Techopedia explains Electronic Business E-Business Electronic business is a broader term that encompasses other common terms such as e-commerce and e-tailing. As more of companies' sales, marketing and other internal business processes are conducted digitally, electronic business processes such as customer relationship management CRM , enterprise resource planning ERP , and content management are becoming increasingly important.
This shift has also been facilitated by improved security measures for online transactions. How Technology's Boosting Startup Success. How can mobile apps help business? However, new forms of intermediaries are emerging. For instance, e-markets themselves can be considered as intermediaries because they come between suppliers and customers in the supply chain.
Among the more evident benefits of e-markets is the increase in price transparency. The gathering of a large number of buyers and sellers in a single e-market reveals market price information and transaction processing to participants. The Internet allows for the publication of information on a single purchase or transaction, making the information readily accessible and available to all members of the e-market.
Increased price transparency has the effect of pulling down price differentials in the market. In this context, buyers are provided much more time to compare prices and make better buying decisions. Moreover, B2B e-markets expand borders for dynamic and negotiated pricing wherein multiple buyers and sellers collectively participate in price-setting and two-way auctions. In such environments, prices can be set through automatic matching of bids and offers. In the e-marketplace, the requirements of both buyers and sellers are thus aggregated to reach competitive prices, which are lower than those resulting from individual actions.
Economies of scale and network effects. The rapid growth of B2B e-markets creates traditional supply-side cost-based economies of scale.
E-Commerce and E-Business/Concepts and Definitions - Wikibooks, open books for an open world
Furthermore, the bringing together of a significant number of buyers and sellers provides the demand-side economies of scale or network effects. Each additional incremental participant in the e-market creates value for all participants in the demand side. More participants form a critical mass, which is key in attracting more users to an e-market. Business-to-consumer e-commerce, or commerce between companies and consumers, involves customers gathering information; purchasing physical goods i.
- electronic business (E-Business)?
- Latest Articles.
- Free Your Ambitious Mind?
- Experimental Design: Procedures for the Behavioral Sciences?
- What is electronic business (E-Business)? definition and meaning - omyhukocow.tk;
It is the second largest and the earliest form of e-commerce. Its origins can be traced to online retailing or e-tailing. The more common applications of this type of e-commerce are in the areas of purchasing products and information, and personal finance management, which pertains to the management of personal investments and finances with the use of online banking tools e. Online retailing transactions make up a significant share of this market. B2C e-commerce reduces transactions costs particularly search costs by increasing consumer access to information and allowing consumers to find the most competitive price for a product or service.
In the case of information goods, B2C e-commerce is even more attractive because it saves firms from factoring in the additional cost of a physical distribution network.
- A Murder of Justice.
- My Mind Lord - Christian Book - (Spirituality,Faith,Inspirational) (Life Christian Books 1).
- The O Factor (a memoir).
- The Teenage Compass: A Clear Road Map for the Young Who are Spiritually Aware.
Moreover, for countries with a growing and robust Internet population, delivering information goods becomes increasingly feasible. Business-to-government e-commerce or B2G is generally defined as commerce between companies and the public sector. It refers to the use of the Internet for public procurement, licensing procedures, and other government-related operations. This kind of e-commerce has two features: Web-based purchasing policies increase the transparency of the procurement process and reduces the risk of irregularities.
To date, however, the size of the B2G e-commerce market as a component of total e-commerce is insignificant, as government e-procurement systems remain undeveloped. Consumer-to-consumer e-commerce or C2C is simply commerce between private individuals or consumers. Consumer-to-business C2B transactions involve reverse auctions, which empower the consumer to drive transactions. There is little information on the relative size of global C2C e-commerce.
These sites produce millions of dollars in sales every day. Consumer to consumer e-commerce has many benefits. The primary benefit to consumers is reduction in cost. Buying ad space on other e-commerce sites is expensive.
Sellers can post their items for free or with minimal charge depending on the C2C website. C2C websites form a perfect platform for buyers and sellers who wish to buy and sell related products. The ability to find related products leads to an increase in the visitor to customer conversion ratio. Business owners can cheaply maintain C2C websites and increase profits without the additional costs of distribution locations.
A good example of a C2C e-commerce website is Esty, a site that allows consumers to buy and sell handmade or vintage items and supplies including art, photography, clothing, jewelry, food, bath and beauty products, quilts, knick-knacks, and toys. There are a couple of disadvantages to these type of sites as well.
Doing transaction on these type of websites requires co-operation between the buyer and seller.
Do you think data security is still an issue with e-businesses?
It has been noted many times that these two do not co-operate with each other after a transaction has been made. They do not share the transaction information which may be via credit or debit card or internet banking. This can result in online fraud since the buyer and seller are not very well versed with each other. This can lead to lawsuit being imposed on either ends or also on the site if it has not mentioned the disclaimer in its terms and conditions. This may also hamper the c2c website's reputation. Companies which handle consumer to consumer ecommerce websites seem to have becoming very cautious to prevent online scams.
M-commerce mobile commerce is the buying and selling of goods and services through wireless technology-i.
E-Commerce and E-Business/Concepts and Definitions
Japan is seen as a global leader in m-commerce. As content delivery over wireless devices becomes faster, more secure, and scalable, some believe that m-commerce will surpass wireline e-commerce as the method of choice for digital commerce transactions. This may well be true for the Asia-Pacific where there are more mobile phone users than there are Internet users.
There are at least three major forces fueling e-commerce: B2B relationships break down into buyer-oriented where the system is geared to the needs of the buying business , seller-oriented where the system is geared to the needs of the selling business and a recent innovation in commerce, the virtual marketplace - where the systems is geared to the collective needs of groups of buyers and sellers. These sites are often difficult to observe, as they tend not to be available for public consumption. This is where the seller is a business and the buyer is an individual consumer.
This is often done in the form of retailing or online shops. Sellers tend to dictate the terms of the trade and the consumer tends to make a decision to purchase or not.
This is perhaps best demonstrated by the book retail site Amazon. This is where the seller is a consumer and the buyer is business. This is often done in the form of tendering or bargaining. The consumer provides details of their particular needs, and a variety of businesses may respond with specifications and prices.
An example of this is Expedia, which provides flight ticket prices from differing airlines at different prices and specifications. This is where the seller is an individual consumer and the buyer is another consumer. This often equates to the "private ads" in a newspaper where individuals are selling to other individuals.
e-business (electronic business)
In an online situation, this might be demonstrated by an online auction site, such as eBay. We'll look at these perspectives in more detail later. Important Players so far. It's worth having a little understanding of who the important players in the game have been. The Virtual World and Organisations.
The virtual world is a place where the traditional boundaries and processes that exist in organisations no longer seem to apply. In the virtual world to name but a few , participants are not affected by issues such as where the physical border of one country or another is, or what time of the day a certain activity or transaction can take place. This has an impact on how organisations shape up. The traditional model of an organisation's structure is known as the Modern Organisation. It is likely to be made from the familiar hierarchical business structure.
This approach denoted a top-down, highly structured and highly centralised organisation - but it also demonstrated, on many occasions, organisations which were also inflexible. The change in the business environment through the late 80s and 90s was even more significantly affected by the introduction and widespread use of IT. One of the impacts of IT has been the adaptation of organisations to take advantage of the facilities it offered, and from this we get the emergence of "the virtual organisation".
So what keeps a virtual organisation 'in business?