IT Management and E-business
E-business has become a household name in this 21st Century. The convenience as well as the little capital involved has made it to be very popular among entrepreneurs. With e-business, a company can start even in a bedroom without any overhead expenses. In 2004, Facebook co-founder Mark Zuckerberg designed Facebook from his Harvard University Dorm room and today it is ranked as the most visited social site with over 845 million users worldwide. With E-business, it’s all about the strategy used rather than the start-up cost. According to Wasserman (2011), E-business involves using the internet technology to manipulate and streamline business processes. It involves increasing sales, reducing costs, providing good customer services, etc. E-business is a very broad aspect of business because it covers a wide range of business activities such as e-mailing, online banking solutions, social sites, etc. E-business is all about leveraging technology to achieve the most important goal of every business which is to make profit. The Different Forms of E-business
According to Reynolds (2010), E-business comes in different forms and structures depending on the parties involved and the transaction. It is important to understand these different forms in order to carefully manage or create an e-business platform. The forms are briefly outlined below; Business-to Business (B2B): This is the electronic transactions between businesses. This form of e-business is said to generate the highest amount of revenue, topping its other counterpart by at least 600%. A lot of companies transact businesses with other companies using their online portals. B2B sites can be further divided into different categories such as product procurement sites, where businesses go and shop from other businesses, specialized industry sites, information sites, and brokering sites. Example of B2B site are sites like Oscommerce, Adobe and Xerox which has a portal where cooperate organizations or small businesses can go and transact businesses. Learning Management Systems like Blackboard and Angel are also forms of B2B businesses because they allow other schools to use their electronic learning system to manage schoolwork for students. Business to Consumers (B2C): This is the transaction of businesses between business organizations and individual consumers. This can be seen as the most popular type of e-business platform. A lot of companies use the B2C platform to run their businesses. EBay is a company that uses the B2C platform to transact businesses because some companies sell their products to individuals on EBay. Other major B2C businesses are TigerDirect, Amazon, Geeks, etc. However there are other businesses that have a B2C platform as well as brick and mortar existence. Such companies are electronic shops like BestBuy which allow customers to also make purchases online. Organizations like insurance companies, banks, and even utility companies now transact their businesses using the B2C platforms. According to Reynolds (2010), B2C Sales in the United States are said to be growing at a rate a 40% annually. This shows how much customers are relying on B2C for their daily transactions. Consumer to Consumer (C2C): This is a more localized type of E-business. It is the transaction of business among customers. A prevailing example of this type of platform is Craigslist which allows people to advertise products or businesses so that other users can transact with them. Another example of C2C platform is KSL which is a localized site where people can publicly advertise their products, services and offer products for sale. KSL is growing really fast, especially in Utah and other states such as Idaho, Arizona, Wyoming and Nevada. E-government: This is when government uses Information technology and electronic means to manage information between the government and citizens. Governments are...
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