E-commerce provides several benefits for businesses including reducing costs of inventory management, reaching global markets, and allowing customers to sell products. The main types of e-commerce are business-to-business (B2B), business-to-consumer (B2C), consumer-to-business (C2B), consumer-to-consumer (C2C), peer-to-peer (P2P), and mobile commerce (m-commerce). B2B involves transactions between businesses while B2C involves businesses selling directly to consumers. C2C involves consumers selling directly to other consumers through third-party sites.

1. E-Commerce

2. E-commerce and Business Organizations
• Reduces Costs for Inventory Management
• Reaching Global market
• Monitoring the Consumers’ Buying Habit and Interest
• Reduces Costs To Establish Store Front
• Reduce Labour Costs
• Reduce Advertising Costs
• Allow happy customers to sell your product
• Scalability

3. Challenges of E-commerce for business organizations
• Trust from customers
• Site SEO
• Social media required professional skills
• Technical issues
• Sales funnel
• Multichannel shopping platform
• Mobile commerce
• Crowdsourcing

4. Main functionaries of the e‐Commerce industry
• Online Travel :
• Customers buy tickets, book hotels and purchase tour packages online. The ticketing services can be for
airlines, railways or buses
• Example: MakeMyTrip, Yatra, BookMyShow
• E‐Retailing:
• Online sale of products such as clothing, mobile handsets, electronics and home and kitchen appliances
among others, Booking movie tickets
• Example: Amazon, Myntra,
• Classifieds:
• Portals connecting buyers and sellers by providing classifieds space where the sellers can advertise their
product
• Example: OLX, Surekha
• Digital Media:
• Paid music, videos and games download
• Example: Flipkart, AVS (Amazon Video Services)
• Financial Customers:
• Mobile Wallets, Online sale of insurance, loans and mutual funds
• Example: Paytm, SBI, PayU

5. Type of E-commerce
• B2B
• B2C
• C2B
• C2C
• P2P
• M-Commerce

6. Business to Business
• commerce between businesses, such as between a manufacturer
and a wholesaler, or between a wholesaler and a retailer.
• The volume of B2B (Business-to-Business) transactions is much higher
than the volume of B2C transactions.
• The primary reason for this is that in a typical supply chain there will
be many B2B transactions involving sub components or raw materials,
and only one B2C transaction
• When communication is taking place amongst employees, this can be
referred to as "B2B" communication.

7. Model B2B Transactions
• Two main models:
• vertical
• Horizontal
• Vertical B2B model can be categorized as:
• Upstream
• downstream

8. Vertical B2B Model

9. Downstream Model
• Downstream is when a manufacturer develops a business relationship
with a parts or raw materials supplier.
• An example of a downstream B2B relationship is when a pencil
company sources graphite and wood from other companies.

10. Upstream Model
• The upstream model is when a parts or raw materials supplier forms a
relationship with a manufacturer.
• The materials are flowing upstream.
• For example when a paper mill forms a relationship with a
bookbinding company to supply it with paper for the books it
produces.

11. Horizontal B2B Transactions
• The horizontal B2B model involves products and services that do not
involve parts or raw supplies but are used by the company in other
ways.
• These are the products and services that are used in maintenance,
repair, and operations.
• For example when a company sells cleaning supplies to another
company for the cleaning of its production floors, restrooms, and
other areas.

12. Issues with B2B e-commerce model
• price negotiation and collaboration
• Many businesses appreciate the simplicity of ordering online, but
they are used to work with sales representatives for getting special
discounts on bulk order.
• The solution is a hybrid model where relationships are established
with sales reps, but customers also have the ability to order online
and get the same prices by entering special codes.

14. Example
• An automobile manufacturer makes several B2B transactions such as
buying tires, glass for windscreens, and rubber hoses for its vehicles.
The final transaction, a finished vehicle sold to the consumer, is a
single (B2C) transaction.

15. B2C Transactions
• Businesses serving end consumers with products and/or services.
• e-commerce refers to all online transactions, B2C stands for
"business-to-consumer" and applies to any business or organization
that sells its products or services to consumers over the Internet for
its own use.
• In addition to online retailers, B2C has grown to include services such
as online banking, travel services, online auctions, health information
and real estate sites.

16. B2C Models
• Direct sellers
• Online intermediaries
• Advertising-based
• Community-based
• Fee-based

17. Direct Sellers
• It is the most common model.
• When consumers buy products from online retailers.
• For example: Tatacliq

18. Online Intermediaries
• are online businesses that bring sellers and consumers together
• Take a cut of each transaction made.
• e-commerce platforms e.g. ebay allow others to set up shops on their
platforms in order to make their products and services available to Internet
users
• around 60% of consumption of goods and services related to the total
“Internet economy” come via online intermediaries.
• Online intermediaries use different business models including advertising,
paid subscriptions, renting hosting space, charging for premium services,
commission fees, voluntary donations, or combinations of these.

19. Advertising-based model
• information is given away for free and money is made from
advertising on the site.
• Facebook is an example of a community-based site that makes money
from targeting ads to users based on their demographics and
location.

20. Fee-based Model
• This involves companies that sell information or entertainment to
consumers for a fee, like Netflix or subscription-based newspapers.

21. B2C Hybrid Model
• Companies have both a traditional brick-and-mortar presence and an
online shopping platform.
• Many companies are combining elements of the two business models
to maximize the customer experience.
• For example, some companies now let you order your products online
and pick them up at one of their local stores.
• Many companies also allow customers to return products they
bought online to local stores for a quick and easy refund or
exchange.

23. For Example
A B2C transaction would be a person buying a pair of shoes from a
retailer. which is the purchase of the leather, laces, rubber, etc.
However, the sale of the shoe from the shoemaker to the retailer
would be considered a (B2B) transaction. The transactions that led to
the shoes being available for purchase,

24. Business to government (B2G)
• Business to government (B2G) is when a company markets its products and
services directly to a government agency. This agency could be a local, county,
state, or federal agency.
• An example of a B2G relationship is when an ammunition manufacturer sells
ammunition to the Army.
• And an example of a local B2G relationship is when a private engineering
company sells its engineering services to a county government to develop a new
water and sewer system for the community.
• In B2G, companies typically bid on projects when governments announce
Requests for Proposals (RFPs).
• Many government agencies will not go directly to an e-Commerce website and
place an order.
• A local government agency could, for example, place an order directly from an e-
Commerce company.

25. Consumer to Business
• Consumer-to-business Consumer to business (C2B) is an electronic
commerce business model in which consumers (individuals) offer products
and services to companies and the companies pay them.
• Complete reversal of traditional business model where companies offer
goods and services to consumers (B2C).
• Inverted business type economic relation
• The large traditional media outlets are one direction relationship whereas
the internet is bidirectional one.
• Decreased cost of technology: Individuals now have access to technologies
that were once only available to large companies (digital printing and
acquisition technology, high performance computer, powerful software).

27. For Example
• A webmaster or blogger can offer a service by showcasing the latest
product.
• Someone who is active on social media and has thousands of
followers or subscribers can share their use of a product to introduce
it to new audiences.
• Someone who takes great photographs might sell them as stock
photos for businesses.
• People who are willing to answer polls can provide valuable market
research data.

28. Consumer to Consumer
• Consumer-to-consumer (C2C) electronic commerce involves the
electronically facilitated transactions between consumers through
some third party.
• The site is one type of intermediary, just there to match consumers.
• They do not have to check quality of the products being offered.
• This type of e-commerce is expected to increase in the future because
it cuts out the costs of using another company.

29. C2C E-commerce
• Amazon also allows consumers to list items to sell to other
consumers.
• Buyers pay with credit card or any other transaction method, and
sellers are reimbursed through bank account deposits.
• Amazon keeps a small percentage for helping facilitate the sale,
• According to Forbes, although C2C e-Commerce sites may have more
competition.
• Have higher margin due to the lack of retail or marketing costs
needed to promote your products.

30. • The biggest challenges of C2C e-Commerce can be handling the
payments.
• If the seller does not get paid for the item that they sold and shipped,
it can be hard to get the item back or make the buyer pay.
• buyer does not like the quality of the item, the seller is not always
required to offer a refund like a typical brick and mortar store would

32. For Example
• A common example is the online auction, in which a consumer posts
an item for sale and other consumers bid to purchase it; the third
party generally charges a flat fee or commission.

33. Government to Citizen
• To provide good and effective services to each citizen.
• The Government provides the following facilities to the citizens
through website.
• Information of all government departments,
• Different welfare schemes,
• Different application forms to be used by the citizens.