MAJOR PROJECT

IMPACT OF COVID ON E-COMMERCE

Submitted by
ARJUN SIVADAS
ENROLMENTNUMBER- A03176820050

Programme- B.COM PASS (2020-23)

Under the Supervision of

Faculty guide- DR. DAVINDER WALIA

Assistant Professor -II

In Partial Fulfilment of the Requirement

for the Degree of B.COM Programme

AMITY COLLEGE OF COMMERCE

AND FINANCE AMITY
UNIVERSITY UTTAR PRADESH

SECTOR 125, NOIDA - 201303, UTTAR PRADESH,INDIA

 ACKNOWLEDGEMENT

I would like to express my gratitude to all those who have contributed to the successful
completion of this research report. Firstly, I would like to thank my Faculty Guide, DR.
Davinder Walia, for their guidance, support, and valuable feedback throughout the research
process. Their insightful comments and suggestions have helped me to improve the quality of
this report significantly.

I would also like to thank the participants who generously gave their time and provided
valuable data for this study. Without their cooperation, this research would not have been
possible. I am grateful for their willingness to participate and share their perspectives.

In addition, I would like to thank my family and friends for their unwavering support and
encouragement throughout this journey. Their words of encouragement and motivation have
been instrumental in keeping me focused and motivated.

Finally, I would like to express my appreciation to all the authors and researchers whose
work has informed and influenced my research. Their contributions have provided the
foundation for this study, and I am grateful for their valuable insights and research findings.

Thank you all for your invaluable contributions to this research report.

Yours Sincerely,

Arjun Sivadas

B.com (pass)

A03176820050
 TABLE OF CONTENT

ABSTRACT............................................................................................................ Page 6

CHAPTER 1 -INTRODUCTION ........................................................................... Page 5

CHAPTER 2-LITERATURE REVIEW ............................................................... Page 9

CHAPTER 3-RESEARCH METHODOLOGY. ................................................... Page 11

CHAPTER 4-DATA ANALYSIS .......................................................................... Page 12

CHAPTER 5- CONCLUSION............................................................................... Page14

ANNEXTURE. ....................................................................................................... Page15

REFERENCES ....................................................................................................... Page25

LIST OF TABLES

Survey Responses................................................................................................. Page 21

Pie chart 1. ........................................................................................................... Page 22

Pie Chart 2. .......................................................................................................... Page 23

Pie Chart 3. .......................................................................................................... Page 24

Pie Chart 4. .......................................................................................................... Page 25

Pie Chart 5. ........................................................................................................... Page26

Pie Chart 6. ...........................................................................................................Page27

 ABSTRACT

The COVID-19 pandemic has had a huge impact it affected the global economy, with e-
commerce being no exception. The aim of this research paper is to look at the effect of
COVID-19 on e-commerce businesses by analyzing primary data gathered via a Google form
survey as well as secondary data from credible sources.

The survey gathered responses from 100 ecommerce proprietor or management team
regarding as a result of COVID-19 on their operations , crisis management plan, employee
skills development, inventory management, communication processes, budget, sales revenue,
marketing methods, work from home challenges, and the most affected department.

The findings revealed pandemic had a serious influence on 47% of the ecommerce
businesses, with only 8% experiencing no impact. The majority of businesses had crisis
management plans in place, but only 17% of them were highly effective. The skills
development of employees varied, with 29% of businesses proactively looking to develop
skills, while 20% had no plan in place. Inventory management was mostly aligned but
required constant efforts to find new partners. Communication processes needed significant
improvement for 42% of businesses.

The corona virus had a mixed affect on ecommerce budgets, by 56% experiencing a
reduction. Sales revenue was highly affected for 57% of businesses, while 35% reported low
or temporary impact. Marketing methods and messaging were changed by 93% of businesses.
Work from home was challenging for most accounts, with 35% reporting it as very
challenging.

The research also analyzed secondary data from credible sources, including reports from
reputable organizations and academic articles. The analysis revealed that e-commerce
businesses witnessed significant growth during the COVID-19 due to the increased demand
for e-shopping. Though , supply chain disruptions and shipping delays impacted businesses'
ability to fulfill orders and maintain customer satisfaction.

The study's conclusion highlights the tremendous impact of pandemic on electronic

commerce, which requires businesses to adapt and make changes in their operations,
communication, and marketing strategies. This research also highlights the importance of
crisis management designing and the need to develop employee skills to react to the changing
business environment .The study's finding will be useful for electronic commerce businesses
to understand the challenges and opportunities during the pandemic as well as in the future.
 CHAPTER-1 : INTRODUCTION

The SARS-CoV-2 caused disruptions in world in groundbreaking ways, impacting human

beings , enterprises and communities worldwide. One crucial consequential affect of the virus
is change in shopping habits, along society preferring e-shopping being a secure and more
suitable replacement offline mode shopping. Therefore, there is notable increase in demand,
resulting to a significant modification in the business.

The main focus of this paper - to determine affects regarding SARS-CoV-2 on online
business together with alteration sales, logistic management and consumer behavior. The
research also will scout the impact of the virus gradually on ecommerce and deliver guidance
for businesses to adjust to the real world.

The most famous and advance method for obtaining non identical services and goods is
through ecommerce. Online shopping must now be replaced by traditional shopping. This can
only be explained by the fact that consumers have immediate access to a broad selection of
goods from around the world.

The epidemic is posing several obstacles that were not anticipated for the E-Commerce
industry. This report investigates how corona virus affects online retailers, as well as
unexpected shifts in customer demand and purchasing patterns.

With an end goal to stop the SARS-CoV-2 plague in India , India's administration, headed
by Mr. Narendra Modi (The Prime Minister of India ), pronounced twenty one days country
lockdown that forestalled any movement of the country's 1.3 billion people.

In answer to the SARS-CoV-2, areas impacted by the virus have implemented a range of
restrictions. Due to a significant rise in the number of positive cases, the lockdown
approaches have been extended. It encompasses a concept for conducting business online by
integrating a number of different services, including making payments online, scheduling
travel, and more.

Changes in Consumer Behavior:

The Corona virus has resulted to significant alterations in customers habits, along public
increasingly turning to online shopping. A survey found that due to the pandemic, 55% of
American consumers have switched to online shopping. This trend is not limited to the US, as
the pandemic has affected consumer behavior globally.

One of the significant factors contributing to the change to e-shopping is aversion to being
sick from corona virus. With social distancing policies in place, consumers favor doing their
shopping at home , reducing the possibility of contracting the virus. Another factor is the
closure of physical stores, limiting consumers' options for in-person shopping.
Sales:

The increase in demand for online purchasing has led to a surge in online store sales. Online
deals in the US rose 42% year after year in August 2020, as per a report. The pandemic has
accelerated ecommerce's growth by four to six years, according to the report.

The surge in sales has not been limited to traditional ecommerce categories, such as
electronics and apparel. According to a report by McKinsey & Company, categories such as
home improvement, health, and groceries have seen significant growth in ecommerce sales.
Even after the pandemic has ended, it is anticipated that this enlargement will carry on.

Supply Chain Management:

The plague has also made logistics management even more crucial in ecommerce. With
disruptions in global supply chains, businesses have had to adapt to ensure a steady supply of
goods. According to a report by Deloitte, 79% of businesses surveyed , encountered virus-
related logistic management unsettlement.

To mitigate the impact of disruptions, businesses have had to implement new plans like
expanding stockpile levels, diversifying suppliers, and enhancing relations with
manufacturers. The virus has brought attention to how important it is for companies to have
flexible, adaptable approach.

Long-term Impact:

The SARS-CoV-2 has sped up the expansion of ecommerce, leading to significant changes in
consumer behavior and sales. Even though the virus brought about significant obstacles,
additionally made window for businesses which embraced digitalization. Even after the
corona virus the rise of online shopping is anticipated to carry on subsides, with many people
likely to continue shopping online for convenience and safety reasons.

To adapt to the new reality, businesses must invest in digital transformation and focus on
improving their ecommerce capabilities. This includes improving the user experience,
ensuring a seamless checkout process, and implementing strategies to manage supply chain
disruptions. Businesses must also prioritize communication with customers, providing clear
and transparent information on shipping times and product availability.

Recommendations

To adapt to the new reality, businesses must invest in digital transformation and focus on
improving their ecommerce capabilities. This includes improving the user experience,
ensuring a seamless checkout process, and implementing strategies to manage supply chain
disruptions. Businesses must also prioritize communication with customers, providing clear
and transparent information on shipping times and product availability.
 CHAPTER-2: LITERATURE REVIEW

Agrawal and Saha (2020) analyzed the impact of corona virus on the e-commerce industry.
They found that the virus has led to a major boost in e-commerce sales, but has also
emphasized various obstacles that online enterprises faced, such as supply chain disruptions
and a shortage of labor.

Hasan and Akhtaruzzaman (2020) explored the affect of SAR-CoV-2 on e-commerce and
online businesses. They found the consequence that virus has led to a surge in online sales,
but has also resulted in obstacles such as rising rivalry and shortage of trust among
consumers.

Dubey, Gunasekaran, and Childe (2020) conducted a study to analyze the impact of virus on
logistics management. They found that the corona virus has spotlighted the requirement for
more tough and stiff supply chains in the e-commerce industry.

Kaushal and Srivastava (2020) investigated the impact of epidemic on e-commerce and
online retail companies. They found that the epidemic has resulted to a rise in online sales
and a shift in consumer behavior towards online shopping.

Khasawneh, Ramadani, and Dana (2020) conducted an in depth research of the affect of virus
on e-commerce in Jordan. They found that the pandemic resulted an increase in online sales,
but has also highlighted several obstacles such as a lack of trust among consumers and
logistic chain disruptions.

Al-Nawayseh, Alzoubi, and Al-Quraan (2020) conducted an exploratory study of the impact
of SAR-CoV-2 on e-commerce in Jordan. They found that the pandemic has led to an
increase in online sales, but has also highlighted challenges such as supply chain disruptions
and a lack of trust among consumers.

Akter, Wamba, Gunasekaran, and Dubey (2020) studied the role of big data analytics in
mitigating the impact of plague on supply chains and e-commerce. They found that big data
analytics can help e-commerce companies to better manage their supply chains and improve
their ability to respond to disruptions caused by the pandemic.

Chattopadhyay, Sarkar, and Dutta (2020) explored the impact of corona virus on e-
commerce in India. They found that the pandemic has led to a significant increase in online
sales, but has also resulted in challenges such as supply chain disruptions and a lack of trust
among consumers.

Batuhan and Cemal (2020) conducted a comparative study of the impact of epidemic on e-
commerce in China and Turkey. They found that the pandemic has led to a significant
increase in online sales in both countries, but has also highlighted challenges such as supply
chain disruptions and a lack of trust among consumers.
Maheshwari and Goyal (2020) conducted a study of the impact of SAR-CoV-2 on the Indian
e-commerce industry. They found that the pandemic has led to a significant increase in online
sales, but has also highlighted challenges such as supply chain disruptions and a lack of trust
among consumers.

Akar and Altay (2021) conducted a case study of the impact of Covid on e-commerce in
Turkey. They found that the pandemic has led to a significant increase in online sales, but has
also resulted in challenges such as supply chain disruptions and a lack of trust among
consumers.

Lai, Wang, and Liang (2021) studied the impact of pandemic on e-commerce in China. They
found that the pandemic has led to a significant increase in online sales, but has also
highlighted challenges such as supply chain disruptions and a lack of trust among consumers.

Ali (2021) studied the impact of virus on the e-commerce industry in Pakistan. He found that
the pandemic has led to an increase in online sales, but has also highlighted challenges such
as supply chain disruptions and a lack of trust among consumers.

Pal and Chatterjee (2021) studied the impact on the e-commerce industry in India. They
found that the pandemic has led to a significant increase in online sales, but has also
highlighted challenges such as supply chain disruptions and a lack of trust among consumers.

Abdullah, Alwi, and Rosman (2021) studied the affect of on e-commerce in Malaysia. They
found that the virus has led to an increase in online sales, but has also resulted in challenges
such as a shortage of labor and supply chain disruptions on emarketplace in China. They
found that the pandemic has led to a significant increase in online sales, but has also
highlighted challenges such as supply chain disruptions and a lack of trust among consumers.
Overall, these studies suggest that the SAR-CoV-2 has had a significant impact on the e-
commerce industry, leading to a surge in online sales but also highlighting several challenges
that e-commerce companies face, such as supply chain disruptions, a shortage of labor, and a
lack of trust among consumers. The studies also highlight the need for e- commerce
companies to be more resilient and agile in their supply chains to better manage disruptions
caused by the pandemic. Additionally, some studies suggest that big data analytics can play
an important role in mitigating the affect of virus on logistic chains and e-marketplace.
 CHAPTER-3 :RESEARCH METHODOLOGY

Research Plan:

The study will utilize quantitative research plan in order for investigating impact about
SARS-CoV-2 on online businesses. The research will focus on collecting data from a sample
of small e- commerce businesses during a specific period.

Sampling:

To ensure that the results are representative of the e-commerce industry in India, the study
will use a stratified random sampling technique to select the sample. The sample will be
stratified based on the businesses industry, company size, and operations.

Sources of Data:
This research will use both primary and secondary sources of data. Primary source will be
collected through Google Form Questionnaire to measure the impact of COVID-19 on E-
commerce.

Data Collection:

To gather data, an online survey will be conducted, which will comprise primarily of closed-
ended questions. The survey will focus on assessing the effects of COVID-19 on different
areas of e-commerce, including sales volume, consumer behavior, supply chain disruptions,
and marketing strategies. Moreover, data on the company's marketing methods, their impact
on sales revenue, and management processes will also be collected.

Data Analysis:

The primary data collected through the Google form will be used for analysis and secondary
data is obtained from various research articles done prior and through Google.

Shortcomings:

There exists shortcomings that ought be recognized. Firstly, sample is limited to Indian e-
commerce businesses, which may impact the transferability of the results to other countries or
industries. Secondly, self-reporting can introduce potential biases into the data. Finally, as
information is gathered by various people at a specific settings schedule, it is not feasible to
lay out a relaxed connection among COVID-19 besides e-commerce factors.

Ethics:

Informed consent will be sought from participants before the survey is conducted.
Additionally, to safeguard the confidentiality of the data, any publications or presentations
stemming from this study will not include any identifiable information of the participants.
 CHAPTER-4: DATA ANALYSIS

According to the responses obtained, it appears that the COVID-19 pandemic has had a
significant impact on e-commerce businesses. Nearly half of the participants (47%) reported
a significant impact on their business, while 29% reported a moderate impact and 16%
reported a minor impact. It is noteworthy to observe that merely 8% of respondents reported
no impact on their business.

Regarding crisis management plans, the data indicates that 44% of the participants did not
have an efficient plan in place to manage the pandemic. Among those who did have a plan,
only 17% reported that it was highly effective in the current scenario.

The survey findings indicate that businesses have adopted various strategies to enhance the
skills and competencies of their employees in response to the pandemic. Specifically, 29% of
the participants are actively exploring ways to develop skills and competencies, while 29%
are encouraging Individual team members to self-diagnose their skill gaps.

The survey results also suggest that inventory management has been impacted, as merely
16% of the respondents reported complete alignment between their competencies and the
needs of products under lockdown.

The survey data reveals that communication and management processes have also been
affected, as 42% of the participants reported that they required significant improvement.

As per the survey findings, the COVID-19 pandemic has impacted e-commerce budgets, as
56% of the participants reported a reduction in their budget.

Based on the survey results, the COVID-19 pandemic has had a significant impact on sales
revenue, as 57% of the participants reported a high impact.

According to the survey results, 93% of the participants have modified their marketing
methods, channels, or messaging in response to the COVID-19 pandemic.

Before the pandemic, many of the respondents reported that some or most of their employees
worked from home. 35% of the respondents found it very challenging for all accounts.

Based on the survey results, it has been found that the marketing department (34%) has
experienced the most significant impact due to the crisis, with delivery management (28%)
being the second most affected department.
SUMMARY AND FINDINGS

After conducting a survey using Google questionnaire forms, the research on the impact of
COVID-19 on e-commerce has yielded several significant findings.

To begin with, the survey results indicate that almost half of the participants (47%)
experienced a substantial impact on their e-commerce business due to the pandemic, whereas
only 8% reported no impact. This finding Implies that COVID-19 had a noteworthy influence
on the e-commerce sector overall.

Secondly, the survey revealed that approximately 449% of the participants reported either a
lack of crisis management plan or partial effectiveness of their existing plan, underscoring the
requirement for more efficient contingency planning in anticipation of similar crises in the
future

Thirdly, the data indicates that a significant portion of the e-commerce industry is making
efforts to support the development of their employees' skills to adapt to the evolving work
environment due to the outbreak..

Fourthly, the pandemic resulted in a reduction in the e-commerce budget for over 50% of the
participants, highlighting the financial impact the crisis has had on businesses.

Fifthly, the majority of the survey respondents (57%) anticipated a notable or immediate
decline in revenue from their existing/regular customers, indicating that the pandemic has had
a significant impact on consumer behavior.

Lastly, the pandemic had a significant impact on the marketing methods channels and
messaging used by businesses as 93% of the survey participants reported making changes to
their marketing tactics

In summary, the findings indicate that the COVID-19 pandemic has had a significant and far-
reaching impact on the e-commerce industry. Therefore, businesses need to take proactive
measures to develop effective crisis management plans and adapt their marketing strategies to
the changing consumer behavior resulting from the pandemic.
 CHAPTER-5 :CONCLUSION

To summarize, the global e-commerce sector underwent a notable transformation as a result

of the virus outbreak. This investigation analyzed the effects of the pandemic on online retail
by employing primary and secondary sources. Primary data was gathered via a survey
questionnaire completed by 100 Indian e-commerce companies, while secondary Information
was obtained from various academic articles and online sources.

Based on the results of the research, it was observed that the SAR-CoV-2 pandemic had a
considerable influence on almost 50% of the e-commerce firms surveyed, resulting in a
decrease in income. Nevertheless, some firms reported no consequences or only minimal
ones. Furthermore, the effectiveness of the crisis management strategy varied among the
businesses, with a significant number of them not having any plan in place.

Additionally, the investigation discovered that companies that took the initiative to enhance
the abilities and expertise of their staff were better equipped to adjust to the pandemic's
dynamic situation. Furthermore, the proficiency of inventory management teams played a
vital role in ensuring inventory levels were adequately stocked and fulfilling customer
demands.

The research recognized communication and management procedures as domains that need to
be improved upon based on the responses of the surveyed firms, with a majority indicating
the necessity for further development. Moreover, the investigation disclosed that most
businesses were compelled to cut back on their budgets due to the COVID-19 outbreak.

Lastly, the research indicated that firms were revising their marketing strategies, channels,
and messaging in response to the pandemic. The marketing unit was identified as the
department most affected by the crisis, with several companies altering their focus to digital
platforms.

In conclusion, this investigation emphasizes the importance of e-commerce firms having

efficient crisis management strategies in place and emphasizing the enhancement of
employee skills and expertise. Moreover, businesses must be adaptable and capable of
adapting to dynamic circumstances to sustain their competitiveness. The results of this
research hold significant implications for e-commerce firms and can assist in shaping future
plans for dealing with unforeseen events such as the plague outbreak.
ANNEXTURE

Survey Responses on Impact of COVID-19 on E-commerce

Question 1: What effect does the coronavirus had on your E-commerce business?

Answer:

47% voted for a serious impact; nothing was proceeding as planned.

29% voted for moderate impact; a large fraction affected yet unaffected by other activities.

16% voted for minor impact; several things were being calibrated, but the majority were
unaffected.

8% voted for no impact; business was usual.

Question 2: Did your business have a crisis management plan in place?

Answer:

24% voted for no crisis plan.

20% voted for yes, but it wasn't at all effective in this instance.

39% voted for yes, but it was partially effective in this instance.

17% voted yes, it was very effective in this instance.

Question 3: To what extent are you seeking to proactively help your business employees
develop their skills in response to this dramatic change in the working environment?

Answer:

29% voted for I'm proactively looking at measures to develop skills and competencies.

29% voted for individual members of the team are being encouraged to proactively diagnose
their skill deficiencies, while appropriate.

22% voted for partly aligned – we were constantly finding new partners.
20% voted for barely aligned – we were struggling to feed our inventory.

Question 4: To what extent were the competencies of your inventory management teams
aligned with the requirements of products under lock-down?

Answer:

16% voted for completely aligned – we had all the supplies as we manufacturer ourselves.

34% voted for mostly aligned – we had a good inventory base, but had to find up on some
new partners.

24% voted for partly aligned – we were constantly finding new partners to keep our inventory
stocked.

26% voted for barely aligned – we were struggling to feed our inventory.

Question 5: How efficient were your business communication and management processes?

Answer:

11% voted for they were really robust and effective.

47% voted for they were pretty good – we always refined further.

42% voted for they needed lots more work.

Question 6: What impact does this have on your E-commerce budget?

Answer:

19% voted for it has increased.

9% voted for frozen.

16% voted for remained the same.

56% voted for reduced.

Question 7: What impact do you expect COVID-19 will have on sales revenue from your
existing/regular customers?

Answer:

57% voted for high: there has been or will be a significant/rapid downturn in revenue.
35% voted for low/temporary: business pretty much as usual (i.e., long-term contracts).

8% voted for too early to tell: we are monitoring.

Question 8: Are you changing the marketing methods, channels or messaging that you're
using a result of the coronavirus emergency?

Answer:

93% voted yes.

7% voted no.

Question 9: Prior to the coronavirus emergency, to what extent did the members of your
business work from home (or other places outside the office)?

Answer:

10% voted for no challenges/business as usual.

24% voted for some challenges with a few accounts.

28% voted for it is difficult with most accounts.

35% voted for very challenging on all accounts.

3% voted for don't know.

Question 10: Which department of your business has been most affected due to the crisis?

Answer:

17% voted for development department.

34% voted for marketing department

28% voted for delivery management department

21% voted for inventory/supply management

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