Difference between E-Commerce and E-Business
Examining the difference between e-commerce and internet business is the subject of this article. Many people use the two terms internet business and e-commerce interchangeably; This is despite the fact that these two activities have significant differences with each other. In simple terms, E-Commerce refers to online buying and selling, but Internet business is related to the use of the Internet and the Web to perform all types of transactions.
If you intend to start a web-based company, you must know the differences between these two things; So, Stay with us in the rest of the article to get comprehensive information in this field.
What is e-commerce?
E-commerce refers to transactions that are carried out through the global network of the Internet. Every time individuals and companies buy or sell products and services online, they participate in the e-commerce process. The term e-commerce also includes other activities such as online auctions, Internet banking, payment gateways and online ticket sales.
Types of electronic commerce
E-commerce is divided into 6 different types based on the parties participating in the transaction, which we will mention below:
Business to consumer (B2C) business
B2C e-commerce refers to transactions between a company (seller) and a product or service consumer. This type of business is the most common business model among physical and online retailers.
Business to Business (B2B)
In B2B business, the two parties participating in the transaction are businesses or companies. In other words, in this type of business, one company offers its products or services to another company. This type of E-Commerce is mainly related to the wholesale sector and retail stores do not use this type of E-Commerce.
Consumer-to-business (C2B) business
Consumer-to-business (C2B) business is a form of e-commerce in which consumers provide services to businesses and create value for them. Freelance platform that provides remote services to companies is a common example of this type of business.
Consumer-to-consumer (C2C) commerce
C2C e-commerce refers to transactions between two consumers. In other words, in this type of business, consumers buy and sell products or services without the presence of an intermediary, Amazon and eBay are two popular examples of this type of business.
Government to Business (G2B) Business
G2B trade occurs when a government provides products and services to a company. Government procurement, data centers and e-learning are examples of this type of business.
Government to Consumer (G2C) Business
G2C trade occurs when the government provides products and services to consumers. Obtaining permits and government tenders and auctions are examples of this type of business.
What is an internet business?
Internet business (E-Business) is the use of web, internet, intranet, extranet or a combination of them to do business. In fact, internet business goes beyond buying and selling products and services and includes a wider range of activities such as business processes including supply chain management, online order processing and customer relationship management.
It is worth noting that Internet business processes help companies to manage more effectively and efficiently. It’s also a good idea to take a look at the pros and cons of internet business article
Types of E-Business models
In general, there are two Internet business models, which are mentioned below:
Physical and virtual business model (Bricks and Clicks)
It is a hybrid model used by businesses that operate online and physically. Companies that follow this business model and offer their products and services online also have a place to sell their products and services physically.
Pure Play business model
It is used by companies that offer only one product or service; In this business model, part of the sale is done online and the other part is done offline.
What is the difference between internet business and e-commerce?
- E-commerce is a subset of internet business. In fact, E-Business is any type of business that integrates online technologies into the business model; Meanwhile, E-Commerce happens when a company has an online financial transaction.
Even if no transaction occurs, online technologies for commercial purposes constitute an Internet business. - Generally, the main beneficiaries of e-commerce are customers who are provided with online shopping tools, While the main beneficiaries of the Internet business can be the customer, business partners or suppliers.
- E-Commerce focuses more on the external interactions of companies and consumers through websites, While the internet business for the company’s success focuses on the internal interactions of the company or organization and the relationships between employees in addition to external interactions.
- E-commerce is exclusively conducted on the Internet, but Internet business can be conducted on the Internet, intranet or extranet.
In this article, we mentioned the difference between e-commerce and internet business. With the widespread acceptance of online shopping by consumers, many Internet businesses have been created that take advantage of E-Commerce and it seems that they will prosper even more in the future. Therefore, many businesses will need a suitable and high-speed platform to hold online classes, communicate with customers and train their employees.