Components of Business Model

Business Model
Customer value
Scope
Price
Resources
Capabilities
Implementation

Internet Performance

Environment
 E-commerce Business Models

Business Model
A set of planned activities designed to result in a profit in a market
place.
Virtual store, Information store, Transaction process, on line
marketing, content selling , online service, virtual communities, E-
learning

E-Commerce Business Model

A business model that aims to use and leverage the unique qualities
of the internet and the world wide Web
 Customer
Marketing Interaction
Buyer/seller Advertising Negotiation
Production Payment
Configuration Ordering &
Processing

Delivery
Servicing Processing
Buyer/seller Problem Solving Dispatching
Support Customer
acceptance
Key Ingredient of Business model components

Value proposition
Revenue model
Market opportunity
Competitive environment
Competitive advantage
Market strategy
Organizational development
Management Team
 e commerce process model
Business to business (B2B)
automating supply
increasing business efficiency
Business to Consumer (B2C)
Retail Sales
Customer Support
Consumer to Business organisation (C 2 B)
Consumer to Consumer (C2C)
Online Auctions
In B2C model
•Use of websites or portals to offer information about product
•Interaction with the site
•Order processing system
•Secured payment system
•Delivery system
In B2B Model
•Buyer and seller are business organisations
•Exchange of technical and commercial information
•Transaction based on the information status displayed on buyer
application server
•Uses of supplying parts and component to auto manufacture based
on the inventory levels and production programmer.
In C2B Model

•Customer actions after logging on to seller’s website

•E-commerce application are present the for use of the customer
•Internet banking process works on C2B
•Seeking account balance, payment, money transfer.
In C2C Model

•Customer participation in the process of selling and buying

process through the auction website.
•Website is used for personal advertising of product or services.

All models two channels

One channel deals with information delivery and sharing and
another channel deals with the commercial aspect of buying and
selling.
 The Main Elements of E-
commerce
• Consumer shopping on the Web, called B2C
(business to consumer)
• Transactions conducted between businesses on
the Web, call B2B (business to business)
• Transactions and business processes that support
selling and purchasing activities on the Web
– Supplier, inventory, distribution, payment management
– Financial management, purchasing products and
information