Comments on SunJie’s blog:My Comment on unplugged and unproductive

https://blogs.ubc.ca/sunjie/2014/10/05/my-comment-on-unplugged-and-unproductive/

E-Commerce

I strongly agree with the opinion that online and mobile services will reduce the cost while increase the convenience for consumers. Nowadays, business has achieved modernization, and the trend of E-commerce has become the mainstream. Following the stream is the choice of majority. Online and mobile selling decreases the cost of rent and provides more information about consumers’ preferences. As for consumers, they can purchase goods anywhere in a lower price.

However, should every firm in any industry observe the tendency?  I disagree. The cost of rent is lowered, but how about the cost of distribution? In some countries, the wages for delivery is fairly high. In addition, the information about products online is vague and sometimes misleading. For example, when people buy shoes or food, they would choose to buy at specialty shop and markets.

In another aspect, some services, such as massage, haircut, can not be provided through internet. Firms should choose the strategy according to their types of products and the cost structure.

 

 

 

 

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