Updated July 3, 2023
Introduction to E-Commerce Interview Questions and Answers
E-commerce is also known as electronic commerce. It is a methodology for doing modern business and addresses organizations, vendors, and customers’ requirements to reduce costs. It also ensures that cost reduction on commodities improves the quality of goods and services and delivery speed.
E-commerce does the exchange of business through Electronic data exchange (EDI), electronic mail (Email), electronic bulletin boards, electronic fund transfer (EFT), and other network-based technologies.
Now, if you are looking for a job related to E-commerce, you must prepare for the 2023 E-commerce Interview Questions. Every interview is indeed different as per the various job profiles. Here, we have prepared the important E-commerce Interview Questions and Answers to help you succeed in your interview.
This 2023 E-commerce Interview Questions article will present the ten most important and frequently used interview questions. There are two sections to these top interview questions, which are as follows:
Part 1 – E-commerce Interview Questions (Basic)
This first part covers basic Interview Questions and Answers.
Q1. What are the features of E-commerce?
Answer:
The features of e-commerce are non-cash payment, service availability (24*7), improved sales, support, advertising and marketing, inventory management, communication efficiency, faster, reliable, less time-consuming, on-the-go service, and saving time. It is available anytime and anywhere and helps in better management of products and services.
Q2. What is the difference between E-commerce and Traditional Commerce?
Answer:
Traditional commerce mainly depends on exchanging information from one person to another, whereas e-commerce has less dependency on the same. In traditional commerce, transactions or communication are done synchronously. It means manual intervention is essentail for any communication or transaction, but transactions or communications can be done asynchronously in e-commerce. Mainly all the process is automated. Traditional business communications depend on individual skills but in e-commerce, there is no manual intervention. It is not easy to maintain and establish standard practices in traditional, whereas, in e-commerce, a uniform strategy can be easily maintained and established. In traditional commerce, uniforms are unavailable as it mainly depends on personal communication. In e-commerce, there is one uniform platform provided where all the information is available. It provides the platform to support different business activities globally, which is impossible in traditional commerce.
Q3. What are the advantages to the organization?
Answer:
With the help of e-commerce, organizations can extend their business or markets to national or international markets by investing less capital. It can easily locate more customers, suppliers, and partners as well. It helps organizations to reduce their cost of process creation, distribution, and managing paper-based information. E-commerce also helps in improving the brand image of the company. E-commerce generally helps provide better customer service, simplify the business process, and make it faster, more secure, and more efficient. It helps in automating the deliveries and reducing other unnecessary work.
Q4. What are the different e-commerce business models?
Answer:
These are the common E-commerce Interview Questions asked in an interview. The different e-commerce business models are Business to Business (B2B), Business to Consumer (B2C), Consumer to Consumer (C2C), Consumer to Business (C2B), Business to Government (B2G), Government to Business (G2B) and Government to Citizen (G2C).
Q5. Explain the technical disadvantages of e-commerce.
Answer:
In e-commerce, data security, system reliability, and poor implementation standards can be lacking. It is still getting or finding it and keeps on changing rapidly. There can be issues with the network in some areas; high-speed internet connectivity is important for accessing websites on the desktop or mobile, or any other gadgets. Existing applications and databases are difficult to integrate with e-commerce applications or software. There can be issues with software compatibility and hardware with some operating systems or any other incompatibility with the system.
Part 2 – E-commerce Interview Questions (Advanced)
Let us now have a look at the advanced Interview Questions.
Q6. Explain the advantages to society because of e-commerce.
Answer:
E-commerce helps reduce the cost of products because more and more people can use the product. It helps enable the rural areas to access the service and products because they can use any product that others use in towns or cities. It allows the government to deliver public services such as healthcare, education, and social service at minimal cost and better. Most importantly, there is no need to travel anywhere; the products will be delivered to the defined address, benefiting the customer, organization, and environment.
Q7. Tell us which different sector e-commerce applications are available in the market.
Answer:
The applications are mainly available for many different sectors or areas; from those areas, some are like books, music, financial services, home electronics, mobiles, entertainment, apparel, travel services, toys, movie tickets, information, gifts, and computer products, accessories, etc.
Q8. What are the shortcomings of e-commerce?
Answer:
E-commerce requires a lot of initial setup costs for creating the application’s website. There can be a delay in launching the application or website because of mistakes, issues, unavoidable circumstances, and lack of experience. There can be a trust issue on-site as traditional buyers prefer traditional commerce with interaction or communication. Ensuring the security or privacy of online transactions and storing data is difficult. We can view the product virtually, not in reality, as sometimes the delivered product looks different from the expectation. Internet access is still unavailable for everyone and everywhere, making it difficult for an organization to reach there and expand their market like remote villages.
Q9. Explain the B2C business model briefly.
Answer:
These are the advanced E-commerce Interview Questions asked in an interview. This B2C business model sells the product directly to customers. Customers can easily view the products on the website, choose the product from the different varieties, and order the product accordingly. The ordered product will be delivered to the address. In between, all the transit updates are sent to the customer via SMS or email notification as per the customer’s choice only.
Q10. How does e-commerce work?
Answer:
When customers need any product, they go to the website and choose the product they want. After selecting the product, a customer will select the mode of payment, whether online or offline, and after that product will be checkout and ordered. The customer will receive the product information and delivery logistics. This process only takes a few minutes to complete. For e-commerce enablement, getting an internet merchant bank account, web hosting, obtaining a digital certificate, provider for online transactions, purchasing, or creating the shopping cart software is important.
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