Some people confuse the terms “e-business” and “e-commerce,” although they are not interchangeable. E-commerce refers to online buying and selling, whereas e-business refers to all online transactions. E-business can get thought of as a subset of e-commerce. If you want to start or work closely with an internet-based organization, you should learn everything there is to know about these two principles.
Basics of Electronic Commerce
It might be hard to discern which companies are e-businesses in today’s technologically driven society, according to Gurbaksh Chahal. Examples are perhaps the most effective approach to comprehend e-businesses:
An e-business activity is email marketing to current and potential consumers. It automates a commercial process—in this case, marketing—through the use of technology. E-business is a corporation that creates and sells an online system for tracking inventory and triggering warnings at certain levels. Inventory management is a business process that becomes part of e-business when it gets aided electronically.
Another example of e-business is a content management system that coordinates the work of a content developer, editor, manager, and publisher. The physical transfer of paper files would undertake this procedure in the absence of an electronic workflow. It becomes an e-business when you enable it electronically.
An e-business can create online human resources tools. Online job boards, application processors, and data collection and management systems are just a few technologies available.
Many e-business procedures can be done in-house via a company’s network. They can get outsourced to a vendor that specializes in whatever service is required. Standard firms can incorporate some components of e-business into their plans by creating them in-house—the two types of enterprises are not mutually incompatible.
Sometimes the difference between a traditional business and an e-business is simply how the business gets conducted. For example, if you run an advisory firm that helps people choose the right furniture, you are a business; however, if you run a website that allows people to compare furniture options, you are an e-business.
Basics of E-Commerce
E-commerce has a more defined meaning than e-business, according to Gurbaksh Chahal. It entails placing orders and making payments online in its most basic form. E-commerce can take many forms. A firm sells goods and services to customers through its website in business-to-consumer (B2C) e-commerce. Many brick-and-mortar stores have adapted to the growth of e-commerce and now sell both online and in-store.
Ordering a thing, paying for a product, and delivering are all examples of e-commerce sales. It could potentially merely entail a portion of the procedure. A customer might, for example, order goods online and pick them up at the store. Payment can get made online or when the item gets picked up from the store. In any case, there was an element of e-commerce in the transaction.
About their internet sites, numerous companies sell across digital markets. A well-known product, such as Nike, will sell these things both on its webpage and through an online seller such as Amazon. The deal is indeed an instance of e-commerce regardless you purchase it from Nike’s homepage or Amazon’s.
