Electronic business models pdf

Pdf an introduction to business models researchgate. An ebusiness is defined as a company that has an online presence. Pdf introduction ecommerce business models are using computing and communication technologies to make transactions between a business and its. A b2b model focuses on providing products from one business to another. The explanation that follows makes a broad distinction between the two. A business model is defined as the organization of product, service and information flows, and the source of revenues and benefits for suppliers and customers. Pdf in this article the author explained the classes of ecommerce business models and their advantages and disadvantages. The number of websites also is growing, jumping from 255 million in december 2010 to 582 million a year later. E business models a business model is the method of doing business by which a company can sustain itself generate revenue. According to the inventory management and sourcing of the products, the ecommerce business models are classified into.

It is an essential document that layouts an organizations proposals, financial plan, and business models. Business models, internet protocols design, layering in the ip protocols, archetypal internet business, introduction to online content distribution. Dec 15, 2017 this revenue model is widespread in the mainland europe but has recently found its way to the other parts of the world. Center for information systems research radical change migration led by dot coms led by traditional firms. Free e business books download ebooks online textbooks. However, a business does operate the online platform on which c2c transaction takes place. As an example, a wholesaler places an order from a companys website and after receiving the consignment, sells the endproduct to the final customer who comes to buy the product at one of its retail outlets. A business plan, like any other plan, that contains a description of what that plan is about, how to go about executing that plan, and back up or emergency plans in case all hell breaks loose. The internet economy is a broader concept than e commerce and ebusiness.

Electronic business is a broader term that encompasses other common terms such as e commerce and e tailing. Aleksi horsti essays on electronic business models. Pdf explores the challenges facing the recording industry in their efforts to adopt business models to meet consumer needs in the electronic commerce. The storefront combines transaction processing, security, online payment. While many businesses in this niche are service providers, youll find software companies, office furniture and supply companies, document hosting companies, and numerous other ecommerce business models under this heading. Electronic commerce or e commerce refers to a wide range of online business activities for products and services. Business concept business overview page 11 how the service will work page 11 opportunity value proposition page 12 services offered page revenue streams page 14 market analysis target customers page 16 market characteristics and trends page 16 market size and revenue potential page 17 business models page 17 competition brick and mortar. It has four traditional components as shown in the figure, the e business model. An e business is defined as a company that has an online presence.

The concept of e business model is the same but used in the online presence. This article has the ambition to give this term a more rigorous content. The term commerce is viewed as transactions conducted between business partners. Electronic business is a broader term that encompasses other common terms such as ecommerce and etailing. Commerce constitutes the exchange of products and services between businesses, groups and individuals and can be seen as one of the essential activities of any business. New entrants and dominant players in the electronic b2b have the potential to competitively disrupt traditional supply chains, forcing companies to enter the b2b ecommerce arena. For more information electronic pedagog y and future university business models brian s. Introduction to electronic commerce, internet business, underlying technological developments. And that, he contends, is a good thing for innovation. Business model is one of the latest buzzwords in the internet and electronic business world.

Electronic commerce ecommerce is a type of business model, or segment of a larger business model, that enables a firm or individual to conduct business over an. Research has focused product development, finance and publication cycles, or, the industry as a whole there is a need for tools that help understanding and managing the bounded variations of sw businesses research focus the concept of business models. Aug 17, 2019 thus a business model is a description of the rationale of how a company creates, delivers and captures value for itself as well as the customer. E business electronic business is the conduct of business processes on the internet. Electronic commerce creates the possibility of new models scholarly research journals is licensed based on a work at. When organizations go online, they have to decide which e business models best suit their goals. While many people understand that alibaba baba is an online retailer similar to amazon amzn or ebay ebay, the companys business model is surprisingly different from the leading ecommerce businesses in the united states. Classsification of ecommerce business models there is more than one way of classification no single correct way some companies use multiple business models.

Research on business model innovation of ecommerce era. For instance, some firms use the internet mainly to conduct business with other businesses. Tan 0 manchester metropolitan university 0 saint louis university article 7 association for systems research paper issn. Suggested citation majmudar, utkarsh and prabhu, ganesh, electronic commerce business models. Pdf ecommerce business models for the music industry. They help the businessmen to analyze and judge the current models that are running in the business. Unlike many e business books available, this text draws together theoretical and empirical contributions from leading academic scholars in the field of management information systems. Online businesses also known as e businesses include traditional businesses, but can also include other more nontraditional business models. B2c is the most common business model, so there are many unique approaches under this umbrella. Electronic commerce focuses on the use of ict to enable the external activities and relationships of. Anything you buy online as a consumer think wardrobe, household supplies, entertainment is done as part of a b2c transaction. E commerce, customer satisfaction, business performance, organization introduction electronic commerce has facilitated the emergence of new strategies and business models in several industries in developing countries, nigeria inclusive. Pdf available in ssrn electronic journal march 2014 with 11,964 reads.

The number of websites also is growing, jumping from 255 million in december 2010 to 582 million a. Electronic business methods enable companies to link their internal and external data processing systems more efficiently and flexible, to work more closely with suppliers and partners, and to better satisfy the needs and expectations of their customers. E commerce, e business, social networking, mobile commerce, internet and e commerce statistics, e commerce models, e commerce business planning, e commerce infrastructure, design and build mobile sites and apps, e commerce security and payment systems, netflix, e commerce marketing communications and e. The e business model, like any business model, describes how a company functions. A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a. Website following c2c business model helps consumer to sell their assets like residential property, cars, motorcycles etc. Business models that have succeeded and business models that have failed international case studies. The internet economy is a broader concept than ecommerce and e business. Ebusiness or online business means business transactions that take place online with the help of the internet.

Strategies and business models in electronic retailing. They describe eight atomic e business models, each of which can be implemented as a pure e business model or combined to create a hybrid model. Various electronic businesstoconsumer models have been presented during the past. A website following the b2b business model sells its products to an intermediate buyer who then sells the product to the final customer.

Agenda b2c business models b2b business models business models in other emerging areas of ecommerce 3. We provide a substantive definition of the business model, a collection of decisions enforced by the authority of the firm on its employees. These electronic business processes include buying and selling products, supplies and services. Buyer can shop for free, but sellers sometimes have to pay a fee to list their products. Teece whenever a business enterprise is established, it either explicitly or implicitly employs a particular business model that describes the design or architecture of the value creation, delivery, and capture mechanisms it employs. The widespread use of business models came into existence with the advent of the personal computer which let people test and model the different components of a business. Oct 27, 2012 hence any conceptual framework on ecommerce business models, including our own, can never be comprehensive. In this context, e business specifically refers to the planning and execution of the front. An e business model ontology for modeling e business alexander osterwalder yves pigneur the truth about internet business models jeffrey f. Of course not all business model innovations are itdriven. Technological challenges of conducting business on the world wide web, innovative business models in electronic commerce, digital platforms of business to customer and business to business trade, guidelines for website usability, internet marketing and advertising, search engine optimization and search engine marketing for. Abstract the recent boom in the new economy of internet based commerce has created a large number of firms with a variety of business models that aim to leverage the power of the internet to further their business goals. B2c business model business models description examples portal offers a integrated package of content and contentsearch, services news, email, chat, music, downloads etc. 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.

The model includes the components and functions of the business, as well as the revenues it generates and the expenses it incurs. Business model innovations have reshaped entire industries and redistributed billions of dollars of value. These firms are generally referred to as having a business to business b2b model. The term e business as distinct from e commerce can be used to describe this exciting adoption of the internet to accelerate the goal of supply chain integration. Business to business model many e businesses can be distinguished from others simply by their customer focus. Agenda b2c business models b2b business models business models in other emerging areas of e commerce 3. Value creation from ebusiness models provides a thorough analysis of what constitutes an e business model.

The combination of a companys policy, operations, technology and ideology define its business model. Ecommerce business models can generally be categorized into the following categories. Ecommerce is a revolution in business practices ohidujjaman, et al 20. This is a buy now, pay later model which allows the customers to purchase the goods and services on credit and pay for it at a later date. Electronic commerce and business model innovation has greatly narrowed the growth dependence on land, energy and raw materials, reduce the waste emissions, the construction of ecological civilization, and promote economic transformation and upgrading. The e commerce business model is the conceptual structure of your b2b, b2c, c2c, or c2b business strategy. Competitive dynamics and new business models for smes in the virtual marketplace, journal of developmental entrepreneurship, 5, 1 2000. Download a pdf version for easier offline reading and sharing with coworkers. In fact, the business model can determine the difference between a monkey and a unicorn. The term ebusiness came into existence in the year 1996.

These are the e business concept, value proposition. In fact, many times the difference between a successful and a failing business besides the product or service offered is how value gets unlocked the business model is the main driver of value. Thecrec centerfor researchin electronic commerce at the universityof texashas developed a conceptual framework for how the internet economy works. Business models for ecommerce osou odisha state open. This dissertation is in essay format, combining five papers that all discuss electronic business models and their evaluations. Online models not only sell goods or services but also contacts e. Small businesses that are new to the world of e business will find information and tools that. The storefront model is what many people think of when they hear the word e business. C2c ecommerce differs from a business to business model or business toconsumer model because consumers interact directly with each other. The internet offers a place where anyone can start up a business and make money online with very little cash up front.

Electronic commerce or ecommerce refers to a wide range of online business activi ties for products and services. Whenever a business enterprise is established, it either explicitly or implicitly employs a particular business model that describes the design or architecture of the value creation, delivery, and capture mechanisms it employs. You will find it easier to assimilate the information if you apply it to a case study or better still a business that you know or want to start yourself. Ohenedjan co3323 2008 undergraduate study in computing and related programmes this is an extract from a subject guide for an undergraduate course offered as part of the. Ec model in which all of the participants are businesses or other organizations. Ebusiness is an abbreviation for electronic business. It includes the purpose and goals of your company and how it intends to achieve them.

Whereas amazon is housed under one roof, alibaba is divided into three core businesses. Chapter 3 e business markets and models 53 key issues 53 introduction 53 ebusinesses 54 e business environment 55 emarketplaces 59 e business markets 61 e business models 66 types of e business models 67 a framework for analysing e business models 78 summary 84 questions and tasks 85 references 85 further reading 86 chapter 4 e business. Chris fox jeanpaul satre once said history could be viewed as if one were looking out the back of a moving car. In this article, i will briefly explain six ecommerce business models, including b2c and c2c. E businesses that have the ability to sell, trade, barter and transact over the web can be considered e commerce businesses. It is simply retail sales made from a business entity to an individual. In todays world, we are exposed to various forms of ebusiness. E business is the use of internet technology to facilitate. The first two papers of the dissertation study the most essential success factors related to the evaluation of electronic business models. The best 6 types of successful ecommerce business models in 2020. Business models, business strategy and innovation david j. Electronic commerce is a relatively new concept that crept into the business vocabulary during the 1970s.

Ebusiness electronic business, or ebusiness, is the application of information and communication technologies ict in support of all the activities of business. Classsification of e commerce business models there is more than one way of classification no single correct way some companies use multiple business models. Electronic commerce is an emerging concept that describes the process of buying and selling or exchanging of products, services and information via. A business model is a crucial component of any company that wants to thrive in the longrun. Rayport b2b e commerce hubs steven kaplan mohanbir sawhney business models for electronic markets paul timmers a taxonomy of internet commerce paul bambury previous topic. This handbook demonstrates that not all e business activities have to be complex or costly to achieve benefits. Despite the growth that they can create, established corporations rarely create innovative business models. Rappa 2003 defines a business model as the method of doing business by which a company can sustain itself and notes that the business model is clear about how a company generates revenues and. Online business or ebusiness is any kind of business or commercial transaction that includes sharing information across the internet. As an example, a wholesaler places an order from a companys website and after receiving the consignment, sells the.

Jun 22, 2018 electronic commerce has reached new heights in recent years. The decisionmaking process for a b2c purchase is a much shorter than a businesstobusiness b2b purchase, especially for items that have a lower value. Electronic pedagogy and future university business models. A picture of electronic commerce is emerging in which the internet will become the. Theoretical roots, recent developments and future research introduction in recent years, the business model has been the focus of substantial attention by both academics and practitioners. Ebusinesses that have the ability to sell, trade, barter and transact over the web can be considered ecommerce businesses.