Traditional commerce vs. E-commerce

 Due to the growth of Internet, the nature of competition in traditional way of doing business and using E-commerce has changed significantly. 
In traditional commerce, the businesses have to compete within a single industry and limited geographical area. 
 In many cases business processes use traditional commerce activities very effectively and they cannot be improved through technology.
The products that customers prefer to touch, smell or examine precisely are difficult to sell using E-commerce.
For example, buyers will hesitate in buying perishable food items, expensive jewellery and high-fashion cloth as they cannot be examined closely before purchase.
In traditional commerce, the retail merchants with their years of experience create the store design that helps to convince the customer to purchase a product.
This arrangement of products, store design and layout is called merchandising.
The merchant develops the skills to identify customer needs and find products and services that meet those needs.
But this art of merchandising can be difficult to implement over Internet.
Some of the common features of traditional commerce are:
·         Operates within a certain period of time or during business hours.
·         No sharing of information with competitors.
·         Hiring of sales persons, sales manager and many more.
·         Location renting or purchasing, advertising, inventory, shipping of products.
However, in today’s fast paced world it is very important to break through these conventional rules.
We need to adapt to the new ways of doing business worldwide using Internet.
Some of the features of E-commerce are:
·         Advertising of the product is done electronically.
·         Customers can browse through products catalog and available offers.
·         E-payments systems are used for receiving payment. However, in many cases payment on delivery option is also available.
·         Goods are delivered to the customer within few days.
·         Reduces the per transaction cost.
·         Reduces the time taken to perform an overall transaction.

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