Amazon started as a small online bookstore in the 1990s. Over time, it added more merchandise and offered its services to third-party sellers until it grew into the global powerhouse we know today.
Ever skipped the store and found yourself going straight to Amazon? You’re not alone—and it’s a glimpse into how e-commerce is reshaping businesses around the world.
Whether you’re thinking of launching your own online business or pursuing an international business career, understanding e-commerce is essential. Let’s explore how e-commerce works, how it’s changed global business, and what career opportunities await in this growing field.
E-commerce is short for electronic commerce. It describes any online transaction involving products, services, and digital goods.
While we often think of e-commerce in terms of large digital stores—like Amazon, Walmart, or Etsy—it spans a range of business models and transactions.
For example:
E-commerce covers a broad spectrum. Global businesses today can reach customers around the world with fewer barriers (and clicks) than ever before.
E-commerce is a $6.8 trillion global force, expected to reach $8 trillion by 2027. One-third of all purchases are made online. Companies can now sell to customers halfway around the planet without needing a physical storefront.
Here are six ways e-commerce is changing international business:
Ever noticed how many third-party sellers there are on platforms like Amazon or eBay? Small enterprises now have access to international markets without the financial and logistical barriers of setting up physical stores abroad. For example, Etsy allows artisans in small towns to sell their handmade goods to customers anywhere in the world.
Overhead refers to a store’s operating costs: the upkeep needed for physical stores, international shipping centers, and large staffs. Online platforms eliminate many overhead costs, so businesses can focus more on investing in digital infrastructure—like better online storefronts.
For example: Shopify allows businesses to set up online stores with minimal upfront costs. Expensive real estate and large teams? No longer needed.
Many e-commerce platforms streamline purchasing with integrated payment systems and digital currencies, which makes checking out a breeze.
For instance, Alibaba’s AliExpress allows for instant payments in multiple currencies. This makes it easier for consumers to purchase from international sellers without long waiting periods or high transaction fees.
Ever wonder how goods get from halfway across the world to your door in no time? Or why some packages get stuck in customs? Cross-border logistics between countries ensure:
Fulfillment centers around the globe—such as Amazon’s—reduce delivery times even for international shipments, which has helped create a more efficient global supply chain.
Real-time data collection gathered from online behavior offers countless insights to businesses. It allows them to track consumer preferences in real-time and adapt their offerings based on region and individual shoppers.
That’s how stores like Amazon can offer personal recommendations based on your browsing and shopping history. Real-time data collection provides insights into what products are trending in different countries, allowing businesses to respond to market demands instantly.
E-commerce has made it easier for customers to buy from anywhere in the world. Most stores offer multiple payment options, like PayPal, Stripe, or cryptocurrencies. Installment payments are also becoming more common, using payment platforms like Klarna.
Platforms like eBay and Shopify automatically adjust prices to local currencies, which removes barriers for international customers.
Digital influencers selling services and products on social media—like on TikTok, Instagram, or Reddit—and artificial intelligence are quickly redefining what it means to sell online.
Here are some trends to watch:
Artificial intelligence (AI) is already automating parts of customer service. (Think chatbots you can ask general questions or the AI that redirects your call to a human operator.) AI use is expected to surge by 37% annually between 2023 and 2031, and AI systems will automate customer service, personalize shopping, and predict trends.
Ever tried on a pair of glasses online before buying them, like on Zenni Optical? Or, if you’ve bought from IKEA, you may have even tried their augmented reality (AR) furniture visualization. VR/AR technology is improving quickly and will allow customers to effortlessly “try before they buy” online.
Platforms like Patagonia prioritize eco-friendly packaging and ethical sourcing. With the rise of eco-conscious consumers, this will only become more important.
Here’s what you need to know:
E-commerce is revolutionizing the world, and you could be part of it.
Do you dream of building your own online storefront, launching a global business, or creating the next generation of e-commerce tools? In a field that’s technology-forward and constantly evolving, it’s vital to stay up-to-date with credentials like The University of Texas Permian Basin’s entirely online Master of Business Administration with International Business concentration.
This program will help you build key knowledge to scale and manage businesses in a digital-first world, including:
Students from UTPB’s MBA program have turned their degrees into careers at global powerhouses like Google, Amazon, Charles Schwab, and Chevron.
Already earned your Bachelor of Business Administration (BBA)? Good news—you can easily transfer your credits to UTPB.
With an online MBA in International Business from UTPB, you can start building your own global business and join a community of changemakers—no matter where you’re starting from.
Sources:
https://www.bigcommerce.com/articles/ecommerce/future-of-ecommerce
Did you know that there are approximately 33.2 million small businesses in America? About 46% of workers in the United States are employed by these tiny but very mighty companies. However, larger businesses employ numerous expensive marketing strategies to increase their visibility, customer base, and revenue, so how are small businesses supposed to keep up? …
In the modern business enterprise, accountants are expected to understand data analytics, forensic accounting, and risk management, among other highly sought-after skills. Artificial intelligence (AI) technologies—like the software used to track financial transactions—can make accountants’ lives easier, but with each passing year, these technologies are taking over an increasing number of accounting tasks from trained…
Earning a university degree can equip you with skills and credentials that will be a tremendous asset in your professional life. As Abigail Johnson Hess reports on CNBC.com, the long-held notion that a college degree “can be a clear path to stronger job opportunities and higher earnings” still holds true. College graduates take home about $30,000 more each year than those whose highest level of education completed is high school. When choosing a college degree, it’s…