Challenges for small and medium-sized businesses in electronic commerce

Rachynska Galina
candidate of economic sciences, associate professor of the Department of Organizational Management, Lviv Polytechnic National University, Lviv, E-mail:halyna.rachynska@gmail.com, ORCID ID: https://orcid.org/0000-0001-5678-4172

Cite this article:

Rachynska G. (2023) Challenges for small and medium-sized businesses in electronic commerce. Ed.: V.V. Kovalenko (ed.-in-ch.) and others [Vyklyky dlia maloho ta serednoho biznesu v elektronnii komertsii; za red.: V.V. Kovalenko (gol. red.)], Scientific Bulletin of the Odessa National Economic University (ISSN 2313-4569), Odessa National Economics University, Odessa, No. 9 (310), pp. 135-141.

Abstract

Purpose of the study is to reveal the phenomenon of electronic commerce in the context of challenging conditions faced by modern business. Metod is a combination of general scientific methods of system analysis, synthesis, synergistic approach to the analysis of complex non-equilibrium heterogeneous nonlinear systems, in particular, to analyze possible risk scenarios related to the phenomenon of electronic commerce and develop strategies to reduce the probability of their occurrence. Results. First of all, it is worth separating enterprises that were created in the period before the era of electronic commerce and enterprises that were created already during its rapid development. Accordingly, both opportunities and threats in cases "before" and "during" e-commerce are significantly different. On the one hand, greater controllability of business becomes possible, and on the other hand, the threat to business security increases than it was in the period before the spread of electronic commerce practices. The phenomenon of electronic commerce in general combines new "windows of opportunity" and the probability of specific risks. For small and medium-sized enterprises, which, as a rule, can be more mobile and adaptive, according to changes in the business environment, an integral condition for their effective activity is their participation in electronic commerce practices. Practical importance of the research results is that the use of a synergistic approach in defining the phenomenon of electronic commerce provides opportunities for small and medium-sized businesses to significantly improve the decision-making system in the direction of increasing their efficiency, in accordance with modern conditions, preventing the emergence of risky scenarios related to e-commerce phenomenon.

Keywords

e-commerce practices, challenges to small and medium-sized businesses, risk scenarios, risk prevention.

JEL classification: D800, L230, M140, M290, M310; DOI: 10.32680/2409-9260-2023-9-310-135-141

UD classification: 334.021.1

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