E-business markets and models
Chapter 3 identifies and discusses the key markets that exist for e-businesses and the types of business models that can be developed to take advantage of the opportunities that internet trading can provide for achieving competitive advantage and profitability. The chapter starts with an overview of the types of businesses that use the internet as a channel of communication and transaction. The focus is on firms that exist only because of the internet and those traditional firms that use the internet as an added channel of communication between suppliers, partners and customers. This is followed by the identification of the key benefits that the internet offers for e-businesses. The chapter identifies the types of e-marketplaces available to e-businesses, and the advantages they offer to participating firms, before going on to highlight the key characteristics of e-business markets. Although there are many types of e-business markets the discussion in this chapter focuses
mainly on business-to-business (B2B), business-to-consumer (B2C) and consumer-to-consumer (C2C). The discussion on e-business models starts with an overview of what
they are and what they are designed to achieve. This is followed by an outline of some of the most prominent e-business models that have been applied across e-business markets. The emergence of
new models for mobile wireless applications is included. The chapter concludes with a framework for analysing the development and implementation of e-business models.