International Journal in IT & Engineering

For developing countries like India, e-commerce offers considerable opportunity. E-commerce in Indian region is still in nascent stage, but even the most-pessimistic projections indicate a boom. It is believed that low cost of PC's (personal computers) and other electronic devices, a growing installed base for Internet usage, and an increasingly competitive Internet Service Providers (ISP) market will help to fuel e-commerce growth in !sia's second most populous nation. India's middle class families of 288 million people is equal to the entire United States consumer base. This enables India as a real attractive market and area for electronic commerce. To make successful e-commerce transactions both the payment and delivery services must be made efficient. Major Indian portal web sites have also moved towards e-commerce instead of depending on simple advertising revenue. Many of the sites are now selling a diverse range of products and services flowers, greeting cards, and movie tickets, electronic gadgets, and computers. With the stock exchanges in India coming online the time for true electronic commerce has finally arrived. On the other negative side there are many challenges faced by e-commerce web sites in India. The relatively small plastic money or credit card population and lack of uniform credit agencies create a variety of payment challenges that are still unknown in India. Delivery of material to consumer by courier and postal services is not so much reliable in smaller cities, towns and other rural areas of India. However, many Indian Banking have put the Internet banking facilities. The speed post and courier system has also improved tremendously in recent years. Modern communication technology like secured socket layer (SSL) helps to protect against payment frauds, and to share information with suppliers and business partners. With more improvement in e-payment systems and delivery system it is expected that India will soon become a major player in the e-commerce market.