White Paper: Look beyond the Front End for E-Commerce Growth
Jan. 27, 2014
ModusLink Global Solutions Inc. has issued a white paper that focuses on e-commerce payment back-office operations. Written with e-commerce finance professionals in mind, “E-Commerce Trends and Payment Challenges for Online Merchants: Beyond Payment” provides insights and recommendations for businesses interested in expanding their e-commerce operations internationally.
The report, authored by Andre Malinowski, Lawrence Cheok and Wim Huiskamp of ModusLink, discusses growth opportunities through international expansion and the increased complexity businesses face.
“Diverse government structures, unique social and business cultures and an ever-changing array of legal requirements and compliance policies make it difficult to overcome country-specific challenges,” said Malinowski. “The paper is highlighting that a ‘one size fits all’ approach will not be successful.”
Malinowski noted that among the challenges are “the complexity of government-based monetary policies that can quickly become an organization’s biggest headache. Even very attractive emerging markets pose this problem.”
“In fact, multifaceted tax, import and repatriation rules can be some of the most difficult issues to untangle and manage over the long-term,” Malinowski pointed out. “This paper shows the decision-makers that choosing the right partner can be the make-or-break decision that determines success in expanding their global footprint.”
The report suggests that when evaluating and re-assessing growth opportunities, merchants should consider the more granular areas of financial reconciliation, indirect taxation, cash repatriation and regulatory compliance. The paper’s “Beyond Payment” reference relates to online merchants needing to look beyond the web front-end and consider additional factors like back-office operations and banking infrastructure.
Various payment options are discussed, including e-wallets and mobile wallets, e-banking, and describes less common methods like escrow payments, which are gaining favor in developing markets like China, where e-commerce is relatively young.
ModusLink executes comprehensive supply chain and logistics services that are designed to improve clients’ revenue, cost, sustainability and customer experience objectives. Download the white paper here .