Definition - What does Business Transaction mean?
A business transaction, in the context of electronic commerce, is any monetary transaction that is made between consumers or businesses via the Internet. Business transactions free up time when conducted online since each party does not need to be physically present in order to make the transaction.
Techopedia explains Business Transaction
Just one of the many advantages of online business transactions is that intermediary services are often not necessary. Electronic checking accounts have replaced the tedious process of writing a check or waiting for a check to clear. Business-to-business transactions are conducted in a speedy fashion making businesses more efficient in their day-to-day distributions and operations. Customer-to-business transactions operate more efficiently as well since business transactions conducted online result in immediate cash payments and receipts.
Businesses go to great lengths to encrypt financial data in order to keep it away from cybercriminals who may try to steal personal identifiers through illegally accessing online business transaction protected information. Despite this, the advantages of conducting online business transactions steadily outweigh the risks.