ABSTRACT
INTRODUCTION
Economic and Social Impactof E-commerce
E-Commerce has brought about many changes in organizations and has had significant impacts on the quality of life that is experienced by individuals or even indirectly as members of society. The need to have fast and efficient information on products is crucial to our socially conscious and technologically dependent society. Information technology has increased the intolerable burden of handling the increasing amount of information and human errors which the society is expected to contend with. The Economic and Social Impacts of E-Commerce addresses issues associated with the advent of e-commerce, and its significance within society.
Because electronic commerce is still at a very early stage in its development, much of this thinking is based on speculation on sketchy evidence. These claims can be analyzed by looking first at Price declines in key technologies, which enables electronic commerce. The price declines in these supporting technologies allow firms to reduce its production costs. However, given the intangible nature of e-commerce, new transaction costs are generated, many of which are associated with creating trust and managing some of the risks.
E-commerce is a way of conducting business over the Internet. Though it is a relatively new concept, it has the potential to alter the traditional form of economic activities. Already it affects such large sectors as communications, finance and retail trade and holds promises in areas such as education, health and government. The largest effects may be associated not with many of the impacts that command the most attention (i.e. customized product, elimination of middlemen) but with less visible, but potentially more pervasive,