E-Commerce Business Environment in India Video Lecture | E-Commerce - B Com

hello and welcome to marketing 91 comm
let's understand the differences between
traditional Commerce versus ecommerce
let's start with traditional Commerce
face-to-face interaction limited
accessibility and time-bound high level
of customer service product is delivered
instantly instant gratification
technology has a limited role relies on
tangibility high customization of
product is possible range of products
and services limited to the size of the
outlet ecommerce digital interaction 24
by 7 accessibility limited scope for
customer service delivery is delayed
until the product is received by the
customer technology involvement is high
relies on images videos and descriptions
customization of the product is limited
and wide range of products and services
ecommerce environmental factors
political recently the Indian government
has been promoting the growth of
Internet usage in India the digital
India programme was launched by Prime
Minister of India Narendra Modi on July
1st 2015 with an aim to connect rural
areas with high-speed Internet networks
and enhancing digital literacy across
the country the programme aims at
inclusive growth in the areas of
electronic services products
manufacturing and job opportunities etc
and is based on three key principles
digital infrastructure as a utility to
every citizen governance and services on
demand and digital empowerment of
citizens economical the Indian economy
is a seventh largest in the world in
terms of nominal GDP and the third
largest globally with respect to
purchasing power parity or PPP in 2015
India underwent a startup boom and
manufacturing growth showed up owing to
which the country's economic growth
accelerated to seven point six percent
in 2015-16 thus for the first time since
1990 India grew faster than China which
registered six point nine percent growth
in 2015
India is expected to grow at seven point
seven to eight percent
in 2016 to 17 the e-commerce industry in
India grew 34 percent CAGR in 2009 and
14 to touch US dollar sixteen point four
billion in 2014 the sector was estimated
to be worth US dollar 20 billion in 2004
15 social ecommerce shopping is gaining
increasing popularity among consumers in
India owing to the high levels of trust
and convenience
although most consumers still rely on
traditional retail channels they have
also incorporated a favorable attitude
towards ecommerce Indians especially in
the metros have prioritized time and
convenience and therefore are increasing
purchasing from e-commerce portals
internet penetration has increased a
more rural consumers have been accessing
the internet using their mobile phones
technological which 220 million users
India is now the world's second largest
smartphone market according to the
Internet and mobile Association of India
India had an estimated 400 in 2 million
Internet users in 2015 its user base has
increased by 49 percent compared to 2014
technological advancements in web apps
and mobile apps have also positively
impacted the development and management
of e-commerce websites legal the
regulatory landscape regulating the
e-commerce sector in India is still
evolving but moving in a positive
direction
tax norms and investment norms are still
under development in March 2016 the
government allowed 100% foreign direct
investment or FDI in online retail of
goods and services under the marketplace
model through the automatic route aiming
to legitimize existing businesses of
e-commerce companies operating in India
however this law prohibits marketplaces
from offering discounts and limiting the
total sales originating from a group
company or a single vendor at 25 percent
till date India has allowed 100% foreign
investment in business-to-business or
b2b e-commerce however it does not
permit foreign investment in retail
e-commerce that is business to consumer
or b2c stay tuned for more videos on
market
thank you