Types of e-business
Most organizations nowadays have a minimum
of some e-business capabilities to support their core competencies
or accessory functions.
However, the number of e-business happening at
intervals associate enterprise varies. Some organizations
have restricted e-business capabilities: a tiny
low business that processes payments employing a mobile payment
service like sq., however uses
no different digital services, would be such a business. On the other
end of the spectrum square measure those firms whose
business model is totally sceptred by electronic and digital
services. Rocket Mortgage, a web and mobile-friendly loan product
from Quicken Loans, would be an example of that form
of e-business.
Although organizations area unit progressively exploitation digital services to support a bunch of functions and capabilities, even those organizations that would be classified as e-commerce entities or fully powered e-business tend to be categorized in additional terms.
Business and digital authorities still often classify e-business as B2B, B2C, C2C and C2B. Some supply extra categories of e-business, like business-to-government and business-to-employee.
E-Business Model Types
With the increase in popularity of e-commerce, people area unit more and more finding themselves considering in an internet business. Four completely different e-business models to think about area unit business to consumer (B2C), business to business (B2B), business to business (C2C) and consumer to business (C2C).
Business to Business
The largest e-business model based on generated revenue
is business to business, or B2B. With the B2B model, each seller and
buyer are business entities.
B2B transactions could also be from manufacturer to wholesaler,
wholesaler to retailer, or retailer to retailer. Variety the
quantity of B2B transactions s that take place is
much bigger in number than the other transaction varieties as
a result of several B2B transactions happen on the supply chain.
In comparison to different e-business models, the B2B model
has a lot of market stability as a result of the static
nature of most companies' business models.
Consumer preferences and shopping habits could also
be fluid, however businesses seldom amendment their
core business models. this permits for a stable relationship to
make between two corporations doing business each other. The
largest B2B e-commerce company in the world is China-based Alibaba.
Business-to-Consumer
Another common e-commerce business model is business
to consumer , or B2C. This business model involves a business that
sells product on to shoppers on-line. The B2C e-business
model is additional in line with retail businesses, except there's no
brick-and-mortar store.
One of the main advantages of the B2C model is that
retailers will specialise in a distinct
segment cluster of consumers and a selected market and
cater to them completely. Examples of companies who use the B2C
e-commerce model include Amazon, Walmart and Target.
Consumer-to-Consumer
While B2B and B2C business models are conventional and
straightforward, the consumer to consumer, or C2C, model is less
prevalent. Also referred to as citizen to citizen, the C2C business model
involves transactions between 2 consumers. The consumers are the
buyers and sellers.
One of the main advantages of the C2C model is that it doesn't need any intermediaries like wholesalers, distributors or retailers. It solely wants a platform, that permits for transaction costs between the customers. A couple of popular examples are websites such as eBay and Craigslist.
Consumer-to-Business
With the rise of platforms such as Instagram, the C2B e-business
has grown to include influencers, who use their large followings to market a
company's products and act as a part of the sales pipeline.
The consumer to business, or C2B, e-commerce
model isn't as common because the alternative sorts, however it
is becoming more prevalent. With the C2B
model, customers produce all the demand and bring value
to merchandise that companies sell.
For example, a blogger may choose to sell advertisement space on an
internet site to a retail company.
This C2B e-business model is common among freelancers
– whether writers, designers, marketers or the other such
position. they offer their services to who essentially purchase them
when they agree to the freelancer's terms..
With the
increase of platforms like Instagram, the C2B e-business
has big to incorporate influencers, , who use their large
followings to market a company's products and act as a part of the sales
pipeline.
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