THE IMPACT OF E-COMERCE ON THE TRADITIONAL BUSINESS

Introduction

The impact of e-commerce on the traditional business can be both positive and negative, depending on how well the business adapts to the changing market conditions.

Some of the positive impacts are;

Increase customer reach: E-commerce allows business to reach a much wider audience, both locally and globally. This can lead to increased sales and profits.

Lower overhead costs: Traditional businesses often incur high overhead cost for rent, utilities, and staffing. E-commerce eliminates or reduces many of these costs, allowing businesses to operate more efficiently.

Another positive impact include improve data analysis and convenient shopping experience.

Negative Impacts

Increased competition: E-commerce has made it easier for new business to enter the market, increasing competition and making it more challenging for traditional business to maintain their market share.

Disintermediation: E-commerce platforms can act as intermediaries between business and customers, bypassing traditional retailers and wholesalers. This can reduce the profitability of these traditional business models.

Conclusion

The impact of e-commerce on traditional business can be significant, and it is important for businesses to carefully consider how they can adapt to remain competitive in the market place.

  NAME:  Abdulrauf Hajarah Aramide 

STATE CODE: OS/22C/0145