E-business offers several benefits to business firms and consumers. They are:

1. E-business contributes to better customer satisfaction.

2. E-business helps business firms to enter new and remote markets. 

3. E-business allows firms to select the best Suppliers regardless of their geographical location and to sell to global market. 

4. E-business has the advantage of speed. In e-business, information can be exchanged at the click of a mouse. 

5. E-business’makes possible working round the clock and around the world.

E-business is not free from drawbacks. It suffers from the following limitations:

1. Online business also suffers from the risk of hacking and virus. 

2. E-business suffers from human resistance Generally, people oppose new technology and new mode of doing business due to the fear of insecurity and stress.

3. The warmth of inter-personal interaction is lacking in e-business. That is, e-business suffers from limited personal touch. So, e-buSiness is less suitable for products, such as garments, toiletries, etc. 

4. E-business also suffers from ethical problems. Many firms use an electronic eye to keep track of the e-mail account, computer files and’websites used by their employees. This implies and attack on the privacy of the staff. 

5. In e-business, information can flow at the click of mouse. But the physical delivery of the product takes time. Further, the user may become frustrated when it take along time to open the website due to technical faults.