The History and Evolution of E-commerce

E-commerce plays a crucial role in this modern and competitive business world. It is a process of buying, selling or exchanging products, services and information via computer networks. With the e-commerce, the company conduct their business activities by using electronic data transmission technologies, such as those used on the internet and the World Wide Web.

E-commerce actually began before the existence of the personal computers and it has grown into a multi-billion dollar industry. In year 1984, electronic data interchange (EDI) was being consistent through ASC X12. It gives assurance to the company that computer transactions will be completed with one another reliably. In year 1992, CompuServe offers online retail products to the customers; it creates the first chance to the customers to make purchases through their computer.

In year 1994, Netscape providing a simple browser, it allows users to surf internet by safe online transaction technology called Secure Sockets Layer. In year 1995, Amazon.com and eBay.com are launched and they are the two biggest names in e-commerce. In year 1998, Digital Subscriber Line (DSL) provides fast and always-on internet service to users across California. According to Business.com, internet had make $20 billion trade in year 1999. In year 2000, the US government stop to collect internet taxes until year 2005.

While the internet was developed, World Wide Web actually exists more than a decade ago and it becomes the most widely used service on the internet. From that time, banks start to use electronic transmission, which is electronic funds transfer to exchange data and also information. Businessman also start to conduct electronic commerce, it also known as electronic data interchange. It occurs when the company transmits computer-readable data in standard format to other company. Those documents that have been exchanged through the internet include invoice and purchase orders. They try to create a set of standard formats to transmit the information through the internet because it can reduce errors and avoid printing and mailing costs.

Compare to the years before, people has make a lot of developments and enhancements towards the e-commerce. Nowadays, it becomes one of the essential tools for us in this competitive business world. As a conclusion, we should always using e-commerce services in our daily life.