According to the Cambridge English Dictionary, the Internet, which stands for Interconnected

Network, is the large system of connected computers around the world that allows people to
share information and communicate with each other. The Internet carries a vast range of
information resources and services, such as the applications of the World Wide Web (WWW),
electronic mail, telephony, file sharing and since a few years now the commerce and selling
online better known as the e-commerce. But then, what are the particularities and issues of
the internet and the online commerce? To answer that question we will talk, at first, about the
internet and then we will talk about the e-commerce.

I- THE INTERNET
Nowadays, everyone, whatever the age, the gender or the nationality, has access to internet.
It’s like a big virtual world that allows us to cultivate ourselves but also to entertain us. But
the fact is everybody knows internet without really knowing it well. So, in order to clarify this
term, we will see, firstly, its history, secondly the characteristics and uses of the internet, then
its advantages and finally its inconvenient.

1. The internet’s history

It is impossible to credit the invention of the internet to a single person. The internet was the
work of dozens of pioneering scientists, programmers and engineers who each developed new
features and technologies that eventually merged to become the big entity we know today.

Long before the technology existed to actually build the internet, many scientists had already
anticipated the existence of worldwide networks of information. Nikola Tesla toyed with the
idea of a ―world wireless system‖ in the early 1900s,

The first workable prototype of the Internet came in the late 1960s with the creation of
ARPANET, or the Advanced Research Projects Agency Network. Originally funded by the
U.S. Department of Defense, ARPANET used packet switching to allow multiple computers
to communicate on a single network.

From 1983, researchers began to assemble the ―network of networks‖ that became the modern
Internet. The online world then took on a more recognizable form in 1990, when computer
scientist Tim Berners-Lee invented the World Wide Web. While it’s often confused with the
internet itself, the web is actually just the most common means of accessing data online in the
form of websites and hyperlinks.

The web helped popularize the internet among the public, and served as a crucial step in
developing the vast trove of information that most of us now access on a daily basis.

2. The characteristics and uses of internet

a) The World Wide Web (WWW)
The World Wide Web (WWW), commonly known as the Web, is an information system
where documents and other web resources are identified by Uniform Resource Locators
(URLs), for example: https://www.wikipedia.org/. They are accessible over the Internet. The
resources of the WWW may be accessed by users by a software application called a web
browser. The most popular web browsers are Google chrome, Mozilla Firefox, Internet
Explorer.

Web pages are hypertext media that have been formatted in Hypertext Markup Language
(HTML). Such formatting allows users to navigate to other web resources. In addition to text,
web pages may contain references to images, video, audio, and software components which
are displayed in the user's web browser as coherent pages of multimedia content. Multiple
web resources with a common theme, a common domain name, or both, make up a website.

b) The Surface Web

The Surface Web is also called the Visible Web, Indexed Web, Indexable Web or Lightnet. It
is the portion of the World Wide Web that is readily available to the general public and
searchable with standard web search engines like Google, Bing or Ask.

It is the opposite of the deep web, the part of the web not indexed by a web search engine.
The Surface Web only consists 10 percent of the information that is on the internet. The
Surface Web is made with a collection of static pages. These are Web pages that are in a
server, available to be accessed by any search engine.

According to one source, as of June 14, 2015, Google's index of the surface web contains
about 14.5 billion pages.

c) The Deep Web

The deep web, invisible web or hidden web is part of the World Wide Web whose contents
are not indexed by standard web search-engines. The opposite term to the deep web is the
"surface web", which is accessible to anyone/everyone using the Internet. Accessing the dark
web requires the use of an anonymizing browser called Tor.

The content of the deep web is hidden behind HTTP forms and includes many very common
uses such as web mail, online banking, private or otherwise restricted access social-media
pages and profiles, some web forums that require registration for viewing content, and
services that users must pay for, and which are protected by pay walls, such as video on
demand and some online magazines and newspapers.

But, what makes the dark net popular is mostly that it is a hotbed of criminal activity.
Researchers Daniel Moore and Thomas Rid of King's College in London classified the
contents of 2,723 dark web sites over a five-week period in 2015 and found that 57% host
illicit material.

A 2019 study, Into the Web of Profit, conducted by Dr. Michael McGuires at the University
of Surrey, shows that things have become worse. The number of dark web listings that could
harm an enterprise has risen by 20% since 2016. Of all listings (excluding those selling
drugs), 60% could potentially harm enterprises.
You can buy credit card numbers, all manner of drugs, guns, counterfeit money, stolen
subscription credentials, hacked Netflix accounts and software that helps you break into other
people’s computers.

We don’t want to leave you with the impression that everything on the dark web is nefarious
or illegal. The Tor network began as an anonymous communications channel, and it still
serves a valuable purpose in helping people communicate in environments that are hostile to
free speech. A lot of people use it in countries where there’s eavesdropping or where internet
access is criminalized,

d) Uses of internet
- Email (Electronic Mail)

Email started in 1965 as a way for multiple users of computer to communicate. It is

information stored on a computer that is exchanged between two users over
telecommunications. More plainly, e-mail is a message that may contain text, files, images, or
other attachments sent through a network to a specified individual or group of individuals.

The first e-mail was sent by Ray Tomlinson in 1971. Tomlinson sent the e-mail to himself as
a test e-mail message, containing the text "something like QWERTYUIOP." However,
despite sending the e-mail to himself, the e-mail message was still transmitted through
ARPANET.

- The social networks

A social network is a network of social interactions and personal relationships. Thereby, a

social networking website is a dedicated website or other application which enables users to
communicate with each other by posting information, comments, messages, images, etc.

Social media helps people establish better relationships with their family and friends, and now
the networking sites also show their significance for apps.

The most popular social networks are Facebook, Instagram, and Twitter.

- Watch movies, TV, and ads

The Internet has created a new way for makers of short and experimental movies to find an
audience. The most popular is Google’s YouTube, whose users upload vast amounts of video.
You can upload your own videos, too, as long as you follow YouTube guidelines.

TED Talks are short lectures about Technology, Education, and Design, and are almost
always interesting.

There’s also television on the web, so you can watch early episodes of shows that you tuned
in partway through. And if you belong to Netflix, you can stream videos from its website and
watch them on your computer, tablet, TV or phone.
 - Mobile phones and the internet

The first mobile phone with Internet connectivity was the Nokia 9000 Communicator,
launched in Finland in 1996. The viability of Internet services access on mobile phones was
limited until prices came down from that model, and network providers started to develop
systems and services conveniently accessible on phones.

In 2001, to make efficient use of the small screen and tiny keypad and one-handed operation
typical of mobile phones, a specific document and networking model was created for mobile
devices, the Wireless Application Protocol (WAP).

Nowadays, with the creation of the smartphone, mobile devices are gaining more and more
space amongst people when compared to other ways of internet access like computers.

3. The advantages of internet

The Internet is one of the greatest creations and provides people with instant access to an
endless supply of knowledge and entertainment. There are some good things that you can do
on the internet like:

- Information, knowledge, and learning

As mentioned earlier, the Internet contains an endless supply of knowledge and information
that allows you to learn about almost any topic or question you may have. Using a search
engine like Google, you can ask virtually any question and find a web page with an answer to
and information about that question. There are also millions of videos on sites like YouTube
explaining various topics, and even online courses to help teach you about many different
subjects.

- Connectivity, communication, and sharing

In the past, it would take days and sometimes even months to receive a letter from someone
else. Today, with the Internet, you can send an e-mail to anyone in the world and often have it
delivered in less than a minute. Online forums are also places where people who share
common interests can connect and talk about what they enjoy, or ask questions of other
experts in the field.

- Address, mapping, and contact information

With the help of GPS technology, the Internet can help map and direct you to almost every
place in the world. You can quickly route to your location or find businesses in your area that
may sell or provide you with a service you need. Today's search engines are also smart
enough to know your location and help give you the most relevant searches for your area.

For example, if you need a plumber and search for "plumber," you'll get a list of local
plumbers in your area.

- Banking, bills, and shopping

The Internet provides access to your bank account to view the balance, make transactions, and
send money. Also, many services enable you to view and pay bills electronically.

Online shopping is another huge advantage of the Internet, giving people the ability to find
products of interest and buy them without having to visit a store. The Internet provides easy
access to compare prices between companies.

- Making money online

If you want to sell products and services, the Internet is a perfect place to sell most goods.
Because anyone in the world with Internet access can find your website, you have access to
more potential customers than you ever could with a local retail store. The Internet is always
available, which means you have the potential of selling goods every day at all times. The
Internet also gives businesses the ability to advertise their product or service to everyone in
the world or specify an exact demographic they want to reach.

4. Disadvantages of Internet
Although the Internet is one of man's greatest creations, it also has several disadvantages.

- Bullying, stalkers, and crime

One of the issues that have increased over the years is cyberbullying. Cyberbullying is
bullying that takes place over digital devices like cell phones, computers, and tablets.
Cyberbullying can occur through SMS, Text, and apps, or online in social media, forums, or
gaming where people can view, participate in, or share content. Cyberbullying includes
sending, posting, or sharing negative, harmful, false, or mean content about someone else. It
can include sharing personal or private information about someone else causing
embarrassment or humiliation. Some cyberbullying crosses the line into unlawful or criminal
behavior.

With people sharing information on the Internet, stalkers may experience less difficulty
finding personal information about others through various means.

Hidden places on the Internet and the deep web can also be a place for criminals to conduct
business without as much fear of being caught. A global audience also gives criminals more
ways to solicit their goods.

- Pornographic and violent images

In our digital age, there is a nearly an infinite amount of content on the Internet. While there
are amazing resources, such as Wikipedia, less desirable content also exists. Consequently,
users can accidentally come across violent or pornographic images that they may not want to
view.

- Addiction, time waster, and causes distractions

Surfing and playing games on the Internet can quickly become very addictive. Doing so can
lead to spending a lot of frivolous time on the Internet, instead of doing something productive.
On this same note, the Internet can hamper workplace productivity as well.

- Identity theft, hacking, viruses, and cheating

With access to billions of computers, computer hackers and malicious users can hack
accounts and steal personal information that could be used for identity theft. The Internet also
connects all computers to each other, so hackers can scan millions of computers and quickly
identify what computers are vulnerable to attack.

The Internet also enables students to cheat on their studies, or find others on the Internet to do
their homework.

- Depression, loneliness, and social isolation

Social networking sites can also lead to depression as many people tend to compare their lives
with others. The Internet and online games facilitate communication with others. Although
you may find new connections around the world, you may also find yourself disconnecting
from those in your real life.

- Health issues and obesity

As with watching TV, spending too much time on the computer surfing the Internet or playing
games can also lead to obesity and an unhealthy lifestyle.

For example, moving your hand from your keyboard to a mouse and typing are all repetitive
actions, which can cause injuries. Taking breaks, keeping the proper posture, and
understanding computer ergonomics can all help delay or prevent these injuries.

To summarize all that has been said before, the Internet is one of the most revolutionary
technologies. And like any technology, it has its disadvantages like identity theft and health
problems. But, despite this, the Internet also has a lot of advantages, one of which is the
online commerce or e-commerce.

II- THE E-COMMERCE

Ecommerce, also known as electronic commerce or internet commerce, refers to the buying
and selling of goods or services using the internet, and the transfer of money and data to
execute these transactions.

Ecommerce is often used to refer to the sale of physical products online, but it can also
describe any kind of commercial transaction that is facilitated through the internet.
So to understand this concept, we will see, first its history, then the types of e-commerce,
followed by the e-commerce’s platforms, then its advantages and inconvenient to finish with
the common form of e-commerce in Madagascar.

1) History of the e-commerce

The history of ecommerce begins with the first ever online sale: on the August 11, 1994 a
man sold a CD by the band Sting to his friend through his website NetMarket, an American
retail platform.

In fact, Phil Brandenberger of Philadelphia logged into his computer and used his credit card
to buy Sting’s ―Ten Summoners’ Tales‖ for $12.48. That story may not sound too exciting
today, but at that time, this particular transaction made history. Why? Because it was the first
time that encryption technology was used to enable an internet purchase. Many consider that
moment as the first ―true‖ ecommerce transaction.

Since then, ecommerce has evolved to make products easier to discover and purchase through
online retailers and marketplaces. Independent freelancers, small businesses, and large
corporations have all benefited from ecommerce, which enables them to sell their goods and
services at a scale that was not possible with traditional offline retail. BigCommerce cites that
ecommerce is growing 23% year-over-year, and according to eMarkerter, global ecommerce
sales are expected to top $27 trillion in 2020

2) Types of e-commerce
We can classify e-commerce according to what the merchants are selling and according to
the parties that is involved into it.

a. Types of e-commerce according to what the merchants are selling

- Stores that sell physical goods

These are the typical online retailers. They can include apparel stores, homeware businesses,
and gift shops, just to name a few. Stores that sell physical goods showcase the items online
and enable shoppers to add the things they like in their virtual shopping carts. Once the
transaction is complete, the store typically ships the orders to the shopper, though a growing
number of retailers are implementing initiatives such as in-store pickup.

Some examples of these ecommerce stores include: eyewear retailer Warby Parker, menswear
store Bonobos, and shoe retailer Zappos.

- Service-based e-tailers

Services can also be bought and sold online. Online consultants, educators, and freelancers
are usually the ones engaging in ecommerce.

The buying process for services depends on the merchant. Some may allow you to purchase
their services straightaway from their website or platform. An example of this comes from
Fiverr.com, a freelance marketplace. People who want to buy services from Fiverr must place
an order on the website before the seller delivers their services.

Some service providers, on the other hand, require you to get in touch with them first to
determine your needs. Web design company Blue Fountain Media is one example of a
business that does this.

- Digital products

Ecommerce is, by nature, highly digital, so it’s no surprise that many merchants sell ―e-
goods‖ online. Common types of digital products include ebooks, online courses, software,
graphics, and virtual goods.

Examples of merchants that sell digital products are Shutterstock (a site that sells stock
photos), Udemy (a platform for online courses), and Slack (a company that provides real-time
messaging, archiving and search for teams).

b. Types of e-commerce including the parties that is involved into it

- Business to consumer (B2C) – Transactions happen between businesses and

consumers. In B2C ecommerce, businesses are the ones selling products or services to
end-users. Online retail typically works on a B2C model. Retailers with online stores
such as Walmart and IKEA are all examples of businesses that engage in B2C
ecommerce.

- Business to business (B2B) – As its name states, B2B ecommerce pertains to

transactions conducted between two businesses. Any company whose customers are
other businesses operate on a B2B model. Examples include Xero, online accounting
software for small businesses or ADP, a payroll processing company.

- Consumer to business (C2B) – Consumer to business ecommerce happens when a

consumer sells or contributes monetary value to a business. Many crowdsourcing
campaigns fall under C2B ecommerce. Soma, a business that sells eco-friendly water
filters is one example of a company that engaged in B2C ecommerce.

- Consumer to consumer (C2C) – As you might have guessed, C2C ecommerce happens
when something is bought and sold between two consumers. C2C commonly takes
place on online marketplaces such as eBay, in which one individual sells a product or
service to another.

- Government to business (G2B) – G2C transactions take place when a company pays
for government goods, services, or fees online. Examples could be a business paying
for taxes using the Internet.
 - Business to government (B2G) – When a government entity uses the Internet to
purchases goods or services from a business, the transaction may fall under B2G
ecommerce. Let’s say a city or town hires a web design firm to update its website.
This type of deal may be considered a form of B2G.

- Consumer to government (G2C) – Consumers can also engage in B2C ecommerce.

People paying for traffic tickets or paying for their car registration renewals online
may fall under this category.

3) The e-commerce platforms

We’ve talked about the types of ecommerce transactions on the web as well as the products
and services sold online. But where and how do these transactions take place?

a. Online storefronts
Having an online storefront is one of the most straightforward ways to conduct ecommerce.
The merchant creates a website and uses it to sell products and services using shopping carts
and ecommerce solutions. The ―right‖ solution will depend on the merchant and their
products. Below is a list of some of the top ecommerce platforms. Check them out and see
which one is right for you.

One example of online storefront is Magento. Considered by many as one of the most flexible
ecommerce solutions in the market, Magento offers powerful features right out of the box. It
gives merchants the ability to customize just about aspect of their ecommerce store, and you
have complete freedom over the look, feel, and functionalities of your site.

b. Online marketplaces
Ecommerce transactions can also take place on online marketplaces — sites that facilitate
transactions between merchants and customers. Many online marketplaces don’t own
inventory; rather, they just connect buyers and sellers and give them a platform on which to
do business.

Some of the top online marketplaces on the web are:

 Amazon – A company that needs no introduction, Amazon is one of the world’s

largest online marketplaces, offering extensive selections of books, electronics,
apparel, accessories, baby products, and more.
As of 2015, there were more than 2 million third-party sellers on the site, and
according to Amazon, these sellers sold 2 billion items in 2014.

 eBay – It is another popular online marketplace that connects merchants and buyers,
facilitating B2B, B2C, and C2C ecommerce. eBay offers products in several
categories, including electronics, cars, fashion, collectibles, and more.
 c. Social media
Social media can pave the way for ecommerce in two ways: social sites can facilitate a sale by
directing shoppers to a merchant’s ecommerce site, or they can allow users to buy something
directly on the platform.

In many cases, social networks such as Facebook, Instagram, Twitter, and Pinterest aren’t
used as ecommerce platforms. Rather, merchants use these sites to showcase their
merchandise. And when shoppers come across an item that they like on social, they are
directed to the merchant’s ecommerce site.

For instance, many retailers who show off their products on Instagram use solutions such as
Like2Buy to enable customers to purchase the items.

4) Advantages and disadvantages of e-commerce

a) Advantages
- Lower financial cost

One of the ecommerce benefits is that it has a lower startup cost. Physical retail stores have to
pay up to thousands of dollars to rent one of their store locations. They also have several
upfront costs such as store signs, store design, buying inventory, sales equipment, and more.
Physical retail stores also have to pay staff to work and run each location.

If you choose to dropship online, you won’t need to buy bulk inventory saving you a lot of
money. Your store logo is often more affordable than a store sign. Your business expenses are
generally much lower in ecommerce. This is one of the most attractive benefits for new
entrepreneurs looking to keep their costs low.

- 24/7 potential income

Another advantage of ecommerce is that online stores are always open for business. With
your Facebook ads, you can attract someone at 11 p.m. or 4 a.m. in any part of the world.
Most physical location stores are open between 9 a.m. to 9 p.m. By being available at all
hours, you can attract people who would normally pick up a product in stores, if the store
were open.

For a customer to order at night, you don’t need to have employees working the night shift to
ensure all orders get processed. You’ll never need to hire a security guard! All you need to do
is automate your ordering systems so that customers receive a confirmation email when they
place their order to give them peace of mind.

- The international selling

Next on the list of ecommerce benefits is that a new brand can sell to customers around the
world easily. You have the ability to discover your audience whether they’re in the U.K.,
South America, or neighboring countries. If you choose to dropship from AliExpress, many
products offer affordable ePacket shipping or free shipping. This allows you to price and ship
your products competitively to a worldwide audience.

Selling worldwide is a great feat as it helps you build your brand a lot faster, broadens your
marketplace exponentially, and allows you to see profit long before your local competitors.

b) Disadvantages
- The eventual possibility of site crash

The worst of the ecommerce disadvantages is when no one can buy from your store if your
site crashes. That’s why it’s important to ensure your website is hosted on the right platform.
For example, if you’re paying the minimum hosting fee and get a surge in traffic from a high
converting ad or a television shout-out like Shark Tank, your site will likely crash.

- Customers can’t try before they buy

While this is currently a problem for many retailers, this won’t be a long-term problem. In
fact, with augmented reality, more stores are starting to add AR elements to their store to
allow customers to try products on. Augmented reality ecommerce companies offer solutions
for businesses to create a more interactive experience with your customers. If you own a
cosmetics store, you can check out Sephora’s Virtual Artist app for an example of a beauty
retailer with an augmented reality experience.

- E-commerce is highly competitive

Finding the right niche is another one of the worst ecommerce disadvantages. The reality is
the best niches are often the most competitive that’s why people are drawn to them. The more
competitive a niche is the more expensive ads for that niche are.

There are a couple of ways around this. First, you can go after a different audience than your
competitors. If all your customers are being targeted by competitors through Facebook ads,
you might try ranking organically with SEO optimization. If all your competitors are using
Pinterest, you might try Instagram marketing if your audiences are very visual beings.

5) Common forms of e-commerce in Madagascar

According to the survey made by the site ―stileex.xyz‖, in November 2017, only one in 10
respondents said they had ever made at least one online purchase. In 2018, this category now
brings together more than one in three people (35%).

What changed? Simply the explosion of the "shop" pages on Facebook, an easily accessible
medium both in terms of costs (free for the majority of telephone operators) and in terms of
use. They are thus 95% to have made their purchases on this social network and only 2% to
have made it on a Malagasy website (3% on a foreign site). However, the e-commerce tools
of Facebook are not used (payment, billing, etc.). Only the linking and ordering are done
online, the payment is made then on delivery and usually in cash. At this point of view, it is
more an electronic commerce rather than e-commerce in the truest sense of the word.
The most purchased goods online are no surprise clothing with half of the respondents who
confessed to buying dresses, pants or shoes online. They are then 36% to have already bought
high-tech products such as a smartphone or a computer. On the other hand, those using the
Internet to buy products for the home (furniture, decor, etc.) or food products are very much
in the minority.

Finally, the most common spending range is that of 20 001 and 100 000 Ar where 53% of the
amounts spent by those who have already purchased online. Then comes the under 20,000 Ar
(22%) and the 100,001 to Ar 500,000 (20%) range.

The picture below describes that affirmation:

A good point for e-commerce in Madagascar: consumer satisfaction is maintained. Already in

2017, 43% of Malagasy e-shoppers were very satisfied with their online purchases. In 2018,
they are 54%, more than half of the respondents. Is this a beginning of maturity of the
Malagasy online offer? We really want to believe that yes, but the future will surely tell us.

As time goes by, it seems that things are becoming clearer for Malagasy e-commerce. We can
see that the Malagasy market tends more to buy the products intended for clothing and high-
tech or that the market prefers the simplicity of use and the user-friendliness of the purchasing
platform from the buyers.

Moreover, the main obstacle to buying online is today its complexity perceived by the
consumer.
In conclusion, we can firmly say that since its creation, the Internet has become an essential
educational and entertainment tool, although its misuse can be harmful for humans.

However, among the many activities that can be done on the internet, one of the most popular
is e-commerce. First competitor of the "traditional trade", this type of commerce has radically
transformed consumer habits for a decade, although in Madagascar, e-commerce is just
beginning to find a place in the habits of the population.