How did the Internet support the growth of electronic commerce?

The Internet has fundamentally transformed electronic commerce by providing a global infrastructure for conducting business transactions, maintaining relationships, and facilitating supply chain operations.1

The growth of e-commerce was significantly accelerated by the introduction of the World Wide Web in 1991 and the subsequent development of web browsers. This shift allowed businesses to move beyond specialized electronic data interchange (EDI) systems to broader, more accessible online marketplaces. Key factors supporting this growth include:1

• Accessibility and Convenience: The global spread of broadband and smartphones enables consumers to compare prices, search for products, and make purchases with immediacy from anywhere.12
• Technological Innovations: Tools such as search engines, product recommendation systems, and autonomous software agents (bots) help users locate goods and services efficiently.1
• Reduced Barriers: The Internet lowers the cost of entry for new businesses and reduces the impact of geographic distance on trade.1
• New Business Models: The Internet enables models like the "long tail" effect, crowdsourcing, and freemium services, while allowing for rapid adjustments based on real-time market feedback.1