Chapter 14 : E-business

Chapter 14 : E-business

E-business
The internet is a powerful channel that presents new opportunities for an organization to:
Touch customer, enrich products and services with information, reduce cost

E-commerce - the buying and selling of goods and services over the internet.
E-business - the conducting of business on the internet including not only buying and selling but also serving customers and collaborating with business partners.


E-business models-approach to conducting electronic business on the internet.






Business- to- business (B2B)
Electronic marketplace- interactive business communities providing a central market where multiple buyers and sellers can engage in e-business activities.

Business-to- consumer (B2C)

• E-shop- a version of a retail store where can shop at any hour of the day without leaving their home or office
• E-mall - consists of a number of e-shop, it serves as a gateway through which a visitor can access other e-shops.

Business types
-Brick -and- motar business
-Pure-play business
-Click- and -motar business

Consumer-to- Business (C2B)

• The demand for C2B e-business will increase over the next few years due to customer's desire for greater convenience and lower prices.E.g- Priceline.com.

Consumer-to consumer (C2C)
Online auctions

• Electronic auction (e-auction)- sellers and buyers solicit consecutive bids from each other and prices are determined dynamically.
• Forward auction- sellers use as a selling channel to many buyers and the highest bids wins.
• Reserve auction-buyers use to purchase products or service, selecting the seller with the lowest bid. 

C2C communities:

• Communities of interest- people interact with each other on specific topics such as golfing.
• Communities of relations- people come together to share certains life experiences such as cancer patients.
• Communities of fantasy- people participate in imaginary environments such as playing one-on one with Michael Jordan.

E-business benefits
-highly accesible, decreased cost, increased customers loyalty.

E-business challenges
-protecting consumers, increasing liability, providing security.


There are numerous advantages and limitations in e-business revenues models

• license fee
• advertising fees
• transaction fees

Web Mashups- a web sites or application that uses content from more than one resource to create a completely new service.

Application programming interface (API) - a set of routines, protocols, and tools for building software applications.

Mashups editor - WSYIWYGs ( What You See Is What You Get) for mashups.