Document
Document
A PROJECT REPORT ON
‘A STUDY ON BEHAVIOUR OF COLLEGE STUDENTS
TOWARDS E-SHOPPING ’
SUBMITTED BY:
HITESH KUVADIYA
SUBMITTED TO:
PRITI UPADHYAY
THE K.P.E.S COLLECE
BHAVNAGAR
ACKNOWLEDGEMENT
I wish to place on record my deep sense of appreciation to all those who made This project come into
existence and guide me from the start to finish. I express My sincere gratitude to the institution of
THE KPES COLLEGE, BHAVNAGAR.
I would like to thank Mr. DHARMESH PARMAR, principal of THE KPES COLLEGE,
BHAVNAGAR for giving me the opportunity to prove my caliber By submitting this project report.
I am indebted to my guide Mrs. PRITI UPADYAY for her support from the Beginning till
completion of this study.
INDEX
NO. CHAPTER
1 Introduction
2 Review of Literature
3 Research Methodology
• Bibliography
• Annexure (questionnaire)
CHAPTER 1
INTRODUCTION
INTRODUCTION
1.1 Background :
E-Commerce trading involves least human intervention yet one cannot Avoid human task
involvement in the entire circle of trading. The functions of E-Commerce trading can be broadly
classified into two categories :
E-commerce scope mainly deals with supplier, enterprise itself, product Distributers or retailers, its
customers and its functions at global level. Its Function and management at different level is wide
but can be effectively Managed if sufficient resources are available. Scope and nature of E-
commerce market is very well explained in the following figure
Product Improvement
Logistic Execution
Supply Chain Support
HRM
Training and Conferencing
Manufacturing Management Interface with Consumers :
Global E-Commerce Infrastructure : Accounting
Financial Forecasting Electronic Marketing
Security Online Services Information
E-Payment Online Shopping
Legal Regulations E-market Trading
Forming E-Market Demand oriented Entertainment
Human/Computer Interface Sales Management
National/Global Information Customer Services
Infrastructure Market Intelligence
Gathering Customer Information
1.4 Factors responsible for current growth of E-commerce
Mobile Commerce :
It is expected that wave of digital commerce consumer in future will be
taken by mobile commerce. Because of which the leading e-commerce firm are focusing on
mobile commerce. The reason for the growth of current mobile commerce is the dropping
cost of smart cell phones and introduction of 4G internet services at low cost.
Innovation in Logistics :
The e-commerce industry is constantly working In providing
better services to its customers. Among them it has been Recently identified that Amazon
patented its new delivery model called the Prime Air which will be very soon launched. This
model will use Embedded drones or helicopters for the instant delivery of the products; GPS
system will be use to identify the location of the customers and will Safely drop the product
right to the door step of customers.
The growth of internet users has also lead to substantial growth of other digital industries such as e-
commerce and digital advertising. Digital commerce market stood at ₹ 8,146 crores in December
2007 and it grew to ₹ 47,349 crores by the end of 2012. At the end of December 2013, digital
commerce in India grew to ₹ 62,967 crores.
Digital advertising has also being witnessing a steady growth. The study projects The online
advertising market in India to touch ₹ 2,938 crores by March 2014. The following table shows the
growth of e-commerce revenue in India:
India which accounts for the third largest online user base globally after China and The U. S.
has the lowest internet penetration growth in Asia Pacific (APAC) at 17.4% so far at the beginning of
2015 research firm e-marketer said in a report. From the above figure it can be observed that
ecommerce revenue show substantial growth for fashion, electronic & media and also for food &
personal care products.
State march ahead in country in industrial segment i.e. chemicals, Pharmaceuticals, textiles,
drugs, engineering, petrochemicals, dairy, ceramics, Pharmaceuticals and gems and jewelry.
State’s contribution in country’s Export has been 21% and 6.42% in national GDP. State’s
performance is Encouraging when compared with other Indian States or other Asian
Economies. When industrial growth rate of Gujarat is considered and compared It is way
ahead than many Indian states and other Asian economies like Korea, Singapore or Malaysia.
According to Directorate of Economics and Statistics of respective state Governments and for
all India CSO which was published on 14 Aug-2012 Highlighted Gujarat was Rs. 75,115
showing NNP of Gujarat by 140.84% more Than that of India.
According to one survey conducted by eBay India in 2010 due to improved internet services
Gujarat is among top five states of India with respect to online shopping market. The eBay
India survey has put Gujarat in fourth rank after Maharashtra, Delhi and Tamil-Nadu. In
previous survey Gujarat ranked seventh in India. So far as online shopping is concerned city
wise Ahmedabad ranks 7th in top 10 ecommerce hubs. Navin Mistry head of the retail
exports and life style category eBay India has said that mobile application and its growing
usage have paved way for smaller region to shop online and now ecommerce market is
growing in smaller region of Gujarat. According to data revealed among 45 million buyer of
eBay India Surat cover 4% of buyers followed by Ahmedabad covering 3.5% buyers,
Vadodara with 1.5% buyers, Bhavnagar with 0.5% buyers and Khambhat covering 0.2%
buyers. Ecommerce market for electronic products, branded clothing and accessories have
observed higher growth especially in tier 2 and tier 3 cities of Gujarat in recent past. The
survey also adds that rural areas of Gujarat like Chorayasi (Surat), Okahmandal (Devbhumi
Dwaraka), Songadh (Tapi), Lakhpat and Nakhatrana (Kutch) vigorously shops through
ecommerce market. This is because customer from rural areas also prefer to wear branded
apparels and accessories. According to Mistry festive offer of 2014 a buying trend for
television, watches and home décor and home appliances was observed among shoppers in
Ahmedabad. Other products in demand were fitness equipment’s, sports shoes and electronic
gadgets.
Flipkart ecommerce platform in the year 2014 has put Gujarat in 8th position and revealed
that ecommerce transactions are increasing with higher penetration for mobile application
transaction. It was observed that Ahmedabad alone covers 25% of total transaction through
mobile application and the segment has observed growth of 150 per cent. Saran Chatterjee,
VP-Product Management at Flipkart India Pvt Ltd has argued that poor internet services can
be held responsible for Gujarat to rank 8th in the country so far as ecommerce transaction are
concerned. Comparing Gujarat with India so far as mobile commerce is concerned it is
among top ten states of the country and Ahmedabad is on 15th position among different cities
of the country.
The most popular product categories identified for the mobile shoppers in Ahmedabad
includes mobiles, footwear, tablets and tablet accessories. Besides Ahmedabad, other cities of
Gujarat that contributes to mobile commerce are Vadodara, Surat, Rajkot and Jamnagar,
among others.
In the year 2017 with a view to develop B2B ecommerce in Gujarat top Officials from
industry department and Gujarat government has allowed UK Based cloudbuy.com to
develop B2B market place specially to give digital Push to SMEs and large organizations of
Gujarat. As specified by Dhananjay Dwivedi secretary, department of science and technology
that company has Done Mou with state government. It was further clarified by Nilesh Gopali
Cloud buy Country Head-India that any company supporting ecommerce Business can also
come to Gujarat with B2B trading opportunities. This will Result in the revenue growth and
also cover the remote areas of Gujarat leading To overall development of state.
CHAPTER 2
REVIEW OF LITRATURE
Yunriao Diao (2015) of Liaoning Province Shiyan High School International Department in
his research paper on ‘Online Shopping Behavior Among Chinese University Students’
investigates the online shopping behavior, as well as motivations and barriers for online
shopping and its effects on shopping habits of consumers. The study was conducted in more
than 15 provinces of China which included 388 university students and 474 other people. The
prime focus of the study included suggestions to businesses about where to do online
shopping and the product they should sell. It is revealed that university students like to use
Taobao/Tmall and Jumei as the web site of online shopping, likes to buy clothes and food and
use AUPay most. According to the study convenience is the biggest advantage and not being
able to see the product is the biggest disadvantage. The findings of the study show the
preference of university students are slightly different from those of the entire population.
Students care more about price and additional freight charge while older people preference
most for quality product, service and security.
Jain, S. Verma and U. Mehta (2015) conducted research on ‘Factors Influencing Student's
Decision Making towards Online Shopping.’ According to the study conducted on UG and
PG Students of Indore City eight factors were identified that affect online purchase, which
include Psychological, Social Identity, Perceived Risk, Previous Experience and Knowledge,
Convenience, Reference Group, Perceived Interactivity and Perceived Behavior Control. The
main implication of this study shows that online retailer needs to know the psychology of the
students i.e. their perceptions towards online stores, their attitude with respect to the
information availability, payment option and ease of comparison. The study suggested online
retailer to provide platform through which student can showcase their product purchase
decision with their peer group. In order to influence the purchase decision of students online
retail outlet should try to increase the interactivity with students by making the web site more
creative in which family and friends of students can share their online shopping experience,
the web site should also contain sufficient product knowledge. Further to promote online
purchase among students the online retail outlet should try to reduce perceived risk. The
demographic factors like age, gender and family income has been ignored in this study.
P. Balaji (2015) in his research paper ‘Online Shopping Behavior of College Students’
conducted study to identify internet usage behavior of youth and factors that influenced them
to shop online. 120 students from different colleges of Coimbatore, Tamil Nadu, were
surveyed the result showed 80 per cent of them used smart phones and used internet daily.
Young females spent more money on online shopping as compared to young males. Main
factors that influenced students for online shopping were informed choice, loyalty,
competitive pricing, accessibility, convenience, security issues, knowledge and window
shopping.
Lidia Durom (2016) in her study on ‘Online Shopping Behavior Among College Students in
Ernakulum District’ focuses in the area of internet usage pattern of the respondents, type of
product they purchase, factors stimulating online sales, loop holes in online shopping and
suggestions for the improvement of online shopping. The survey was conducted among 100
students from five colleges of Ernakulum district. The study provides a useful insight for
evaluating the student’s attitudes towards online shopping which can assist the marketers and
managers to plan appropriate strategies in order to make profit.
J. Tamizkumaran, S. Ranjanmayee, P. Manesh Kumar & P. Ramajayam (2016)
conducted survey among 120 students of Madras veterinary college on the topic ‘A Study on
Usage of E-Commerce Through Cell Phones by College Students’ to identify college students
interest in e-commerce usage through mobile application the study revealed that the
respondents used mobile Apps. for recharging cell phones, booking tickets, paying the bills,
online shopping, money transfer and hotel booking, few of the respondents who did not used
e-commerce Apps. used them for comparing rates before buying the product from the market.
Vilasini Jadhav & Dr. Monica Khanna (2016) in their research paper ‘College Students
Online Buying Behavior a Focus Group Study’ examined the online retail buying behavior of
the college students from qualitative perspectives using the focus group study. 41 college
students from Mumbai College participated in focus group. It was found that the college
students preferred to shop from the online retail stores due to time consciousness and
convenience further they felt a sense of satisfaction and enjoyment when they did their
purchase from online retail stores by checking low price, variety, promotions and
comparisons on different internet stores.
Choudhury Azmal Haque (2016) in his thesis entitled ‘The Impact of Celebrity
Endorsement on the Buying Behavior of Students Towards Personal Care Products’
attempted to analyze the impact of celebrity endorsement on the buying habits of college
students specially personal care products were targeted. The study concluded that irrespective
of gender and geographical differences celebrity endorsement has power to convince student
consumers and positively influence their buying behavior. The researcher suggested to select
famous celebrity that can create strong appeal for the product.
Dr. Pawan Kumar (2017) in his research paper ‘Online Shopping Behavior among Students
with Special Reference to Ludhiana, Punjab, India’ is of the opinion that educational
qualification of the respondents and factor influencing online shopping are independent.
According to the study youth is in majority among the online shoppers because of easy access
to more products and 27*7 shopping facility. The study consisted of 400 respondents from
Punjab’s Ludhiana, Patiala, Chandigarh and Amritsar. The result of the study shows that
factors like quality of products delivery time, products checking on the spot, return policy etc.
are considered by shopper before shopping online. Therefore online retail outlet must look
after these factors to retain existing customers. Findings of the study is that online shopping is
grown in positive manner among students of Ludhiana and decision of demonetization will
help the online web sites to attract more and more customers.
T. Jakariya & R. Sanghvi (2018) in their research on ‘A Study of Factors Affecting Online
Buying Behaviour of Students’ of MPUAT, Udaipur attempted to understand online buying
motive of students. 100 post graduate students from four colleges of MPUAT were selected
and 23 different aspects related to online shopping were asked to them, out of 23 attributes
few aspects like update of information, sales promotion technique, age of agency in business
showed bad experience of students while other aspects showed positive experience of
students. The result of the study may help to improve the general knowledge and awareness
about e-commerce and may become an orientation for some future studies.
CHAPTER 3
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
3.1 Introduction:
The methodology of any research is very crucial as it provides proper direction for the
successful completion of the research. Research design is the strategy set by the researcher to
inculcate the different components in his/her study so that the research problem can be effectively
addressed and the required results can be obtained. This is a blueprint for the collection and analysis
of data. (Trochim, 2006). “The research design refers to the overall strategy that you choose to
integrate the different components of the study coherently and logically, thereby, ensuring you will
effectively address the research problem”
The moving step of the world from traditional aspects to the digital world has made possible
everything at finger tips. Demand for convenience in every walk of life has promoted the acceptance
of the new digital arena. The main drawback in the acceptance of these digital services is lack of
technological knowhow and trust, but the other benefits provided by internet services has helped to
overcome its loopholes and promoted its growth to higher rate. Asia especially India is being looked
up as a vast market for e-commerce in coming years. Also the positive look up from government like
100 per cent FDI, e-gram vishwa gram project, etc. has created positive environment for the growth
of digital economy. In this context it becomes utmost important to get an idea about prospective
market which can be very well undertaken through market survey. Considering the digital economy
and its growth it can be concluded that e- commerce market will comprise a major part of the market
in future. Again if we consider the research work undertaken with regards to e commerce it is noticed
that the major users of e-commerce market comes from the younger age group between 18 to 34
years due to their technological literacy. Therefore targeting the youngster an attempt to identify the
usage pattern of students the current study is being conducted in Gujarat region, so as to identify that
similar growth is being observed in the current research area of Gujarat.
3.3 Limitations of the Study :
Since, the sample size is limited; the findings can be taken only as analytic Results and the
findings have to be compared and confirmed with a research With much bigger sample size
to obtain better accuracy.
Research results can be used for decision making for a particular time frame only as the
results may go wrong because of the growing number of Internet users and online shoppers in
Gujarat Region.
Some of the respondents may not know much about internet, E-shopping and thereby there is
chance that the questionnaire may be rejected.
To find out relationship between demographic factors and level of internet usage, shopping
habits, frequency of online shopping and average amount spend for online shopping by
students of Gujarat.
To study differences between online shopping habits and device used to access internet
To study differences between online shopping habits and period of Using internet.
To identify factors that influences significantly towards barriers for Online shopping.
To identify the motivating and resisting factors for e-shopping with Respect to students’
perception for online shopping.
( My Questionnaire : https://forms.gle/x1xc35dcZU2jarJBA )
3.6 Method of Data Collection :
1) PRIMARY DATA :
Primary data are those , which are collected for the first time , and they are original in
character . A suitable combination of Questionnaire techniques , & discussion with the
respondents was used to collect the required primary data . Primary data gives higher
accuracy and facts , which is very helpful for any research and its findings . The primary
data has been collected through structured questionnaire .
2) SECONDARY DATA:
The secondary data are those, which are already collected by someone for some purpose
and are available for the present study. Secondary data was collected from the magazines,
websites, newspapers, and other such sources.
3.7.Sampling Plan :
2.Age :
From the Chart above it is clear that 40 (40%) respondents are UG students, 36 (36%) students are
from PG level and 24 (24%) students are any other.
4. Do you shop online?
The data in Above Chart reveals that out of the total 100 students 83 (83%) of the students do online
shopping. Most of the students are doing online shopping because of their technological knowhow
and also because of the other economic benefits provided by e-retailers.
5. Indicate your frequency of online purchase in last Six months?
The above Chart shows that 24 (24%) of the students have done online purchased 1-2 times in last
six months, 31 (31%) have done online purchased 3-5 times in previous six months similarly 29
(29%) and 16 (16%) of them have done online purchase 6 – 10 times and more than 11 times
respectively in last six months. In short most of them have done online shopping 3 – 5 time in
previous six months. Observing the opinion of respondents in current research it is found that
frequency of online purchase in last six months is less may be because of enjoyment/refreshment.
6. While shopping online which device you utilize to access internet?
Generally internet can be accessed through either Mobile App or through laptop, if we consider the
opinion of respondents in the above Chart it shows that 39 (39%) of students have preferred Mobile
App, 26 (26%) of them used Laptop for e-shopping while 35 (35%) students have used both means
to access internet while shopping online. It can be concluded that Mobile App is the most popular
mean to access internet while shopping online this is because of its easy accessibility.
7. Which sites have you used for online shopping?
From the above Chart it can be concluded that Flipkart is the most preferred site for e-shopping
among students followed by Amazon, Meesho and JioMart in descending preferences observed to be
the most preferred and popular sites from where respondents prefer to purchase frequently.
8. While shopping online which mode of payment was preferred by
you?
Online shopping is different from traditional shopping where buyer and seller do not meet. Therefore
it is important to identify the mode of payment preferred by students. Among prime five different
mode of payment offered by e-shoppers 33 (33%) have preferred cash on delivery for payment, 21
(21%) of them have preferred Debit Card, 23 (23%) have opted for credit card, 20 (20%) used
internet banking for payment of amount and 3 (3%) paid through wallet pay. This shows that cash on
delivery and Credit card payment was mostly preferred by the respondents.
9. How much do you spend on an average when you buy online?
In the above Chart considering the average amount spend for online purchase it shows that 28 (28%)
of the students spends less than Rs. 1,000 for e-shopping, 27 (27%) of them spends amount between
Rs. 1,000 to Rs. 2,000 for e-purchase, 16 (16%) have spend between Rs. 2,000 to Rs. 3,000 for
online shopping, 15 (16%) students spends Rs. 3,000 to Rs. 4,000 for e-shopping, 9 (9%) spends
amount between Rs. 4,000 to Rs. 5,000 for e-shopping and 5 (5%) spends more than Rs. 5,000 for
online purchase.
10.10. How do you react on your post purchase experience about the
product
Options No. Of Students
Share with family, friends or relatives 46
Write a positive review about the product if satisfied 38
Write a negative review about the product if dissatisfied 30
Positive experience inspires to purchase again 41
In case of dissatisfaction will contact customer care 25
Total 100
Purchasing experience and its reaction is very important criteria to decide marketing policy for any
firm. As online shopping is a platform where customers reaction is open to all in certain situation
therefore this information was gathered with a view to know respondents reaction on post purchase
experience, which includes 46 (46%) of respondents share their experience with
family/friends/relatives, 38 (38.0%) respondents in case of satisfaction prefers to write positive
review on particular site, 30 (30%) of respondents prefer to write negative review in case of
dissatisfaction, 41 (41%) were of the opinion that their positive experience inspires them to purchase
again and 25 (25%) said that they will contact customer-care if they are dissatisfied with their
purchase.
Many cases have come forward exposing ecommerce fraud therefore precaution is of utmost
important for avoiding internet fraud, if we consider this relating to current research it shows that 36
(36%) of the respondents prefers to purchase from well known sites, 19 (19%) of them prefer to
spend lower amount for e-shopping, 14 (14%) respondents keep away from sharing personal
information, 14 (14%) of them consider the opinion of friends/relatives before making e-shopping
decision, 9 (9%) as a precautionary measures do not prefer to use debit card/credit card, 4 (4%) of
them considers their past experience for online shopping and 4 (4%) do not prefer any precautions
for online shopping.
12. What are the steps taken by you to avoid online purchasing fraud?
The data in Above Chart 27 (27%) of the respondents considers the recommendations from
friends/relatives/third party before making purchase decision, 20 (20%) of the respondents check
secure web site logo, 28 (28%) of them prefers to study terms and conditions given on company’s
web site and 25 (25%) of them check the product guarantee provided by the company.
13. What are your expectations from retail online outlets?(Multiple
Choice Question)
expectations from e-retailer which shows that 38 (38%) of the respondents expected guaranteed
secured payment, 39 (39%) of them wanted to have free shipping facility, 17 (17%) expected to have
branded products, 22 (22%) respondents preferred to have speedy shipping services, 44 (44%)
preferred to have discounts on all products, 40 (40%) have preferred to have only COD mode of
payment, 23 (23%) have given priority to have authentic and specific web site content and lastly 19
(19%) expected to have product demonstration wherever required
14. Do you have any source of Income?
The data in Above Chart reveals that out of the total 100 students 58 (58%) of the students have
source of income.
15. If yes from where do you get this income?
The above Chart 29% students earn through part time job while 20% of the students do part time
business and the rest 51% of the students get pocket money.
16. Also specify your monthly income
If we consider their amount of income 40% of the students earns up to Rs. 5,000 while 22% earns
between Rs. 5,000 to Rs. 10,000, 11% earns between 10,000 to 15,000, 11% earns between 15,000 to
20,000 and 16% of them earns above 20,000.
CHEPTER 5
SUGGESTIONS AND
CONCLUSIONS
SUGGESTIONS AND CONCLUSIONS
SUGGESTIONS :
The study based on behavioural aspects of college going youth for online Shopping has attempted to
analyze considering different dimension based on Internet usage, online shopping habits, preferences
and priorities given, Satisfaction level, perception, motivation, resistance and intention to buy
Online. The study is equally important considering its implications for Organizations and also
essential for firm to take potential decision.
Online shopping companies need to understand consumer behavior; they need To identify
perception, intention, motivation and restriction trapped in the Mind of consumers. Hence to
understand the priorities it is necessary that Consumers are exposed to certain extension that can help
to know consumer Psychology. In order to modify current knowledge structure that is in one’s
Memory cognitive learning is required.
Online shopping companies’ needs to understand thorough consumer especially in this age of cut
throat competition where the number of online retail outlets are growing. Companies involved in
online business need to consider all the factors that influences consumer behavior. Findings from the
current study have identified several factors that online companies need to consider in order to
become successful in the age of competition.
CONCLUSION :
E-commerce market is observing unprecedented growth in India considering both sales and gross
merchandise value. The decision of demonetization on 8 th November, 2016 by government of India
has also promoted the way to digital India. Many promotional policies have been framed by
government of India to develop cashless economy, but majority part of India is covered by rural
economy because of which digital transactions are growing but at a lower rate. Current economic
condition is facing severe drawback because of deadly disease of COVIND-19 and this has given
birth to new concept of business i.e. work from home. Many examples have been set before that
identifies ecommerce market has got strong promotion in current scenario. It is being observed that
small shopkeepers are now turning to ecommerce business by accepting orders via WhatsApp and
email message and delivering goods at customer doorsteps. This shows that online shopping business
will grow at a considerable rate in India in near future.
Current research has identified that majority of the respondents do purchase online but online
purchasing frequency observed little lower rate, may be because of students’ dependency on their
guardian. But this rate of online purchase may increased in near future with positive experience from
online shopping. Research identified that gender and age factor had observed significant differences
for different parameters like internet usage pattern, shopping habits, frequency of purchase and
average amount spend for online shopping. Education field did not identified significant differences
for shopping behavior. Average difference is significantly observed between device used to access
internet and shopping habits, while period of using internet and shopping activity also observed
significant differences. Satisfaction level is very important variable because most of online shoppers
shared their online shopping experience with family, friends and relatives. Positive word of mouth is
effective promotional strategy for online shopping firm. The overall experience of respondents
revealed satisfactory review for their experience with online shopping which may result in the
growth of online shopping business in future.
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ANNEXURE
( QUESTIONNAIRE )