What is E-commerce

 What is E-commerce

 E-commerce is a newly advanced technology related with commerce and computer or internet. E-commerce (Electronic commerce) is buying and selling of goods and services, or transmitting of funds or data, over an electronic network ( primarily the internet) On the other hand, we can say that e-commerce is a business model that lets firms/organizations and individuals buy and sell things over internet ( online). It consists of all the business activities carried on or with the use of electronic media I.e. computer network or doing business online by using IT ( Information technology). It may be buying and selling of stocks and bonds, a tangible products, buying and selling of goods and services etc. It is the modern business Methodology that addresses the need of firms/organizations, merchants, customers to cut the cost and improving the quality of goods and services delivered.

 So, E-commerce can establish a wider range market to both buyers and sellers by providing cheaper and more efficient distribution channels for products and services. Nearly every imaginable products and services are available through e-commerce. Examples- books, music, plane/ train/ bus tickets and financial services such as stock investment and online banking. E-commerce platform such as Amazon and eBay has contributed to substantial growth of online retail. Also digital market place such as eBay or Etsy serve as exchanges where multitudes of buyers and sellers come together to conduct businesses. As per estimates, it grows nearly 23% every year.

 There is a term called e-tail which is something used in reference to the transactional process that makes up online retail shopping.

 The term E-commerce and e-business are often used interchangeable. E-commerce is the process of doing business electronically. It involves automation of variety of B2B and B2C transactions through reliable and secure connections. The use of electronic transmission media ( Tele-communication ,internet ) to engage in the exchange of business documents, also including buying and selling of products and services in physical or digital form from one location to another using computer as a component and internet as a media.

 E-commerce is a composite of technologies, processes and business strategies that foster the instant exchange of information within organization or between organizations. E-commerce strengthens relationship with buyers and attract new customers in open market on a global scale.

 So, E-commerce is an application of various communication technologies to provide the automation in exchange of business information within the organization or company and externally with the customers, suppliers and financial institutions. E-commerce is an online business, where company allowed the visitors to access its website and buy the product online. Here both physical and digital products are sold. Also services, like financial services such as stock investment and online banking etc. are provided. 

It is considered as a very disruptive technology. E-commerce draws on technologies such as mobile commerce, electronic funds transfer, supply chain management, internet marketing, online transaction processing, electric data interchange (EDI), inventory management system and automated data collection system. 

 There are three areas of E-commerce: 

1) Online retail 

 2) Electronic market 

 3) Online auction 

 E-commerce has a wider range market for businesses. It may include: 

- Business to Business ( B2B), buying and selling of goods and services etc. And B2B electronic data interchange.

 - Business to consumer( B2C) and consumer to consumer ( C2C) , sales done in Online marketplace. 

 - Retail sales, Online shopping by consumers via websites, mobile apps and conversational commerce etc.

 - Social media is used for gathering demographic data 

 - Launching new products and services through internet 

 - Marketing though Online platform and established new customers.

 - Online trading and also banking, stock investment and currency exchange etc.

what is the meaning of commerce and what are its elements

MEANING OF COMMERCE 

Commerce is dealing with buying and selling of products. In simple words,  Commerce is an exchange of goods and services usually in money. Commerce is a widely used all around the world. Commerce works in millions of different forms,  like when we buy something in local stores, Companies produce products for sale, some companies provide services to us etc. These all and many more examples of commerce are present in our world. Commerce has a wider range. This is existing from our daily routine to big or large scale dealing. 

ELEMENTS OF COMMERCE 

There are basically three elements in commerce, which are involved everywhere. These elements are:

1) BUYERS – These are the people, who want to purchase goods and services with the exchange of money. We consider the buyer as first elements of commerce because in the absence of buyer,  other elements are worthless. 

2) SELLERS- These are the people,  who offered goods and services to the buyer for the exchange of money.  

Sellers are also classified into two different forms:

- WHOLESALERS- Wholesalers are also known as distributors.  They worked as middle man between producers and retailers/customers. So, wholesalers sell the product to retailers and other businesses. 

- RETAILERS- Retailers are those who sell the product to the consumers. Retailers have direct contact with the consumer of the product. 

3) PRODUCERS- Producers are those who create/made the product ( from row material)  and provide services to the buyers.

These are some basic element which describe how commerce works. So, basically this is an exchange of goods and services with money. 

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