e-Business Revision Questions

1. What are three differences between e-Commerce, e-Marketing and e-Business?

e-business e-commerce e-marketing

E-Business is a very broad
entity dealing with the
entire complex system that
comprises a business that
uses electronic medium to
perform or assist its overall
or specialized business
activities.
E-Commerce is best
described in a transactional
context. So for example an
electronic transaction of
funds, information or
entertainment falls under
the category handled by
principles of e-Commerce.
Technically e-Commerce is
a part of e-business.
E-Marketing is also a part
of e-Business that involves
electronic medium to
achieve marketing
objectives. E-Marketing is
a set on a strategic level in
addition to traditional
marketing and business
strategy.

2. What are the benefits of e-Business for customers and retailers?

- Can tie in customers or increase switching costs.
- Can improve customer loyalty and retention.
- Can increase market visibility.
- Product better information on customer needs, tastes etc.
- Can facilitate pull supply chain management.

3. What are revenue models of web based companies such as Google, Gmail and
Amazon?
1- Ad-based revenue models entail creating ads for a specific website, service, app, or
other product, and placing them on strategic, high-traffic channels. Google’s
AdSense is one of the most common tools get ads.
2- Another popular web-based revenue model is the affiliate revenue model, which
works by promoting links to relevant products and collecting commission on the sales
of those products, and can even work in conjunction with ads or separately.
3- Countless companies, both tech-oriented and otherwise, strive to rely on the
transactional revenue model, and for good reason too. This method is one of the
 most direct ways of generating revenue, as it entails a company providing a service
or product and customers paying them for it.

4. There are six types of business model. List three (3) different types of business model.

Business-to-Business Transactions that take place between two organizations

(B2B) come under Business to Business. Producers and
traditional commerce wholesalers typically operate with
this type of electronic commerce. Also, it greatly improves
the efficiency of companies.
Business-to-Consumer When a consumer buys product from a seller then it is
(B2C) business to consumer transaction. People shopping from
Flipkart, Amazon, etc. is an example of business to
consumer transaction. In such a transaction the final
consumer himself is directly buying from the seller.
Consumer-to- A consumer selling product or service to another
Consumer consumer is a consumer to consumer transaction. For
(C2C) example, people put up ads on OLX of the products that
they want to sell. C2C type of transactions generally
occurs for second-hand products. The website is only the
facilitator not the provider of the goods or the service.

5. Explain the differences between the Internet and the World Wide Web.

Internet World Wide Web

A global system of interconnected
computer networks that use the TCP/IP
protocol to link devices worldwide.
A massive interconnection of computer
networks around the world.
Uses Transmission Control
Protocol/Internet Protocol (TCP/IP)
Online content that is formatted in HTML
and accessed in HTTP protocol.
Service provided by the internet.
Uses Hyper Text Transfer Protocol
(HTTP)
6. With an aid of diagram, explain in detail the features of one e-business model?
- It is easy to set up.
- There are no geographical boundaries.
- Much cheaper than traditional business.
- There are flexible business hours.
- Marketing strategies cost less.
- Online business receives subsidies from the government.
- There are a few security and integrity issues.
- There is no personal touch.
- Delivery of products takes time.
- There is a transaction risk.
- Anyone can buy anything from anywhere at any time.

7. What are the eight unique features of e-Business Technology? You may choose three
(3) and explain.
1) As we know, e-Business is basically a business transactions that take place online
with the help of the internet. Therefore, it is easy to set up.
2) There are no geographical boundaries as e-Business is online based where it is
worldwide.
3) Usually any business are using fixed hours, while e-Business is flexible hours where
customers can reach them to buy anything from anywhere and anytime.

8. What are advantages and disadvantages of e-Business?

Advantages Disadvantages
 Can tie customer/increase  Can be expensive to implement.
switching costs.
 Can improve customer loyalty and  As a differentiation strategy it is
retention. easily copied.
 Product failure rates can be  Forward integration can increase
reduced. business risk and exit barriers.
 Gives users a voice.  There is a risk of loss of focus on
core competences and activities.