StudyKraken Business
Print Сite this

International Businesses: Internet and E-Commerce Impacts


The beginning of the XXI century was marked by the formation of the post-industrial society and the digital economy. The creation of the Internet has led to global changes in the life of modern society making international trade the focal form of international economic relations. In this regard, the paper aims at examining the influence of the Internet and e-commerce on the international business that includes new forms of business methods and innovative approaches resulting in the analysis of Autohome Company.

Obtaining Positive Impact on Economic Growth

Despite the fact that the history of e-commerce endures only approximately two decades of intensive and effective development, the use of modern information and communication technologies, as well as electronic means in the international economy, becomes the key factor providing a significant reduction in the cost of trading. At the same time, firstly, the Internet-based commerce influences trade and secondly, the latter affects economic growth.

The following aspects also occur due to e-commerce implementation: timely and appropriate advertising, workflow simplification, increased mobility, the security of electronic transactions, and optimization of logistic schemes of delivery of goods and services.

In connection with the introduction of e-commerce and e-business practices, firms, corporations, and banks have changed the nature of commercial and financial transactions. Moreover, relationships with partners and customers, the development and implementation of business strategies, and the actual competitiveness were also influenced by the Internet in a positive direction (Meijers 2014).

Previously, in conditions of fierce competition, meeting the needs of consumers was the decisive parameter, but today it is supplemented by speed. In other words, it is the ability to show ads more quickly and in a more prominent position than competitors and respond to clients’ requests faster accepting orders and delivering them. According to Meijers’ (2014) empirical research, a specified growth model and a GMM approach corroborate the above statements.

However, despite the positivity of e-commerce in the context of the global economy, there is a certain imbalance along with contradiction. Thus, the existing socio-economic disparities between developed and developing countries are the cause of the so-called digital divide and, therefore, different options concerning the acceleration of the economic development and high-quality information services (Meijers 2014). Under these conditions, e-commerce in developing countries can have such a significant effect on neither the economic system and economic relations nor the development of international businesses as in the case of developed countries.

Autohome as a Growing Base of Richer Interactions

Autohome is a Chinese roof car top tent manufacturer that offers car buyers an extensive online platform to choose and order the necessary product (Autohome n.d). Rapidly responding to customers’ requirements such as GPS systems or maintenance alerts, the company remains one of the most successful manufacturers on the Chinese car market (Chen, Seong, & Woetzel 2014). In addition, the mentioned vehicle-shopping site assists to categorize and notify likely car buyers that are of great importance in the context of conversation among undecided shoppers. As a result, such an innovative approach helps to attract more customers.


In conclusion, e-commerce is a tool for globalization realization as it is a means of doing business on a global scale. With the help of the Internet, even small and medium-sized suppliers can engage in global business while customers have a real opportunity to choose their suppliers. E-commerce expands the business space and changes the organizational principles of trade and economy internationally.


Autohome n.d.. Web.

Chen, Y, Seong, J, & Woetzel, J 2014, ‘China’s rising internet wave: Wired companies’, Mckinsey Quarterly, 4, pp. 68-75, Scopus®, EBSCOhost.

Meijers, H 2014, ‘Does the internet generate economic growth, international trade, or both?’, International Economics & Economic Policy, 11, 1/2, pp. 137-163, Business Source Complete, EBSCOhost.

Cite this paper
Select style


StudyKraken. (2021, October 16). International Businesses: Internet and E-Commerce Impacts. Retrieved from


StudyKraken. (2021, October 16). International Businesses: Internet and E-Commerce Impacts.

Work Cited

"International Businesses: Internet and E-Commerce Impacts." StudyKraken, 16 Oct. 2021,

1. StudyKraken. "International Businesses: Internet and E-Commerce Impacts." October 16, 2021.


StudyKraken. "International Businesses: Internet and E-Commerce Impacts." October 16, 2021.


StudyKraken. 2021. "International Businesses: Internet and E-Commerce Impacts." October 16, 2021.


StudyKraken. (2021) 'International Businesses: Internet and E-Commerce Impacts'. 16 October.

This paper was written and submitted to our database by a student to assist your with your own studies. You are free to use it to write your own assignment, however you must reference it properly.

If you are the original creator of this paper and no longer wish to have it published on StudyKraken, request the removal.