pienIntroductionElectronic commerce, or the e-commerce industry, is one of the most conductive sectors of the economy. E-commerce is an interesting combination of business models and new information technologies as it involves buying and selling goods and services over the Internet. The three main categories of e-commerce are: business-to-consumer (B2C) e-commerce, business-to-business (B2B) e-commerce, and consumer-to-consumer (C2C) e-commerce. In this research paper, I will perform a SWOT analysis for the e-commerce industry and provide an opinion on the future prospects. Analysis of three companies and their performance will also be included. Industry The e-commerce sector is one of the most profitable segments of the U.S. economy and the global economy. The e-commerce industry report highlights that all companies included in the statement have seen notable revenue growth. As the global economy continues to improve, many consumers in North America and Europe continue to invest heavily in the IT market and technology. Data protection and security are important factors for investors and consumers. Additionally, e-commerce is an example of an industry growing through acquisitions that provide greater opportunities to penetrate new geographic platforms. Solera Holdings, Inc. and Open Text Corporation have been recognized in the market for their performance and high business development. According to the US Census Bureau, “total e-commerce sales for 2013 were estimated at $263.3 billion, an increase of 16.9% (±4.9%) over 2012. Sales Retail totals in 2013 increased 4.2 (±1.6%) compared to 2012. Commercial sales in 2013 represented 5.8% of total sales. In other words, total sale… middle of paper… more efficient supply chain management. Solera Holdings, Inc. also highlighted that it has acquired 100 percent of Autosoft Srl, an Italian division that offers “workflow, damage assessment and claims management for insurance companies” and auto repair companies in Italy. . “With over 37 million vehicles, Italy has the second largest car fleet in the European Union. Strengthening our presence and platform coverage in the Italian market is a key objective of our strategy for the region,” said Tony Aquila, founder, president and CEO of Solera. Aquila points out that Solera Holdings, Inc., has been operating in the Italian market for three years and believes that this is the perfect time to increase investments. He certifies that this acquisition was a successful decision to improve investments in the country.