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Ecommerce
Articles >> Economic Potential of Electronic Commerce
Electronic Commerce is a marriage between a rapidly evolving technical environment and an increasingly pervasive set of ideas as to how markets should function. However, markets involve complex interaction between specific business/organizational factors, and general economic, social and political factors. The full economic potential of Electronic Commerce can only be evaluated against a backdrop of rapid change on all of these fronts. There are strong current indications that massive changes have already begun to occur across the entire business spectrum.
There are difficulties in assessing the commercial potential of the Internet. The Internet is the first multifunctional digital information environment that is available to a wide spectrum of users, ranging from large organizations to individuals, and it will likely become a focal point for the convergence of access media and the development of interactive services.
Although growth in the Internet is not the same phenomenon as growth in E-Commerce, ne vistas for Electronic Commerce are continually opening up on the Internet. In particular, the spectacular rates of increase in the numbers of households with Internet access has drawn special attention to prospects for direct sales to individual consumers. Companies are learning to identify the many new consumer communities that are emerging in the Internet environment, and to evaluate their product and service needs. Relatively mature communities have developed already around electronic services in the areas of travel and tourism, road navigation and health.
At this stage in the development of E-Commerce, a many of the aspects of inter-corporate and consumer E-Commerce applications must be evaluated separately in terms of their economic potential. However, developments like the Internet already bringing the consumer and corporate E-Commerce environments steadily together. The workplace (including schools & universities) is the most common source of computer awareness and skills that become transferred to the household.
The significance and growth potential of E-Commerce is linked interactively to the broader socialization of the electronic networking environment, a phenomenon that looks certain to proliferate with each generation. Indeed, evidence for this is already accumulating.tands at a critical juncture. After an exhilarating start-up, further development hinges on bridging the chasm between early adopter and a true mass market. We envision Eco System ad the foundation of that bridge.
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Information last updated: 8th May 2006.
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