What Is E-commerce?

By Jeremy Bowman – Updated Oct 10, 2025 at 2:53 AM

Key Points

E-commerce is the online buying/selling of goods; Amazon leads with fast delivery and vast selection.
Individuals can profit in e-commerce by selling unique products or through retail arbitrage.
Investing in e-commerce stocks like Amazon or Shopify offers potential gains, despite recent struggles.

In a little more than a generation, e-commerce has become one of the biggest industries in the world, showing the power of the internet and the appeal of convenience, fast delivery, and the ability to shop from the comfort of your home. While you have likely shopped online, you might not know the whole story behind e-commerce or how you can take advantage of online retail platforms to make money for yourself. Keep reading to learn more.

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a graphic defining the term ecommerce — Image source: The Motley Fool

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About the Author

Jeremy Bowman has been a contributing Motley Fool stock market analyst, covering technology, consumer goods, and macroeconomic trends since 2011. Before The Motley Fool, Jeremy was a newspaper reporter, restaurant manager, and English teacher abroad. He holds a bachelor’s degree in English from Colorado College and a master’s degree in business administration from American University. One of his Motley Fool headlines was briefly featured on Late Night with Stephen Colbert.

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Jeremy Bowman has positions in Amazon. The Motley Fool has positions in and recommends Amazon, Etsy, Walmart, and eBay. The Motley Fool has a disclosure policy.