Page 3 - DIGITAL ECONOMY

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UNIT 2

DIGITAL ECONOMY

Many businesses use online services to increase their business, as in, increase or expand their
manufactured products to customers, or, how customers buy and received purchased items using the
internet. The expansion of trade in marketing industry has been a great help to customers and sellers or
manufacturing companies due to the high increase usage of online services in digital economy, the use
of transactional webpages, such as, shopping websites – eBay, FedEx or Walmart, has been a great help
to many business companies, to transfer purchased goods and services to customers at their based

homes. A change in the quality of the product will help determine how many customers need to
purchase an item on a particular website or how much money needs to be spent by each customer. An
increase/decrease in price rate can deduce or increase customer´s interest in buying and purchasing.
Communication is a big deal in digital economy. How well are customers served? What are their
thoughts about the business? Many transactional websites uses online surveys to collects information
from their customers about the services they get and what they could do to improve this minor
information collected.
What is the digital economy?

Coined in 1995, digital economy is a term that merely refers to a country’s economy that’s based on
digital payment technologies. Digital economy completely changes the way people have been doing
business for years now. With the evolution of the internet in the past 2-3 decades, digital economy has
been growing profusely across various countries. The digital economy, apart from making transactions
and payments easier, is expected to create new market growth opportunities and jobs. Some experts
even anticipate that the digital economy will become the most significant business opportunity in the
next few years. Digital economy comprises of those products and services that are bought from the
internet. There has been a significant change in consumer behavior due to digital connectivity. This, in
turn, has led to a significant growth opportunity for business that trades online. The internet has been
able to impact positively on households and businesses, regardless of where they are located.

Transactional websites are therefore designed to help many business companies deliver or transfer
purchased goods and services, either online or at their nearby shops or warehouses, to customers at
their pleasured houses. This means that, personal information such as, telephone numbers, postal
addresses and or emails are therefore provided by the buyer to minimize the difficulties in locating or
navigating the area of the customer. The exchange of with large range of manufactured products to
customers Nationwide. Products are sold and distributed nation-wide to customers, by delivery vehicles.
A company´s access to this will determine how many customers that needs to buy and purchase goods
and services per hour/day, since they don’t need to shop from nearby shops or since they can buy the
items in their homes, using online services. Moreover, Transactional websites are also designed to help
reduce the pressure most business companies face in their shops, due to an increase in the number of
customers, and a decrease in the number of member of staffs. This can also lead to unemployment due
to an increase in customers, basing online instead of at their nearby shops. Meaning, the number of co-

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