Doing Online Business Is Better Than Traditional Business

Is doing online business better than traditional business? Are we right to say one is better than the other? We have to look at both sides of the topic. It ultimately boils down to the current market; whether people are able to accept the modern way of doing business or the traditional way of having an open store to sell their goods and services.

WHAT ARE ONLINE BUSINESS AND TRADITIONAL BUSINESS?

Electronic business, or e-business, may be defined as the application of

information and communication technologies (ICT) in support of all the activities of business. E-commerce is a paradigm shift and it is a “disruptive” innovation that is radically changing the traditional way of doing business (Chung-Shing 2001). Traditional business, also known as a bricks and mortar shop (Kayne, 2013), requires employees to service and sell their products, advertisements to attract potential customers and a roof over their heads. A store or office would be owned or rented by the owner and it must be of a certain size to house all the products the business is dealing (Marshall, 2012).

REASON FOR ONLINE BUSINESS

Both online business and traditional business hold their importance in their own ways. Yet if we have to compare an online business to a traditional model of non-online business then online business has loads of advantages over the traditional business. Benefits of Online Business over Traditional Business are Cost Advantages, Speed and Accessibility and also Security.

COST ADVANTAGES

Online business has a cost advantage as compared to a traditional business. . Traditional Business, the location of the store is an important factor as the human traffic will affect the sales. The location of the store must match the products the store is selling. A heavy human traffic location would often be very pricey due to the attractiveness of the location. E-commerce uses a lower cost and more flexible technology for every sector in a company (Willis,...