E-commerce

What is e-commerce?
 e-commerce is the online transaction of business,

featuring linked computer systems of the vendor, host, and buyer. Electronic transactions involve the transfer of ownership or rights to use a good or service. Most people are familiar with business-toconsumer electronic business (B2C). Common illustrations include Amazon.com, llbean.com, CompUSA.com, travelocity.com, and hotels.com.  e-commerce comprises core business process of buying,selling goods ,services and information over the internet.  doing business online is the e-commerce

Advantages of e-commerce
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12.

Global reach Being able to conduct business 24 x 7 x 365 Access the global marketplace Speed. Opportunity to reduce costs Efficient applications development environment Allowing customer self service and 'customer outsourcing More Efficient Business Relationships Workflow automation Easier Business Administration Eliminate Middlemen Catalog flexibility and Online fast updating

Disadvantages of e-commerce
Time for delivery of physical products Personal service Defined services & the unexpected Privacy, security, payment, identity, contract.  Returning goods  Limited and selected sensory information.  Perishable goods  Catalog Inflexibility
   

Models of e-commerce
A business model is the method of doing business by which a company can sustain itself, that is generate REVENUES. ALTHOUGH there are many different ways to categorize e-commerce models ,they can be broadly classified as follows:1. Models based on the relationships of transaction parties 2. Models based on relationships of transaction types 3. Classification by revenue models 4. Classification by distribution channel


E-commerce model based on the relationship of transaction parties

 B2C  B2B  B2G  C2C  C2B

B2C
 B2C  Sells products or services directly to the

consumers  examples  Amazon.com  Pets.com

B2B
 B2B  Sells products or services to other business

or bring multiple buyer and supplier together in a central market place  Examples  SHOP2gether.com  verticalNet.com

B2G
 Business selling to local state and federal

agencies  Example:  iGov.com

C2C
 Consumer sell directly to other consumer  Example:  Ebay.com  Inforocket.com

C2B
 Consumer fix price on their own , which

business accept or decline  Example:  Priceline.com

Model based on the relationship of transaction type

        

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