E-commerce is the use of electronic methods and technologies to sell and purchase either goods, services or information. The e-commerce concept was first introduced in the early 1990’s takes place over the World Wide Web. In this context, there are three distinct levels of integration in e-commerce including vertical integration and cross-business integration. The vertical level of integration involves the linkage between the front end of the website and transaction systems On the other hand, the cross-business integration involves linking a company’s website with the websites of its customers and suppliers. The third and final level of integration is the inclusion of technology to handle customers’ orders, purchases and customer service. Consequently, these three levels of integration give rise to a combination of links, information, websites and e-commerce websites, which are accessible over the internet.
Development and Growth of E-commerce
Over ...view middle of the document...
In this essay, focus is laid on the internet commerce layer, which constitutes companies that conduct e-commerce. Some companies utilizing the internet commerce layer include Amazon, eBay and Dell. The companies sell a wide range of products and services, for instance, domain names, eBooks, music downloads, electronics, shoes and clothing. In regard to the nature of products and services, there are two variations of e-commerce including partial e-commerce and pure e-commerce. In partial e-commerce, the transactions are conducted electronically but the goods are delivered physically. An example of partial e-commerce is when one purchases a hardcover book on eBay or Amazon over the internet and the book is delivered at their physical location. On the contrary, in pure e-commerce, the transaction and delivery of products or services is completed electronically. In this case, the products could include software, music and eBooks.
The e-commerce business model is growing fast due to its increased viability. As such, it has widely been adopted by consumers, businesses and governments. The increased viability and adoption of e-commerce is due to an increase in connectivity and access to the internet. In this regard, both partial and pure e-commerce will continue to thrive and expand continually in the future. The substantial growth in e-commerce will corresponds to the increased growth in the number of online shoppers worldwide. Additionally, the dimensions of e-commerce will significantly expand in the coming years, for instance, governments will embrace e-commerce in both bilateral and multilateral trade. As such, there will be increased economic cooperation between governments and businesses. Further, there will be a drastic increase in the number of e-commerce startups. The new startups will be facilitated by the rapid growth in the mobile telecommunications sector, virtual communities as well as secure electronic payment methods.
Manzoor, Amir. E-Commerce. Saarbrücken: Lambert Academic Publishing, 2010.
Meyer, Craig. E-commerce boom triggers transformation in retail logistics. Jones Lang Lasalle IP, Inc., 2013.