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Suitably to Certain Products such as Software, market research, financial report, sports, etc. Suitability for Product subject to frequent changes, namely Air ticket, Financial instruments etc. Global Accessibility and Sales Reach Market base expansion Increased Profits Shorter Time to Market Supply chain Integration Minimizing the inventory costs Suitability to Service industries like Tourism, Entertainment and information services. Problems Indispensability and connection Growth of credit card culture Absence of developed retail marketing Language problems Scope for fraud Absence of legal Frame Work

Back-up Service and Updating Web-Page a must Unsuitability to certain industries namely, aromatic industry, food grains, cosmetics et c. Costly Telecom Service E Commerce Constraints E commerce Infrastructure E Commerce cannot operate without the required backup services and hardware. Not all the nations have the necessary infrastructure in place to fully benefit from e commerce. High connectivity costs will minimise the use of the Internet (the e commerce super highway) by a nations population, thus will effectively keep a large segment of its citizens permanently blind to e commerce.


Governments together with the private sector should invest in e commerce infrastructure facilities. Action should be taken to maximize Internet usage among the citizens through increased computer literacy and investment on e commerce research and development. Both the government and the private sector should also take measures to ensure the safety and reliability of information infrastructures – especially as a means of reducing transaction costs for users and suppliers. Not having equal access opportunity for all countries will hinder the expansion of the e commerce market.

Trust and Reliability Measures should be taken to enhance the people’s trust on e commerce by implementing secured payment systems, guaranteeing confidentiality of personal information, and providing protection from intellectual property rights violations etc. Existence of a Regulatory Environment Governments by shutting down access to citizens of other countries and by imposing duties and taxes during the physical delivery stage of the e commerce process can effectively retard the flow of e commerce activities to and from a country.

E-Commerce Application Various applications of e-commerce are continually affecting trends and prospects for business over the internet, including e-banking, e-tailing and online publishing / on line retailing. A more developed and mature e-banking environment plays an important role in e-commerce by encouraging a shift from traditional modes of payment (i. e. cash, e-check or any form of paper based legal tender) to electronic alternatives (such as e-payment systems) thereby closing the e-commerce loop.

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Kylie Garcia

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