Cultural and Legal Impediments To E- Business

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Cultural and Legal Impediments To E- Business:

Introduction:  

E-Business can be defined as the use of internet technologies to internet work and empower business processes, e-commerce, enterprise communication and collaboration within a company and with its customers, suppliers and other business stakeholders.

These days businesses are using electronic medium to distribute information and provide customer support. These activities are not termed as "commerce" activities. Thus, e-business includes e-commerce along with other applications such as:

•  Re-engineer internal business processes.
• Implement e-commerce system with their customers and suppliers.
• Promote enterprise collaboration among business teams and work groups.

The business enterprises are often their activities according to the socio-culture and legal rights. Sometimes customers are still somewhat fearful of sending their personal information over  the internet such as sending credit and debit card numbers, etc. Moreover, many customers are simply resistant to change and are uncomfortable viewing merchandise on a computer screen rather than in person. The legal environment in which e-commerce is conducted is full of unclear and conflicting laws. The following presentation explains well about the cultural and legal impediments :

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Figure is showing increment in China and U.S. 

Infrastructural barriers :

The specific infrastructural barriers hindering the adoption of e-commerce in developing countries. Some of the barrier include lack of credit cards and convenient payment means, poor distribution logistics, imperfect legal system, security and lack of large scale telecommunication transmission capability, etc.

Connections :

The internet connection in the most developing countries is unreliable because of poor telephone communication and the erratic power supply. The majority of developing countries ate not ready for e-commerce , because of their lack of network infrastructure especially among individual users an entrepreneurs.

Socio-culture barriers :

Most culture in developing countries do no support e- commerce and the conditions are not ripe because of lack of confidence in technology and online culture. The social and cultural characteristics of most developing countries an the concepts associated with online transaction pose a much greater challange and act as a major barrier ti adoption and diffusion of e-commerce.

Socio-economic barriers :

Developing countries need to address a number of socio-economic and regulatory barriers before they and participate in the electronic commerce. It may include economic conditions, educational system, payment system for enabling transfer of funds, etc.

Political and Governmental barriers :

The poor state of most developing countries telecommunication infrastructure is the major barriers hindering the adoption of e-commerce. When the government changes the policies and procedures of the country's economy as a whole and this change may affect individuals of the economy also.

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Conclusion

 The internet is not yet a universally accessible resource in developing countries. Most countries lack the necessary policies and infrastructure that would enable widespread usage of the internet. In spite of the fact that the necessary conditions for supporting internet usage ate not in place in mos developing countries. The internet has enormous potential as a tool for development.