The question that was asked was: What are the major limitations on the growth of e-commerce? Which is potentially the toughest to overcome? Her, the student Carla's response or answer (post) to that question is below.
There are many benefits to the world of e-commerce where consumers and business owners are able to handle daily transactions within a matter of minutes to seconds on line. However, there are a number of limitations to such interactions from the on line business to the consumer. First is the face to face interaction that the consumer would be lacking (www.halwits.com). This transaction would require some form of trust on part of the consumer to the on line business. The next limitation would be the security of the transaction or sale. Consumers are all to aware of the security breaches going on with the brick and mortar businesses such as Home Depot and Target as of late. With this in mind, consumers are a little uncomfortable with their sensitive information being hacked and shared across the world. However, most banks will issue reimbursement on fraudulent charges this still adds little to the security of the vast majority of consumers choosing to shop on line and is making it a matter of risk.
Another limitation, is the technology with the cost of a bandwidth and sever tends to be rather expensive (www.halwits.com). However, this has not stopped most businesses from continuing their business on line and keeping up with other competitors its the cost one pays to remain in the industry and in some cases ahead of the competition. Another concern that has been partially cleared with the help of chat systems is the direct communication for the consumer. Most will see this issue surface in the form of a phone call or on line as well. Most phone systems will present you with the automated system for assistance before being able to speak to a live person. Still, with all these limitations, consumers are still shopping for what they want and in most cases happily on line.
E-commerce definitely offers a lot of benefits to both the organizations and the consumers. Companies become visible and accessible to transact business with and most of them don't need a physical location hence, saving costs on the maintenance of their business. With e-commerce technology and statistics, inventory can be easily tracked and processing becomes automated. For the customers, accessibility, speed, convenience are among the few advantages of e-commerce.
However, the growth of e-commerce has certain limitations, both technological and non-technological. For the technological side, the rapid changes and advancement of software and tools used to develop websites may have an effect on the consumers who have to learn to ...
The benefits and limitations of e-commerce is discussed.