E-commerce and the Global Market

E - Commerce on the Internet (e - commerce) is the fastest growing way consumers do business. In less than 10 years, it revolutionized the possibilities of economic activity and the social environment. There are currently around 200 million Internet users all over the world. Approximately 40% of 200 million users reside in the United States (Styliano, A., Robbins, S. & Jackson, P., 2003). E-commerce currently affects large-scale industries such as telecommunications, banking, retailing, etc.

The main advantage of e-commerce is that it can enter the world market, not necessarily meaning a large amount of financial investment. Because this type of commercial restriction is not geographically defined, consumers can make global choices, get the information they need, and compare estimates from all potential suppliers regardless of location . By enabling direct dialogue with the end consumer, e-commerce has shortened the product distribution chain, and sometimes even eliminated it entirely. In this way, direct routes between producers or service providers and end users are formed, allowing them to provide products and services tailored to the target market preferences.

With the development of the Internet, e-commerce is rapidly expanding to the rapidly growing open world market, and the number of participants is increasing. Due to the openness of e-commerce and the global character, the market size will expand, the market structure may change, such as the number and size of participants and how participants compete in international markets. Digital products cross the border in real time, consumers can purchase 24 hours a day, 7 days a week, companies are facing increasingly international online competition. The Internet supports the expansion of existing markets by reducing many barriers to distribution and marketing that may hinder enterprises from entering overseas markets. Electronic commerce provides information that is inexpensive and effective for reducing the information and trading costs to operate in overseas markets and strengthening the relationship between customers and suppliers.