Ecommerce or electronic commerce means selling and buying services and goods online for global sourcing and domestic purposes. The payment processing technologies are also included here. The technologies which make ecommerce transactions safe and secure such as SSL and AVS are also part of ecommerce. SSL or secure socket layer is the most advanced security technology available today. Companies operating Import Export businesses were very cautious to this new form of international trade in the beginning.

Concerns of the International Trade over Global Sourcing and E – Commerce

The international community of traders were extremely sceptic about this new form of business called ecommerce, let alone using this for global sourcing and import export. You cannot say that they were completely wrong because ecommerce had several critical security issues and these were even more exaggerated because of lack of awareness. It was assumed that ecommerce was just about credit card processing and transferring of money over the internet, which is completely wrong. Today, ecommerce allows online shopping, electronic filling of important documents, enquiries and invoicing prior to spending your first dollar. All these are the same activities that are involved in import export industries. If you want to these in the traditional offline mode then you will have to spend lots of labour and time.

Furthermore, the security holes in ecommerce are plugged for private businesses and money transfers with technologies such as firewalls and SSL. These security technologies are easily available to any body.

Limitations of electronic commerce in Import Export

The limitations of electronic commerce are not due to technical issues but they exist because of inadequacies in the conduct of the international trade such as import export and global sourcing. Any ecommerce portal which fails to convey the value of the proposition of such a sound product will not succeed.

Wrong estimates of timeframe and sequencing and of resources are very common in an automatic export import industry that is supported by global sourcing and ecommerce. Even though you put in a lot of effort and time, your products may not be able to reach the import export traders unless you follow it up with direct marketing.

Electronic commerce firms doing international trade have to constantly innovate to succeed in their business. There are few companies which not only do global sourcing but also export and import products by using ecommerce backed ground operations. The best examples for such companies are BizRate and Amazon. The huge success of commodities and stock trading and banking can be attributed to ecommerce. Nothing would have been possible if there was no robust ecommerce. Export & Import together with the international laws for trade have been amended accordingly to make sure that ecommerce is secure.

Small businessmen are able to do import & export as well as global sourcing every day due to ecommerce technologies. This is how ecommerce has changed the way people do business and more so how people import and export goods and services. Contact one of our helpful account representatives to assist you in the setup of a high risk merchant account or offshore merchant account for a high risk merchant.