Discuss the impacts of covid 19 on ecommerce in develpoe countries

INTRODUCTION
COVID-19 has affected movement behaviors, making people go online
on social networking platforms, thereby promoting the development of online
shopping.
When the Covid-19 epidemic took place and lasted for the past two
years, the earth had to fight the epidemic from many sides: public health,
economy, social management and tourism. That means socio-economic
activities must be temporarily closed, and people must comply with social
distancing. Therefore, they adapted to a new normal life, spending more time
online, leading to an increasing number of people using smart devices such as
smartphones, laptops, and ipads, bringing e-commerce to consumers faster
and more effectively.
Although the income of most households has decreased significantly, in
developed countries, the amount of money paid for e-commerce platforms
tends to increase. This essay outlines how Covid-19 has affected e-commerce
in 3 developed countries: The USA, Japan and China.


BODY
The USA
According to new data from Adobe, “Americans spent $1.7 trillion
online during the last two years of the pandemic”. Which is $609 billion more
than it was two years prior to Covid (John Koetsier., 2022), indicating a 55
percent increase in online spending.
Consumers in the United States spent $844 billion online from March
2020 to February 2021. Meanwhile, spending totaled $813 billion in 2020, up
42% from 2019 (Anett Erdmann., 2020). To put this $183 billion in context,
Adobe points out that it is nearly the same size as the previous holiday
shopping season, which saw $188.2 billion spent online between November
and December 2020. According to the firm, this growth is expected to
continue in the coming years, reaching $1 trillion by 2022.

Many USA industries have benefited from the pandemic, which has
propelled them years ahead of where their natural growth would have taken
them otherwise.
Consumers faced stay-at-home orders, nonessential retailers closed
their doors, and in-person shopping was replaced by online commerce for
many consumers due to this trend. According to the report, the pandemic
caused a "rare step change in online spending, equivalent to a 20% increase,"
which also stated that the effects would last even after the pandemic ended in
the months ahead.
Japan
As the Japanese step away from brick-and-mortar stores and toward
online marketplaces, the eCommerce market in Japan is undergoing
significant transformation. Online retailers in Japan benefit from urban
density, technologically advanced customers, developed economies, and the


use of a single language for all purposes. Furthermore, Japan's distribution
channel is well-developed, and the country's small size makes shipping and
product delivery much more accessible, boosting the e-commerce market in
Japan (Laura gonzález., 2021).
The e-Commerce market is divided into three sectors regarding
business-to-consumer sales: merchandising, service, and digital. In 2020, the
combined value of these industries will be $180 billion. COVID-19, on the
other hand, had varying degrees of impact on each sector, ranging from halted
foreign visitor travel to other service sector disruptions. Within the
merchandising sector of the food and beverage industry, there is continued
growth and opportunities for U.S. exporters. Due to the ongoing COVID-19
pandemic and increased home dining, consumer purchasing habits have
shifted to online transactions.
The sixth wave of COVID-19 and the newly imposed State of

Emergency in Japan have limited or forced the closure of some physical
stores. The well-developed e-Commerce market in Japan and alternative
payment platforms like PayPal, Apple Pay, and Amazon Pay will continue to
drive growth in online purchases and household necessities like food and
beverages.
China
Industrial e-commence accounts for nearly 70 percent of the overall
transaction scale of China’s e-commerce. The proportion of e-commerce retail
and service sector e-commerce, on the other hand, has increased, indicating a
steady growth trend. The Internet industry has concentrated on several trading
scenarios where policymakers, capitalists, industry, and businesses can
collaborate to help e-commerce generate massive transaction volumes
(K.Clemons., 2013). Employees' scale also increases indirect employment as


e-commerce deepens and penetrates—the trend of combining online and
offline shows that the practitioners' scale has been steadily increasing.
China's e-commerce market will be worth 32.55 trillion yuan in 2022
(Jing Tan., 2021). It has also risen from 28.66 trillion yuan in 2019 to 32.55
trillion yuan in 2020, a 13.5 percent increase. B2B e-commerce has a
transaction volume of about 22.5 trillion yuan, e-commerce retail has a
transaction volume of 8.56 trillion yuan, and e-commerce for the service
sector has a transaction volume of 1.49 trillion yuan. In general, the online
shopping demand surge is sudden in the Covi-19 pandemic since it is
transforming from in-store to online. However, total consumption and
demand have not increased. The epidemic situation has promoted the
development of e-commerce. The high growth of the epidemic prevention
materials category is short-term demand, which does not reflect consumers'
real needs.
The Covi-19 pandemic's online shopping demand surge is unexpected

because it is transitioning in-store to online. Total consumption and demand,
on the other hand, have remained unchanged. E-commerce has grown in
popularity as a result of the epidemic. The rapid expansion of the epidemic
prevention materials category results from short-term demand that does not
reflect actual consumer needs.


CONCLUSION
This article is primarily interested in how the coronavirus affects ecommerce in 3 developed countries. Overall, Covid 19 positively affected ecommerce business in the US, Japan, and China. However, the supply chain is
still severely strained, and the war in Ukraine and recent Covid outbreaks and
shutdowns in China will exacerbate the problem.
Awareness of this issue can lead to more accurate information and a
better understanding of how the coronavirus affects e-commerce, business,
and national economies. E-commerce is aided by COVID-19. How it
impacted e-commerce will entice other researchers to delve deeper into this
topic, such as how Corona changed e-commerce trends and the future.


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