Social Factors: Internet is one of the most useful environment but the use of the same for the e commerce industry is dependent on a number of social factors. The social impact of the e-commerce can’t be undermined. It has changed the life of the people and the way in which they buy the things. Legal or ethical issues: Some of the behaviours may be accepted by the users. Though, the nations have been developing some laws for the e commerce companies. One of these includes having a fare business.
Technological Factors: The digital technology which is available online is very disruptive e in the present times. The biggest challenge for the E commerce industry is to look for the current technological environment and look for the ways through which they can provide the best technology for the E commerce business.
Economic factors: In the present times, the prosperity of the company is largely dependent on the extent of e-commerce activities. The organizations are targeting more and more to increase the online transactions.
Political factors: The political factors in the nation are determined through the government, opinion of the public etc. The government should try to monitor the different e-commerce activities. The nations in the present times are examining their tax structure in order to ensure that the e-commerce industries doesn’t reduce the tax collection of the government agencies.
In the modern times, E-commerce industries have been advancing at a great pace. There have been a large number of online websites which are entering into the global market every day. There has been an increase in the market competition (Montague et al., 2016). There are still a number of issues observed by the industry (Schafer et al, 1999). The very first issue is the Global Competition. Majority of the market share is held by very few companies and the others have to face a huge competition at a global level. Another major issue faced by the industry is the shipment (Turban et al, 2002). This includes a huge cost and the E-commerce portals generally provide free shipping to the customers. Another major issue faced by the industries is driving the traffic towards their own website. This can include a lot of money and creativity.