What are the SWOT Analysis of E-Commerce?

SWOT Analysis of E-Commerce

ECommerce Inc. sells general gifts over their website. They aren't getting any sales over the site and minimal sales in the area. They have very little start up capital so they don't have a store front. They've managed a couple of sales by people they know browsing the site and requesting gifts in person. This business is in severe need of a SWOT analysis.


They have very low operating cost due to the website being up and not having the upkeep of a storefront. They have a website which makes them a potentially global entity, but for our purposes let's say they only deal nationally. So, they have a potential market of a full country. A website gives them a much larger looking company then it actually is.


This will be long winded. They have very limited exposure because of low operating capital. They don't have a store front when there main income is local so far. They have very limited advertising online, which is bad when your main revenue should come from the internet. Their product isn't exactly unique. They offer a higher quality product but that makes it harder to compete price wise. Low income means that they are more stagnant. A website looks good but it is hard to persuade people you're legitimate without a physical address. And when your main revenue is coming in locally for the time being, how will you look legitimate without a storefront?


Business to Business (B2B) looks to be the most promising thing. E commerce Inc. could become a business solution rather than a retail outlet. This for sure will cut down on local competition; eliminate their need for a retail storefront because businesses don't typically shop for their solutions by going to a store. This will also allow them to focus their advertising effort by minimizing their target audience to professional businesses that would need gift solutions.


Other online gift solutions for businesses. They are nearly limitless, and there are some very big ones out there. They also run the risk of a large company needing a far too large order, this might possibly be resolved with a loan to fulfill but then there are man power issues.

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