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E business and e commerce: Gone are the days of going to the market to buy a single item. Today you have to place an order online, and that item will arrive in a few minutes. Online shopping is on the rise due to its simplicity and convenience. But all this is possible thanks to the Internet, E business and e commerce:.
Both e business and e commerce are related to online shopping. Nowadays, it is no longer about having a website where users can see what you offer. Still, it is a window of interaction with your company, which becomes essential for the growth of your business. Today I will explain the difference between these two concepts:
Definition Of E Commerce
The e commerce abbreviation for electronic commerce is the purchasing, selling, negotiating, ordering, and paying for goods and services through the Internet. The seller can communicate with the buyer without face-to-face interaction in this online business transaction. Some examples of e-commerce applications in the real world are online banking, online shopping, online ticket booking, social media, etc.
The essential requirement of e-commerce is a website. Marketing, advertising, selling and conducting transactions will do with the help of the Internet. Any monetary transaction, which will carry out with the use of electronic means, is e-commerce. Here I explain what the types of e-commerce are:
B2B (Business to Business): is the process of purchasing and selling goods and services between companies.
B2C (Business to Client): this is the process by which the company sells the goods to the client.
C2C (Client to Client): The commercial transaction from client to client.
C2B (Client to Business): The commercial transaction between the client and the business.
Definition Of E Business
E Business Is The Online Presence Of A Business
It can also be a business done with the help of the Internet or electronic data interchange. E-business is one of the critical components of electronic commerce, but it is not an essential part.
E Business Is Not Limited To The Buying And Selling Of Goods Only.
Still, it includes other activities that are also part of business, such as providing services to customers and communicating with employees, customers or business partners (for example, when they contact the company when they have a problem regarding the services). There are two types of e-business, which are:
Pure-Play: the business that only has an electronic existence.
Brick and Click: The business model in which the business exists both online and in electronic and offline modes.
Critical Differences Between E Business And E Commerce
These are the key points to differentiate e business and e commerce:
- The purchase and sale of goods and services through the Internet are known as e-commerce, unlike e-business, which is an electronic business presence whereby all business activities are carried out through the Internet.
- E-commerce is an essential component of e-business.
- E-commerce includes transactions related to money. Still, e-business, besides economic activities, contains activities that have to do with managing everything that has to do with customers, suppliers, etc.
- E-commerce has an extroverted approach that covers customers, suppliers, distributors, etc. On the other hand, e-business has an ambitious strategy covering internal and external processes.
- E-commerce requires a website that can represent the company. In contrast, e-business requires a website, customer relationship management, and enterprise resource planning to run the business over the Internet
- E-commerce uses the internet to connect with the rest of the world. However, unlike e-business, the Internet, intranet, and extranet are used to communicate with all parties.
- Also Read: What Are Drone Propellers And How To Work?
The terms e business and e commerce will often use interchangeably when they shouldn’t be.
When the electronic medium uses in some business process, it can be called e-Business.
When a commercial transaction with monetary exchange is carried out through the internet, it is called eCommerce.
ECommerce is a comprehensive concept that implies that a business organization uses an electronic medium to carry out all specialized or general commercial activities where there is a monetary exchange.
In eBusiness, information technologies will improve business, offering efficiency and effectiveness in its processes.
It includes any process a business organization carries over an electronic network.