How has e-commerce affected supply chains?

E-commerce has profoundly influenced supply chains by creating new distribution channels and increasing the demand for fast delivery. As consumers increasingly turn to online shopping, businesses have had to adapt their supply chain operations to meet the expectations of rapid fulfillment. This shift has led to a diversification of distribution methods, such as direct shipping from manufacturers, the use of fulfillment centers, and an emphasis on last-mile delivery solutions that efficiently get products into the hands of consumers quickly.

The rise of e-commerce has also intensified competition among retailers, making speed a critical factor in the purchasing decision. Consumers now expect quick, often same-day or next-day delivery, which puts pressure on supply chain operations to innovate and enhance their responsiveness. As a result, companies may invest in technology, warehouse automation, and optimized logistics processes to ensure they can meet these rising expectations.

In this context, the answer correctly highlights the significant transformations in distribution channels and the urgency for faster deliveries as key impacts of e-commerce on supply chains. This understanding is crucial for recognizing how digital commerce is reshaping logistics and supply chain management strategies.