Contents Introductions Electronic Business Electronic Commerce Electronic Commerce Models Business – to – Business (B2B) model Business – to – Consumer (B2C) model Consumer – to- Consumer (C2C) model Consumer – to – Business (C2B) model
Electronic Business Electronic business, commonly referred to as "eBusiness" or "e-business", or an internet business, may be defined as the application of information and communication technologies in support of all the activities of business. The term "e-business" was coined by IBMs marketing and Internet teams in 1996 Electronic business methods enable companies to link their internal and external data processing systems more efficiently and flexibly, to work more closely with suppliers and partners, and to better satisfy the needs and expectations of their customers.
Electronic CommerceBackground: The major buzzword in business today is E-commerce. Till recently the internet was primarily used as a means of accessing and broadcast information, as business became more complex and global, a need was felt for a bigger faster and convenient access to consumers spread across the world. That is how and when, the tech-gurus leveraging the power and reach of the Internet brought forth the concept of E-commerce. It is the use of electronic information technologies to conduct business transaction among buyers, sellers and other trading partners.
Electronic Commerce Electronic commerce, commonly known as e- commerce. E-commerce combines business and electronic infrastructures, allowing traditional business transaction to be conducted electronically. It enables the online buying and selling of goods and services via the communication capabilities of private and public computer networks including the internet.
E-Business & E-CommerceIn practice, e-business is more than just e-commerce.While e-business refers to more strategic focus with anemphasis on the functions that occur using electroniccapabilities, e-commerce is a subset of an overall e-business strategy.
E-Commerce ModelsCreating an e-commerce solution mainly involves creatingand deploying an e-commerce site.The first step in the development of an e-commercesite is to identify the e-commerce model.Depending on the parties involved in the transaction, e-commerce can be classified into 4 models.These are:• Business – to – Business (B2B) model• Business – to – Consumer (B2C) model• Consumer – to- Consumer (C2C) model• Consumer – to – Business (C2B) model
Business-to-Business (B2B) ModelThis model describes commerce transactions betweenbusinesses, such as between a manufacturer and awholesaler, or between a wholesaler and a retailer.Example: Dell deals computers and other associatedaccessories online but it does not manufacture all thoseproducts. So, in govern to deal those products, first step is topurchases them from unlike businesses i.e. the producers ofthose products
Business-to-Consumer (B2C) ModelThe B2C model involves transactions between businessorganizations and consumers. It applies to any businessorganization that sells its products or services toconsumers over the Internet. These sites display productinformation in an online catalog and store it in a database.The B2C model also includes services online banking, travelservices, and health information.Example: www.flipkart.com, www.myntra.com, etc….
Consumer-to-Consumer (C2C) ModelThe C2C model involves transaction between consumers.Here, a consumer sells directly to another consumer.eBay.com, olx.com, etc… are common examples of onlineauction web sites that provide a consumer to advertiseand sell their products online to another consumer.While the seller needs to pay a fixed fee to the onlineauction house to sell their products, the buyer can bidwithout paying any fee. The site brings the buyer and sellertogether to conduct deals.
Consumer-to-Business (C2B) ModelThe C2B model involves a transaction that is conductedbetween a consumer and a business organization. It issimilar to the B2C model, however, the difference is thatin this case the consumer is the seller and the businessorganization is the buyer. In this kind of a transaction, theconsumers decide the price of a particular product ratherthan the supplier. This category includes individuals whosell products and services to organizationsExample: www.monster.com, www.nakuri.com, etc….
Other modelsIn addition to the models discussed so far, five newmodels are being worked on that involves transactionsbetween the government and other entities, such asconsumer, business organizations, and othergovernments. All these transactions that involvegovernment as one entity are called e-governance. Thevarious models in the e-governance scenario are:
Government-to-Government (G2G) model: This modelinvolves transactions between 2 governments.Example: if the Indian government wants to by oil from theArabian government, the transaction involved arecategorized in the G2G model.Government-to-Consumer (G2C) model: In this model,the government transacts with an individual consumer.Example: a government can enforce laws pertaining to taxpayments on individual consumers over the Internet byusing the G2C model.
Consumer-to-Government (C2G) model: In this model,an individual consumer interacts with the government.Example: a consumer can pay his income tax or house taxonline. The transactions involved in this case are C2Gtransactions.Government-to-Business (G2B) model: This modelinvolves transactions between a government and businessorganizations.Example: the government plans to build a fly over. For this,the government requests for tenders from variouscontractors. Government can do this over the Internet byusing the G2B model.
Business-to-Government (B2G) model: In this model, thebusiness houses transact with the government over theInternet.Example: similar to an individual consumer, business housescan also pay their taxes on the Internet.