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Business Models of e Commerce 1

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SUBMITTED BY-SHUDHIR TIWARI

VIKASH SHARMA
NITIN SUMAN
SURYA SONI
E-commerce business models can generally be
categorized into the following categories.

 Business- to – Business(B2B)
 Business - to - Consumer (B2C)
 Consumer - to - Consumer (C2C)
 Consumer - to - Business (C2B)
 Business - to - Government (B2G)
 Government - to - Business (G2B)
 Government - to - Citizen (G2C)
Business - to - Business
 A website following the B2B business model sells its
products to an intermediate buyer who then sells the
product to the final customer. As an example, a
wholesaler places an order from a company's website
and after receiving the consignment, sells the end
product to the final customer who comes to buy the
product at one of its retail outlets.
Business - to – Consumer
 A website following the B2C business model sells its
products directly to a customer. A customer can view
the products shown on the website. The customer can
choose a product and order the same. The website will
then send a notification to the business organization
via email and the organization will dispatch the
product/goods to the customer.
Consumer - to – Consumer
 A website following the C2C business model helps
consumers to sell their assets like residential property,
cars, motorcycles, etc., or rent a room by publishing
their information on the website. Website may or may
not charge the consumer for its services. Another
consumer may opt to buy the product of the first
customer by viewing the post/advertisement on the
website.
 EXAMPLE- Olx , Quikr, Nobroker, Zoomcar etc
Consumer - to – Business
 In this model, a consumer approaches a website
showing multiple business organizations for a
particular service. The consumer places an estimate of
amount he/she wants to spend for a particular service.
For example, the comparison of interest rates of
personal loan/car loan provided by various banks via
websites. A business organization who fulfills the
consumer's requirement within the specified budget,
approaches the customer and provides its services.
 EXAMPLE-Blog, consumer write review or consumer
gives useful idea for new product development.
Business - to – Government
 B2G model is a variant of B2B model. Such websites
are used by governments to trade and exchange
information with various business organizations. Such
websites are accredited by the government and provide
a medium to businesses to submit application forms to
the government.
Government - to – Business
 Governments use B2G model websites to approach
business organizations. Such websites support
auctions, tenders, and application submission
functionalities.
Government - to – Citizen
 Governments use G2C model websites to approach
citizen in general. Such websites support auctions of
vehicles, machinery, or any other material. Such
website also provides services like registration for
birth, marriage or death certificates. The main
objective of G2C websites is to reduce the average time
for fulfilling citizen’s requests for various government
services.
Government - to – Citizen
 Governments use G2C model websites to approach
citizen in general. Such websites support auctions of
vehicles, machinery, or any other material. Such
website also provides services like registration for
birth, marriage or death certificates. The main
objective of G2C websites is to reduce the average time
for fulfilling citizen’s requests for various government
services.
Payments of E Commerce Model
 E-commerce sites use electronic payment, where electronic
payment refers to paperless monetary transactions.
Electronic payment has revolutionized the business
processing by reducing the paperwork, transaction costs,
and labor cost. Being user friendly and less time-
consuming than manual processing, it helps business
organization to expand its market reach/expansion. Listed
below are some of the modes of electronic payments
−Credit Card
 Debit Card
 Smart Card
 E-Money
 Electronic Fund Transfer (EFT)
 Credit Card -Payment using credit card is one of most
common mode of electronic payment. Credit card is
small plastic card with a unique number attached with
an account
 Debit Card-Debit card, like credit card, is a small
plastic card with a unique number mapped with the
bank account number. It is required to have a bank
account before getting a debit card from the bank.
 Smart Card-Smart card is again similar to a credit card
or a debit card in appearance, but it has a small
microprocessor chip embedded in it. It has the capacity
to store a customer’s work-related and/or personal
information.
 E-Money- E-Money transactions refer to situation
where payment is done over the network and the
amount gets transferred from one financial body to
another financial body without any involvement of a
middleman. E-money transactions are faster,
convenient, and saves a lot of time.
THANK YOU

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