The rise of e-commerce has transformed the retail landscape, offering convenience and accessibility to consumers worldwide. However, alongside the benefits come challenges, with customer returns being a significant concern for e-commerce businesses. This research paper investigates the role of financial management strategies in reducing customer returns within e-commerce ecosystems. By examining various tactics such as pricing optimization, inventory management, and customer service investments, this study aims to provide insights into effective approaches for minimizing returns while maintaining financial sustainability. Through a comprehensive review of existing literature and empirical analysis, this paper offers practical recommendations for e-commerce businesses to enhance their financial management practices and mitigate the impact of customer returns on profitability.
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Perla et al. (2024) studied this question.
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