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E-COMMERCE ?
Electronic commerce or e-commerce refers to a large range of online business actions for services and products. It in addition pertains to "any type of business transaction in which the parties cooperate electronically rather than physical exchanges or direct physical contact."
E-commerce is generally related with buying and selling over the Internet, or conducting any deal involving the transfer of rights or ownership to use services or goods via a computer-mediated network. Though accepted, this definition is not inclusive enough to capture recent developments in this innovative and new business fact. A more complete description is: E-commerce is the make use of electronic communications and digital information processing technology in business transactions to transform, create and redefine relationships for value formation between or among organizations, and between individuals and organizations.
International Data Corp (IDC) estimates the value of international e-commerce in 2000 at US$350.38 billion. This is projected to scale to as high as US$3.14 trillion by 2004. IDC also predicts an raise in Asia's percentage divide in worldwide e-commerce revenue from 5% in 2000 to 10% in 2004 (See Figure).
Figure : Worldwide E-Commerce Revenue, 2000 and 2004 (as a % share of each country/region)
Asia-Pacific e-commerce revenues are projected to rise from $76.8 billion at year-end of 2001 to $338.5 billion by the end of 2004.
JOINT DEMAND AND COMPETITIVE
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