3business Models of E - Commerce
3business Models of E - Commerce
• Definition:
E-Governance means using Information Technology (IT) to provide government
services and information to citizens, businesses, and other government departments.
• Purpose:
To improve efficiency, transparency, and citizen participation in government
processes.
• Who Uses It:
Used by legislative, executive, and judicial branches of the government.
• How It Works:
o Government creates online platforms or digital systems.
o Citizens can access services, submit forms, pay bills, and give feedback
online.
o This reduces the need to visit government offices physically.
• Benefits:
o Saves time and money.
o Reduces corruption.
o Improves service delivery.
o Provides 24/7 access to services.
Examples of E-Governance
1. Amazon.com
o Offers an Amazon Associates program.
o Affiliates promote Amazon products and earn commission on sales.
2. Barnes & Noble
o Runs an affiliate program for promoting books and other products.
o Affiliates get paid for sales made through their links.
• Definition:
A supplier-centric B2B e-commerce is a model where a supplier (seller) creates an
online marketplace for multiple buyer businesses to purchase goods or services.
• Who controls it:
The supplier controls the platform and sets the rules, pricing, and product catalog.
• Buyers:
Buyers visit the supplier’s site to place orders, check prices, and make payments.
• Features:
o Customized pricing (e.g., bulk discount, loyalty pricing).
o One supplier serves many buyers.
o Ideal for large suppliers with many customers.
• Benefits:
o Direct relationship between supplier and buyers.
o Easier inventory and order management.
o Reduces need for intermediaries.
Example:
Q. What is CPD?
Benefits of CPD:
1. Supplier-Centric Model:
A supplier controls the marketplace and buyers come to the supplier’s platform to
place orders.
(Example: Cisco Connection Online)
2. Buyer-Centric Model:
A large buyer creates a marketplace where suppliers offer their products or bids.
Buyers control the process.
(Example: Large retailers managing suppliers)
3. Intermediary-Centric Model:
An independent third-party provides a platform where multiple buyers and suppliers
interact.
They act as brokers or marketplaces.
(Example: Alibaba, IndiaMART)
Summary
Additional Notes:
1. Software Architecture:
o Mostly built using Java/J2EE or Microsoft .NET platforms.
2. Key Features to Support:
o Search and browsing of products.
o Rich shopping cart functionality.
o Product comparison and promotions.
o Personalization (recommendations, wish lists, registries).
o Multichannel ordering (web, mobile).
o Rich Internet Application (RIA) support.
o Customer data management.
o Marketing tools and customer self-service.
3. Hardware Requirements:
o Reliable Internet connectivity (preferably broadband).
o Devices like PC, laptop, tablet with a multitasking OS supporting Java/J2EE
apps.
4. Web Technologies Used:
o HTML, DHTML, CSS for front-end design.
o Server-side tools like ASP, CGI/Perl, Java Servlets, JSP, PHP, VB, and Java.
5. Web Servers and Databases:
o Multiple web servers for handling traffic.
o Backend database systems for managing product and customer data.
Categories of E-Commerce
1. Business-to-Business (B2B)
o Electronic transactions of goods or services between companies.
o Examples: Manufacturers selling to wholesalers.
2. Business-to-Consumer (B2C)
o Businesses sell products/services directly to consumers.
o Examples: Online retail stores like Amazon, Flipkart.
3. Consumer-to-Consumer (C2C)
o Consumers sell to other consumers, usually through a third-party platform.
o Examples: eBay, OLX.
4. Consumer-to-Business (C2B)
o Consumers offer products/services to businesses.
o Examples: Crowdsourcing platforms, stock photo sites like iStockphoto.
5. Business-to-Administration (B2A)
o
Transactions between businesses and government/public administration.
o
Examples: Online tax filing, social security services for companies.
6. Consumer-to-Administration (C2A)
o Transactions between individuals and government/public administration.
o Examples: Paying taxes online, online education portals, health service
appointments.