E-Commerce
Assignment #1

Ecommerce Assignment # 1

Part A Short Answer Questions

1) Pure Play e-commerce is when all the product/service sold, the process of obtaining product/service, and the delivery method of obtaining product or service is all digital. An example of pure play e-commerce is when purchasing an e-book online through Amazon, the product, payment and delivery are all obtained through digital. Whereas “bricks and clicks” companies, do some of their business activity online, but not all. An example of this is ordering a computer online, from Dell, the order and payment is completed online, but the complete business transaction is not complete until the computer has been shipped to the consumer’s homes. The benefits of pure play e-commerce, is the fact that the consumer can instantly own the product or service, there is not wait period. The limitations to pure play is that not all products and services can be accessed through digital ways, the internet has restrictions, for example online shopping for shoes can only be done so much though the internet, the physical product still has to be sent through the mail. Another restriction is the consumer sometimes will want to see the physical product or service before purchasing, and pure play cannot accommodate this need. Bricks and clicks method allows the consumer the power of purchasing the product from the convenience of their homes, while having the product shipped to their household. The problem with bricks and clicks is that the consumer has to wait to receive the product in which they have already paid for.

2) Benefits of increased market for ecommerce are global reach, giving the company the option to attract consumers/suppliers worldwide at reasonable costs. Other benefits include cost reduction like lower costs involving information processing, storage, and distribution.