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Essay / Research Paper Abstract
This 4 Page paper considers the advantages and disadvantages that are presented with the advent of the internet and e-commerce specifically for the small and medium sized enterprise (SME). The paper outlines both the advantages and disadvantages and considers viable solutions. The bibliography cites 5 sources.
Page Count:
4 pages (~225 words per page)
File: TS14_TEsmeadv.rtf
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Unformatted sample text from the term paper:
also many other advantages, however, there are also some disadvantages which are also very pertinent for small to medium sized enterprises. The advantages are wide ranging. One key
factor of entry into a sector is the barrier to entry, where barriers are high there is a greater need for investment and less competition will be apparent. The internet
is renowned for having relatively few barriers to entry. One advantage to the Internet is the fact it is not owned by anyone, it has no regulatory authority, and is
therefore a truly free medium. However, access to the internet also has to be acquired and then consumers have to attracted to the web cite and encouraged to follow though
with a purchase. Access to the internet will involve costs, both for the setting up of the software and the hardware, as well as the marketing cists. However, when
compared to a bricks and mortar operation there are still major cost advantages (Dewan et al, 2000, Poon and Swatman, 1999). The costs to the SME with an online operation
may be lower than setting up of a shop or other physical operation (Dewan et al, 2000). There are still costs involved, and for many companies these will be higher
than initially planned due to hidden or unexpected costs, such as increased fees for the acceptance of credit cards due to higher levels of fraud as well as increasing security
regularly and maintenance (Poon and Swatman, 1999). However, the cost saving are particularly relevant when it comes to collecting and managing different customers
details as well as different prices (Dewan et al, 2000). This allows for discretionary pricing and more flexibility. For the SMEs that are able to gain an early adopter advantage
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