What advantages does e-commerce have for the development of small and medium-sized enterprises?

As the carrier of e-commerce, Internet has become an indispensable tool for more and more enterprises in information collection, transmission, sales and trading. The popularity of the Internet and its advantages of covering global information have injected a source of power into the development of e-commerce, and it is considered as a new economic model and catalyst that affects the world economic structure in the new century. After a difficult initial development stage, we have been able to use electronic information and communication technology to serve the production and business activities of enterprises, and play a role in improving production and communication efficiency, reducing operating costs, optimizing resource allocation and maximizing benefits. Many enterprises, from the initial wandering and blind pursuit of the same work, to the conscious investment behavior of enterprises now, are enough to prove that the prospect of e-commerce in the development of enterprises is sunny, which provides new vitality and new fighting force for the new transformation of the operation mode of small and medium-sized enterprises.

1 Significance and advantages of e-commerce

1. 1 the meaning of e-commerce

The meaning of e-commerce can be divided into broad sense and narrow sense: in the narrow sense, e-commerce mainly uses the Web to conduct online transactions, which is called electronic transactions; E-commerce in a broad sense includes all web-based business activities, which are called e-commerce, that is, economic and business activities carried out by enterprises with the help of electronic information, or e-commerce activities.

1.2 Advantages and characteristics of e-commerce

(1) low cost: its cost is less than a quarter of that of van, which makes many enterprises, especially small and medium-sized enterprises, very interested in it;

(2) Wide coverage: the Internet covers almost every corner of the world;

(3) More comprehensive functions: achieving different levels of business goals, such as publishing e-commerce information, online negotiation, establishing virtual shopping malls or online banking, etc.

(4) More flexible use: Any commercial document or document can be filled in and used directly without any special data exchange agreement.

2 Small and medium-sized enterprises and large enterprises in the application of e-commerce comparative analysis

From the analysis of the above table, it can be clearly concluded that small and medium-sized enterprises still have their unique advantages in developing their new business model by using e-commerce, which large enterprises do not have. Therefore, small and medium-sized enterprises have reason to have more potential to make full use of e-commerce to enhance the economic benefits of enterprises.

3 advantages of e-commerce for the development of SMEs

3. 1 Expand the market access opportunities of small and medium-sized enterprises

Enterprises publish their product information, advertisements and introduction materials through the global internet, expand the channels for enterprises to enter the market, and establish information web browsing consultation that meets customers' needs according to the characteristics of their own products; At the same time, through network enterprises, we can also understand the inquiries of competitors and partners and open up new market space. Through e-commerce network, enterprises can find more suppliers and potential customers, and get customer feedback information in time and effectively, improve the information feedback ability of enterprises, and use information advantages to accelerate the circulation of goods and funds within enterprises. Especially with the widespread popularization of information technology, the improvement of industry management and the accelerated transfer of technological achievements, small and medium-sized enterprises can put new products on the market faster than large enterprises.

3.2 Improve the economic benefits of SMEs

E-commerce realizes the orderly combination of the market demand of enterprises and a series of trade links such as sales, procurement, transportation, production and settlement, and completes the business and trade process of enterprises simply and quickly. In this way, the management costs and operating costs of enterprises are greatly reduced. The rapid and accurate transmission of e-commerce information enables small and medium-sized enterprises to keep abreast of market trends, customer needs and satisfaction, reduce the error rate of business processing, reduce management costs, shorten business transaction time, simplify business operation processes and improve service quality, thus significantly improving the economic benefits of enterprises.

3.3 E-commerce has improved the ability of small and medium-sized enterprises to adapt to market changes.

The rapid transmission of network information and data analysis help small and medium-sized enterprises to understand and master the market demand, closely combine the production and manufacturing activities of enterprises, and guide the formulation of strategies, which greatly enhances the agility and adaptability of enterprises to market changes and lays a solid foundation for enterprises to manufacture high-quality and low-cost products. E-commerce has changed the pattern of market competition. Although the strength of small and medium-sized enterprises is inferior to that of large enterprises, e-commerce enables small and medium-sized enterprises to play their flexible competitive advantages in a wider range, and at the same time, it will greatly improve their influence and marketing power and adapt to market changes more easily.

3.4 E-commerce provides opportunities for SMEs to enter the international market.

Internet has realized the intercommunication of international information, and small enterprises can also publish information through the Internet, so as to realize the dialogue with international customers with less cost, thus expanding the market development space for small enterprises and bringing opportunities for their development. Moreover, the virtualization of the network can also realize the great development of small enterprises. Through the development and utilization of the Internet, on the one hand, small enterprises have realized the possibility of becoming bigger, on the other hand, enterprises will not be limited by scale, and they can smoothly exchange, manage and apply information.

3.5 E-commerce optimizes the organizational structure of enterprise management.

The rapid transmission and exchange of information realized by e-commerce makes enterprises change from the original vertical management structure mode to the open horizontal management structure mode, and the structure of information transmission also changes from the original pyramid to matrix. The transmission of information does not need middle managers as an important way of transmission. High-level decision makers can directly contact with grass-roots executives, effectively controlling the authenticity of information, and senior managers of enterprises can refer to and analyze the actual situation in time to improve enterprise decision-making. Management organizations with detailed division of labor can no longer meet the needs of the development of e-commerce, and the integration of interrelated management organizations has become the general trend, which will greatly improve the efficiency of enterprise management.

4 conclusion

Generally speaking, e-commerce based on the global Internet is a business activity that transcends national boundaries. The biggest benefit brought by e-commerce to manufacturers and consumers is that they can enter the global market conveniently and at low cost. In this way, a large number of online merchants can be created at a very low cost; It can also make consumers with networked computers and credit cards become global consumers. For production enterprises, the development of e-commerce can effectively shorten the delivery time and production cycle, simplify the order procedure and reduce the inventory, while the direct communication between production enterprises and consumers will make the relationship between them closer, and the links of importers, exporters, wholesalers and retailers in traditional transactions will become meaningless. Low transaction cost and low entry threshold make large enterprises and small and medium-sized enterprises have equal opportunities to participate in e-commerce (in this sense, developing e-commerce is a more effective tool to support the growth of small and medium-sized enterprises), which can effectively change and improve the organizational structure and market competition structure of enterprises and significantly improve the efficiency of economic operation.

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