Friday, 1 April 2016

Chapter 13 : E-Business

EBUSINESS MODELS
- An ebusiness model is a plan that details how a company creates, delivers, and generates revenues.
- Ebusiness models fall into one of four categories which is :

Business-to-Business (B2B)
- Applies to businesses buying from and selling to each other over the internet.
- Electronic marketplace (e-marketplace) are interactive business communities providing a central market where multiple buyers and sellers can engage in e-business activities

Business-to-Consumer (B2C)
- Applies to any business that sells its products or services directly to consumers online
- Common B2C e-business models include:
e-shop – a version of a retail store where customers can shop at any hour of the day without leaving their home or office
e-mall – consists of a number of e-shops; it serves as a gateway through which a visitor can access other e-shops
- Business types:
Brick-and-mortar business
Pure-play business
Click-and-mortar business
Consumer-to-Business (C2B)
- Applies to any consumer who sells a product or service to a business on the internet
-   Priceline.com is an example of a C2B e-business model

-   The demand for C2B e-business will increase over the next few years due to customer’s desire for greater convenience and lower prices

Consumer to consumer (C2C)
-  Applies to consumers offering goods and services to each other on the internet.
- C2C communities include:
Communities of interest - People interact with each other on specific topics, such as golfing and stamp collecting
Communities of relations - People come together to share certain life experiences, such as cancer patients, senior citizens, and car enthusiasts
Communities of fantasy - People participate in imaginary environments, such as fantasy football teams and playing one-on-one with Michael Jordan
Ebusiness Tools for Connecting and Communicating
 Email
Instant messaging
Podcasting
Videoconferencing
 Web conferencing
Content management systems

The Challenges of Ebusiness
  Identifying limited market segments
  Managing consumer trust
 Ensuring consumer protection
Adhering to taxation rules

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