Chapter 7e: Commerce Applications And Issues ✓ Solved
Chapter 7e Commerce Applications And Issues
Analyze the applications and issues related to e-commerce, including its types, business models, benefits, limitations, and ethical and legal considerations. Discuss how information and communication technologies are vital during the COVID-19 pandemic in enabling remote work and online commerce, and highlight the challenges, risks, and ethical concerns involved.
Sample Paper For Above instruction
Introduction
The advent of e-commerce has revolutionized the way businesses operate and consumers shop, facilitated by rapid technological advancements and widespread internet connectivity. The COVID-19 pandemic has further accentuated the importance of digital platforms in maintaining economic activity amidst restrictions on physical movement. This paper explores various facets of e-commerce applications and issues, emphasizing the role of information and communication technologies (ICT) during the pandemic, along with associated ethical and legal considerations.
Overview of E-Commerce and E-Business
E-commerce (EC) involves buying, selling, transferring, or exchanging products, services, or information via computer networks, predominantly the internet. E-business, a broader concept, encompasses all digital interactions within and between organizations, including procurement, collaboration, e-learning, and internal transactions (Laudon & Traver, 2021). The evolution from traditional physical stores to online marketplaces has seen various models, such as brick-and-mortar, click-and-mortar, and pure online entities, which facilitate different levels of digital engagement (Turban et al., 2020).
Types and Business Models of E-Commerce
There are several types of e-commerce categorized based on the participants involved. Business-to-consumer (B2C) is the most common, where businesses sell directly to individual consumers (Zhao & Anand, 2019). Business-to-business (B2B) involves transactions between organizations, often via electronic exchanges or marketplaces. Consumer-to-consumer (C2C) allows individuals to trade goods and services, exemplified by platforms like eBay. Additionally, models such as affiliate marketing, viral marketing, group purchasing, and product customization have become integral, adapting to consumer preferences and technological capabilities (Sharma & Choudhary, 2020).
Benefits and Limitations of E-Commerce
E-commerce offers notable advantages, including access to a wide customer base globally, lower transaction costs, and 24/7 availability, enhancing convenience for both businesses and consumers (Laudon & Traver, 2021). It fosters economic inclusion, especially for rural and developing regions, by enabling access to products and services (Huang & Rust, 2021). However, limitations such as security concerns, privacy issues, legal uncertainties, and technological barriers persist, hindering widespread adoption (Kshetri, 2021).
Role of ICT During COVID-19
The COVID-19 pandemic has underscored the critical role of ICT in ensuring business continuity. Many organizations have rapidly transitioned to online operations to cope with lockdowns and social distancing measures (Kraus et al., 2020). E-commerce platforms became vital for retail, food delivery, and essential supplies, while remote working technologies facilitated teleworking, e-learning, and virtual collaboration (Brynjolfsson et al., 2020). For example, in Oman, e-commerce saw unprecedented growth, with businesses embracing online sales channels to survive economic disruptions.
Changing Business Dynamics: E-Commerce, E-Learning, and Teleworking
During the pandemic, e-learning and e-training gained prominence, enabling educational institutions and corporations to continue imparting knowledge remotely. These sectors faced challenges such as digital divide issues and cyber-security threats but provided benefits like flexibility and wide accessibility (Christopher et al., 2021). Teleworking transformed job routines across industries, reducing physical interactions and requiring substantial ICT infrastructure (Choudhury et al., 2020). In Oman, many government agencies adopted remote work policies, utilizing video conferencing, cloud storage, and collaboration tools to maintain operational effectiveness.
Ethical and Legal Issues
The proliferation of e-commerce raised concerns related to privacy, security, and ethical conduct. The use of cookies and spyware for consumer tracking sparked debates on data privacy (Solove, 2021). Cybersecurity risks, including fraud and identity theft, increased during the pandemic due to heightened cyber activity (Kshetri, 2021). Legal challenges such as domain name disputes, cybersquatting, and tax regulations also impacted e-commerce operations globally. Ensuring compliance and protecting consumer rights remain ongoing issues for regulators and businesses alike.
Conclusion
The COVID-19 pandemic highlighted the indispensable role of e-commerce and ICT in maintaining economic resilience. While offering significant benefits like operational continuity, global reach, and convenience, e-commerce also presents challenges related to security, privacy, and legal frameworks. Moving forward, stakeholders must address these issues through robust policies, technological safeguards, and ethical practices to harness the full potential of digital commerce in a post-pandemic world.
References
- Brynjolfsson, E., et al. (2020). COVID-19 and digital transformation: Lessons and implications. Management Science, 66(8), 3228-3234.
- Choudhury, P., et al. (2020). Remote work during COVID-19: Impacts and considerations. Harvard Business Review. https://hbr.org/2020/07/why-remote-work-is-here-to-stay
- Huang, M.-H., & Rust, R. T. (2021). Engaged to a Robot? The Role of AI in Service. Journal of Service Research, 24(1), 30–41.
- Kraus, S., et al. (2020). The impact of COVID-19 on e-commerce. Electronic Markets, 30, 367–372.
- Kshetri, N. (2021). 1 Blockchain’s roles in strengthening e-commerce supply chains. International Journal of Information Management, 63, 102451.
- Laudon, K. C., & Traver, C. G. (2021). E-commerce 2021: Business, Technology, and Society. Pearson.
- Sharma, P., & Choudhary, N. (2020). E-commerce business models: An overview. Journal of Business Models, 8(3), 45-58.
- Solove, D. J. (2021). Understanding Privacy and Data Security Challenges in E-commerce. Harvard Law Review, 134(2), 523-541.
- Turban, E., et al. (2020). Electronic Commerce: A Managerial Perspective. Pearson.
- Zhao, Y., & Anand, N. (2019). Cross-border e-commerce and international trade. Journal of International Business Studies, 50(5), 789-806.