The consequences of e-commerce on employment
This new way of making shopping modified the customer’s behavior as well as the companies’ behavior, especially regarding the employment. The growth of E-business is revolutionizing the world of work.
First of all, we are going to see the bad effects of e-business on employment and then we will move on, on the positives aspects.
I would like to start by mentioning that a company which sells products online works approximately like a real company, but the main objective is to avoid middlemen in order to offer the best prices.
Indeed prices depend of the competitiveness of each company and as you know, the competition is really intense on Internet. It pushes companies to offer the lowest prices. If a company is not competitive enough, it can go bankrupt.
It’s what happen to the “traditional stores” which are struggling to cope with E-business’s competition.
E-commerce offers a wide range of goods and choices, with very attractive prices; I suppose you have all already noticed that often it is cheaper to buy online than in a traditional shop? Do you know why?
I will give you an example : in France, the shops can’t “organize sales” whenever they want because of the legislation so they must respect the law and “offer sales” only when its allowed, whereas, the E-business doesn’t have any law about sales and special offers : so they can offer lower prices.
As you can see, the traditional companies don’t have the same rights or the same privileges as E-business has.
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