E-business: The modern trend of conducting
business activities electronically.

Published by Inn-FinIQ | 05th August 2022 | e-business, e-commerce, click and mortar businesses, future of e-commerce, e-business models , e-customers, e-sourcing, e-marketing, e-marketplace, world’s top e-businesses

E-Business

E-Business involves performing the internal and external business processes online with the use of the web, internet, extranets, and any other computer network electronically  (Combe, 2013). Thus, e-business activities include;

With the new technological advancements, more and more modern firms have transformed from traditional Brick and Mortar businesses to e-businesses and Click and Mortar businesses. External Environment developments such as Globalization, Digital Transformation, Internet Accessibility, and Advanced IT Systems have significantly assisted this trend. New business models and e-business strategies are required for such a transition from traditional to e-businesses. Formulation of such e-business strategies requires creativity, analytical ability, and customer-centric thinking with IT knowledge. Increasingly, more businesses tend to implement e-business models as a result of the significant growth and popularity achieved by e-businesses such as Amazon, Alibaba, and eBay lately.

Benefits of E-Business

E-Business and E-Commerce

E-Commerce is a subset of e-business which is a much broader concept than e-commerce which focuses on business processes, whereas e-commerce refers to merely buying and selling goods and services over the internet (Kalakota & Robinson, 2020). With the increase in internet accessibility around globe, e-commerce has become extremely popular among the global consumers (Bloomenthal, 2022). 24/7 availability, wider choice, lesser documentation, convenience, and flexibility are some of the significant benefits of e-commerce compared to traditional business (Özdemir & Çam, 2016). Latest trends in e-commerce include;

E-business Models

  •  B2C – Amazon
  •  B2B and B2C – EBay
  •  B2B – Alibaba
  •  C2C – Fiverr

Challenges and solutions in moving to e-business

There is a significant amount of confidential and sensitive information involved in e-business hence there is a significant risk of data breaches and privacy. It is recommended to be vigilant and back up the data regularly. Also, the lack of human intervention leads to several issues concerning the customers such as loyalty, experience, and converting online shoppers to actual customers. Such customer-related issues could be minimized by engaging in customer interactions such as calls to action, blog posts, and SMS. Competition is another significant factor that gives rise to issues such as pricing; return policy, Omni-channel, and marketing budgets. As a solution to the intense competition, a thorough competitor analysis should be conducted and building brand loyalty could be highlighted as important initiatives

Hi, I am Mohamed
Shuaib

I am an IT manager in one of the leading hotel chains in Sri Lanka. I have been an e-business enthusiast and provide advisory services on e-marketing, e-commerce and e-business strategies.

 

More details about me here

In conclusion, e-businesses and e-commerce have become increasingly important trends in the modern tech-savvy environment which is dominated by the internet. Hence, it is time for companies re-think the use of the internet and technology to update their business models and remain competitive to ensure the long-term survival and sustainability of the business.

Author

INN-FINIQ TEAM

References

Combe, C., 2013. E-business Management . In: E-business Management and Strategy. New York: Routledge, pp. 1-44 . [Accessed 29 July 2022]

Kalakota, R. & Robinson, M., 2020. e-Business. eAI Journal, pp. 22-30. [Accessed 29 July 2022]

Özdemir, A. & Çam, H., 2016. The Importance of E-Commerce in Terms of Local Development: A Study in Turkey. International Journal of Business and Management Invention, 5(1), pp. 09-16. [Accessed 29 July 2022]

 Bloomenthal, A., 2022. Electronic Commerce (Ecommerce). [Online]  Available at: https://www.investopedia.com/terms/e/ecommerce.asp [Accessed 29 July 2022]