Barriers of eCommerce
Some of the main barriers of ecommerce are listed below;
- Trust and risk
- Lack of business model
- User authentication and lacks of public interest
- Fraud is also a barrier
- Slow navigation
- Change agent to replace an old system with new system. System is changed when problem is identified and solution is drafted.
- Culture is the most important barrier. A developer has to develop the software according to culture.
Technological Barriers of eCommerce
Some the main Technical Barriers of eCommerce are listed below;
- There is a lack of universally accepted standards for quality a security and reliability.
- Telecommunication bandwidth is insufficient especially for mobile commerce.
- Software development tools are still evolving like HTML, Java Cript, connected with database, Data base integration.
- The internet and electronic commerce with some existing specially legacy applications and database.
- Special web servers are needed in addition to the network servers.
- Internet connectivity is still expensive and inconvenient.
- Order fulfillment of large scale ecommerce requires automated warehouse.
Non Technological Barriers to eCommerce
- Some the Non Technical Barriers of eCommerce are listed below;
- Security and privacy concerns deter customer from buying because customer is illiterate regarding the technology.
- Lack of trust in eCommerce and is unknown sellers hinders the buying because of social value.
- Many legal and public policy issues including taxation are yet to be resolved because tax varies now.
- National and international government regulations also get in the way.
- It is difficult to measure the some benefits of ecommerce such as advertisement because measuring methodologies are not available.
- Some customers like to feel and touch the product also some customers are resistant to change from real to virtual store.
- People do not yet sufficiently trust paperless and faceless transactions because of lack of trust and legal issues.
- In most cases there is insufficient number that is critical mass of sellers and buyers which are needed for profitable e.com operations
- There is increasing number of fraud on the internet because of legal issues.
An economy that is based on digital technology including digital electronic communication, computer software’s and other information and technologies is known as internet economy or digital economy and web economy. It is a global platform over which people and organizations interact, Collaborate and search for information. It includes the following characteristics;
- A vast array of digital products.
- Consumers and firms conducting financial transactions digitally.
- Microprocessors and networking capabilities embedded in physical goods.
New Business Environment
- Customers are becoming more powerful it is created due to advancement in science which is occurring at much accelerated rate.
- It results in more and more technology
- Rapid growth in technology results in large variety of more complex system.
- It’s a more turbulent environment with more business problems but definitely with more opportunities. It involves very strong vigorous competition.
- There is need for organization to make decisions more frequently due to competitiveness.
December 17, 2018