The document discusses electronic commerce (e-commerce) and related digital business concepts. It defines key terms like e-commerce, e-business, online communities, and the digital enterprise. It also describes e-commerce frameworks and models, including differences between business-to-business, business-to-consumer, and other models. Benefits of e-commerce for businesses include access to global markets while reducing costs and transaction times. Web 2.0 technologies have further enabled user-generated content and social aspects of online commerce.

1. Pune University
DIGITAL BUSINESS
PIBM 2020-21
Module 1: Electronic Commerce: The Digital Revolution and Society,
The Digital and Social Worlds - The Digital Economy, The Digital
Enterprise, Virtual Communities, Online Communities, Defining
Electronic Commerce, Emerging E-Commerce Platforms. E-Business,
Electronic Markets and Networks; The Content and Framework of E-
Commerce, Classification of E-Commerce by the Nature of the
Transactions and the Relationships Among Participants,
E-Commerce Business Models, Integrating the Marketplace with the
Marketspace, Web 2.0. Drivers, Benefits and Limitations of E-
Commerce,
Impact of E-Commerce on business, government, customers, citizens

2. The Digital Revolution and Society, The Digital and Social Worlds - The Digital
Economy,

3. The "digital revolution" is impacting everything, from economy, innovation,
science and education, to health, sustainability, governance, and lifestyles.
Digital technologies will fundamentally change business models, institutions
and society as a whole, as new ecosystems emerge.
Digital technologies have advanced more rapidly than any innovation in our
history – reaching around 50 per cent of the developing world's population in
only two decades and transforming societies. By enhancing connectivity,
financial inclusion, access to trade and public services, technology can be a
great equalizer.
Experts have found that in addition to making our lives more convenient, but
there's a negative side to technology — it can be addicting and it can hurt our
communication skills. Extended screen time can result in health ramifications like
insomnia, eyestrain, and increased anxiety and depression.

16. Digital economy refers to
an economy that is based
on digital computing technologies,
although we increasingly perceive
this as conducting business through
markets based on the internet and
the World Wide Web. The digital
economy is also referred to as the
Internet Economy, New Economy,
or Web Economy.

23. E-commerce has helped businesses establish a wider market
presence by providing cheaper and more efficient distribution
channels for their products or services.
For example, the mass retailer Big Bazar, Reliance Digital etc has
supplemented its brick-and-mortar presence with an online store
that lets customers purchase everything from clothes to
coffeemakers to toothpaste to action figures.
By contrast, Flipkart launched its business with an e-commerce-
based model of online sales and product delivery. Not to be
outdone, individual sellers have increasingly engaged in e-
commerce transactions via their own personal websites. Finally,
digital marketplaces such as eBay or Etsy serve as exchanges
where multitudes of buyers and sellers come together to conduct

24. The Advantages and Disadvantages of Electronic Commerce
E-commerce offers consumers the following advantages:
•Convenience. E-commerce can occur 24 hours a day, seven days a week.
•Increased selection. Many stores offer a wider array of products online than they
carry in their brick-and-mortar counterparts. And many stores that solely exist online
may offer consumers exclusive inventory that is unavailable elsewhere.
E-commerce carries the following disadvantages:
•Limited customer service. If you are shopping online for a computer, you cannot
simply ask an employee to demonstrate a particular model's features in person. And
although some websites let you chat online with a staff member, this is not a typical
practice.
•Lack of instant gratification. When you buy an item online, you must wait for it to
be shipped to your home or office. However, retailers like Amazon make the waiting
game a little bit less painful by offering same-day delivery as a premium option for
select products.
•Inability to touch products. Online images do not necessarily convey the whole
story about an item, and so e-commerce purchases can be unsatisfying when the
products received do not match consumer expectations. Case in point: an item of

25. Some people use the terms
"e-business" and "e-commerce"
interchangeably, but they aren't
synonymous.
To put it simply, e-commerce refers
to buying and selling online,
while e-business encompasses
all business conducted online.
E-commerce can be viewed as a
subset of e-business.
BASIS FOR
COMPARISON
E-COMMERCE E-BUSINESS
Meaning Trading of
merchandise, over
the internet is
known as E-
commerce.
Running business
using the internet
is known as E-
business.
What is it? Subset Superset
Is it limited to
monetary
transactions?
Yes No
What they carry
out?
Commercial
transactions
Business
transactions
Approach Extroverted Ambiverted
Requires Website Website, CRM, ERP,
etc.
Which network is
used?
Internet Internet, Intranet
and Extranet.
E-Business Vs. E-Commerce

26. Definition of e-commerce
e-commerce is an abbreviation used for electronic commerce. It is the process through
which the buying, selling, dealing, ordering and paying for the goods and services are
done over the internet is known as e-commerce. In this type of online commercial
transaction, the seller can communicate with the buyer without having a face to face
interaction.
Some examples of real world application of e-commerce are online banking, online
shopping, online ticket booking, social networking, etc.
The basic requirement of e-commerce is a website. The marketing, advertising, selling
and conducting transaction are done with the help of internet. Any monetary transaction,
which is done with the help of electronic media is e-commerce. The following are the
types of e-commerce:
•B2B – The process where buying and selling of goods and services between businesses
is known as Business to Business. Example: Oracle, Alibaba, Qualcomm, etc.
•B2C – The process whereby the goods are sold by the business to customer. Example:
Intel, Dell etc.
•C2C – The commercial transaction between customer to customer. Example: OLX,
Quickr etc.
•C2B – The commercial transaction between customer to the business.

27. Definition of e-business
Electronic Business, shortly known as e-business, is the online presence
of business. It can also be defined as the business which is done with
the help of internet or electronic data interchange i.e. is known as E-
business. E-commerce is one of the important components of e-
business, but it is not an essential part.
e-business is not confined to buying and selling of goods only, but it
includes other activities that also form part of business like
providing services to the customers, communicating with employees,
client or business partners can contact the company in case if they want
to have a word with the company, or they have any issue regarding the
services, etc. All the basic business operations are done using electronic
media. There are two types of e-business, which are:
•Pure-Play: The business which is having an electronic existence
only. Example: Hotels.com
•Brick and Click: The business model, in which the business exists both

28. Key Differences Between e-commerce and e-business
The points presented below are substantial so far as the difference between e-
commerce and e-business is concerned:
1.Buying and Selling of goods and services through the internet is known as e-
commerce. Unlike e-business, which is an electronic presence of business, by which
all the business activities are conducted through the internet.
2.e-commerce is a major component of e-business.
3.e-commerce includes transactions which are related to money, but e-business
includes monetary as well as allied activities.
4.e-commerce has an extroverted approach that covers customers, suppliers,
distributors, etc. On the other hand, e-business has an ambivert approach that
covers internal as well as external processes.
5.e-commerce requires a website that can represent the business. Conversely, e-
business requires a website, Customer Relationship Management and Enterprise
Resource Planning for running the business over the internet.
6.e-commerce uses the internet to connect with the rest of the world. In contrast to
e-business, the internet, intranet and extranet are used for connecting with the

29. E-Commerce Framework

32. E-commerce business models can generally be categorized into the
following categories.
•Business - to - Business (B2B) – JDMart, India Mart
•Business - to - Consumer (B2C) – Flipkart, Reliance Digital, Dell, Sony
•Consumer - to - Consumer (C2C) - Olx
•Consumer - to - Business (C2B) – bloggers, photographers – unsplash,
imagesbazaar.com
•Business - to - Government (B2G) – NitiAyog, Startup India
•Government - to - Business (G2B) – mygov.in
•Government - to - Citizen (G2C) – Arogya Setu, IncomeTaxOnline

33. How looks G2B / G2B model in practice?
The model covers an electronic exchange of any information between businesses and the government, usually using
internet so the cooperation or communication is more efficient than is usually off the internet. In G2B, government
agencies and business use websites, procurement marketplaces, applications, web services.
The relationship may refer the demand for information from the enterprises in any life situation or a transfer of an official
document to the statutory body.
The model is usually used to refer to the ICT solution that converts such communication to the electronic form or to
describe a solution that simplifies the communication between public administration and enterprises (e.g. internet portal
of the procurement authority or electronic solutions for purchasing).
Examples of G2B / B2G services are:
•government procurement
•electronic procurement marketplaces
•electronic auctions
•e-learning
•electronic incorporation forms
•updating corporate information
•sending filled-out electronic forms (eg tax forms, social insurance forms)
•sending electronic payments
•sending / receiving answers electronically
•on-line meetings
•project management cooperation

34. The Digital Enterprise
A Digital Enterprise is a business that has completed a digitalization strategy
(aka, digital transformation) to fully incorporate digital tools and technologies across all aspects of
their operations, from ideation thru realization to utilization.
4 main areas of Digital Transformation:
- technology,
- data,
- process, and
- organizational change.
The journey to becoming a digital maestro and achieving transformation traverses through four
main phases.
•Becoming a top-notch expert with industrialized IT services – by adopting six main principles
•Switching to agile operations to achieve maximum efficiency – so that you enjoy simplicity, rationality and
automation
•Creating an engaging experience for your consumers using analytics, revenue and customer
management - because your customers come first; their needs and convenience should be your topmost
priority
•Availing opportunities for digital services – assessing your security and managing your risks

36. Online community or internet community is a group of people with a shared
interest or purpose who use the internet to communicate with each other. Online communities
have their own set of guidelines and needs, like online community engagement, moderation,
and management.
Branded Online Community Examples:
World Of Moms
How Online Community Platforms Differ from Facebook or LinkedIn Groups
For real, community engagement to happen, users need to feel a high degree of comfort about their
privacy, asking questions, and belonging to the space. Sharing and showcasing their expertise often gets
diffused on social media platforms or open source solutions. We recommend using a proprietary
community platform, for several reasons:
What is the purpose of an online community?
An online community's purpose is to serve as a common ground for people who share the
same interest(s). Online communities may be used as calendars to keep up with events such as
upcoming gatherings or sporting events. They also form around activities and hobbies.

37. More control: If you create your community on social media or open source solution, you’re subject to
any and all of their changes, with no say, effectively building your house on rented land.
More security / Privacy: Community vendors place privacy as top priority – it’s their job. With a
Facebook or LinkedIn Group, you have a limited ability to protect your members’ privacy and your own
information.
More data: On a social media platform, they gain invaluable data that your community will inevitably
generate about your members and customers – you do not. If you create your own online community,
you’ll have access to all that data, helping you understand your users and creating a curated
experience for your users.
More community management tools: With a community platform like Higher Logic’s, engagement
tools are built in, specifically designed to help you create an engaging experience.
Branded Online Communities vs. Social Media Network Communities

38. Branded Online Communities in Practice
Once community members log in for the first time (you can make a branded community easily accessible
from a website), they can participate in a variety of ways, like:
•Ask another member a question about how they did something
•Read top discussion posts from the week
•Suggest an improvement to something you offer
•Sign up to become a speaker at one of your events
But an online community is not just another piece of software that an organization buys — an online
community is about creating a destination for real people. Your community can serve as the virtual town hall
for your organization, or provide recognition, support, and connection when your customers or members need
it the most

39. 8 BENEFITS OF BRANDED ONLINE COMMUNITIES
Benefits from a branded community trickle down to increase satisfaction, revenue, and help grow entire organizations
including growing customer loyalty. With a community, you can:
•Create real connections
•Stand out from the competition with a better customer experience
•Generate leads and acquire new members
•Improve your products and programs by gathering and addressing feedback
•Decrease support costs by crowdsourcing support
•Increase revenue through in-community advertising and more
•Drive referrals by giving your advocates a voice in the community
•Grow your organization
Let’s dive into each one of these benefits and why they’re important for your organization.
1. Create real connections
Communities create a link between customers and real people at the organization. Users with questions can tag
fellow members in a discussion or post a question and expect a response from someone in the community. But most
importantly, they can feel connected to something bigger than themselves.

40. Integrating the Marketplace with the Marketspace, Web 2.0.
Drivers, Benefits and Limitations of E-Commerce, Impact of E-
Commerce on business, government, customers, citizens and
society.
Examples of Web 2.0 features include social networking sites or social media sites (e.g.,
Facebook), blogs, wikis, folksonomies ("tagging" keywords on websites and links), video sharing
sites (e.g., YouTube), image sharing sites (e.g., Flickr), hosted services, Web applications ("apps"),
collaborative consumption platforms, and mashup applications.
Web 2.0 is the term used to describe a variety of web sites and applications that allow anyone to create and
share online information or material they have created. A key element of the technology is that it allows
people to create, share, collaborate & communicate.

42. WEB 2.0 Drivers
Is social media/Web 2.0 for retail just hype or an essential part of doing business in the 21st
century? Web 2.0 includes leveraging social commerce on Web sites, blogging/podcasting and
participating in social networks like YouTube, Facebook, Twitter, and anywhere a retailer or its
customers can create and share content.
Many retailers find themselves wondering what Web 2.0/social media activities they should
be involved in. This article ranks social commerce activities by business impact, with No. 1
having the highest impact and No. 9 the lowest.
No. 1: Customer Reviews
No. 2: Shopping Widgets Amazon offers affiliates an "Omakase" widget which matches Amazon
products to the keywords on the affiliate's Web site, store or blog.
No. 3: Questions and Answers
No. 4: Twitter – for Q&A or announcements
No. 5: User-Generated Cross Sells
User generated cross sells/photos provide suggestions to
consumers on available related products or services and are ideal
for fashion, cosmetics and home decor
No. 6: Facebook Pages
No. 8: Customer Blogging
Blogs can be a great way to connect with customers, talk about new
products, share interviews, videos, podcasts, news, photos and jokes,
although they are less likely to drive sales than other Web 2.0 initiatives.
No. 9: Video Sharing

43. Integrating the Marketplace with the Marketspace
Marketplace – where buyers and sellers meet in a physical place or an online platform
but the transaction will have physical delivery of goods.
Marketspace – everything online – where buyer and sellers meet and do transaction o
digital products and do not require physical transfer of goods.
A Marketspace is an online space that facilitates bi-directional commerce. Here not only sellers can list their
goods, but buyers can list their needs.

44. Benefits and Limitations of E-Commerce
The term electronic commerce or e-commerce as it is popularly known; refers to a comprehensive system of trading
that uses networks of computers for buying and selling of goods, information and services.
Using information and communication technology, e-commerce can take place between companies and their
customers.
Thus, e-commerce includes buying and selling of –
•Goods- e.g. digital products, Books, Consumer Electronics, Fine Art, Health & Personal Care, Home & Garden Tools,
clothes, accessories
•Information- e.g. subscription to some law site may give access to some court cases.
•Services- e.g. matrimonial services, placement services, etc.
•Benefits of E-Commerce Businesses
• 1. Global Market
• 2. Lower Transaction Cost and Higher Margin
• 3. Quick Delivery
• 4. Saving of Time and Effort
• 5. 24×7 Working
• 6. Large Reaching Capacities
• 7. Quick Supplies
• 8. Wider Choice
• 9. Customer Convenience
• 10. Direct Contact between Business and Consumer
• 11. Launching of New Products
•Limitations of E-Commerce Businesses
• 1. High Start-Up Costs
• 2. Lack of Tech Knowledge
• 3. High Risk
• 4. Training and Maintenance
• 5. Fulfillment Problems
• 6. Lack of Personal Touch
• 7. Security
• 8. System and Data Integrity
• 9. Corporate Vulnerability
• 10. People’s Resistance

45. Impact of E-Commerce on business, government, customers, citizens and
society
https://acowebs.com/impact-ecommerce-society/
Go to the following link and read the article atleast once.