E-Business
E-business stands
for electronic business, refers to the use of digital technology and the
Internet to execute the major business processes in the enterprise. E-business
includes activities for the internal management of the firm and for
coordination with suppliers and other business partners. It also includes
electronic commerce or e-commerce. The term “e-business” was coined by IBM’s
marketing and Internet team in 1996[1].
There
are two E-Business types[2]:
1.
Pure play
This refers to a
company that focuses on one particular kind of product or service, instead of
various kinds at once.
2. Brick and click
This term is
suitable for a company that runs their business in both online and offline way.
That is mean, while they have a website and offer their products or services
online, at the same time they also have a physical store and sell their
products or services there.
E-Commerce
According to the
editor-in-chief of International Journal of Electronic Commerce, Vladimir
Zwass, ‘Electronic commerce is sharing business information, maintaining
business relationships and conducting business transactions by means of
telecommunications networks’[3].
There
are several types of E-Commerce:
- Business to consumer (B2C)
- Business to business (B2B)
- Consumer to business (C2B)
- Consumer to consumer (C2C)
- Government to business (G2B)
- Business to government (B2G)
- Consumer to government (G2C)
The Advantages and
Limitations of E-Business and E-Commerce
ADVANTAGES[4]
|
LIMITATIONS[5]
|
Reduce money and
time spent for your business
|
Security and Integrity Issues
|
Flexible business
hours
|
Purchase to
Delivery Time
|
Remove location
restriction
|
Momentary Intangibility
|
Easily track your
business growth
|
Sectoral
Limitations
|
Reach your customer
faster
|
Ecommerce Is Highly Competitive[6]
|
Comparison Chart Between E-Business and E-Commerce [7]
BASIS FOR COMPARISON
|
E-COMMERCE
|
E-BUSINESS
|
Meaning
|
Trading of merchandise, over the internet is known as
E-commerce.
|
Running business using the internet is known as E-business.
|
What is it?
|
Subset
|
Superset
|
Is it limited to monetary transactions?
|
Yes
|
No
|
What they carry out?
|
Commercial transactions
|
Business transactions
|
Approach
|
Extroverted
|
Ambiverted
|
Requires
|
Website
|
Website, CRM, ERP, etc.
|
Which network is used?
|
Internet
|
Internet, Intranet and Extranet.
|
Download full text/pdf here
[3] V.
Zwass, ‘Structure and macro-level impacts of electronic commerce: from
technological infrastructure to electronic marketplaces’, http://www.mhhe.
com/business/mis/zwass/ecpaper.html
Great post!
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