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Ecommerce - a New Business World

Ecommerce - a New Business World

A Home Business Article Contributed by Stephanie Litaker

The new way of doing business: ecommerce

Looking for ways to make your living through ecommerce? Just the club! More and more people are joining the world of ecommerce every day, and the majority of those people have questions about ecommerce and what it means to the traditional business world.

What exactly are web services, and how do they relate to ecommerce?

Simply put, web services are the generally accepted way of working web-based applications into your business applications. Typically, web services are the primary way for ecommerce businesses to communicate with other businesses and with their clients. They also enable the businesses and companies the opportunity to share and trade data without knowing and understanding the other's informational technology systems. These services have made the world of ecommerce available to small businesses and the general public as well.

Chance are you have used the services of PayPal for a variety of ecommerce transactions, or you've at least heard of it. PayPal is just one example of web services in the ecommerce world. PayPal allows it's members to exchange payment for goods and services. The service will provides the records of their ecommerce transactions, and enables their customer to search transactions, restore details of all transactions and even refund the full or partial amount of each transaction.

Should my ecommerce business accept PayPal?

Simply put, if you sell goods or services to consumers through the ecommerce trades, then you definitely should accept PayPal. Web services such as PayPal do not charge account setup fees, cancellation fees or even monthly usage fees.

As a merchant wishing to utilize the PayPal service, you will be charged 2.2 percent of the total purchase price, plus 30 cents per transaction. But don't be deterred by that small fee, the number of customers using the PayPal service in their ecommerce purchases is increasing dramatically by the day, and enabling your potential customers to pay via this method will attract new customers. Also, using the PayPal service will help lower the fraud rate you experience, as PayPal verifies each of their members.

Dedicated or shared web server - which is better in the ecommerce world

Whether or not you should rent a dedicated server or a shared web server for your ecommerce needs will depend on both personal preference and the amount of traffic your Web site receives. The basics on both types of servers:

Dedicated Web servers:

- Have access to the main server operating system, and can operate on a different system if necessary;

- Have the ability to install customized applications;

- Are more expensive;

- Have an increased security level, and are able to manage firewalls and passwords;

- Can be adjusted to manager traffic levels; and,

- Require the user to be technically skilled to monitor and operate the server.

Shared Web servers:

- Are restricted to the use of the software and operating system that the host uses;

- Has very limited access to the operating system;

- Are less expensive than dedicated servers;

- Are less secure, increasing the risk of problems;

- Have no control over the total amount of traffic on the server; and,

- Require very little technical ability to use.

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Ecommerce - a New Business World

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