Ecommerce in India - Conclusion

A developing country can become industrialized and modernized if it can extensively apply IT to
enhance productivity and international competitiveness, develop e-commerce and e-governance applications.
An information-based society or knowledge based society is composed of IT products, IT applications in
society and economy as a whole. Many countries in Asia are taking advantage of e-commerce through
opening of economies, which is essential for promoting competition and diffusion of Internet technologies.
The Internet is boosting efficiency and enhancing market integration in developing countries.
The developed world has had a long lead over the developing countries in the telecom infrastructure.
The world average of teledensity is 15 per cent compared to the developed world average of 55 to 60 per
cent. Same is true of PCs, Internet connections, and the number of Internet hosts. All these traditional
indicators for India as seen above are still small. But the total number of Internet connections are large
in absolute numbers. Large enough to have a critical mass of 10 to 20 million users to be able to make
an impact on e-commerce and e-governance. In the next 3 to 5 years, India will have 30 to 70 million
Internet users which will equal, if not surpass, many of the developed countries. Internet economy will
then become more meaningful in India. The number of e-transactions will be large enough to sustain the
Internet economy.