During this week’s lecture, Mr. Venkat has discussed the “IT in Consumers Eyes: E-commerce marketplaces”. This is a quite interesting topic, because it is closely linked to our lives. Nowadays, people are used to shop online with many famous online shopping websites, such as eBay, Taobao, and amazon.com. Apple is becoming much more such successful because of its e-commerce application – iTunes. Mr. Venkat has provides us an in-depth view about e-commerce and what the types, benefits, and issues of e-commerce. For this weekly journal, I would like to do research on e-commerce and gain more insightful knowledge about e-commerce.
What is e-commerce?
Electronic commerce or e-commerce refers to many kinds of online business activities for products and services. It is also any form of business deal in which the people act together electronically rather than by direct physical contact. E-commerce is usually connected with buying and selling over the Internet, or doing any business involving the change of ownership of goods or services through a computer network. Though popular, this definition is not big enough to show recent changes in this new and revolutionary business trend. Today this type of business includes many different types of business.
The history of e-commerce
The following info graphic displays the uncommon spectacle of the e-Commerce-related milestones, integrating the variety of interesting historical facts.
The picture is from TemplateMonster Blog.
There are 4 different types of e-commerce?
During this week’s lecture, Mr. Venkat has mentioned a few types of e-commerce. The major different types of e-commerce are: business-to-business (B2B); business-to-consumer (B2C); business-to-government (B2G); consumer-to-consumer (C2C); and mobile commerce (m-commerce).
“What is B2B e-commerce?” B2B e-commerce is simply defined as e-commerce between companies. This is the type of e-commerce that deals with relationships between and among businesses. About 80% of e-commerce is of this type, and most experts predict that B2B e-commerce will continue to grow faster than the B2C e-commerce.
“What is B2G e-commerce?” Business-to-government e-commerce or B2G is generally defined as business between companies and the public sector (government). It refers to the use of the Internet for public buying, licensing procedures, and other government-related operations. This kind of ecommerce has two features: first, the public sector assumes a leading role in establishing ecommerce; and second, it is assumed that the public sector has the greatest need for making its procurement system more effective.
“What is C2C e-commerce?” Consumer-to-consumer e-commerce or C2C is simply commerce between private individuals. This type of e-commerce is characterized by the growth of electronic marketplaces and online auctions, particularly in vertical industries where firms/businesses can bid for what they want from among multiple suppliers. It perhaps has the greatest potential for developing new markets.
“What is m-commerce?” M-commerce (mobile commerce) is the buying and selling of goods and services through wireless technology-i.e., handheld devices such as cellular telephones and personal digital assistants (PDAs). Japan is seen as a global leader in m-commerce.
Impact of the Internet on e-commerce
Before the Internet was used for commercial purposes, companies used private networks-such as the EDI or Electronic Data Interchange-to transact business with each other. That was the early form of e-commerce. However, installing and maintaining private networks was very expensive. With the Internet, e-commerce spread rapidly because of the lower costs involved and because the Internet is based on open standards.
How is the Internet relevant to e-commerce? The Internet allows people from all over the world to get connected inexpensively and reliably. As a technical infrastructure, it is a global collection of networks, connected to share information using a common set of rules. Also, as a vast network of people and information, the Internet is an enabler for ecommerce as it allows businesses to showcase and sell their products and services online and gives potential customers, prospects, and business partners access to information about these businesses and their products and services that would lead to purchase.
Finally, based on above discussion, I have discussed a brief definition of e-commerce, major four types of e-commerce and how the Internet affects on e-commerce. In addition, I find an interesting viedo from the Internet in the following
- TemplateMonster Blog. (2011). The history of e-commerce: Timeline Infographic.
- Schone, Steve. (2004). M-commerce. Computer technology review, 24 (10), 1.
- Movahedi-Lankarani, Stephanie Jakle. (2002). E-commerce: Resources for doing business on the Internet. Reference and user services quarterly, 41 (4), 316.