RESEARCH PAPER MANUSCRIPT

TOPIC = E-Commerce industry aand its effect on world.

This topic have various dimensions to it as not only e-
commerce affects the trditional business tredition it also
affects people’s lifestyle and various other things that
does not comes under observation.

Objective:
To get to know about the various dynamics of the topic
and and analyse for a better approach that not only
brings advantage to user but also helps to sustain the
resources and is ecofriendly in nature .
 ABSTRACT

Electronic commerce is widely considered the buying and selling of products

over the internet, but any transaction that is completed solely through
electronic measures can be considered as e-commerce. E-commerce may
have large economic effects in the future. Internet commerce will change the
face of business forever. Moreover, it has affected the information
technology, economic, social and e-commerce has enhanced the productivity
growth worldwide in 21st century.

The impact of e-commerce on developing countries for reducing

inefficiencies for trading and to increase productivity in terms of economies
with competitors Internationally. There are many ways to accelerate the
growth of productivity by cutting costs, increasing efficiency and reducing
time and distance, e-commerce could become an important tool for
development and growth in all sectors.
Information Security framework and is specifically applied to the
components that affect e-commerce that include Computer Security, Data
security and other wider realms of the Information Security framework.. E-
commerce security has its own particular nuances and is one of the highest
visible security components that affect the end user through to obtain e-
trade finance and equity investment, tourism and its internet incarnation.
 E-commerce and its effects on treditional business

Commerce is industry from the very beginning of the world. It is the

key point of almost every other industry. The world simply cannot
function without it.

So, traditional commerce is when you buy or sell face-to-face with the
potential buyer. It is usually made in stores, or on the markets.

E-commerce, on the other hand, refers to buying and selling goods

on the internet — through the websites. Hence prefix “e” stands for
“electric”, just like in an e-mail, e-banking, e-business, etc.

This type of commerce is developed to simplify the buying process

itself. There’s no need to leave the home, or more importantly, to wait
in the queues. All of the purchases are done through the websites,
outside the physical store.

The digital transformation had an impact on many industries,

including the commerce industry. Nowadays, people are more likely
to make a purchase over Amazon or similar sites, rather than in a
classic store.

According to Statista, a number of dollars spent on e-commerce sites

are growing every year. In the last year only, it reached $3.45 billion.
By 2021, that number will hit $4.88 billion.
Obviously, both types have their pros and cons. However, with the
technology development and face-paced world we live in, it makes
more sense to start e-commerce rather than traditional commerce.

E-commerce brings much more benefits, it’s easier and cheaper to

implement. It’s growing every day in both – demand and supply. It’s
easily accessible 24/7. A customer can decide when to enter your
store and it’s worldwide.

Finally, to answer the main question — Will e-commerce overtake

traditional retail?

Well, “to overtake” is a strong expression so it’s hard to tell. Imagine

if you need bread for lunch, you won’t order it online for sure. Even
though we all imagined that at some point.

Something must remain on the shelves in the stores.

So, the number of e-commerce websites will grow each year, but
traditional commerce will still remain to keep the other side of the
business running.
SOCIO-ECONOMIC IMPACT OF E-COMMERCE

 E-commerce has a great economic and social impact. It has the great
potential to alter economic activities and social environment of an
economy. It affects various sectors such as communication , finance and
retail trade. It holds promises in the areas such as health, education and
government also.

ECONOMIC IMPACT OF E-COMMERCE

 Growth ,prosperity and competitive advantage of any modern economy

depends to a large extent on innovation of new technology. Continuous
growth of e-commerce is expected to have deep impact on structure and
functioning of economies at various levels and overall impact on macro
economy. E-commerce helps in increasing the GDP:- It helps in generating
the economic wealth. It is expected that by 2020 e-commerce will
contribute around 4% to GDP of India. It is mainly because of growing
number of online buyers. Currently, the internet penetration in India stands
at 11% of population, a third of world average, which is bound to increase
in near future
E-commerce has been driving business
transformation and  economic modernization:-

E-commerce provides a new venue for connecting with consumers and

conducting transactions. Our country has witnessed e-commerce
revolution accompanied by widespread use of the internet, web
technologies and their applications. E-commerce has changed the way
business is conducted around the world. It minimizes the cost of
transportation, advertising and marketing. It reduces the distance between
buyer and seller, thus permitting rapid exchange of information o services
which mean buyers and sellers for business purposes entrepreneurs often
utilize the social networking sites like face book and twitter.

E-commerce helps in the creation of

employment

 It is true that some jobs became obsolete with the arrival of e-commerce
but it is also true that e-commerce is a “net job creator”. These jobs are
created in the internet sector such as engineers, designers and sales
people. The extremely rapid growth of e-commerce retail sales has
provided a boost to courier services. It has created employment
opportunities in industries producing softwares and systems used by e-
commerce and other occupations associated with websites and networks.
In India Flipkart, Amazon, Snapdeal and Caratlane are e-commerce players
hiring temporary staff for delivery, online marketing and customer
services.
Promotion of industry

E-commerce help in development of MSME’s(micro small & medium

enterprises. • It solves the problem of funding, technology, infrastructure &
ineffective marketing. • It helps in creation of employment opportunity. • E-
commerce provide new market access, business opportunity, enhance
competitiveness. Helps in globalization Local companies have became
international just by having internet presence enables companies to reach
more customers& prospects on an international level earlier only large
organization could have think of becoming international but now it is
possible for all.
Act as a medium of foreign trade

 • Helps in increasing export • Helps in balance of trade • Reducing national

debt • Reducing inflation rate • Help in increasing GDP Promote
comprehensive growth • Opportunity to reach online customer • Enhance
Economic development • Provide option for the retailer to expand •
Companies also do recruitment & selection through e commerce

Encourage entrepreneurship

 • It encourages innovative ideas, creativity of entrepreneur • investors also

invest because of less cost involved • E business are even commenced by
new blood because of e- commerce • Encourage entrepreneur because
online business lead to high margins
Lowers transaction costs
 

Facilitates agriculture sector of economy One significant economic effect

is the reduction of transaction cost compared to traditional commerce. E -
commerce reduces transaction cost by removing many of geographic and
time barriers that buyers and sellers previously faced. The existence of
intermediaries i.e wholesalers and retailers, increases the transaction cost
but in the process of e - commerce transaction it is possible for the
consumer to conduct and place an order with the manufacturer instantly
and directly .It results in more accurate information flow, low distribution
cost, closer trading relationship and improved cash flows. E - commerce is
able to provide information flow and market transparency in agricultural
sector. It also offers tremendous opportunities to create collaborative
market places at low cost.It can tighten up the supply chain and cut the
transaction cost which is beneficial for local producers.

Facilitates promotion of rural community

 E - commerce offers a great opportunity to the developing countries like

India to greatly expand their market internally and externally. It has helped
a lot in the context of overall development of Indian rural community. As a
result of e - commerce rural areas which were earlier considered
unprofitable have become focus for investment and market expansion. In
rural areas there may not be adequate market to make it viable to open a
shop to sell products such as digital television or fashion products.
However there are consumers who may have purchasing power and hence
e - commerce is the perfect route to deliver their products to those who can
afford from non metros.
Other economic impacts

 Facilitates artisans access to global market E - commerce facilitates the

access of artisans to world market. It is very helpful in creating new
opportunities for them. It facilitates the marketing of handicrafts and other
such products in global market helping the artisans to gain more and
empower the developing countries. Facilitates promotion and development
of tourism The earning level of all those people concerned with industries
like tourism increases to a large extent. Improved demand forecasts
Improved demand forecasting leads to reduction in current inventory level
which will have a significant economic impact. E - commerce can
dramatically reduce production costs which results in price reduction.

Conclusion-A
 E - commerce has some negative consequences in volatile business
environment. It may create rapid savings and so the managers must develop
suitable strategies to deal with such issues. It is believed that e - commerce may
result in widening the gap between developing and developed countries. Some
traditional businesses do face rigorous e - commerce competition, therefore there
is a need of finding the right mixture of online and offline commerce which is very
much challenging.
SOCIAL IMPACTS OF E-COMMERCE

 E-commerce has become integral part of modern society . Today many

consumers can simply use their computers , smartphones or portable
electronic devices to shop online

Cash on delivery 

• Indian society is very much attracted by cash on delivery facility offered

by various e-commerce companies • Introducing cash on delivery has been
one of the key factors for the success of e-commerce Digital society • e-
commerce has enabled the public to find expert advice • Now a days
business and government set the digital society • Increasing no. of
activities whether government or non government are now deliver online

Combine personal life with professional life

 Growth in e-commerce has enabled many workers to perform some or all

of their work even from phone resulting in work life balances this is
extremely useful particularly to combine personal life with professional life
Raise standard of living On an individual level citizens having internet
facility may perform transaction world wide their by raising their own
standard of living
Create lucrative jobs

 E-Commerce helps in creating more and more lucrative jobs at all the
levels, some of these jobs may be very high paying also. It provides new
business opportunities to an entrepreneur to venture and establish an
enterprise with global market access. Beneficial to rural community E-
Commerce is beneficial to the majority of rural community. It brings
unanticipated effects on cultural and social norms.

Indian middle classes

 It has been found that e-commerce is of prime importance mainly to Indian
middle classes because they have the financial and cultural capacity to make the
best use of e-commerce. Potential of converting traditional society to digital
society E-Commerce has the potential of converting traditional society into a
digital society. Digital world has also revolutionized the social concerns in a
society. The growing reach in terms of internet connectivity of end consumers
when buying online beyond the metros and big cities are key drivers of e-
commerce boon in India.

Access of educational institutions

 Impact on transport system E-learning enhances the access of
educational institutions in remote areas.Many educational institute offers
online educational courses.Through use of technology ,thus developing
our society E-commerce also impacts the transport system have to be
delivered directly to the home.E-commerce provides environmental
benefits because it has a potential to reduce transport for shopping. Tool
for public participation E-commerce can be use as a tool for public
participation and online voting particulary for local democracy and
participation.

Helpful for disabled children

E-commerce is helpful in supporting disabled children. It provides the most

helpful source of information and advice from others with similar
experiences . It provides retails of products/services available world wide
in this regard. Provide speedy and personalised service Through e-
commerce companies collect customers information to provide more
personalise and to speed up online transactions.Since these data details
not only provide the information that how much merchandise were sold,but
also where and to which demographic group these are solds.Market
researchers can use these data to target their prices.

Considerable benefits

• The society is now aware of the considerable benefits of e-commerce.

These are:- • Convenience of home shopping. • Wider range of goods and
services. • The convenience of consolidated. • Easy delivery of goods and
services. • Convenient and secure payment. • Lower prices.
Selling websites

There are number of websites like OLX and Quikr which are very useful to
sell the old used products in an easy manner and at competitive prices.
Online jobs and matrimonial sites Our society has gain a lot from other
online classifieds relating jobs (Naukri.com) and Matrimonial (Shaadi.com).
These emerging models are useful to the society at large in case of
intangible assets like relationships ,knowledge etc. Standard of living E-
Commerce has improved the standard of living of Indian society. Use of
mobile , internet and smart phones has given a push to the society.

Conclusion-B
The growth in e-commerce has a few negative social consequences as
well. E-Commerce has resulted in Me-Oriented Society in which the main
focus is on personal growth and decline in family values.E-Commerce has
adversely affected the earnings of various micro retail traders.E-Commerce
, If used properly can prove to be beneficial to the society otherwise it may
be the reason of spoiling the environment for forth coming generations.