the use of websites by their client. This is because the sales they make increases, and the amount of money that they use to advertise their products via the websites also reduces as compared to when the businesses could have used other methods of advertising like Television or Newspapers.

The rise of the Internet has given birth to many different social media platforms. Both large and small eCommerce businesses use the social media platforms to connect with many people all over the world when marketing their products (Singh et al,67). The social media platform offers a low-cost channel for eCommerce businesses to sell their goods and services, thus making more profits. The use of Internet has simplified how business managers and professionals from different companies or corporation can collaborate and work together while located in places. By using Internet seminars, people can collaborate from different places all over the world by simply logging onto a website.

Today, many businesses all over the world use the Internet to research new ideas on how to come with new products. Businesses also use the Internet to research the products that can make them compete favourably with other businesses in the market. Internet also helps businesses to research in areas with large populations that could create a favorable market environment for their business before they could locate their business in the area. Advertising is an integral part of any business. Internet helps many businesses attract customers from different parts of the world. Internet enables the use of platforms like websites and search engine optimization (SEO) which enables businesses to exist in the web thus being able to reach many potentials and interested customers from different parts of the world

When the Internet generated new communication platforms, many businesses were able to communicate with ease to their customers and employees. The use of email in the business world have changed how people communicate (Singh et al.67). The rate at which people communicate with each other on issues related to businesses has increased. It is as a result of the ease with which communication can be done via the email. The Internet has helped many businesses to allow their employees to work from home by using Internet-connected equipment given to them by their employer. This process is popularly known as telecommuting, and it allows businesses to reduce their overhead expenses. By use of telecommuting, businesses use less space in the office and therefore decreasing their daily expenses.

Although the Internet has resulted in various pros and benefits in the world of business, especially in the eCommerce, the Internet also brought a fair share of problems and cons in the field of business. These demerits include: lack of face-to-face interactions, negative feedback, lack of trust, cybercrimes, internet interruptions and high competition (Smith & Peter, 14). The major problem of doing an eCommerce is the lack of face-to-face contact between business owner or the employees and the customers. The lack of personal interaction between the business owner and the customers is disadvantageous to the business because there would-be no-good rapport with customers who could seem to be promising customers. Lack of face-to-face with the customers could make it difficult for any business management to understand the response of their customers concerning their commodities. Conducting business via the Internet, it is very likely to get negative feedback. Many customers would find it easy to criticize different companies or businesses through the Internet or online (Smith & Peter, 16). Many small businesses fear using social media platform since it can likely be manipulated by people who would be willing to make negative comments about the business. Negative comments against a business could lead to reduced sales in a business.

One of the major problems that faces e-commerce businesses is the lack of trust between the owner of the business and their customers. Lack of trust between the business owner and the customers could lead to reduced sales for the business because the customers may not be willing to buy commodities involving huge amounts of money from people that could not be trusted. Many online businesses have been reported to lose huge amounts of money through cybercrime. Cybercrime is not only a threat to online businesses, but also to their potential customers, especially when they are transferring money (Abashidze & Irakli, 620). Any business that is conducted on an online platform depends wholly on internet accessibility and availability. Lack or poor internet connections could affect the success of any business due to reduced sales. Online businesses are therefore prone to poor weather and mechanical problems of gadgets like routers. Profits of an online business can therefore never be steady when there are challenges of weather which could affect internet connections. Many people have decided to join the online business making the business very competitive (Abashidze & Irakli, 623). Making sales online could be difficult for many businesses which could not be able to invest in appropriate online marketing technologies like the search engine optimization (SEO). Online businesses also incur expenses of hosting websites which could help them become competitive in the business market.

Works Cited

Yarmohammadi Samani, Farnoush, and Jaro Nieminen. "Productification and its benefits in student-run consulting businesses. pdf." (2015):200-254.

Smith, Peter. "Competitive Strategies of Minority-Owned Small Businesses. pdf." (2018):12-16

Abashidze, Irakli. "Integrated Marketi...