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Internet-Based Buyer or Seller Pricing Perspective - Essay Example

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Not millions. Billions! In May 2005, the US Department of Commerce released figures reporting that e-commerce sales in the first quarter of the year had been up 23.8% from the previous year. E-commerce sales, which…
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Internet-Based Buyer or Seller Pricing Perspective
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Internet-Based Buyer or Seller Pricing Perspective

Download file to see previous pages... Internet has changed the business environment from a Market place to a Market space. Online business has much wider scopes than offline businesses because of the wider reach-ability of it. The advent of the Internet has brought about dynamic pricing, which varies from consumer to consumer. In addition, the Internet has created price transparency that allows both buyers and sellers to view all competitive prices. This paper briefly analyses Internet-Based business and pricing of goods from a buyers perspective
Barkley et al (n. d) have mentioned that by decreasing marketing, communication, and information costs and increasing access to lower cost suppliers and services, internet purchasing will help a person to buy goods for cheaper rates compared the supermarket prices (Barkley et al, n.d, p.1). It is a fact that goods purchased through internet are cheaper in price compared to the goods purchased from a dealer or shop. This is because of the fact that the dealer needs to pay various kinds of taxes to the government whereas the ecommerce site owners need not pay taxes to the government. The reduction in tax burden will encourage the ecommerce business people to offer cheaper prices to products compared to that purchased from a shop or supermarket. Recently, I have purchased a microwave oven from a supermarket. After bringing that in my home, one of my friends told me that the price of the oven was little on the higher side compared to the prices offered by the ecommerce people. I checked the prices of the same model in the internet and realized that I lost around $25 in that small deal itself.
The emergence of Internet platform for business purposes has changed many of the traditional means and approaches of businesses. Companies started to devise cost effective ways to encourage their internet based businesses considering the immense advantages it provides to them compared to the ...Download file to see next pagesRead More
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