What does E-commerce involve?

E-commerce specifically refers to the buying and selling of goods and services through the internet. This includes a wide range of online business activities, such as retail sales, digital downloads, services that can be provided remotely, and the facilitation of transactions over various digital platforms. The main feature of e-commerce is its reliance on online transactions as opposed to traditional methods of commerce that may occur in physical locations or through non-digital communication channels.

In contrast, some of the other options focus on more traditional forms of commerce, such as solely selling products in a physical store, which does not encompass the broad scope of e-commerce. Conducting business transactions over the phone also falls outside the definition of e-commerce, as it does not involve the internet for exchanges. Similarly, offering services through direct mail is a physical method of communication that does not incorporate online transactions. Therefore, the correct understanding of e-commerce is accurately captured by the option mentioning transactions over the internet.