what is e commerce

GCE As Level in Applied ICT

eCommerce relates to the process of ◦ buying and selling of goods or services◦ transferring monies from banks and businesses◦ costing and providing tenders/ bids for services◦ running auctions

….via electronic networks (internet or intranets)

e-Commerce e-Sourcing e-Tendering e-Evaluation e-Auctions

Distances are reduced. People can find even specialist shops in their living rooms on the computer.

Competition is encouraged. The Internet allows people to research their shopping or other needs very thoroughly, checking prices and product details.

Job availability. Many companies have started and developed based on E-commerce alone. Others have developed it as a response to competition.

Increased convenience. For consumers buying on the Internet has become convenient and safe.

Increased dependence on the Internet. Now, both for companies and individuals, there is pressure to have Internet access to do everyday things such as submit orders or look up details in a catalogue.

Privacy.  A lot of e-commerce sites have the practice of collecting consumer information in order to find trends in the market.  This is fine but the problem is when these companies sell your information to other companies for spamming purposes.

Access. Some people still do not have access to a computer or the Internet and therefore can not take advantage of special offers.

Security.   Even with the improvements with data encryption, there is still the danger of someone getting a hold of your personal and financial information.  Also, some sites don't have the capabilities to authenticate transactions.  If someone gets your credit card, they can go to one of these sites and purchase items without proving whom they are.  All they need is your name and credit card number, which is already printed on the card.  

Identity Theft. Especially with the issue of terrorism at hand, people can steal other consumers' identities and use them to buy tickets or other items restricted from them. 

There are initiatives to make as many services available on the Internet as possible, including E-government, where government departments such as the Inland Revenue can be dealt with using secure websites.