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Essay / Growth and development of e-commerce in Zimbabwe
The value of e-commerce through the creation of online marketplaces is enormous for developing countries like Zimbabwe as it can support the development of the local economy, create jobs and provide everyone with access to affordable goods and services (Kabango, 2015). However, some obstacles have limited the growth of this movement, but in recent years, Zimbabwe has seen a phenomenal increase in the availability and growth of Internet services across the country. Say no to plagiarism. Get a Custom Essay on “Why Violent Video Games Should Not Be Banned”?Get the original essayLocal ISPs like Telone have largely changed their prices and increased their coverage to make Internet services more affordable and accessible to homes, businesses schools and institutions and have also set up public hotspots and Wi-Fi zones. Mobile network providers such as Econet have also done the same to ensure the availability of affordable broadband everywhere, this which means everyone has some degree of access to the internet, thereby bridging the digital divide between urban and rural areas. The use of mobile money, internet banking and efficient payment gateways like Paynow have been well received by the general public and have arguably become the most preferred and easiest way to transact and to pay bills. For example, Ecocash and its competitors now have APIs that can be integrated with other systems to enable hassle-free transactions. Since these two factors, internet connectivity and electronic payment systems, were previously the major drawbacks to economic progress through e-commerce, it is safe to say that the introduction of online marketplaces and stores will now provide sustainable business solutions. Dzoma (2014) that most Zimbabweans have no online shopping culture due to technological phobia is fading as most people are now involved in online shopping and make payments over the Internet. To illustrate how quickly online marketplaces are growing globally, Airbnb was founded in 2008 and is now valued at $26 billion. It currently has more than 2 million listings, more than the largest hotel chain (Luca, 2016). Online marketplaces thrive internationally, but locally, options for trading products online with local markets are limited. At present, Ownai, a local online marketplace, is still the only renowned and reputable marketplace of its kind in the country, with its other counterparts not performing very well. Dzoma (2014) explained the reason for this claim: there are no Zimbabwean versions of eBay but rather a dozen unpopular and downright ugly sites that are cheap imitations of their international counterparts lacking most of their features . Due to these circumstances, individuals who want to trade or buy online will tend to stick to international marketplaces like eBay and Amazon, which are fully functional and reliable. And even then, these people or others interested in online trading may be limited by the fact that they would need Visa/Master cards to transact on these platforms and the majority of the average person may not have one or not have a foreign card. currency to deposit there. Other Factors That May Limit Trading in International Online Marketsinclude the fact that Zimbabwe is a third world country and as such marketplaces like eBay may still offer particular services that are not available to us. As such, overhead and additional costs may be involved in shipping products domestically. This would leave Ownai as the preferred option, but due to its counterparts not working very well, this narrows the range of product choices in case you can't find one. what you are looking for in the store and the prices may not be competitive. This is all due to the lack of a variety of digital marketplaces at the local level that offer satisfactory functionality and attractive interfaces that can attract the general public to move towards online commerce, which I am convinced my project will make it possible. Sometimes, individuals who are not even in the retail business may need to earn extra income by selling products or gadgets of good quality. condition that they no longer need or consider excessive, but they may not have the platform to do so. For example, real estate, gadgets, and cars sit idle while their owners do other things. Used products remain stored in garages because owners do not want to put in the effort to try to sell them and as a result, valuable products and services are not provided because there is no effective channel to sell them (Fradkin, 2013). Most online marketplaces do this. does not offer these people the opportunity to sell their products and can only offer it to more established retailers, and part of the goal of this project is to offer them this platform. Of course, there are other ways, but they may not be as effective. For example, social media advertising may not be as effective due to its informal nature. People who want to sell may waste time with people who have no intention of trading. Many tend to advertise their products or search for certain products in WhatsApp groups, but transparency is limited and there is the risk of being deceived and a WhatsApp group can only contain a limited number of people . Advertising with newspapers can be expensive and may not be as effective because few people buy them regularly and daily. Auctions are another channel, but one may not get as much revenue because the auction company also takes a significant portion of the money received on purchase. Since a significant portion of the population is made up of independent retailers, an online marketplace can give them the opportunity to develop and promote their products in addition to a physical store or store that they own. Usually these small retailers only have one small store and someone who limits their shopping to a particular area of a city's CBD may never come across the store unless it is recommended by a friend. Additionally, young entrepreneurs who cannot afford the overhead costs associated with physical stores can even operate their start-up on digital stores (MecuryMinds, 2014) from the comfort of their home to advance their business. Potential buyers also face the challenge of not knowing where to get certain products or services and as a result, they spend a lot of time getting what they need while there is a retailer who has a stock of these products of which they are unaware. For example, a student who is about to start their first.