E-Business Model Essay
An e-Business Model can is said to be an integration of business and trading models combined with associated protocols e.g. HTML, ASP, EBXML, EDI, etc into a business mechanism which uses the Internet as a medium of transaction (McGann 2002). Following are examples of the 5 primary e-business models:
- Business-to-consumer (B2C) – . Here, vendors sell their products over the web to their customers. Barnes & Noble.com is an example, where customers can buy old and new books, DVDs, Toys, games etc. The customers have the flexibility of buying at any time without leaving their home or office. The model of revenue is sales of goods using credit card or services like Paypal.
- Consumer-to-consumer (C2C) – The most popular example of a C2C model is e-bay. Here, people to auction the items they own to other people directly. A person can be both buyer and seller, at the same time. Revenue is generated by transaction fees charged per item sold to buyers and in some cases, sellers
- Consumer-to-business (C2B) – One of the examples for C2B models is com, which allows the consumers who post a message telling the car names, models, price limit etc., and dealers bid for them. Fees paid by participating dealers form the bulk of revenues for this company.
- Business-to-business (B2B) – An example of B2B models is com, which provides corporations with an easy way to distribute safety materials to satellite plants and fill out OSHA reports online. The revenue model is charging for services provided by the company.
- Business-to-government (B2G) – NSW government’s e-tendering is an example of a B2G model. This website is mainly used by the business people to apply to various tenders released by the government. The tender applications usually require fee for the successful submission, which forms the revenue model scheme.
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