E-commerce 2

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12 Terms

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Value Proposition

defines how a company's product and services fulfills customer needs

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Revenue Model

describes how the firm will earn revenue, generate profits and produce a superior return in invested capital

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Market Opportunities

company's intended marketspace and the overall potential financial opportunities available to the firm in that marketspace

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Competitive Environment

other companies selling similar products and operating in the same market space

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Competitive Environment

presence of substitute products and potential new entrants to the market, as well as the power of customers and suppliers over your business

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Sales Model

revenue from sales of goods and services

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Advertisement Model

payments from advertisers

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Transaction Fee Model

comissions paid on volume of transactions

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Subscription Model

fixed amounts are charged, usually monthly

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Affiliate Model

commissions for referring customers

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Value Proposition

you need to understand why customers will choose to do business with the firm instead of another company

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Value Proposition

includes personalization and customization of product offerings, reduction of product search cost, reduction of price discovery cost, and facilitation of transactions by managing product delivery