With the growing world of technology, you might have come across two words for sure- e-commerce and e-business. For many people, these words are synonymous and many people use these terms interchangeably. But, they are wrong. E-commerce and e-business are two different terminologies and concepts. As far as e-commerce is concerned, it is the buying and selling of goods online while e-business at the same time includes all kinds of businesses over the internet. E-business is a broader concept in relation to e-commerce.
Here, we will look at both the concepts separately:
As discussed above, it is the buying and selling of goods over the internet. Here, customers can interact with buyers over certain queries. E-commerce is a component of e-business. It comes under the wide concept of e-business and is an integral part of it. Basically, there are 4 types of e-commerce:
•B2B- It is a process where the buying and selling of goods take place between business and business. It is a business to business trade.
•B2C- Here the transactions take place in between business and customer.
•C2C- Commercial transactions are between customers.
•C2B- Commercial transactions occurring between customers and businesses.
E-business in general terms is the online presence of any business. It is not limited to the act of buying and selling. It is a broad concept going beyond buying and selling. E-business has two parts:
•Pure Play- Under this, the company focused only on a single activity.
•Brick and Click- Under this, the business has two dimensions. One is online and the other one is offline. So in basic, it is the business existing online and offline.
A Brief Comparison Between E-commerce and E-business
• E-commerce is the buying and selling of merchandise over the internet. While e-business is running a business over the internet.
•E-commerce can be considered as a subset of e-business while e-business can be called as a superset of e-commerce. E-commerce is a part of e-business. Buying and selling of merchandise fall under the category of business.
•E-commerce only and only includes transactions that are related to money. At the same time, e-business consists of monetary and allied activities.
• E-commerce needs a website while e-business requires a website, Customer Relationship Management, and Enterprise Resource.
•E-commerce utilizes the internet while on the other hand, e-business not only requires the internet but also intranet and extranet.
• E-commerce generally focuses on B2C activity which is the monetary interaction between business and customer. E-business is the most accurate form of B2B activity where there is an interaction between businesses.
Now at the end, we will be looking at their benefits:
• Making your business online is cost-effective. You will be spared from the useless expenditure that occurs while having a physical store. Both e-commerce and e-business save your money. And they will save your time as well as you don't have to take out time to invest in building a physical store.
• You can work whenever you want, sitting at your home. So basically, you can chill and work.
• Your business will have no boundary. You can go beyond your country's boundaries and can attract international customers.
These two are the emerging dimensions of business and can cover the entire market. With technology everything is possible!