Final answer:
The advantages of online business include increased reach, lower costs, and flexibility, while the disadvantages include lack of personal touch, security concerns, and intense competition. Businesses need e-commerce platforms, website development tools, and marketing and analytics software to incorporate online opportunities.
Step-by-step explanation:
Advantages of online business:
- Increased reach and customer base: Online businesses have the potential to reach customers from all over the world, expanding their target market and increasing their customer base.
- Lower costs: Online businesses often have lower operational costs compared to traditional brick-and-mortar businesses. They do not require physical store space, paper documentation, or as many employees.
- Flexibility and convenience: Online businesses can operate 24/7 and offer convenience to customers who can shop or access services from anywhere at any time.
Disadvantages of online business:
- Lack of personal touch: Online businesses may struggle to establish a personal connection with their customers due to the absence of face-to-face interaction.
- Security concerns: Online businesses need to invest in robust cybersecurity measures to protect customer information and prevent cyber attacks.
- Intense competition: The internet allows for easy market entry, leading to increased competition with numerous businesses offering similar products or services.
Technology needed for online businesses:
- E-commerce platforms: Online businesses require a platform to showcase their products or services, facilitate secure transactions, and manage inventory.
- Website development tools: Businesses need tools to design and maintain a user-friendly website.
- Marketing and analytics software: Online businesses benefit from tools that can analyze customer behavior, track website performance, and implement targeted marketing strategies.