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"The Impact of Online Businesses on Offline Businesses"

26 April 2018   08:55 Diperbarui: 26 April 2018   09:27 484
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"Online business is activities or work done by individuals or groups to gain profit by utilizing the internet network" (NeoElearning, 2014). It is currently a hot topic as it is the most wanted work because people don't have to go to the office to make money. It is of course different from offline business. In offline business, sellers have to interact directly, yet in online business they just interact through internet. Internet here is used as a tool for conducting business activities, such as displaying catalogs of products or services offered and doing online buying and selling. In addition, internet users can be potential consumers. 

"Internet users around the world ranged from 200 million, 67 million of whom are in the United States, the internet in Indonesia doubled every 100 days" (Rhenald, 2000). From these references the use of the internet can be used to expand the market target large enough and will lead to the emergence of some new entrepreneurs. As the market target expands and new online entrepreneurs emerge, it is likely to threaten offline business. So, the impacts of online business on offline business will be explained here.

The transition from people's interests is one of the factors. Today, people prefer online shopping, because online shopping has many advantages, such as the process is quite easy, can be done anytime and anywhere just by using a smartphone and internet network. "Online shopping is the process of purchasing goods or services by consumers, without waiters, and over the internet" (Ollie, 2008). This causes people who use offline businesses to buy something little by little will move to online business. This happen because offline businesses are not ready to face competition with online business.

When consumers more to online business, of course the income of offline business will decrease. "There are many factors that affect the business so that income decreases, including internal and external factors internal factors consist of labor, equipment and machinery, capital, raw materials, information and administrative systems external factors consist of natural, economic, educational and technological conditions, social and cultural, suppliers, customers, competitors "(Rachmawati, 2009: 11). Therefore, offline businesses experience a decrease in the income due to external factors, namely the presence of competitors and technology.

So it can be concluded that online business can have an impact on offline business in the community. The ease of internet seems to simplify transactions which couse public interests shift. By the shift of public interest from offline to online it will business it will lead to decreased income to offline business.

REFERENCES

 Kasali, Rhenald (Maret 2000). "Peluang Pasar e-Commerce dan Bagaimana Menyiasatinya." Makalah Seminar Sukses Berbisnis di era Internet: Kiatt Membangun Situs Web yang Populer. Hyatt Regency, Surabaya.

NeoElearning. "New Entrepreneur Orientation: Mengenal Bisnis Online Lebih Dekat". Has been accessed at March, 18th. http://www.NeoElearningClass.com.

Ollie. 2008. Membuat Toko Online dengan Multiply. Jakarta: Mediakita.

Rachmawati, Rina. 2009. Kewirausahaan. Semarang.

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