dysfunctional aspects of the new economy

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What, if any, are the dysfunctional aspects of the "New Economy" promoted by e-Business?

One of the most important dysfunctional aspect of the new economy promoted by ebusiness is that it is increasing the gap between the companies and the consumer by making everything virtual. The one to one interaction in traditional brick and mortar form of business is absent in the ebusinesses. Even though the new age virtual or ecommerce companies are trying to eliminate the middleman by reaching consumers "virtually"or directly, it is eliminating the personal interaction and closeness with the consumer which is an inherent part of traditional brick and mortar businesses. The charm of personally visiting each store to enquire about new products/services and comparing products in different stores is slowly vanishing as "convenience" and "lack of time" has forced people to use online shopping mediums. By providing a low cost structure of doing business, the new economy has posed a serious threat to traditional businesses and middleman whose value added services at the retail level to consumers are losing their value in the eyes of the consumers. If such trend will continue, the day will be not far when companies will find it difficult to ascertain consumer purchase behavior as observed in the physical stores.

Further, immense security and privacy issues have emerged in this new economy promoted by ebusinesses. Since the laws pertaining to the cyber businesses are relatively weak and a fairly large number of small companies are ignoring or breaking them in one way or the other, increasing threats to the consumer privacy and security have been observed. ...