Digital Business & New Technologies

Digital Business & New
Technologies

Table of Contents
Table of Contents........................................................................................................................................2
Introduction.................................................................................................................................................3
a. Importance of e-commerce.................................................................................................................3
b. How e-commerce has developed........................................................................................................3
c. Technology used in e-commerce along with its applications...............................................................4
d. Technological platforms as well as software used...............................................................................5
e. Organizations and businesses that makes use of e-commerce............................................................5
f. How e-commerce is utilised as business tool and its effectiveness......................................................6
Relationship between digital technologies and theories of business & management structure.............6
Conclusion...................................................................................................................................................8
References.................................................................................................................................................10

Introduction
Businesses which utilize technology for creation of new values within customer experiences,
business models along with internal capabilities which will support their core operations is
referred to as digital business (Chaffey, Hemphill and Edmundson-Bird, 2019). Technology is
evolving quickly and accordingly firm opts for them for having a competitive edge in market.
This report is based on e-commerce which is a kind of technology that is being utilized for
carrying out process of buying as well as selling of services on goods by making use of internet.
Along with this, all the transactions and data required for them is being done via e-commerce.
The industry taken into consideration is retail sector as people need to have easy access to their
basic needs. This report comprises of different aspects associated with electronic commerce and
association among distinct digital technologies.
a. Importance of e-commerce.
The commercial transactions that are carried over internet are defined as e-commerce.
Basically, it denotes activity in which electronic transactions of products are conducted. At
present scenario, this concept is of wide importance and it is mentioned below:
 Minimize cost with respect to traditional transactions: While furnishing offline
commerce, there are various overhead costs like counter, inventory, shop rent, etc. When
services are sold by online medium it becomes less costly as unnecessary cost can be
eliminated (Dennis and et. al, 2020). Decline within time required: While opting for online retail services it will lead
individuals to buy things by sitting at home without going to crowded places. The other
instance is educational e-commerce, while going for it this usually take three or six
months for an offline course in which class is for around 2-3 hours. There is no flexibility
and this needs time to improvise skills. E-commerce students pay fees for online courses
and can cover it as per their understanding.
b. How e-commerce has developed.
Online shopping was brought in 1979 in UK by Michael Aldrich in which modified
domestic television was connected through telephone line to transaction processing computer. In
1980 it was marketed for offering B2B systems across Spain, UK and Ireland. But B2C was not
successful. France in 1982 brought in Minitel for online services but in 1994 after success of

internet it demised (The History Of Ecommerce: How Did It All Begin?, 2020). But due to
security reasons it was not considered safe to make online payments and then it took around 4
years to develop security protocols like DSL and HTTP which provided quick access as well as
persistent connection to internet. At this time, e-commerce was defined as purchasing services
via internet by making use of secured connections along with electronic payment services. After
this sales continued to grow and at the end of 2007 there were around 3.7% sales.
Illustration 1 Retail e-commerce Sales in US from 2016 to 2022
(Source: Ecommerce 101 + The History of Online Shopping: What The Past Says About Tomorrow’s
Retail Challenges. 2020)
c. Technology used in e-commerce along with its applications.
Different technologies and tools are utilized for building up e-commerce store as well as
operating online business successfully. They are illustrated below: