Trying again on the previous ten years in e-commerce, it is clear that there have been loads of changes in how e-commerce business models are perceived. Companies operating websites, significantly where third-social gathering content may be uploaded directly, ought to consider adopting agreements and procedures to shield themselves towards claims of liability and copyright infringement. This procedure is sometimes referred to as a “copyright coverage” or “DMCA takedown” procedure. Compliance with the DMCA can provide the online operator with a safe harbor from legal responsibility.
Lawsuits. Ecommerce websites are vulnerable (no matter what people say) to hacking and digital theft which will leave you and your business wide open for lawsuits if any of your customers suspect this happened because of purchasing something through your website. An ecommerce store isn’t tied to a single geographic location – it’s open and available to any and all customers who go to it online.
For the uninitiated, the dot-com bubble burst occurred from 1997 to 2001. The fast development of Internet usage and adoption at the time fueled investments at incredibly high valuations and companies that haven’t even turned a revenue went public. The hype wasn’t sustainable, though, and capital soon dried up. As you’ll learn below, this was ultimately one of the reasons why (amongst others) shut down.