What is Electronic Commerce ?

Electronic Commerce generally refers to all forms of commercial transactions involving both organizations and individuals, that are based on the electronic processing and transmission of data, including text sound and visual images. It also refers to the effects that the electronic exchange of commercial information may have on the institutions and processes that support and govern commercial activities.

According to the World Trade Organisation, e-Commerce 'includes both products which are bought and paid for over the Internet but are delivered physically, and products that are delivered as digitalized information over the Internet.'

The most significant development has been the mass-market growth of the simple-to-use browsers for surfing the World Wide Web that has transformed the Internet from being the medium of choice for geeks and paedophiles but times have changed. More and more businesses, and consumers are now shopping on-line. E-commerce can be thought of as groups of people going through well-defined actions together. E-commerce involves trading by electronic means over the Internet. The people break down into customers, suppliers (also called merchants), makers and receivers of payments - almost always banks or similar institutions, a payment scheme provider and a certification authority. Just about every retail e-commerce transaction involves somebody in each of those roles.

Read topics Accessing e-Commerce (Businesses), Ecommerce is not confusing