Business today is very different from business during the time of our ancestors. In the past, wealthy businessmen and women were often traders – traders of spices, cloths, animals and all other kinds of natural or manufactured resources. They would set up stalls in bazaars and markets in order to have people see their goods and subsequently make sales. Today, the interactions between buyers and sellers are very similar – they want goods, and go somewhere to buy them. However, the medium for interaction, in accordance with the technological boom, has changed drastically.
The internet age has brought along with it a great deal of ease for businesses across the world. For large businesses, it has allowed them to enter new markets and spread their name even further through the use of online marketing channels via social media platforms such as Instagram and Facebook. For smaller and medium sized businesses, it has made the supply chain process a whole lot easier, as well decreasing point-of-sale costs. Given that e-commerce removes the need for a physical merchandising setup, businesses can decrease costs substantially by only having a website, and just making it so that the only way people can purchase goods is via the online purchasing channel.
The effects of e-commerce on the flourishing SME (Small-medium sized business) market have been profound. Before, it was often the case these businesses were run from homes and other obscure locations, and they often did not have the financial capital to be able to go out and physically market their goods. However, with the coming of the internet, these small businesses can now enter markets and make a name for themselves from the comfort of their very own homes.