Internet trade is the fastest growing business transaction in the world today. The reason why most business owners prefer to initiate business and commence on internet trade is because this medium is the fastest way to do so, and is not dependent upon territorial a distance restrictions. Also, internet trade is relatively cheaper as compared to trade mechanism implemented in landmark means. Due to these reasons most business has shifted to the e-commerce trends of internet business to facilitate internet trade. However, this medium does have its fair share of disadvantages and the business owner must be completely aware of these disadvantages before initiation on internet trade mechanism.
Some of the disadvantage of internet trade is listed below:
Disadvantages of Internet trade mechanism:
Computer Expertise Requirement:
One disadvantage of internet trade is that the initiator of this business must ensure some expertise in the computer medium to properly run this business. Although a business can hire professionals to control the internet trade mechanism but unless and until the business owner himself won't develop the necessary skills in internet trade then he could never truly analyze the performance of the business and properly run it. This is major disadvantage as most business owners that do not have a computer related background find it relatively difficult to run internet trade.
Security and confidentiality issues:
Security issues are also a disadvantage in internet trade. Although computer security have increased in the recent years with new programming and encryption protocol design to safeguard internet trade but internet is an open medium which still imposes threat to online cash transactions. Some business are unwilling to run internet trade because they fear the leak of confidential matter during the internet trade and are also reluctant to facilitate heavy cash transaction on the internet. The confidentiality matter and leak of secret information also greatly concern the business initiators.
Copyright issues:
This is also a disadvantage of the internet trade mechanism. The internet law does not and cannot impose copyrights rule as firmly as the administrators do in landmark business. The major reason is that internet is a huge medium and is distributed in several countries of the world. Keeping copyright laws intact is very difficult and therefore its very easy for one business to entirely copy the business and trade mechanism of some other business association on the internet. Therefore business owners are reluctant to initiate internet trade as they fear that their business ideas would be copied by other internet business easily. The copyright issues till now have not been resolved and there is little chance of having any major achievement in this regard.
Internet trade exploitation:
Since internet is an open medium therefore in most cases the business is advertise to those people that the trade industry does not want to do business with. Commencing the internet trade with the right target market is a relatively difficult task and at times can be very frustrating for the business owner especially if it's a small business with limited finance to support internet trade.
