E-Commerce, Essay Example

E-commerce includes the buying and selling of objects over the Internet.  It can include services and products, and e-commerce may also be performed on other types of computer networks besides the Internet.  E-commerce has become considerably popular in recent years, with its involvement in some aspect of transactions that occur over the Internet.  Online shopping and banking are two examples of this common aspect of the Internet and online business as it resembles today’s market.

E-business is much broader than e-commerce.  The former represents the application of information and communication technologies to support the business’s activities.  E-business includes more aspects than e-commerce, such as the interaction between business customers and partners.  E-business goes beyond the buying and selling of goods and services of e-commerce, although it certainly contains it in many cases.  Thus, they intersect in the dynamics of online transactions.

Competitive advantage can of course take many forms, referring to the higher earning of the cost of investments.  The capturing of advantageous attributes represents an effective strategy, such as the implementation of new technologies into a product or business model.  Access to natural resources can also provide a company with a competitive advantage.

Obtaining a competitive advantage can take two forms.  Porter (1985) has identified two type of competitive advantage, found in cost advantage and differentiation advantage.  The former refers to delivering the same benefits as the business’s competitors, but at a lower cost.  The latter refers to delivering benefits that go above and beyond products of competing businesses.  As these two forms both create superior value for its customers, a business can obtain a competitive advantage in either, or boy, ways.  A business may use either of these positional advantages to prove benefits in cost or differentiation.  Or, a resource-based advantage makes use of the business’s resources and capabilities to produce a competitive advantage.

Scaling methods remain an important dynamic, even for small businesses.  For instance, one method is used by small businesses in regards to search engine optimization, where such principles are utilized in order to allow the website to be scaled.  Scaling allows websites to become friendlier to users and servers.  Thus, businesses should be careful to spend time on the many scaling methods available to improve the efficiency and presentation of their website to customers and other businesses.

Online security measures often run into dangerous online criminals who exhibit a number of options in the way of Internet crime.  According to Chickowski (2008), “the ways of making money with online scams, identity theft, and hacking are limited only by criminal creativity.”  Chickowski also points to the “thriving” underground community of online criminals (2008).  A number of scams exist to give problems to Internet crime.

Some of the most dangerous forms of Internet crime are which Chickowski mentions.  Identity theft is one growing crime in the United States and around the world, with the Internet serving as a major role.  Hackers and other criminals target businesses or users on the Internet for online crimes.  For instance, malware writers attempt to exploit Internet Explorer, which takes up nearly 70% of the browser market (Keizer 2009).  It has caused users to look for other browsers, account for Internet Explorer’s dropping share.

Internet security is constantly evolving.  However, so are methods to hack into user’s and business’s accounts.  As a result online crime is undergoing difficult situations in this realm.  Not to mention, not all Internet users keep up with the latest technologies and scams.  This makes them easy targets for online criminals to take advantage of these users, to infiltrate their accounts, passwords, and other sensitive information.

Someone who uses the Internet would generally be much more likely to continue doing so.  The Internet allows individuals to perform a number of activities, both for business and personal reasons that would make continued use of the Internet quite logical.  For instance, an individual may find connectivity with friends and family useful.  Others may find the Internet complimentary to research for work, or even supplement their work with a website to improve business.

Internet usage can also be seen along the lines of e-commerce, to which we have analyzed briefly.  Shopping online is considered quite convenient for many who have engaged in this part of business.  As retailers make better use of the Internet, such as cheaper and faster methods of shipping and online sales, consumers will be more likely to shop online.  This relationship is one of many in the growing use of the Internet for individuals who are becoming more experienced online.

Overall convenience will dictate increased presence on the Internet for many individuals.  The Internet provides many conveniences to enhance the quality of life, to connecting with family via e-mail or a social network to finding additional work online.  Of course conveniences exist in e-commerce and business online for consumers and businesses.  The nature of the Internet will allow experienced users to continue or increase their Internet usage.

References

Chickowski, Ericka (2008). “Inside online crime: Of hackers, identity theft and online scams.” http://www.baselinemag.com/c/a/Security/Inside-Online-Crime-Of-Hackers-Identity-Theft-and-Online-Scams/. Retrieved 2010-05-25

Keizer, Gregg (2009). “Internet explorer loses market share.” http://www.pcworld.com/article/156306/ie_loses_market_share.html?tk=rss_news. Retrieved 2010-05-25

Porter, Michael (1985). Competitive advantage: Creating and sustaining superior performance. New York, NY: Free Press.