E-commerce development: Prospects and legal challenges of business digital transformation amidst economic de-shadowing

Vitalii Volynets; Vladyslav Lohvynenko; Svetlana Korobka; Oksana Kuzmenko; Marta Derhaliuk

doi:10.31893/multirev.2024spe053

Keywords:

online business

business digitalization

international trade

retail markets

regulatory frameworks

Abstract

The development of e-commerce is becoming a decisive factor in the transformation of the global economy, opening up new opportunities for business. The purpose of the study is to identify strategies that allow companies to effectively use the potential of e-commerce to ensure sustainable growth and competitiveness at the international level. In this scientific article, the characteristics of the shadow economy and its impact on the economies of Ukraine and EU countries are highlighted. Approaches and tools used to combat the shadow economy in EU countries are examined. It has been established that the European Parliament adopts a series of legal acts aimed at addressing the causes and consequences of the shadow economy's impact on the development of EU countries. Based on the analysis of modern scientific research and the study of practical cases from different countries, the main legal and economic aspects affecting the development of electronic commerce were identified. The study highlights the importance of legal regulation as a means of addressing international commercial challenges, including intellectual property protection, cyber security and consumer protection in the digital space. Special attention is paid to the role of diplomatic initiatives in the creation of joint projects and the development of international standards that contribute to the harmonization of trade relations and the support of innovative development. The results of the study indicate the need for a holistic approach to the development of e-commerce, which includes technological innovation and the development of legal infrastructure. The article highlights the factors of introducing digital technologies into commercial activities, the impact of globalization on e-commerce, and strategies for business adaptation to international challenges. Recommendations for optimizing the use of e-commerce in the global economy, taking into account current trends and future development prospects, are offered.
References
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13. Mamakou, X. J., Zaharias, P., & Milesi, M. (2023). Measuring customer satisfaction in electronic commerce: the impact of e-service quality and user experience. International Journal of Quality and Reliability Management, 41(3), 915–943. https://doi.org/10.1108/IJQRM-07-2021-0215
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26. Simandan, R. (2023). Electronic Commerce Research during the COVID-19 Pandemic: A Bibliometric Analysis. Journal of International Commerce, Economics and Policy, 14(2). https://doi.org/10.1142/S1793993323500102
27. Spitzer, S. (2021). Digital Business and Electronic Commerce. MedienWirtschaft, 18(3), 49–52. https://doi.org/10.15358/1613-0669-2021-3-49
28. Statista (2023). Retail e-commerce sales worldwide from 2014 to 2027. https://www.statista.com/statistics/379046/worldwide-retail-e-commerce-sales/. Accessed on October 4, 2024.
29. Stuchlý, P., Hennyeyová, K., Janšto, E., Šilerová, E., & Vaněk, J. (2023). Marketing Management of Electronic Commerce in the Process of Current Marketing Management. Agris On-Line Papers in Economics and Informatics, 15(2), 105–113. https://doi.org/10.7160/aol.2023.150209
30. Velentzas, J., Kiriakoulis, G., Broni, G., Kartalis, N., Panou, G., & Fragulis, G. (2022). Digital and advanced electronic signature: the security function, especially in electronic commerce. SHS Web of Conferences, 139, 03011. https://doi.org/10.1051/shsconf/202213903011
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32. Wang, D. (2023). Has Electronic Commerce Growth Narrowed the Urban–Rural Income Gap? The Intermediary Effect of the Technological Innovation. Sustainability (Switzerland), 15(8). https://doi.org/10.3390/su15086339

This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.

How to cite

Volynets, V., Lohvynenko, V., Korobka, S., Kuzmenko, O., & Derhaliuk, M. (2024). E-commerce development: Prospects and legal challenges of business digital transformation amidst economic de-shadowing. Multidisciplinary Reviews, 8, 2024spe053. https://doi.org/10.31893/multirev.2024spe053

[1] Alabi, O. F., & David, A. A. (2023). Framework for Detection of Fraud at Point of Sale on Electronic Commerce sites using Logistic Regression. EAI Endorsed Transactions on Scalable Information Systems, 10(2). https://doi.org/10.4108/eetsis.v10i2.1596

[2] Arriagada, I. (2023). Prison, technology, and consumption: A visual study of the use of electronic commerce strategies in the inmate package industry. Theoretical Criminology, 27(3), 457–480. https://doi.org/10.1177/13624806221131571

[3] Asante, I. O., Jiang, Y., Hossin, A. M., & Luo, X. (2023). Optimization of consumer engagement with artificial intelligence elements on electronic commerce platforms. Journal of Electronic Commerce Research, 24(1), 7–28.

[4] Cristofaro, M., Giardino, P. L., Misra, S., Pham, Q. T., & Hiep Phan, H. (2023). Behavior or culture? Investigating the use of cryptocurrencies for electronic commerce across the USA and China. Management Research Review, 46(3), 340–368. https://doi.org/10.1108/MRR-06-2021-0493

[5] Deng, L., Xiong, H., & Wang, Z. (2023). Research on cojumps of electronic commerce overnight factors in volatility prediction based on joint BW test. Electronic Commerce Research, 23(1), 115–135. https://doi.org/10.1007/s10660-022-09545-9

[6] Goldman, S. P. K., van Herk, H., Verhagen, T., & Weltevreden, J. W. J. (2021). Strategic orientations and digital marketing tactics in cross-border e-commerce: Comparing developed and emerging markets. International Small Business Journal: Researching Entrepreneurship, 39(4), 350–371. https://doi.org/10.1177/0266242620962658

[7] Hafiani, M., & El Abbadi, L. (2023). Electronic commerce: Overview of risk disturbing. International Journal of Electronic Commerce Studies, 14(2), 27–56. https://doi.org/10.7903/ijecs.2181

[8] ICO. (2022). General Data Protection Regulation (GDPR). https://ico.org.uk/media/for-organisations/guide-to-data-protection/guide-to-the-general-data-protection-regulation-gdpr-1-1.pdf. Accessed on October 4, 2024.

[9] Kaningini, E. W., Malinga, C. M., Furaha, G. M., Alulea, J. P., & Castiaux, A. (2023). Adoption of electronic commerce as a resilience strategy for women's entrepreneurship in the Democratic Republic of Congo. African Journal of Economic and Management Studies, 14(2), 313–331. https://doi.org/10.1108/AJEMS-07-2022-0307

[10] Kedah, Z. (2023). Use of E-Commerce in the World of Business. Startup Business Digital (SABDA Journal), 2(1), 51–60. https://doi.org/10.33050/sabda.v2i1.273

[11] Khan, R. U., Saienko, V., & Tolchieva, H. (2021). Dependence of the company’s reputation and the quality of customer relations. Economic Studies journal, 2, 159-176.

[12] Kniaz, S., Heorhiadi, N., Kucher, L., Tyrkalo, Y., & Bovsunivska, A. (2023). Development of a customer service system in electronic commerce. Business Management, (2), 64–82. https://doi.org/10.1109/ACIT58437.2023.10275581

[13] Mamakou, X. J., Zaharias, P., & Milesi, M. (2023). Measuring customer satisfaction in electronic commerce: the impact of e-service quality and user experience. International Journal of Quality and Reliability Management, 41(3), 915–943. https://doi.org/10.1108/IJQRM-07-2021-0215

[14] Marchenko, V. (2023). Legal provisions of information and communication component of electronic commerce in accordance with the law of Ukraine “On electronic communications”. Uzhhorod National University Herald. Series: Law, 2(75), 27–31. https://doi.org/10.24144/2307-3322.2022.75.2.4

[15] Munoz, F., Holsapple, C. W., & Sasidharan, S. (2023). E-commerce. In: Springer Handbooks, pp. 1411–1430. Springer, Cham. https://doi.org/10.1007/978-3-030-96729-1_67

[16] Nahr, N., & Heikkilä, M. (2022). Uncovering the identity of Electronic Markets research through text mining techniques. Electronic Markets, 32(3), 1257–1277. https://doi.org/10.1007/s12525-022-00560-0

[17] O'Leary, D. E. (2023, April 1). Digitization, digitalization, and digital transformation in accounting, electronic commerce, and supply chains. Intelligent Systems in Accounting, Finance and Management, 30(2), 101–110. https://doi.org/10.1002/isaf.1524

[18] O'Leary, D. E. (December 19, 2022). Digitization, Digitalization and Digital Transformation in Accounting, Electronic Commerce and Supply Chains. USC Marshall School of Business Research Paper Sponsored by iORB, No. Forthcoming. https://doi.org/10.2139/ssrn.4307305

[19] Oberlo. (2023). E-commerce sales by country. https://www.oberlo.com/statistics/ecommerce-sales-by-country. Accessed on October 5, 2024.

[20] OECD. (2024) Economic Outlook. https://www.oecd.org/content/dam/oecd/en/publications/reports/2024/05/oecd-economic-outlook-volume-2024-issue-1_1046e564/69a0c310-en.pdf Accessed on October 4, 2024.

[21] Povna, S., & Olyfirenko, Y. (2022). Electronic commerce and digital marketing in the development of national enterprise. Problems and Prospects of Economics and Management, 2(30), 64–73. https://doi.org/10.25140/2411-5215-2022-2(30)-64-73

[22] Rahmawati, D. F. (2023). Peran Digital Marketing Dalam Memediasi Pengaruh Electronic Word Of Mouth, Promotion dan Harga Terhadap Impluse Buying (Studi pada E-commerce Shopee). JEBA (Journal of Economics and Business Asianomics), 7(2), 071–086. https://doi.org/10.33476/jeba.v7i2.3416

[23] Ranti, N. Q., Agung, D. A., & Ellitan, L. (2023). The Impact of Security and e-WoM to Purchase Decision with Trust as Mediator in Online Shopping Through the Shopee Application. In: Proceedings of the 4th Asia Pacific Management Research Conference (APMRC 2022), pp. 346–359. https://doi.org/10.2991/978-94-6463-076-3_26

[24] Ruslijanto, P. A. (2021). Validity of Digital Signature as Evidence in Electronic Commerce. Indonesian Journal of International Law, 8(4). https://doi.org/10.17304/ijil.vol8.4.314

[25] Shyaa, G. S., & Al-Zubaidie, M. (2023). Utilizing Trusted Lightweight Ciphers to Support Electronic-Commerce Transaction Cryptography. Applied Sciences (Switzerland), 13(12). https://doi.org/10.3390/app13127085

[26] Simandan, R. (2023). Electronic Commerce Research during the COVID-19 Pandemic: A Bibliometric Analysis. Journal of International Commerce, Economics and Policy, 14(2). https://doi.org/10.1142/S1793993323500102

[27] Spitzer, S. (2021). Digital Business and Electronic Commerce. MedienWirtschaft, 18(3), 49–52. https://doi.org/10.15358/1613-0669-2021-3-49

[28] Statista (2023). Retail e-commerce sales worldwide from 2014 to 2027. https://www.statista.com/statistics/379046/worldwide-retail-e-commerce-sales/. Accessed on October 4, 2024.

[29] Stuchlý, P., Hennyeyová, K., Janšto, E., Šilerová, E., & Vaněk, J. (2023). Marketing Management of Electronic Commerce in the Process of Current Marketing Management. Agris On-Line Papers in Economics and Informatics, 15(2), 105–113. https://doi.org/10.7160/aol.2023.150209

[30] Velentzas, J., Kiriakoulis, G., Broni, G., Kartalis, N., Panou, G., & Fragulis, G. (2022). Digital and advanced electronic signature: the security function, especially in electronic commerce. SHS Web of Conferences, 139, 03011. https://doi.org/10.1051/shsconf/202213903011

[31] Vuță, D. R., Nichifor, E., Țierean, O. M., Zamfirache, A., Chițu, I. B., Foris, T., & Brătucu, G. (2022). Extending the Frontiers of Electronic Commerce Knowledge through Cybersecurity. Electronics (Switzerland), 11(14). https://doi.org/10.3390/electronics11142223

[32] Wang, D. (2023). Has Electronic Commerce Growth Narrowed the Urban–Rural Income Gap? The Intermediary Effect of the Technological Innovation. Sustainability (Switzerland), 15(8). https://doi.org/10.3390/su15086339

Abstract

References

How to cite