"Hidden costs can kill your web business"

REFLECTION:
After reading the article, "Hidden costs can kill your web business", I learned many new things I never considered before. With our venture project, I've learned we have to carefully design our business plan with all the operation, financial, and marketing plans but I never considered them when thinking about e-businesses. The article speaks of people who choose to run an internet business without designing a business plan and not considering the "hidden costs". After reading this, I realized that running an internet business is nowhere as easy as it seems. People have to consider privacy, and the ability to provide excellent customer services, just like a regular business.

1. What is e-business?
An e-business is an electronic business. It involves the use of the computer for all activities and parts of a business. An e-business allows for the owner to communicate to it's customers through the simple use of a computer.

2. Pros & Cons (Minimum 1 paragraph)
The pros of running an e-business include lower start up costs, the ability to run it at home, and the quick access to respond to customers. With people having internet access on their phones, it is very easy to check any emails from customers whenever, and wherever, whereas running a "real business" would be harder to come in contact with them through closed hours. Although running an e-business may seem easier, there are several cons that occur with it. Although there are low start up costs, e-business owners must constantly be testing order processes and computer anti-virus protection, update blog posts, and traffic their site. Also, it would be smart to always be aware of scams, frauds and of their company's privacy. It is also harder to build customer loyalty as there is no face-to-face interaction. Another thing that people look past in e-businesses is the coordination of returns, refunds, answering questions and special requests. This helps build possibly customer loyalty and will make them want to buy from the e-business again, but it is just as easy for a customer to not want to buy from them again.