What is eCommerce Business

What is eCommerce Business | How Does eCommerce Work

If you have not been hiding in a cave for the last few years, you must have heard about the eCommerce business world. We do not know exactly when people started trading things for the first time. Previously using metal coins, then using paper money is possible to buy anything.

But today things have changed with the thought; There is a trading system to buy things that do not buy anything with coins or paper money. Just sit with your computer or mobile, choose things on the screen, click something, enter a credit card or debit card number, and wait for the product to arrive at your door. This online-based store has simplified consumer life, has opened up a whole new possibility of secondhand business-to-profit. So let’s take a closer look, what is this and how to do it.


Before going into a detailed discussion about the eCommerce business, we should have an idea about old commerce or trade. Understanding general trade will not be difficult to understand eCommerce. We usually understand trade, offering a product or service in exchange for money. Wherever there is money, there is trade all around us, but they are expanded in millions of different ways.

Suppose you went to a grocery store to buy something, you bought some products and paid the money and brought the product along; This way you have participated in a part of the trade. Suppose you made a hand-made bag and sat in front of your home with bags you made to sell; In this way, you have participated with the Commerce. If you wake up every morning and go to an office to make a product, it also falls into commerce. So, I can understand from the examples how many forms of commerce could be.

No matter how many forms of commerce, all things are common but there are a few common issues. If you want to succeed in a trade, there are three things that are needed, Buyers, Sellers, and Producers. Buyers are those who buy a product or service with money. Vendors provide products or services to buyers, while many sellers sell products to small sellers, and sell them directly to buyers. Manufacturers produce products or services by themselves to sellers so that they can reach these customers. Producers are also a type of seller, they sell products to large vendors or they can also deliver products to buyers themselves.

A more easy example; Remember the roadside popcorn, that he sells popcorn himself. So he is e-commerce, producer and a seller, and if you buy popcorn, the buyer Hopefully this topic is completely clear now.

What is eCommerce Business?

What is eCommerce Business?

eCommerce business also focuses on the core issues of commerce. There are also requirements for buyers, dealers, and manufacturers of products or services. But the whole thing from ordinary commerce to e-commerce is a bit difficult. After going to the normal store, after picking a product, the product comes out with cash in hand, but in e-commerce, you will not be able to get the product right away, as long as the product is not sent from the e-store to your address. If you do not have a hand in hand with the product, it is a problem, but there are some issues that will have an E-seller or online retailer. Firstly, he has to process online transactions of the money, secondly, it is to verify that the product you have ordered is in stock and the product has to be arranged to reach your exact address.

In addition to buyers, sellers, and product manufacturers, there are three main items in e-commerce; A web server, which is connected to the bank computer to manage the online store and complete the transaction, is a database system; Which is always on the stock by the stock and when someone orders it, the number of items from the database automatically reduces, and a dispatch system that is connected directly to the warehouse so that the order can be delivered to the customer as soon as possible after the order is successful.

The first of these three things are essential for e-commerce. Many small e-commerce traders handle the database and the dispatch system manually. They usually run a website from which the customer orders the product and then they are manually handled.

How Does eCommerce Work?

  How the entire eCommerce system works. But not all sites that work exactly as described below.

  • First of all, you have your internet-enabled computer or mobile and you want to load your favorite e-commerce website in the browser. You are always able to serve web pages by contacting your browser’s site.
  • When ordering a product, the webserver will send its information to the order manager program.
  • Checking the order manager program database, whether the product has stock or not.
  • The database ensures that the product is in stock and determines a possible delivery date according to the seller.
  • Since the product is in stock, the order manager communicates with the transaction system, to cut the bill from a credit card or debit card. To check whether there are enough funds in the customer’s account by contacting the system bank computer again.
  • If the bank is getting permission from the computer, the transaction will go further, but the site does not get instant money, it will have to wait a few days.
  • After the transaction is successful, the system informs the webserver.
  • The web server showed a page to the customer, its order was successful, and more bill information was reported.
  • Order Managers now request the warehouse computer to deliver the product correctly to the customer’s address.
  • Now your product goes to your address by truck.
  • Once the goods are left from the warehouse, you will be given detailed information by emailing it to your email address from the warehouse’s computer.
  • Finally, the product comes in front of your door.

Now with credit cards as well as delivering cash into cash has become a popular payment instrument. This reduces your risk as a buyer and the site does not have to deal with the problem of the trading system. Not all eCommerce companies have a warehouse, but they do not reach the goods on their own vehicles, most of the eCommerce sites use courier services to deliver the goods.

How to Start Your eCommerce Business?

To start an eCommerce business, you first need to have a website. And the design of your website determines how successful or frustrating your virtual store will be. The design does not mean that your site will be very interesting to see; Your site should be user-friendly so that someone can easily find their favorite product, your site must be credible, the site should be 24 hours a day and 7 days a week to be accessible and fast pages will be loaded.

Nowadays it is very easy to create and design eCommerce sites, it is possible to create a site within a few hours. Many companies sell ready-made site templates, which are much lower. You can also scale the web server according to the requirement. If you wish, you can improve your own trading system for accepting online payments, and you can confirm transactions using PayPal or other payment gateway services. Again, there are some big sites like Amazon, a small version of their site helps to run on your site, after that you can make some commission after the product is sold.

Another factor in starting a successful online business is to choose an “appropriate domain name“. Your domain name should be selected in conjunction with your service, and of course, select the name that can easily be remembered. Such as booking.com, fooding.com, briki.com, etc. However, some of the most successful eCommerce sites like Amazon, eBay, etc. have proven that successful service can be done without matching the name of your service and website. But there are time requirements, people will come to your site, love, believe, buy products.

If you want to sell your own made products, but you have to have relationships with other vendors and producers for selling many types of products. As buyers come to buy some products on your site, many vendors also come to sell products on your site. Now you have to do marketing to ensure that these customers and vendors will find your site and recognize your site. If someone does not know your site, you will not be able to sell any products. There are many ways to do online marketing. If you want to advertise on Facebook or Google, then you can advertise your site to your preferred or appropriate popular site, thus people will be informed of your online store.

You need to have multiple transactions to make money transactions. Not everyone has a credit card or debit card system, so mobile banking or cash-on-delivery should also be provided. In some cases, the buyer does not like the product even after purchasing, so the method of returning the product must be made. Sometimes when the product does not reach the buyer or breaks down, they will have to arrange for a refund or refund. To solve customer problems or to answer different questions, customer support must be created. You can also offer customer support online, but you can be given customer support even by setting up a call center. Moreover, with the help of honesty and devotion, it is very important to establish a trustworthy relationship with the customer.


Hopefully, today’s article will come in handy for those who want to start a new eCommerce business, as well as you know more about how this system works. There are some disadvantages in many advantages of buying online, for example, it may be late to find preferred products, prices may be high, new sites cannot be easily trusted, and due to the popularity of online shopping, the offline or local market is declining.

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