Internet is a powerful tool to navigate, share and find information. It is named after the internet protocol. This is the standard communication protocol used by every computer connected to the internet. Internet is a global information system and is linked to each other by a globally unique address space based on the internet protocol.

Basically, it is an electronic network of computers and it includes all government facilities, universities, research facilities and most of the commercial sites. It is a global network of millions of computers. Internet is a transport vehicle used to transfer information from one computer to the other.

Computers on the internet may use any of the following services:

1. Electronic mail (email): Permits a user to receive or sent mails and also provides access to discussion groups.

2. Telnet or remote login: Permits an individual to log on to a distant computer and to use it as if one was there.

3. File transfer protocol: Allows an individual to retrieve complex files from a remote computer and to use and save on ones own computer.

4. World Wide Web (www): The largest and fastest growing web activity on the internet.

What is doing business on the internet

Doing business on the internet is also called e commerce and is the fastest growing way to do any kind of business. It is the same as doing business otherwise. The basic tools like planning and strategy will be similar the only difference being in the fact that instead of being in an office and having employees sitting in front, each employee will be connected via the internet. The office will hence be a virtual one. The individual will need a product to sell and there will be a requirement of a buyer, funding would be required and one will need to manage all these together as in any normal business.

What sells and what does not sell on the internet

There are some products which are not very viable to be sold on the net as they need a lot of face to face marketing however a few types of commodities and services are excellent for on-line sale.

Anything that has a tangible value might not sell very well on the internet. For instance, an electronic device, jewellery or cosmetics might not do well in e commerce segment as a customer needs to get the feel and use the product to go ahead and buy it. A product which a consumer is fairly familiar with and does not require seeing or feel will sell very well on the internet.

A product which is more of a service would do well in the e commerce arena because it does not have a tangible element to it. To buy a ticket or a travel package on-line is a better option rather than talking to a travel agent about it and doing it on the phone. Sometimes one might have to visit the travel agent for the same purpose.

But the biggest disasters when it comes to online selling are pet food products and groceries.

The products which are unique sell very well on the internet. This is because such products are difficult to find in rural areas. Most of such products sell well on the internet although some might sell less than the other.

Clear photos and description of the product make a product sell well on the internet. Cost aspect should also be clearly stated on the site. Fast and free delivery at home also works well. In case there is a cost attached to it then it should be stated clearly in the web site to avoid confusion and retain the customer.

Make sure that the site used to buys should be a secure site to enable customers to safely use credit cards etc. offer competitive prices else make sure the price justifies itself. The value added to the product should be highlighted to justify higher price. Always remember a happy and satisfied customer will refer the site to other people and will help in expansion of business.

Doing business on the internet- how and why

1. Communication: First and foremost doing business on the internet one needs to be connected to the consumers with the help of communication.

2. Online Nature: Computers and internet are the major tools for e commerce. This is Because of the online nature of the job.

3. Website: One needs a website for the e business or e commerce to start. One will need the manpower to design the website and then regularly update it.

4. Giving power to the individual workers: This has to be done since each individual is generally working from home, and requires space and self discipline for work. Such free lancers can be given power in their positions by giving them regular details through the internet regarding the company and also latest updates in their respective fields.

5. Promotions: One has to promote ones own company through on line advertisements.

6. Low Costing: The best part of an online business is the cost that is cut due to travel related expenses being saved. It is a low cost business model. Employees work part time and all payments and communications are generally through internet or telephone.

7. Tax Regulations: The existing tax rules and regulations apply to electronic environment.

8. Export Regulations: Export rules and regulations also apply to online environment.

9. Consumer Protection: Consumer protection applies to online commerce

10. Loans and Financing: Banks can extend their financing schemes for e commerce

11. Security: Online security and privacy is applicable through secure sites, which saves one from risks involved in using electronic cards (credit/debit).

12. Trade Marks: Trade mark registration is also applicable in the virtual world. This enables one with exclusive rights to symbols, designs and words or any combination of these.

13. Electronic Authentication: The identity of the user or the owner of the site is identified with this method.