RFID (Radio frequency identification) is a wireless technology making use of the waves in communication. RFID market is flourishing at a high pace. The utilization of RFID in the retail sector, government projects, and medical sector is already in full swing. With the assistance of RFID, objects can be easily tracked because of their connectivity with internet or databases. The basic components of RFID are RFID tags, RFID readers, and the central database stored in any computer system depending on the data it is supposed to handle. RFID finds its applications in different sectors like retail, traffic, and aid blind people in their movement. RFID technology has the potential to increase the profit of companies by improving the efficiency, accuracy, and security of the supply chain. It is because of this potential of RFID that numbers of companies are actively involved in testing and adopting this technology. It is for sure that in the coming future the market for RFID products and services is set for a huge leap. But as with every technology, there is another side of the coin pointing to certain hurdles that are faced in effective implementation of RFID technology. It has been few years since RFID systems came into existence but the technology for supply chain management is still emerging. The two bulging problems related to RFID are of tag collision and reader collision. The research paper focuses on an in-depth look at cost, technology, standards, privacy, security, and business process re-engineering related issues surrounding RFID technology.