Electronic Commerce, commonly known as e-commerce, is a part of e-business that consists of the buying and selling of both services and products of any kind by means of electronic systems. This possibility enables people to buy clothes, books, TV sets, strictly speaking nearly everything, over the Internet and other computer networks. Fact is that buying and selling electronically has greatly grown over the past years as the widespread usage of the Internet became always more popular.
Ecommerce provides a direct relationship between and among suppliers and buyers. Strictly speaking it represents any type of commercial transaction in which Internet suppliers as well as Internet buyers in the context of performance preparation, service level agreement and service provision do use a variety of different communication technologies. It is kind of a virtual market place that offers the possibility to go shopping online. An online shop, also called e-store, webshop, internet shop or virtual store, provokes the physical analogy of buying goods and services interactively in real time at a so-called bricks-and-mortar retailer. This process whereby consumers directly buy products and services from a seller over the Internet is called Business-to-Consumer (B2C) online shopping. However, if a business buys services or goods from another business it is called Business-to-Business (B2B) online shopping.
When it comes to web shops or general online shops it turns out to be very important that the respective website owner provides a high-capacity web server or rather web hosting. Especially for successful web shops it is very essential that the web space, web server and accordingly web hosting are characterized to be powerful and that they are equipped with a fully functional as well as high-performance technical infrastructure.
As an exemplary software for creating an own online shop, Magento represents one of the most popular web-based shop software systems. Strictly speaking Magento is an open source e-commerce web application that was released on March 31, 2008. Magento is available in a free community version as well as in a version liable to pay costs. The difference between these two versions consists in the fact that the version users have to pay for provides more features that are more complex than those of the free community version. Furthermore there exists a large number of extensions that can be used to modify the whole Magento system. Most extensions are available for free, can be downloaded on the module repository and used by Magento agencies that are also called Magento Agentur. A so-called Magento Agentur exerts extensions and modules developed by users of the popular Magento community in order to develop a complex online shop for the agency’s clients both faster and more efficiently.