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E-Commerce & Small Business

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So you want to own your own business, be your own boss, set your own hours, and make real money. If you’re comfortable with computers and have a marketable idea, service, or product, this guide will help you become an ontrepreneur (online entrepreneur). It covers everything you need to know to set up shop in cyberspace.

Ecommerce and Small Business

The World Markets Are Now Open for Small Businesses Too

Ecommerce has opened up much wider markets for the small businessperson. It is no more necessary to spend huge sums on publicity to reach distant markets. Instead, you set up an e-commerce website and promote it in your selected market. We say "selected" market because a small business might not be able to service all markets, even though it is easy to reach your sales message to the other side of the world.

Let us now look at the issues in more specific detail.

What is Ecommerce?

The Definition of Ecommerce page discusses the specifics of ecommerce. E-commerce means electronic commerce where transactions take place over the Internet instead of in a brick-and-mortar retail store.

You create a website that:

• Catalogs your products,
• Allows customers to select the items they want, and
• To pay over the internet with a credit card or other payment facility.

Sometimes the customers might be allowed to provide their credit card details over the phone (if they are hesitant to enter the details on a Web page).

You would of course have to arrange physical delivery of your product using such conventional means as the postal system or such couriers as FedEx or UPS. You would also provide after sales service where needed over the net.

Ecommerce thus transfers the buying and selling process to a virtual world, the world of electronics. And because electronic processes can span the physical world, your market is restricted only by your ability to service it.

How Does Ecommerce Benefit Small Business?

E-commerce provides a more level playing field for small businesses.

• Small businesses can now research competition and the market using the information available on the Web
• Businesses can be established working during off-duty hours as an online business need not remain open at fixed hours (your website can continue to do business automatically even while you are working at your regular job)
• They can reach distant markets, or a wider group of prospects in the local market
• Instead of printing and distributing expensive brochures a small business can create an impressive catalog of its products at its website, and invite anybody to view them instantly
• Operating expenses can be lowered by working from less expensive locations (say, from your home or garage) and reducing marketing and servicing costs
• Cater to a niche market (say for some collectible item) spread over a larger region and generate viable volumes of business
• Provide customer support even to distant customers over the Internet, at less cost

Ecommerce Has Several Business Models

Stocking products in your garage and setting up a website to sell them widely is only one simple model of e-commerce. You can refine the model, say, by:

• Arranging with wholesalers or manufacturers to ship directly to the customers against the orders you get (drop shipping)
• Recruiting other webmasters to promote the products or services that you sell, in return for a commission (affiliate marketing)
• Adopting other innovative solutions that enhance your effectiveness or reduce your costs

E-commerce is an evolving field and small businesses that can tap this technology in innovative ways can expand into huge businesses in surprisingly little time. Read about Amazon and eBay success stories if you want to be convinced.

Definition of Ecommerce

Small Business Web Site

Small Business Web Site Development

Web Site Promotion

Email Marketing Campaigns

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Start Small Online Business