E-commerce

chapter 7

degree of digitization

the extent to which the commerce has been transformed from physical to digital

benefits of e-commerce

• Reach

• Eliminate entry barriers

E-commerce

Electronic commerce is the process of buying, selling, or

exchanging products and services via computer networks

Types of e-commerce

• B2C (Business → Consumer)

• B2B (Business → Business)

• C2C (Consumer → Consumer)

• C2B (Consumer → Business)

B2B e-commerce

transactions, both the sellers and the buyers are business organizations

B2C e-commerce

involves electronic relationships with suppliers, distributors, customers.

C2B e-commerce

an individual sells products or services to other individuals.

Issues/limits with e-commerce

• Threat to privacy

• Cyber & Data security

• Online Identity Verification

• cross border e-commerce

• Domain name

• Taxes

benefits of e-commerce

• National/ international markets are more accessible

• Lowers cost of processing, distributing, and retrieving information

• Provides access products and services 24/7

B2B e-commerce business models

sell-side market place

buy-side market place

Types of E-Commerce

B2B, B2C, C2C, Mobile, Social, and E-Gov

B2C e-comm business Models

Electronic storefronts, Electronic mall, marketplaces

issues in electronic retailing (e-tailing)

Product experience

channel conflict

Order fulfillment

which type of e-commerce is largest in volume (B2B or B2C)

B2B

which type of e-commerce is most complex?

B2C

how is B2C EC more complex?

involves a large number of buyers making millions of diverse transactions per day from a relatively small number of sellers. (ex. Amazon)