Electronic commerce or e-commerce involves the transfer of information across the Internet or commercial transaction across the Internet. From music or auction websites through retail website to the exchange of services and goods by business corporations ti consumers thereby covering a range of different types of businesses. It is currently the most important aspects of the Internet
E-commerce removes the barriers of time or distance by allowing consumers to electronically exchange goods and services. Over the past five years, electronic commerce has rapidly expanded and at this rate it is predicted to continue.
In the coming future, the boundaries between electronic and conventional commerce will become blurred as many businesses move their operations onto the Internet.
The electronic transaction between businesses rather than between a business and a consumer is known as Business to Business or B2B.
The transactions done electronically provide vast competitive advantages over traditional methods. Business to Business businesses deals with hundreds or even thousands of other businesses, either as suppliers or customers. E-commerce is more convenient, faster and cheaper than the traditional methods of trading goods and services when implemented properly.
For quite some time Electronic transactions have been in existence in the form of Electronic Data Interchange or EDI. What this entail is that each supplier and customer is to set up a dedicated data link between themselves. But in e-commerce multiple ad-hoc links can be set up for companies, making it a cost-effective method. Electronic commerce is an electronic marketplace where suppliers and potential customers are brought together to conduct mutually beneficial trade.
If you are unaware of e-commerce principles, running an online store that is successful will be difficult, and your online business will not enjoy the full benefits of e-commerce. Becoming a successful online store requires the implementation of an e-business plan. This is a crucial part that requires understanding and researching the guidelines.