WHY E COMMERCE IS POPULAR

SOURABH BISWAS
CLASS-11A
MAXFORT SCHOOL DWARKA
WHAT IS E COMMERCE
E-commerce (electronic commerce) is the buying and selling of goods and services, or the
transmitting of funds or data, over an electronic network, primarily the internet. These
business transactions occur either as business-to-business (B2B), business-to-consumer
(B2C), consumer-to-consumer or consumer-to-business.
The term was coined and first employed by Dr. Robert Jacobson, Principal Consultant to the
California State Assembly's Utilities & Commerce Committee, in the title and text of
California's Electronic Commerce Act, carried by the late Committee Chairwoman Gwen
Moore (D-L.A.) and enacted in 1984.
TYPES OF E COMMERCE
• Business-to-Consumer (B2C)
• Business-to-Business (B2B)
• Consumer-to-Consumer (C2C)
• Business to Government (B2G)
• Non-Business E-Commerce
• Social e-commerce
• Mobile e-commerce (M-commerce)
• Peer to Peer E-Commerce
IMPACTS OF E COMMERCE ON THE GLOBAL
ECONOMY
• In 2017, retail e-commerce sales worldwide amounted to 2.3 trillion US dollars while traditional
markets are only expected 2% growth during the same time.
• Among emerging economies, China's e-commerce presence continues to expand every year.
China is also the largest e-commerce market in the world by value of sales, with an
estimated US$899 billion in 2016.
• Developed countries would have welfare gains of $117 billion, while the developing world
would lose welfare of $726 million. The Asian region, on the other hand, would gain $802
million, largely attributable to the transport services sector. Besides welfare and GDP losses,
developing countries would also experience a reduction in wages and deteriorating terms of
trade. E-commerce could therefore end up widening, and not narrowing, the gap between
developed and developing countries.
IMPACTS OF E COMMERCE ON THE INDIAN
ECONOMY
• In India with the digital penetration has increased significantly, according to statistical
data internet use has increased to 429.23 million user in India and is expected to reach
around 830m.
• E-commerce has transformed the way business is done in India. The Indian E-commerce
market is expected to grow to US$ 111.40 billion by 2025 from US$ 46.2 billion as of
2020. By 2030, it is expected to reach US$ 350 billion.
• By 2021, total e-commerce sales are expected to reach US$ 67-84 billion from the US$
52.57 billion recorded in 2020.
REASONS FOR INCREASING POPULARITY OF
E COMMERCE
Here are five major causes of the growth of ecommerce in today’s technology-
driven world that you must be aware of and incorporate into your business growth
strategy.
1. Mobile Adaptivity
2. Omnichannel Retailing
3. Convenience
4. Greater Range of Products and Services
5. Individualized Products and Services
 HOW THE PANDEMIC BENEFITED THE
E COMMERCE
• In March 2020, global retail website traffic hit 14.3 billion visits signifying an unprecedented growth of e-
commerce during the lockdown of 2020. In march 2020, global retail website traffic hit 14.3 billion visits
signifying an unprecedented growth of e-commerce during the lockdown of 2020.
• India’s e-commerce industry will grow 84 per cent to $111 billion by 2024 as it gains from demand created by
the coronavirus pandemic’s impact. India’s e-commerce market will be driven by mobile shopping, projecting it
to grow 21 per cent annually over the next four years.
• Due to the Covid19 pandemic, more and more people have started to prefer shopping on digital platforms as
compared to going to a physical store. Lesser maintenance, faster delivery, convenience for the customers to
buy 24X 7 are a few of the primary benefits of having an e-commerce platform.
RESEARCH WORK

SOURABH BISWAS
CLASS 11A
MAXFORT SCHOOL DWARKA
 QUESTIONS PEOPLE HAVE REGARDING
E COMMERCE
Q1 How does e-commerce work?
When a customer needs any product to buy, a customer goes to the website and chooses the product they want to buy. After the
selection of the product, a customer will select the mode of payment, whether it is online or offline and after that product will
checkout and ordered.
Q2 Difference between E-commerce and Traditional Commerce?
Traditional commerce refers to the commercial transactions or exchange of information, buying or selling product/services from
person to person without use of internet whereas e-commerce refers to the commercial transactions or exchange of
information, buying or selling product/services electronically with the help of internet which is a newer concept of business style.
Q3 What are the short-comings of e-commerce?
E-commerce required a lot of initial set up cost for creating the website of the application. There can be a trust issue on-site as
traditional buyers like to go for traditional commerce with interaction or communication. It is really difficult to ensure the
security or privacy of online transactions and stored data. We can just view the product virtually, not in reality, as sometimes the
delivered product looks different from the expectation.
Q4 Explain the advantages to society because of e-commerce?
It helps reduce the cost of products because more and more people can use the product. It helps to enable the rural areas to
access the service and products because they can use any product what all others are using in town or cities. It helps the
government deliver public services such as healthcare, education, and social service at minimal cost and better. Most importantly,
no need to travel anywhere; the products will be delivered to the defined address and benefits the customer, organization, and
environment.
 SOME OF THE MOST SUCCESSFUL
E COMMERCE COMPANIES

• AMAZON -Though it started in 1994 as an e-commerce marketplace for books, Amazon has evolved into an online
shopping staple. It's best known for its online marketplace where consumers and businesses can purchase physical
goods, but in recent years it has expanded to offer digital products and subscription services as well.
• Alibaba Group Holding Ltd-Alibaba is a global wholesale e-commerce marketplace that primarily operates in Asia,
but its international presence is rapidly growing. Many consider this e-commerce company China's equivalent of
Amazon.
• eBay Inc-This e-commerce marketplace is best known for allowing individuals to sell their goods to other
consumers. eBay started out as a sort of auction house where consumers could place bids on used and/or collectible
items. Over time, major brands have begun offering their new products on this platform as well, most of which are
sold at a fixed price.
• Flipkart- Flipkart was launched in October 2007. Flipkart is India’s leading e-commerce marketplace with over 80
Million products across 80+ Categories. As the e-commerce revolution gained momentum in India, Flipkart grew at
an accelerated pace and added several new product ranges in its portfolio.
• Myntra-Myntra is one of the largest fashion e-commerce companies in India .Becoming India’s no. 1 fashion
destination is not an easy feat. Sincere efforts, digital enhancements and a team of dedicated personnel with an
equally loyal customer base have made Myntra the online platform that it is today.
G R APH
G R APH
G R APH
FOR WHAT DO PEOPLE USE
E COMMERCE THE MOST
 REASON FOR STARTING AN E
COMMERCE BUSINESS

1 2 3 4 5 6 7
1. I want to bring a product/brand to life.-25% 3%
2. I want to be able to work from anywhere-24% 4%
3. I want to make more money-19% 13% 25%

4. I think traditional careers and the traditional career path are

becoming absolute-13%
13%
5. I want to solve a real important problem and leave a legacy-13%
6. I think it would be cool for to have an online business-4%
24%
7. Others-3%
19%
 SHARE OF E-COMMERCE RETAIL
SEGMENTS BY VALUE

furniture others
jewellery 4% 2%
7%
food and grocery
7%
consumer
electronics
40%

apparels
40%
ARTICLES REGRADING
E COMMERCE