Internet Impacts on Global Business Essay

There are lots of advantages for small business to do business on the Internet. Depends on the type of business, it is not necessary for everybody to do business on the Internet. Prior to the invention of the Internet, Large global firms could work on advances in accessing the newest technological information, exchanging information, and reaching international customers. The Internet can help diminish information asymmetry and permits small businesses to act like large global businesses. Firstly, small firms can instant access to any new technological advances that can help them compete with large firms. Secondly, the Internet can help small firms reduce communication costs to the large firms’ level in meeting with suppliers, customers, or employees all over the world. Thirdly, the Internet can help small firms to reach global market in low costs. Any potential customers in the world can interact with the companies through their websites no matter the companies are small or large, local or global. Although many small businesses have success in global market on the Internet, small business that have not yet gone online still needs to evaluate the effects of the Internet and understand whether or not an Internet presence is necessary. No having an Internet presence is not always dangerous for a company. For example, the company that services the customers in local community does not need to establish a website because it can touch customers in person. The privacy may be in danger on the Internet if the company has not enough resources for the security.