Pages

Subscribe Twitter

Sunday, September 18, 2011

Micro and Macro Factors in E-Business



The biggest factor in the health of any business is the health of the economy. E-business is somewhat vulnerable here because it is affected by the global economy, not by just the effects of the economy of one nation. That being said the state of the US economy has a huge impact on the global e-business picture.

The micro-factors that affect the global economy also change the global e- business view. There are a whole variety of these and the relative importance of them depends on whom you are listening to at the time. Gasoline prices, housing prices, food prices are all blamed for this at one time or another. The truth is probably that all of these contribute to a global mood and this is what has the effect. Although the rate of increase is slowing up, that increase is still there and shows no signs of going away.

There is another issue looming on the horizon, and that is the question of taxes imposed on Internet purchases. The US, which has the largest share of the e-commerce market place, currently has had a government imposed stop on taxes being levied on such purchases. The taxation issue in the US though is a state by state issue. Maybe all e-business will relocate to Nevada where the taxes are very low or non-existent due to the gaming industry.

In any event taxation will have a huge impact e-business and where and how it is carried out.

0 comments:

Post a Comment