ACS Distance Education UK
E commerce obviously includes commerce conducted over the internet, but it can include other forms of electronic commerce such as mobile phones, telephone banking, using a fax, video conferencing, electronic data interchange or generating and managing accounting systems on a computer (without use of the internet).
E commerce relies heavily upon electronic transactions. Money is transferred between the buyer and seller by using a credit card, or perhaps bank to bank transfer.
There are three problems associated with this:
1. Financial details may be illegally captured by a third party. This is illegal; but nevertheless, does happen from time to time. It has the same amount of risk involved of third parties illegally capturing financial details in a traditional transfer.
2. Unscrupulous businesses can take payments and not deliver the goods or services.
It is easier for a trader to commit a crime of this type; and more difficult for a customer to prevent a crime of this type.
3. Some people lack confidence in carrying out transactions over the internet
Even if the business is legitimate, there can be a reluctance to do business due to prejudices or preconceptions which a potential customer holds.
E commerce also offers distinct advantages for both the buyer and the seller:
READY TO LEARN MORE?
Click here to see our E Commerce Course