CHAPTER 14
Ebusiness
Ebusiness models
Business model - is a plan that details how a company creates, delivers, and generates revenues. Some models are quite simple: A company produces a good and service and sells it to customers.
Ebusiness models fall into one of the four categories :
- Business-to-business
- Business-to-customer
- Comsumer-to-business
- Consumer-to-consumer
Business-to-business
- Electronic marketplace (e-marketplace) – interactive business communities providing a central market where multiple buyers and sellers can engage in e-business activities.
Business-to-consumer
- 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
-Priceline.com is an example of a C2B e-business model
- The demand for C2B ebusiness will increase over the next few years due to customers' desire for greater convenience and lower prices.
Consumer-to-consumer
Ebusiness tools for connecting and communicating
- Email
- Instant Messaging
- Podcasting
- Videoconferencing
- Web Conferencing
- Content management system
The challenges of Ebusiness
- Identifying limited market segments
- Managing consumer trust
- Ensuring consumer protection
- Adhering to taxation rules
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