Introduction to E-Business
The business is ever evolving. As the market sphere increases in size, not only in terms of physical shape but also in terms of reach of customers the business or the market expands its usual meaning. Now, business is not restricted to a land, rather it spreads all over the world where the customers can access the market space with the help of the internet.
This new form of market is the emerging mode of the business, known as E-Business. We will further our discussion on the same topic that is – Emerging mode of Business.
What is E-Business?
Electronic Business Refers to business that is conducted online. The e-business processes include buying and selling goods and services. Through this e-business the model customers are given services, the payments are processed, the production control is managed and all of these are done over the internet, along with the collaboration of the business partners .A range of functions is included in the E-business mode, which includes the development of intranets and extranets. In recent times, e-business has grown in leaps and bounds and has given rise to new requirements of this new business.
Types of E-Business
Business-to-Business (B2B) is the most common type of Business, where transactions occur between two businesses with their goods and services.
Business-to-Consumer (B2C) is the most popular among other e-business models. The transactions occur online.
Business to Business E-Commerce
B2B e-commerce or business-to-business electronic commerce is the sale of goods or services between two or more businesses via the online platform. This is actually used to enhance a company’s sales effort. Sales Representatives manually attending calls from the telephone are digitally replaced by e-mail orders received electronically. This is also effective in reducing the over-all over-head costs.
B2B business means business transactions between two businesses rather than business and customers. In the wholesale lot, the transaction is usually Business to Business while in retail level, the transaction is from a business to an individual consumer. Business to Business is recognised by the fact of the high value of transactions both in terms of goods or services and in terms of money value. While the business to consumer consists of less value than the B2B.
Emerging Modes of Business
We see, the module of a business is ever emerging. Now we have an e-business that caters to the need of online shopping and selling. Not only this, other functions to run a business now are done electronically. This emerging form of business is as useful as it is risky. In seconds purchasing and selling is done, in a matter of a few minutes we can sign into documents and launch our unique product. Also, the cyber-crimes are slowly heightening its pace as well. Frauds and cheats are taking place online. Fraud in e-commerce is a regular news now, hence stricter online securitized mode is to be conducted to transact the business.
Emerging modes of business are e-business or e-commerce that have hit world wide trade. In the upcoming years, figures of this business are expected to be multiplied.
FAQs on Emerging Modes of Business
1. What does electronic business mean?
Electronic Business is the expanded form of what is commonly known as e-business. E Business is a type of business where the sellers and the customers transact their operations online, i.e. through the internet. Through this mode of conducting business, the customers are given services, payments can be processed, and production control is also managed. Electronic businesses have their own advantages and disadvantages that should be analyzed before transacting any operation.
2. Explain intranet and extranet?
Intranet, in business, is used by the company’s employees in order to create a corporate life virtually over the net. Here, they communicate, collaborate and get work done over the internet itself. An extranet is where the customers are engaged with work at the company. It extends to their customers or even anyone else, outside of their company with the use of extranet. The company uses an extranet to connect with the vendors, customers or business partners.
3. Mention three types of e-business?
Mobile Commerce (M-Commerce): As we live in a tech-savvy environment, the mobile we use in our daily use has been upgraded to a wide extent and we can shop and sell online.
Facebook Commerce (F-Commerce): Being one of the biggest social platforms globally, Facebook took the initiative of creating a worldwide platform for online shopping as well.
4. Define e-commerce?
E-commerce is supported by the electronic business. E-Commerce is described as the activity of buying or selling goods or services over the internet. E-Commerce is used in certain technologies like mobile commerce, the electronic funds transfer, the supply chain management systems, different Internet Marketing skills and programs, Online transaction Processing, and other automated services and data collections. The technological industry drives this E-Commerce Industry. E-Commerce typically uses the WWW. (World Wide Web) in all of its transactions. E-commerce includes - Online Retailing, Electronic Markets and Online Auctions.
5. Where can we get additional materials on e-business?
It is important and necessary to have a clear concept of all chapters and topics. Commerce is an important chapter and having clear concepts in the chapter of ‘emerging Modes Of a business’ is very important too. Practice is also important so as to be able to do well and score high marks.. The online portal, Vedantu.com offers important questions along with answers and other very helpful study material on the various modes of E-business which have been formulated in a well structured, well researched, and easy to understand manner. These study materials and solutions are all important and are very easily accessible from Vedantu.com and can be downloaded for free.
6. What is electronic business?
Electronic Business is the expanded form of e-business. In this type of business, the sellers and customers transact their operations online over the internet. This is an evolving business model in this generation. Electronic or e-business have their own pros and cons that need to be analyzed before transacting any operation.
7. What is intranet and extranet?
In business, intranet is used by the company’s employees to create a corporate life virtually over the net. They communicate, collaborate and get work done over the internet itself. While extranet, is where the customers are engaged with. The company extends to their customers or anyone, outside of their company with the use of extranet. The company uses extranet to connect with the vendors, customers or business partners.
8. Is it safe to do transactions online?
Nothing is safe in this world if it is done without any knowledge. People engaged in e-business must know the loopholes of the transaction and take adequate care that they are not stuck to the same loopholes. They should always double ensure and check the transaction.
9. What is the scope of e-business in the near future?
In the near future there is a very bright scope in this e-business. As the world pushes towards the realm of technology and promotes digitalization, it would be compulsory to engage your business in online mode as well. Also, with the recent pandemic, the noble coronavirus we see, virtual business that is the e-business has grown enormously.