Traditional businesses have been evolving through the human history depending on the prevailing market system (from barter to the paper currency). With the advent of the Internet the common words in the business world seem to be computers and networks. It has revolutionized the business world over by opening a new horizon at a global scale with promising opportunities. Hence the whole world is caught up in a new mode of business called E-commerce and E-commerce is the reality of business in the new millennium. Ecommerce began with the telegraph and radio. It has continued with telex, fax, and e-mail, electronic data interchange and with similar means for over 50 years. The idea of e-commerce that comes to our mind today is this same concept but the concept's content has gone beyond that could be imagined even 10 years ago due to the novelties and the capabilities internet provided. The Internet is often compared with the telephone and the railroad because of its broad impact on society as a whole. The Internet began as the ARPANET during the cold war in 1969. It was developed by the U. S department of Defense's (DOD) in conjunction with a number of military contractors and universities to explore the possibility of a communication network that could survive a nuclear attack. The introduction of the Internet has changed the way people work and live in most industrial countries.