E-commerce refers to a dynamic set of technologies, application and business processes that link buyers and sellers through electronic networks to carry out commercial transaction and exchange goods, services and information. It involves –
- Market transactions conducted over electronic networks
- Interactive platform for trade related activities
- Buying and selling of goods and services over public networks
A typical E-Commerce Model –
| Marketing & Research | Online Surveys, Search Engines, Social Media, Private Browsers, Feedback forms, Planning and forecasting |
| Information Exchange | Banner Ads, Interactive Ads, Website, E-catalogue |
| Order Placement | Online order processing, Browsing, Customized orders |
| Payment & Delivery | Electronic payment system, online delivery, physical shipments and delivery processing |
| Customer Service | E-CRM, Telephone support, FAQ sheets, Online support, Live chat, After sale service |
E-Business refers to a business which uses electronic mediums to carry out its core business operations. It involves business activities which are conducted over electronic networks such as –
- Direct Marketing and selling of goods and services
- Advertising and promotion
- Information exchange and processing
- Value chain trade
- Corporate purchasing or E-procurement
Difference between E-business and E-commerce
| E – Business | E – Commerce |
| It has a Broad perspective | It has a Narrow perspective |
| It uses electronic and telecommunication networks to carry out core business processes | It uses electronic medium for information processing and exchange and to carry out commercial transactions |
| Involves use of electronic mediums for carrying out business processes more efficiently and effectively | Involves use of electronic mediums to provide an interactive platform for trading of goods and services between buyers and sellers |
| Superset | Subset of E-business |
| Its scope involves commercial as well as business transactions | Its scope is limited to commercial transactions |
| Requires a Website, CRM and ERP system to function properly | It requires only a website to operate |
| It makes use of Internet, Intranet and Extranet networks | It makes use of Internet |
| B2B Model Eg. Dell, Alibaba, Qualcomm | B2C Model Eg. Snapdeal, Ebay, Shopclues |