The impact of the Internet on international business
Abstract: Nowadays, with the rapid development of information technology, the Internet is becoming more and more important in human life, and permeates in all aspects of human life. International business is no exception. The previous traditional trade methods were to inspect first and then sign the contract, and finally pay money. In the whole trade process, the order of products, sales order delivery, and after-sales service are underway in different places. However, due to the emergence and application of the Internet, the international trade methods have changed a lot. All steps in the trade process can be done on a computer. There is no doubt that the Internet provides a lot of convenience for business activities. Buyers can improve trade efficiency and save time and workforce to contribute to gain a better profit. Sellers also can sale products all over the world and reduce costs by taking advantage of the Internet technology. The success of international business is inseparable from the Internet. The significance of this topic lies in the fact that people can better understand the changes and influences of the Internet in international business of traditional business and e-commerce.
Key words: Internet; E-commerce; traditional commerce; comparison
1.1 The origin and development of the Internet
On February 14th, 1946, the world’s first computer came out. However, more than 20 years later, the Internet just had the embryonic form. Since 1969, the Advanced Research Projects Agency started to build a network, called it “ARPAnet”. It is commonly believed that this is the prototype of the Internet.
In 1989, after connecting to the NSFnet（the main network, which was designed by National Science Foundation, United States to connect to the supercomputer centers）, MILnet(a part of ARPAnet, which was designated to the US confidential military departments for use) separated from ARPAnet started to use the name ‘Internet’. Thereafter, computer network of other departments joined in the Internet one after another. So ARPAnet had no choice but to be disbanded. From the beginning of 1990s, Internet was commercialized. Commercial institutions began to enter the Internet. It made the Internet had a new process, and also became a strong and powerful driving force to develop the Internet.
Now the Internet has developed into a diversified tendency. It not only serves for scientific research, but also gradually enters into various areas of daily life. In recent years, the Internet has come a long way in structure and scale. It also has expanded a global network in reality as well in name.
1.2 The importance of the Internet
The Internet is as important to people as fish is to water. As is known to all, the twenty-first century has entered into the growing digital information stage. Mobile phones, the Internet and other information terminals are influencing our lives every hour and moment. It also plays a decisive role in the development of China’s economy.
Information technology has become a powerful driving force to boosting social and economic development of all countries, which has pushed the human society to a new historical height at an unprecedented rate.
Online stock: Investors can look over stock market quotations at home. People can do a few mouse clicks to transact business online and also choose any place to conduct stock trading according to your situation. Investors can even take advantage of corresponding software to make technical analysis, enquiry stock information and obtain latest securities information. The speed of transmission is pretty fast. The data is updated in time. It is so unimaginable.
1 Introduction 1
1.1 The origin and development of the Internet 1
1.2 The importance of the Internet 2
1.3 The meaning and present situation of Electronic Commerce in International Business 3
2 The Internet and Traditional Commerce 3
2.1 The negative impacts of the Internet on Traditional Commerce 3
2.1.1 The advantages of traditional physical supermarkets have lost 3
2.1.2 The number of traditional retailers has decreased gradually 4
2.1.3 Traditional handicraft industries are in a dilemma 5
2.2 The positive impacts of the Internet on Traditional Commerce 5
2.2.1 The transformation and fusion of Traditional Commerce 5
2.2.2 Traditional department stores connect the network 6
2.2.3 The successful transformation of traditional chain brands, taking Starbucks as an example 7
3 The Internet and E-commerce 7
3.1 E-commerce benefits from the development of the Internet 7
3.1.1 They are inseparable 7
3.1.2 The success of portals and community websites 8
3.1.3 Instant online celebrities and instant online shops 9
3.2 The changes and influences of the Internet on E-commerce 9
3.2.1 Logistics industries have risen 9
3.2.2 The success of Alibaba 10
3.2.3 Cross-border e-commerce has appeared, taking Amazon as an example 11
4 Advantages and disadvantages of E-commerce 11
4.1 Advantages 11
4.1.1 The deal is fast and transparent 11
4.1.2 Online products are various 12
4.1.3 Artificial intelligence 12
4.2 Disadvantages 12
4.2.1 Spoofing and pitfalls 12
4.2.2 The speed of logistics affects the quality of commodities 12
4.2.3 Relying on third party logistics 12
5 Conclusion 13
 陈一斌.亚马逊崛起背后:你不知道的贝索斯[EB/OL].天下网商. [2013-10-12].