This document discusses different online business models including brokerage, advertising, intermediary, merchant, manufacturer, subscription, and community models. It provides details on each model including advantages and disadvantages. EBay is used as an example of a successful company that uses brokerage, advertising, and community business models. The importance of having a clear business model for an online business is emphasized as it provides the framework for a company to maximize profits.

3. CONTENT
 What is Model
 What are the different online business models?
 Explanation of the models with details
Advantages And Disadvantages Of Models:
 What is EBay
How EBay used business models:
The importance of business model for website.

4. What is Model?
 Model is the systematic or structured approaches
which instruct the ways by following, we can easily
perform any respective business activity.
 Business Models: A method of doing business by
which a company can generate revenue to sustain
itself.
E-Commerce business model: Is a business
model that aims to use and leverage the unique
qualities of the Internet and the World Wide Web.

5. 
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Brokerage
Advertising
Infomediary
Merchant
Manufacturer
Subscription
Community

6. 
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Brokerage/ Brokers: Are market-makers, they
bring buyers and sellers together and facilitate
transactions.
Advertising: The advertising business model is
an extension of the traditional media broadcast
model.
Intermediary: To make an easier transactions
between buyers and sellers and receive a
percentage of the value of each transaction.
Merchant: Wholesalers and retailers of goods
and services. seller can be bricks and clicks.

7. 
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Manufacturer Or Direct Sellers: A company
that creates a product or service, to reach
buyers directly and thereby compresses the
distribution channel.
Subscription: Charge viewers a subscription
fee to view content. Typically monthly or
yearly to access a service or product.
Community : It depend on user loyalty, Users
have a high investment in both time and
emotion.

8. Advantage of Brokerage, :
 Time saving. Selling a business or even buying.
 Confidentiality. If business owners want to keep their
plans in private.
Disadvantage:
 Expensive. Keep in mind that brokers also charge
commissions.
 No assurance that business brokers will be your
comrade.

9. Advantage of Advertising
 Low-Cost: advertisement can be displayed as very
comprehensive compared to other media.
The presentation to the market Internet
advertisements would be best because they are
already hooked into the net, surfing websites
Disadvantage:
 Scope: It is a "limited" market that can be
conquered, if you only use the Internet for
advertising display.
 Additional costs: If you decide to rent the help of a
professional, a freelancer or a company for the
production of your site.

10. Faster transactions: Merchant accounts are not only
convenient but also fast.
 Customer convenience: most customers don’t carry
much cash with them these days.
 Take your business online:
Disadvantage:
 Security: As soon as one starts talking about digital
methods, there are always security issues involved.
 Frauds: This consists of a person using a credit card
that belongs to someone else. These kinds of frauds can
be avoided by verifying the customer’s identity before
accepting the card.
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11. Dell gains from the direct customer relationship.
 the latest technology was introduced faster than through
the indirect channel
Disadvantage:
 The Dell direct model focused on speed of execution and
minimum inventory.
 In Dell's case, the direct model is easy to understand but
hard to replicate.
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12. Self-sustenance: Because the content is provided by
individual users,
 Improved user experience: the feeling of contributing
materials by oneself will improve user’s experience
Disadvantage:
 Stickiness: Stickiness is how long each user will stay at
the site or use the functions provided by Firm under
community model.
 Insurance of product quality and consistency: Regulate
quality standards on content is also difficult for
community model.
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13. 
EBay is the world's online marketplace; a place for
buyers and sellers to come together and trade
almost anything.

14. How EBay used business models:
Brokerage: EBay itself is regarded as a brokerage
model online business. This creates a network of
buyers and sellers in which goods can be
exchanged online.
Advertising: EBay use an advertising model in
which sellers can use basic platform service for
free and pay EBay for advertising service to
increase their exposure
Community: EBay’s Community Help boards and
Announcement Boards that help members answer
and solves problems as a community.

15. It provides the starting point that allows a company to
maximize its profits.
 Transform business processes into digital form
 Low-Cost Marketing: The Internet offers a variety of ways
to market your business at little or no cost.
 Unlimited Markets: The reach of the Internet is global, so
the entire world is a potential market for your products or
services.
How Web Business Can Grow With These Model:
 Advertising: Is a simple form of website that will provide
certain content which web businesses can grow faster online,
 increased closing percentage, increased customer satisfaction,
or increased retail traffic
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16. 
You can create a blog or write articles that provide useful
information about your field that can attract new
customers.
Conclusion
 The business model is the key factor that leads to success
in start-ups. It provides the starting point that allows a
company to maximize its profits—the sooner the business
model is in place, the better.
 EBay has established itself as a prominent auction broker.
An auction broker provides the means in which people
looking to sell can host an auction using the website.

17. 
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E-Business will be a secure, flexible and integrated
approach combining the systems and processes that run
core business operations. It,
Focus on customers
Create value with continuous innovation
Create an e-business application architecture