We’ve all heard the fact that numerous businesses were closed in the 1990′s due to recession and such phenomenon did not only lose numerous companies in the market; it also cripples a number of families as they are trying to find some other means for living. To define, recession is a phenomenon when a business slows down closes due to poor economic activity. From the definition alone, we can already see that recession is a tough situation for entrepreneurs, poverty per se. But it wasn’t really tough for those who turn to e-commerce.
There are three reasons why ecommerce has flourished despite recession. Firstly, there are lower overhead costs for ecommerce. Secondly, you don’t need a number of employees to entertain customers and guard a physical store. Finally, ecommerce opens the possibilities to let you deal with a global market. The very reason that lower overhead costs are achieved in ecommerce is the fact that you don’t necessarily need to get permits, fire extinguishers, building check-ups, and the likes, to start the business. There’s no need for security guards and extra attendants to guard the store. Depending on the bulk of your shop, one or two personal assistant is all you need to keep it going. As long as you have a small space, a good computer, and a speedy internet connection, you are good to go. Meanwhile, the presence of having a lot of people in a business is the possibility of lowering their work when you are not around. Most people who don’t have their bosses around tend to chat and leave the unfinished tasks when the boss arrives. Apart from that, each person in the business means salary and wages, so you don’t want wasting a bit of your fortune to lazy people, do you? Finally, ecommerce allows you the possibility to open your market worldwide since social networking is one of the keys to obtain success in ecommerce. With the presence of social networking sites, entrepreneurs can meet other businessmen and clients and learn from them while subtly selling their products. Forums, social sites, blogs, and many other tools are present online to help every businessman flourish in ecommerce just as long as he or she has the creativity to use all of these.
You see, ecommerce may also have its own disadvantages, but if during recession, the disadvantages of ecommerce have been discounted by a lot of hopefuls in the world of business. After all, they’re not all about the type of commerce; they’re all about sales, right?
(Special thanks to Ashley who is the author of this article. Ashley is a columnist writer for the e-commerce department of the Green Guide. The Green Guide is a website that is specialized in providing green living tips, product reviews, buying guides and environmental health news.)