Online Business or e-commerce is any type of commercial activity or business that involves sharing information online with consumers. Commerce includes the exchange of goods and services among individuals, companies, groups and other organizations and is considered to be one of the most important activities of any company. The word “commerce” actually derives from the Greek words “kourner” and “tribesman”. Merchants, traders, manufacturers, salesmen, brokers, etc. traded, bought and sold products on the basis of price, convenience and reliability in exchange for payment in kind or cash.
The concept of Online Business or e-commerce evolved from the traditional market system, which was characterized by small-scale traders and manufacturers interacting through local agents and brokers who had to maintain a physical presence in order to settle disputes and negotiate for fair prices. There emerged an increased trend of online transactions that facilitated transactions that were instantaneous and flexible. It also reduced costs by reducing the costs involved such as commission fees, payment-processing fees, and payment handling costs. There emerged several networks and trading platforms that enabled these businesses to trade. As time progressed, it became easier to trade online and business managers came up with the idea of setting up six levels of online business which are:
Today, with more people turning to the Internet for their day to day business needs, more people are also opting for online business. This has provided them a lot of benefits, especially when it comes to costs and the level of flexibility that they can enjoy. These online businesses are characterized by fewer trading costs, high degree of flexibility and the ability to work from home or from anywhere they are in the world. Some of these online businesses have made online work a viable option for people who want to supplement their income while still having a regular day job. If you have been thinking of establishing your own online business, then here are some of the things you should consider: