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E-Commerce at Amazon.com

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Amazon started as an e-commerce book site and has now added music, toys, electronics, software and clothes to its list of product offerings.

1. What are the advantages and disadvantages of selling books and goods over the internet?
2. If books can be downloaded online, how will Amazon's business change?
3. What do traditional stores have to gain from setting up an e-commerce side to complement their retail stores?

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Solution Summary

This solution discusses the advantages and disadvantages of using e-commerce, using the example of Amazon.com.

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Amazon started as an e-commerce book site and has now added music, toys, electronics, software and clothes to its list of product offerings.

1. What are the advantages and disadvantages of selling books and goods over the internet?

There are many advantages and disadvantages to selling books and goods over the internet; some are:

Advantages

* Allows small companies to compete with other companies both locally and nationally.
* Creates the possibility and opportunity for more diverse types of individuals to start a business.
* Offers a convenient way of doing business transactions, with no restrictions on hours of operation.
* Offers an inexpensive way for small firms to compete with larger companies by their products available worldwide.
* ...

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