What is E-Commerce?

Ecommerce which is also known as internet commerce or electronic commerce refers to the selling and buying of different types of goods and services with the use of internet and also transfer data and money for the execution of these transactions.

In other words, we can say that ecommerce is used for the sale of physical products through online mediums with the use of internet.

Types of e-commerce: Basically, there are four main types of ecommerce models, which are as follows,

1) Business to business or (B2B): In B2B , the transaction for goods or services take place in between one business and another business, where one business is the seller and another business is the buyer.
2) Consumer to Business (C2B): In C2B , the transaction for goods or services take place in between individual consumer and business, where individual consumer is the seller and business is the buyer.
3) Business to consumers or (B2C): In B2C , the transaction for goods or services take place in between business and individual consumer, where business is the seller and individual consumer is the buyer.
4) Consumer to consumer or (C2C): In C2C , the transaction for goods or services take place in between one individual consumer and another individual consumer, where one individual consumer is the seller and another individual consumer is the buyer.

Examples of Ecommerce :
 Online travel ticketing etc: Ticketing for air, rail, bus, movies and events.
 Online marketplace: where sellers and buyers transact online is known as marketplace.
 Online deals: Deals purchased online, Redemption may or may not happen online.
 Online portal classified: Includes cars jobs properties and matrimonial portals.

Advantages of e-commerce:
 Operates 24/7 (browsing buying and selling)
 No need for setting up a physical outlet
 No Geographic limitations
 Wide range of products and services
 Wide choice of payment options which include cash credit card debit card and vouchers
 Low operational costs allowing company to earn on higher margins
 Helps consumers compare different products

Disadvantages of e-commerce :
 Lacks tangibility
 Scope of offering customer service while purchasing is low
 Susceptible to cyber attacks
 Low customer loyalty
 Highly competitive
 Low barriers to entry
 Customer data is susceptible to risk of theft