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AAMBC MIS 2024

Table of Contents
1 Global E-business ........................................................................................................................ 2

1.1 Global E-Commerce Business Model? ................................................................................. 2

1.2 Opportunity /Advantages of Global E- Business .................................................................. 5

1.3 Challenges of global E Business. .......................................................................................... 6

2 E-business (electronic business) .................................................................................................. 7

2.1 Different types of E-business models.................................................................................... 8

2.2 Opportunity of E- business/Advantages of E-business ......................................................... 9

2.3 Challenges of E-business .................................................................................................... 11

3 M-Business ................................................................................................................................ 11

3.1 Opportunity / the advantages of m-Business....................................................................... 12

3.2 Challenges of m- Business .................................................................................................. 13

4 How business use information System. ..................................................................................... 14

4.1 Opportunity’s /Benefits of information systems in business .............................................. 15

4.2 Challenges of information systems in business................................................................... 16

Reference ...................................................................................................................................... 18

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1 Global E-business
Global ecommerce is the process of selling products or services online across geopolitical borders
to customers in foreign countries. Compared to local ecommerce, in which a retailer only sells
within its country of origin, global ecommerce allows merchants to expand into non-native markets
and reach new customers.
A global business is a company that operates facilities (such as factories and distribution countries)
in many countries around the world. This is different from an international business, which sells
products worldwide but has facilities only in its home country.

Examples include Amazon, eBay, and Uber. B2B (Business-to-Business): A B2B e-business sells
products or services to other businesses. Examples include Alibaba, Thomas Net, and Salesforce.
C2C (Consumer-to-Consumer): A C2C e-business allows consumers to buy and sell goods and
services directly to each other.
The 4 Main E-commerce Business Models for Building a Successful Online Store main image
Running your own online business can be highly profitable, but it is not as simple as building a
store and hoping for the best. You still need to have a set of business goals that will make your e-
commerce store successful.
That's why, in this post, we will cover the four main types of e-business models and how they can
help you build a successful e-commerce business.

1.1 Global E-Commerce Business Model?


An e-commerce business model is a company's plan for how it will monetize selling products or
services online. There are many ways to do this, but some common e-commerce business models
include selling goods directly to consumers, selling goods to other businesses, or providing digital
services.
The 4 Major Global E- Business Models
There are many types of e-commerce business models. With examples, we cover the most popular
ones here.
1. Business-To-Consumer (B2C)
Business-to-consumer refers to transactions in which a business sells its products or services to
consumers. B2C is the most common e-commerce business model, and, therefore, many online

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niches fall into this category. They often use digital marketing for their e-commerce business
success.
Example of B2C
Think of a clothing, entertainment, and household supplies retailer like Walmart, which sells
products to individual consumers online.
The main advantages of B2C include:
 Potentially endless customer base.
 Greater potential for sales and profits.
The disadvantages of B2C include:
 Competitive business niches.
 Difficulties presented by customer service and return policies.
2. Business-To-Business (B2B)
A business-to-business e-commerce model is one where a business sells its products or services to
other businesses rather than to consumers. This model is generally associated with high-end, high-
priced products or services in industries in which the bulk of the revenue is generated by business
purchases. The business-to-business model generally ends at the purchase stage—the company
sells its product to another company, which then sells it to its customers.
Example of B2B and B2G
Think of an online retailer like Amazon that uses the B2B and B2G e-commerce business model.
Amazon.com sells various products and services to businesses, including books, software, and
electronics. In addition, Amazon has developed several web-based applications specifically for
government entities, such as Amazon's Web Services (AWS), Go Cloud.
The main advantages of B2B or B2G include:
 Larger orders.
 Fewer transactions.
 Shorter cycle times.
The disadvantages of B2B or B2G include:
 Limited customer base compared to B2C.
 Potentially higher customer demands, like product customization and pricing options.
3. Consumer-To-Business (C2B)

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A slightly less common but no less effective strategy is the consumer-to-business e-commerce
model. C2B involves a consumer selling their products or exchanging their services directly with
businesses. This generally occurs without the need for a middleman, such as a manufacturer or a
wholesaler.
Example of C2B
Think of an online review website like Yelp or a social media platform like Facebook where
consumers leave customer reviews, participate in company surveys, or even share product-focused
social media content as an influencer. This is done in exchange for some kind of perk like the
chance to win a prize, receive a discount, or be awarded a free product.
The main advantages of C2B include:
 Affordable or free advertising.
 Potentially limitless brand awareness.
The disadvantages of C2B include:
 Unpredictable outcomes.
 The potential for negative responses.
4. Consumer-To-Consumer (C2C)
C2C, also referred to as peer-to-peer (P2P), is an e-commerce business model where a consumer
sells their products or services directly to other consumers. It contrasts with business-to-consumer,
where the focus of the business is selling products or services to consumers. C2C is a very popular
e-commerce model as it allows business owners to broaden their customer base and reach a larger
audience.
Example of C2C
C2C websites are often referred to as P2P selling platforms. The concept is very similar to
classified ads, which are often posted locally at a neighborhood or community level. Think of
something like Facebook Marketplace, which is essentially a sub-platform of Facebook's main
platform a place that connects consumers with other consumers.
The main advantages of C2C include:
 Potential for high margins.
 Low to zero manufacturing costs.
The disadvantages of C2C include:

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 Highly competitive market.
 Increased potential for scams.

1.2 Opportunity /Advantages of Global E- Business


A global business is a company that operates facilities (such as factories and distribution centres)
in many countries around the world. This is different from an international business, which sells
products worldwide but has facilities only in its home country.
For Businesses:
 More brand awareness: By developing your brand in other markets, you may reach a
larger audience of potential customers. This ultimately boosts sales by increasing brand
recognition and trust.
 Expanded consumer base: Expanding into new areas and raising brand awareness to
expand your company’s potential clientele.
 Discovery and development of new locations: It is a significant factor in why an online
company can try to reach a worldwide clientele. Before opening a physical site in a foreign
nation, expanding your business abroad enables you to ascertain whether specific sectors
will be profitable.
Customer advantages include:
More product preferences: Customers worldwide gain from e-commerce by obtaining a more
comprehensive range of products. They may be quite desired in nations or areas that do not create
their items and services.
Rapid growth in information between customers and the business: A well-planned global e-
commerce program makes it possible for companies to communicate more effectively with their
customers.
 Cost reduction
Businesses find many advantages to e-commerce such as cost reduction and customer data.
Consumers enjoy the advantages of 24/7 shopping from their homes...
Lower start-up cost. Compared to traditional retail stores, pure-play e-commerce businesses can
avoid a lot of upfront start-up costs.
With e-commerce business, the suppliers can decrease the cost of managing their inventory of
goods that they can automate the inventory management.

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One of the primary benefits of ecommerce is the absence of a middleman, which results in a
substantial cost reduction.
 Customer data insights
For example, using data insights, an online retailer can email potential customers who have
abandoned their carts, motivating.
If businesses wish to achieve an exceptional customer experience, they simply need customers'
data.
Another benefit of online selling that you might not have considered is the ease with which
consumer data can be collected, analyzed.
 More informed decision-making
Information is literally at your fingertips when buying online, including:
 Reviews from real customers – this is probably the most effective
 Product descriptions
 Usage videos
 Product guides
 Social validation
Comparison shopping is another one of the top benefits of e-commerce to consumers, who can
easily compare products, brands, and websites with even side-by-side comparison possible. Many
comparison shopping sites exist with the sole purpose of enabling consumers to compare products
side-by-side based on price and discount metrics.
 Open always
When you sell online, your business is open 24/7/365. Even though your customer support may be
sleeping, automation ensures that the rest of the sales process is always flowing and consumers
can buy on any day, at any time.
 Scalability
Unlike traditional businesses, e-commerce offers seamless scalability, particularly in customer
outreach. Physical storefronts face limitations, requiring.

1.3 Challenges of global E Business.


 Growing competition.
 Increased customer expectations.

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 Insufficient customer engagement.
 Low conversion rates.
 Shopping cart abandonment.
 Poor customer retention strategy.
 Complicated process of product return & refund.
 Limited scalability options.

2 E-business (electronic business)


E-business (electronic business) is the conduct of online business processes on the web, internet,
extranet or a combination thereof. These customer-, internal- and management-focused business
processes include buying and selling goods and services, servicing customers, processing
payments, managing production and supply chains, collaborating with business partners, sharing
information, running automated employee services and recruiting employees.

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E-business is similar to e-commerce but encompasses much more than online purchasing
transactions. Functions and services range from the development of intranets and extranets to the
provision of e-services over the internet by application service providers. Enterprises conduct e-
business to buy parts and supplies from other companies, collaborate on sales promotions and
conduct joint research.
Corporations are continuously rethinking and reshaping their business models influenced by
advanced technologies, hybrid workforces, heightened customer expectations and, specifically, the
internet's availability, reach and ever-changing capabilities. The growth of e-business in recent
decades has given rise to new business requirements. Consumers expect organizations to provide
self-service options to conduct transactions, personalized experiences, and speedy, secure
interactions. New regulatory laws and best practices for keeping electronic data secure have been
established. Companies have adopted stringent security protocols and tools, including encryption,
digital certificates and multi-factor authentication, to protect against hackers, fraud and theft.

Cybersecurity has become ingrained in e-business with deployments of endpoint device security
and advance detection and response capabilities. Security is built into browsers, and digital
certificates are now available for individuals and companies from various vendors providing
cybersecurity tools and technologies. Even though securing business transactions on the web
remains a pressing issue for consumers and enterprises, e-business continues to grow at a healthy
pace.

2.1 Different types of E-business models


1 Business-to-consumer (B2C) model. Sellers offer products and services directly to consumers
online, and the buyer purchases them via the internet.
2 Business-to-business (B2B) model. Companies use the internet to conduct transactions with
one another. Unlike B2C transactions, B2B transactions usually involve multiple online
transactions at each step of the supply chain.
3 Consumer-to-business (C2B) model. Consumers create their own value and demand for goods
and services. Examples include reverse online auctions and airline ticket websites such as Priceline
and Expedia.

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4 Consumer-to-consumer (C2C) model. Consumers are buyers and sellers via third-party-
facilitated online marketplaces such as eBay. These models generate revenue through personal ad
fees, charges for memberships and subscriptions, and transaction fees.

2.2 Opportunity of E- business/Advantages of E-business


A. 24/7 Availability
A website is essential for any e-business model or owner, providing various business advantages.
An e-business enables 24/7 availability, unlike a traditional business that adheres to regular 9-to-
5 hours. This is the most significant advantage of having an online store.
Running an online store means customers can shop conveniently when it suits them, without
needing to pay for staff. This improves customer experience and loyalty. They only require internet
access, a phone or computer, and online payment options to receive debit or credit card payments.

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Businesses may find features like storage spaces for their physical products more cost-effective
than retail spaces as they do not have to factor in considerations such as foot traffic and parking
for potential customers.
B. Global Reach
The internet allows companies to expand their customer base beyond geographical boundaries.
Such businesses can track visitor engagement with tools such as Google Analytics.
According to survey data, the startup costs for a drop shipping store in 2019 were approximately
$418. Shopify-hosted e-commerce stores generally incur a yearly virtual rent expense of no more
than $3192.
C. Quick Updates
You can update promos, holiday specials, shipping costs, and other marketing content on websites,
blogs, social networks, and digital campaigns. Email marketing is another excellent way to inform
your audience about updates worldwide. An E-Commerce business can benefit significantly from
email campaigns. Additionally, if you have a physical store, you can encourage people to visit it
through email marketing.
D. Customer Profiling
Digital marketing strategies used on your e- commerce platform allow you to monitor visitor or
customer behavior, such as time spent on the website, pages viewed, and total amount paid.
Data on your customer base is invaluable. It enables you to customize your product or service to
fit their needs. You can capture such data through websites, e-commerce stores, apps, or social
media accounts connected to your business. This data is crucial for creating an effective marketing
and business strategy.

Utilizing customer information can enhance their online shopping journey, increasing the
likelihood of converting visitors into customers.
This article explains how tracking user journeys from online sources, such as organic search and
PPC ads, can help reveal insights about keywords, pricing, user experience and more. SEO experts
can assist if required.

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2.3 Challenges of E-business
The types of challenges presented by electronic business vary from one organization to another,
depending on a host of factors, including whether the company was born digital, whether digital
services power the company's core value proposition, whether digital services are used for e-
business in only parts of the company's operations and whether the company houses legacy
technology. Despite the various levels of digital transformation, e-business challenges have a
common thread that include the following:
 Securing e-business services against increasingly sophisticated cyber threats.
 Scaling services fast enough to meet demand without jeopardizing performance.
 Evolving technologies fast enough to keep pace with changing market dynamics.
 Finding and training skilled workers to keep pace with advanced technologies; and
 Keeping pace with e-business capabilities that, by their electronic nature, are always on.
Additionally, many companies struggle to integrate their stilled data and functions with e-business
services to converge and work seamlessly together.
The various challenges which are highlighted are the Delivery Challenges, Payment challenges,
After-sales Service challenge, and challenge of Consumer's Behavior in adopting these kinds of
businesses.

3 M-Business
Mobile business (m-business) refers to new business models enabled by the extensive
deployment of key mobile and wireless technologies and devices (for example, Bluetooth, e-
purses, smartphones, UMTS and WAP), and by the inherent mobility of most people’s work
styles and lifestyles. The value proposition of m-business is that the user can benefit from
information or services any time and in any place.
M-commerce (mobile commerce) is the buying and selling of goods and services through
wireless handheld devices such as smartphones and tablets. M-commerce is a form of e-
commerce that enables users to access online shopping platforms without the use of a desktop
computer.

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Examples of M-commerce –
1. In-app purchasing
2. Mobile banking
3. Virtual marketplace apps like the Amazon mobile app or a digital wallet such as Apple
Pay, Android Pay, and Samsung Pay.
4. Mobile ticketing
Types of M- Business

3.1 Opportunity / the advantages of m-Business


Large customer base. M-commerce provides for a larger customer base and better retention than
e-commerce in general, because m-commerce capabilities are more widely and easily accessible.
Also, mobile analytics offers insights into customer shopping behavior, pattern and history. To
boost retention rates, businesses can use this data to target shoppers with personalized offers and
tailor-made discounts.

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Convenience. M-commerce makes it easier for customers to compare prices, read reviews and
make purchases when and where they want to do these things.
Product variety. Customers can browse through a huge inventory of products while also taking
advantage of the competitive pricing.

Automation. M-commerce automates a business's point of customer contact and sales with a
variety of mobile contactless payment options, such as Apple Pay, PayPal One Touch and Visa
Checkout. Many e-commerce sites also offer one-click checkout process functionality, which
enables users to add payment information only once and then use the one-click option for every
purchase made thereafter.
Omni channel experience. M-commerce creates an Omni channel experience where products can
be sold via multiple channels -- e-commerce websites, Amazon, eBay, Instagram. This approach
makes it easier for customers to buy whenever and wherever they want.

Generally M Business has the Following opportunities


 Increases the amount of customer retention by being easily accessible to them
 Wider variety of commodities and services
 More options for selecting the product
 Convenient for the consumer to compare the pricing, product reviews, and making
purchases without the use of a computer.
 Multiple options for payments like the credit card and debit card payments,
 Better user experience

3.2 Challenges of m- Business


Poor execution. The smaller screens of mobile phones and tablets require specific navigation
functionality. Consequently, intuitive mobile user interfaces are complicated and expensive to
design. A poorly executed mobile customer experience can frustrate customers and deter them
from making purchases.
Payment issues. Mobile payment options are not available in every geographic location and may
not support every type of digital wallet.

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Tax compliance. Businesses must know and comply with tax laws and regulations of all
countries they ship to. Some businesses will avoid this by only authorizing purchases from and
shipping to their country of origin.

Security vulnerabilities. Many users are still hesitant to make purchases over a mobile device
because of security risks. Even with two-factor authentication, mobile fraud is on the rise and
many merchants have still not adopted fraud prevention practices for the smaller screen. Attacks,
such as SIM swaps and mobile malware, are becoming more common and can discourage users
from making payments through their mobile devices.
Finally M Business have the following challenges on the business world
 The technology required to set up M-commerce at the moment is very expensive.
 The initial cost to begin a business is very high.
 In developing countries, the network signal is not very good and the providers are not
capable of providing good speed. Due to this, it is not suitable for data transfer.
 There is a risk of security- Although it is quite safe these days, there is always a chance
of data leaking and intrusions.
 A poorly designed app can lead to lesser number of purchases because of customer
dissatisfaction.
 Mobile payment is still not available across many locations in the world.

4 How business use information System.


The business world, information systems are used for a wide variety of purposes. They can track
inventory levels, customers, sales, and much more. Businesses use these advanced systems to
make decisions about their operations.
For example, they might use information systems to determine where to open new stores or how
to allocate resources.
Information systems give businesses a competitive advantage by helping them save time and
money, and they can help businesses make better decisions by basing their strategies and tactics
on concrete data and mitigating mistakes that may happen throughout the regular course of
business.

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Companies and organizations employ information systems to communicate and work with their
customers and suppliers, manage the organization, perform essential business operations, and roll
out and maintain marketing campaigns.
Running a successful business requires high-quality information systems to process all financial
and organizational data. If you are like most people, then your company has encountered data-
related issues with accuracy and reliability which have slowed down your workflow drastically.

4.1 Opportunity’s /Benefits of information systems in business


Even the simplest use of technology can dramatically improve your business' productivity and
efficiency. Arguably, the greatest benefit of information systems is their ability to give users the
information they need to carry out tasks efficiently
IT systems can produce:
 custom data to help with a specific task or decision-making
 custom format (e.g. list, chart, etc.) which can be tailored to the user's need
 real-time data, particularly useful where fast action is needed (eg mechanical fault)
 archived data, particularly useful for reports, analysis and business planning

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Other advantages of information systems
 operational efficiencies
 cost reductions
 Supply of information to decision-makers
 Better customer service
 Continuous availability of the systems
 Growth in communication capabilities and methods
To maximize the benefits of your IT system, you have to fully utilize all its features and functions.
For example, you can:
Use instant messaging, emails, voice and video calls, and even Chabot technology to improve
communication with customers and suppliers. This could save you time, money and effort, allowing you to
react quickly to new work.
Integrate your back-office systems to reduce administrative costs. For example, you can link your
online e-commerce shop front with stock control and accounting systems to streamline your
processes.
Use labelling products with unique numbers and scan able barcodes to boost your efficiency, and
improve your stock control and supply chain management.
Use different solutions, such as customer relationship management systems or mobile technology,
to improve levels of customer service. These may help you record, organize and plan contact with
customers, access customer details on the go and view customer interactions.

4.2 Challenges of information systems in business


The major problem areas are design, data, cost, and operations. Problems with an information
system's design, data, cost, or operations can be evidence of a system failure. The actual design of
the system may fail to capture essential business requirements or improve organizational
performance.
An information system is a system that people use to collect, store, process, and distribute
information. Information systems are used in a variety of ways, including:

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To help people make decisions to track inventory to process transactions to control production to
track customer relationships However, information systems can also pose challenges for
businesses and organizations. These challenges can include:
1. Ensuring accuracy and completeness of data:
Data is the lifeblood of an information system. Inaccurate or incomplete data can lead to incorrect
decisions, wasted resources, and unhappy customers.
2. Maintaining security:
Information systems often contain sensitive data, such as customer financial information or
proprietary business information. This data must be protected from unauthorized access to prevent
data breaches and other security threats.
3. Keeping up with change:
Technology is always changing, and information systems must change with it to stay relevant.
This can be a challenge for businesses, as they must continually invest in new hardware, software,
and training to keep up with the latest changes.
4. Dealing with complexity: Information systems can be complex, involving many different
hardware and software components that must work together seamlessly. This can make it difficult
to troubleshoot problems or make changes to the system.
5. Managing costs: Information systems can be expensive to develop and maintain. Businesses
must carefully manage their costs to ensure that their information system is a good investment.

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Reference
1.Au, Y. A Kauffman,RJ (2007).The economics of mobile payment : understanding
stakeholder issue for an emerging financial technology application, Electronic
Commerce Research and Application.
2 Pandy, S. (2013, april23) Artil money. (G.S.Shabhy Interviewer) Mumbi,
Maharastra.India
3 Carlsson, Christer (2000) Decision support in virtual organization. The case for
multi agent support, group decision and negotiation11.185-221.
4 M- business; the race to mobility, McGraw-Hill
Zabala, H. (2000), M commerce, The next Big thing? Asian Business, June 34-35

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