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An E-Commerce Business Model: Questions and Answers - Assignment Example

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This essay "An E-Commerce Business Model: Questions and Answers" describes that it is without question that the prospect of beginning an e-commerce sight entails a massive amount of work and a great deal of expense. Payment systems have to be determined and tested, the ease of checkout must be gauged…
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An E-Commerce Business Model: Questions and Answers
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An E-Commerce Business Model: Questions and Answers

Download file to see previous pages... 1) Imagine that someone has offered you $1,000 to buy your domain name shortly after you started your business online. Explain why or why not you would not sell and cite the ethical dilemmas involved.As such, the prospect of an individual or entity coming to the owner of the e-commerce sight and offering to buy it creates a host of problems. Not the least of which would be the need to start afresh on the previously listed steps engaged in. Such a transition would require a great deal of money, time, and effort on the part of all involved in the creation of the domain. At the price of $1,000 dollars, such a sale would not warrant the expense and headache caused. Indeed, even for a price of $10,000 dollars such a sale would also be inadvisable due to the fact that the business owner must not only tally the total amount of money he/she has spent in development and advertising but also consider the loss of sales that changing his/her domain might entail for the customers that are already familiar with the site. 2) The e-Commerce software you will be using must provide a catalog display, shopping cart capabilities and transaction processing. The convenience and usability for the customer are benefits of these functions. Market research has proven time and again that a seamless shopping experience yields repeat customers. By providing suggestions and combining multiple purchases with discounts and or free shipping, the e-commerce site is able to increase sales at a very low cost to the business. Additionally, a shopping cart function is useful to the business as many times customers will be shopping and for one reason or another leave the site or close the browser. Unlike in a traditional store when a customer leaves the physical store the sale is often lost. However, due to the fact that the shopping cart saves the customers selections in the cookies, the suggestion potential remains once the customer has then returned to the site. Lastly, once the selections have been made, the ability of the customer to quickly select a payment method and complete the transaction allows for a pleasant experience as well as increasing the ...Download file to see next pagesRead More
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