The Evolution of E-Commerce
E-commerce evolution has allowed companies to go from storing data on paper in physical filing cabinets to digital storage of much more data on servers. Electronic storage and processing has allowed companies to increase both the volume and speed of data storage and processing. Forecasting that used to be done manually with calculators is now rapid and more extensive using spreadsheets and dedicated computer programs. Businesses store data on customer interactions and can access this data quickly. Future evolutionary trends are toward more data stored in the cloud.
The Internet has become a key e-commerce technology. Evolving from a ...view middle of the document...
A new sector of business has evolved around digital products that are downloaded from company servers via the Internet. E-commerce products such as e-books and MP3 tracks are suitable for delivery in this way. Apple's iTunes store and Amazon's Kindle are examples of successful e-commerce based on digital products. The software market is evolving into an e-commerce model where companies offer applications for downloading and no longer sell the programs on CDs or DVDs. E-commerce based on digital products have lower costs associated with manufacture and delivery, while companies have been able to maintain prices at higher levels, increasing profitability.
The Types of E-Commerce
* Business-to-Business (B2B):
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 segment. The B2B market has two primary components: e-frastructure and e-markets.
* Business-to-Consumer (B2C):
Business-to-consumer e-commerce, or commerce between companies and consumers, involves customers gathering information; purchasing physical goods (i.e., tangibles such as books or consumer products) or information goods (or goods of electronic material or digitized content, such as software, or e-books); and, for information goods, receiving products over an electronic network. It is the second largest and the earliest form of e-commerce.
* Business-to-Government (B2G):
Business-to-government e-commerce or B2G is generally defined as commerce between...