During my research for a business solution, I came across with many possible problems a business might face during their e-business run. In this section I will address these potential problems.
When going direct to consumer with an e-business shipping costs are one of the important parts to consider. Because of shipping times, there is no immediate gratification with ecommerce. Heavy, bulky and perishable goods are expensive to ship (Kaplan, 2013). Delivery duration is also an important factor to consider.
Security is another problem. Security and fraud concerns mean some people are still reluctant to use their credit cards online (Kaplan, 2013).
When starting an e-business not using the latest technology can result in big costs in the long run. Warehousing also has high costs. Whether the company will need a new warehouse or use the existing one should be decided. Large scale of operations might be costly and hard to control (Marketline, 2015).…show more content… Also, the lack of interaction with store staff and the other customers might be a drawback. In the case of Laura Geller Beauty, at first it was hard to provide the shopping experience the customers needed. Their website was solitary and couldn’t fully harness the rich knowledge within the Geller Girl community (Taylor, 2014). Customers should have a positive interactive experience using the website.
For consumers, shipping costs are one of the major drawbacks of e-commerce. They would be unlikely to pay the high shipping costs to deliver low priced products for on demand consumption (Allen and Fjermestad,
