Types of Ec

TYPES OF E-
COMMERCE
Electronic Commerce: Classification
On the basis of type of buyer and seller, EC is classified as:
Business Consumer
Business B2B B2C

Cisco, GEIS Mustafa, FabMart
IndiaMart IndiaTimes.com
C2C
Consumer
C2B
PriceLine.com BaaZee.com
2
Electronic Commerce: B2B
• It requires two or more business entities interacting with each other
directly or through an intermediary.
• The intermediaries in B2B may be the market makers and directory
service providers that assist in matching the buyers and sellers and
striking a deal.
• The business application of B2B electronic commerce can be utilized
to facilitate almost all facets of the interactions among organizations,
such as Inventory Management, Channel Management, Distribution
Management, Order fulfillment and delivery, and payment
management.
• The B2B electronic commerce can be
– Supplier-Centric,
– Buyer-centric, or
– Intermediary-centric.
3
B2B: Supplier-Centric
• A supplier sets up the electronic commerce market place
for various buyer businesses to interact with the supplier at
its electronic market place.
• Typically, a dominant supplier in the domain of products

sets up such a market place.
• The supplier may provide customized solutions and pricing

to fit the needs of buyers’ businesses. Usually, differential
price structure is dependent upon the volume and loyalty
discount.
• Example, Cisco Connection Online (CCO)
4
5
B2B: Buyer-Centric
■ The major business with high volume purchase capacity

creates an electronic marketplace for purchase and
acquisition.
■ The electronic marketplace is used for placing requests for
quotations (RFQs) and carry out the entire purchase process
on-line by the buyer.
■ This kind of facility may be utilized by high volume and
well-recognized buyers, as they may have adequate capacity
and business volumes to lure suppliers to bid at the site.
■ Example, General Electric's Trading Process Network
6
7
B2B: Intermediary-Centric
■ A third party may set up the electronic marketplace and attract both the
buyer and seller businesses to interact
■ The Buyers and Sellers, both benefit from the increased options in terms
of pricing, quality, availability and delivery of goods.
■ The third party electronic marketplace acts as a hub for both the
suppliers and buyers, where buyers place their request for the quotations
and sellers respond by bidding electronically leading to a match and
ultimately to a final transaction.
■ It is essential that Intermediary Company represent large number of the
members in that specific markets segment, i.e., both the buyers and the
sellers.
■ The Intermediary reduces the need of buyers and sellers to contact a
large number of potential partners on their own.
■ Example, IndiaMart.com
8
9
10
Electronic Commerce: B2C
• The two or more entities that interact in this type of

transactions involve a business and a consumer.
• The businesses offer a set of merchandise at given prices,
discounts and shipping and delivery options.
• The sellers and consumers both benefit:
– Through the round the clock shopping
– Accessibility from any part of the world,
– Increased opportunity for direct marketing,
– Customizations and
– Online customer service.
11
Electronic Commerce: C2B
• The transaction originated by the customer have the set
of specifications and the required price for a commodity,
service or an item.
• The business entity is expected to match the
requirements of the consumers to the best possible
extent.
• The Consumer to Business (C2B) enables a consumer to
determine the price of a product and/or service offered
by a company.
• It reduces the bargaining time and increases the
flexibility at sales place for both the merchant and the
consumer.
• For Example, PriceLine.com
12
13
Electronic Commerce: C2C
• It promotes opportunity for consumers to transact goods or services
to other consumers present on Internet.
• The C2C in many a situations models the exchange systems with a
modified form of deal making.
• For the deal making purposes large virtual consumer trading
community is developed. The customer operates by the rules of this
community to compete, check and decide his own basic transaction
prices.
• It mimics the traditional economic activities corresponding to
'classified ads' and auctions of personal possessions.
• Much of the transactions in this category correspond to the small
gift items, craft merchandise and similar items that are normally
sold through the 'flea' markets or Bazaars.
• For Example, Ebay.com, BaaZee.com
14
Business to Employee (B2E)
■ B2E services are typically offered by Intranet Applications to provide all the needed
information to the employees of an organization.
Business to Government (B2G)
■ B2G is similar to B2B except Governments operate under own set of rules that may have
to adhered by other businesses.
■ ompanies sell products, services and information to governments or government agencies
Government to Business (G2B)

■ Information and services are provided by the government to business organizations
through vast network of government websites.
■ Such websites support auctions, tenders and application submission functionalities.
■ A business organization can get the information about business rules, requirement and
permission needed for starting a new enterprise and other specifications.
Government to Citizen (G2C)
■ eGovernance
■ Offer a variety of information and communication technology services in an efficient
and economical manner.
■ Strengthen the relationship between government and citizens using technology.
■ Registration for birth, e-passport, marriage or death certificates.

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TYPES OF E-

Business B2B B2C

• Typically, a dominant supplier in the domain of products

• The supplier may provide customized solutions and pricing

■ The major business with high volume purchase capacity

• The two or more entities that interact in this type of

Government to Business (G2B)

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