Impact of E-commerce on Today's Business

Running head: IMPACT OF E-COMMERCE ON TODAY’S BUSINESS
IMPACT OF E-COMMERCE ON TODAY’S BUSINESS
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IMPACT OF E-COMMERCE ON TODAY’S BUSINESS1
Introduction
The concept of E-commerce entails the buying and selling of services and goods
through electronically operated means such as the Internet (Laudon and Traver 2016). The
scope of E-commerce involves the utilization of technologies like mobile commerce,
management of supply chains, internet marketing, electronically induced funds transfer and
data collection and interchange. Due to the easy accessibility of E-commerce facilities,
business organizations over the world have resorted to its use to enhance their ability to reach
out to the consumers. The significant objective of this analysis is to evaluate the influence of
E-commerce on today’s business activities, presenting a case study on Amazon Inc.
Discussion
Global trends of E-commerce in business
Until recent times, business organizations and their customers over the world relied
on the accessibility of physical markets for selling and buying products and services.
However, with the introduction of E-commerce facilities, the business entities are able to
globalize and expand to various customers and local operatives situated across the world
(Aydın and Savrul 2014). This has not only enhanced their productivity but also their
profitability.
With the emergence of technological advancements, sales through E-commerce
facilities has shown an overwhelming amplification. For example, Amazon Inc. has emerged
as one the largest E-commerce business organizations in the world. The global trends of
applying E-commerce facilities in business procedures has offered various advantages to the
organization and its target groups (Meeker 2018). These advantages include the following
aspects:

IMPACT OF E-COMMERCE ON TODAY’S BUSINESS2
 Personalized experiences – Deliverance of navigation facilities, personalized search-
results for individuals, location targeting and recollection of previous marketing
experiences are some of the advances that can be seen in Amazon Inc.
 Automation services – Recent global trends of E-commerce automation involves the
use of software for automatic execution of complicated processes through creativity
and experimentation on provided data (Chao 2016).
 Improved shipping options – To ensure an optimization of customer satisfaction,
business organizations have resorted to e-commerce facilities for improved shipping
options. E-commerce facilities provided by Amazon prevent manual errors and ensure
fast delivery of products and services.
 Augmented reality to visualize products – The trends of using augmented reality has
given the scope of product visualization, thereby ensuring customer satisfaction for
the business organizations (Pantano, Rese and Baier 2017). For example, the
specifications of cosmetic products like lipsticks sold by Amazon can be visualized
using a color testing option.
Application of E-commerce in business
The use of E-commerce in business can be segmented into business-to-customer and
business-to-business trading. Amazon Inc. engages in business-to-customer trading. There are
several other applications of E-commerce like:
 Wholesale and retail – This includes the buying and selling of services and products
over electronically induced mediums available through internet, for example, the
online shopping facilities provided by Amazon.
 Marketing – Collection of data about preferences and consumer behaviors can be
performed through E-commerce facilities, thereby enhancing the business
organization to strategize the price and features of products (Chaffey and Allen 2015).