Abdullah (21305) E-Business

E-Business
Submitted By: Abdullah (L-21305)
Submitted To: Sir, Umair Aslam

Discussion of the Day
Online representation
&
Commercial arrangements
for transactions
A. Seller-controlled
• Seller-controlled sites are those that are the main site of the supplier company and are e-
commerce-enabled. This is the most common type for both consumers and businesses.
• In this model the sellers who provide to fragmented markets such as chemicals, electronics, and
auto components come together to generate a common trading place for the buyers. While the
sellers aggregate their market power, it simplifies the buyers search for alternative sources.
Vendor sites, i.e. home site of organization selling products, e.g. DELL and also
Thewarehouse.
B. Seller-oriented
Seller-oriented sites are controlled by third parties, but represent the seller rather than providing
a full range of options. Intermediaries controlled by third parties to the seller such as
distributors and agents.
e.g. Opodo (www.opodo.com) represents the main air carriers
Opodo operates out of fourteen European countries, with headquarters in London, UK. It
operates Opodo-branded sites in Germany, the United Kingdom, France, Spain, Portugal, Italy,
Austria, Belgium, Poland and Switzerland, as well as Travellink-branded sites in Sweden, Norway,
Denmark, and Finland. It also operates several other French travel websites.
C. Neutral
• Neutral sites are independent evaluator intermediaries that enable price and product
comparison and will result in the purchase being fulfilled on the target site
• Product-specific search engines, e.g. (www.computer.com)
• Comparison sites, e.g. PricePanda, Pricemeter, Telemart
• Intermediaries not controlled by buyer’s industry
D. Buyer-oriented (e-procurement)
Buyer-oriented sites are controlled by third parties on behalf of the buyer. create their own portal and to
be sure to have the widest choice and so the widest proposals, they usually do their request together to
increase the volume of order and have better price (same industry for a same component).
Intermediaries controlled by buyers e.g. https://www.askdevelopment.org/
although they now don’t use a single marketplace, but each manufacturer uses technology to
access its suppliers direct.
Another example that can define buyer-oriented could be Samsung and Apple that request memory or
camera component for their smartphones.
E. Buyer-controlled
Buyer-controlled sites usually involve either procurement posting on
buyer-company sites or those of intermediaries that have been set up in
such a way that it is the buyer who initiates the market making. Only
one buyer is necessary to influence sellers. For example Dassault
Aviation that make a request on its own website to issue a call for
tender for spare parts.
Another example would be a company that post a job offering on its
website : unique offer, multiple offers.
Table of Commercial
mechanisms and online
transactions
Commercial (trading)
Online transaction
mechanism
mechanism
Negotiated deal
Negotiation – bargaining
Example: can use similar
between single seller and
mechanism to auction as on
buyer. Continuous
Commerce One.
replenishment – ongoing
Telemart
fulfilment of orders under pre-
set terms.
Brokered deal
Achieved through online
Example: intermediaries such
intermediaries offering auction
as screen trade
and pure markets online.
Screen trade or Alflah
Insurance
Table of Commercial
transactions
Online transaction
mechanism
mechanism
Seller auction – buyers’ bids

1. Auction
determine final price of sellers’
Example:
offerings. Buyer auction –
http://ourhatti.com/
buyers request prices from
2. Online tender by
multiple sellers. Reverse –
governments
buyers post desired price for
3. https://www.ppra.org.pk/
seller acceptance.
Static call – online catalogue
with fixed prices. Dynamic call
Fixed-price sale
– online catalogue with
Example: all e-tailers
continuously updated prices and
Like; Ali baba, Daraz, e-bay
features
Table of Commercial
transactions
Online transaction
mechanism
mechanism
Spot – buyers’ and sellers’ bids

Pure markets clear instantly
Example: electronic share
dealing Barter – buyers and sellers exchange
goods. According to the International
Reciprocal Trade Association
Barter (www.irta.com ) barter trade was over
Example: $9 billion in 2002.
https://maarchaa.com and
www.bartercard.co.uk
THANK
YOU!

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E-Business

Submitted By: Abdullah (L-21305)

Submitted To: Sir, Umair Aslam

Seller auction – buyers’ bids

Spot – buyers’ and sellers’ bids

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