E-commerce Business Models and Concepts B2B, C2C and M-commerce E-Commerce Business Models Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall

B2B Business Models E-distributor Private industrial network Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall

B2B Models: E-distributor Version of retail and wholesale store, MRO goods, and indirect goods Owned by one company seeking to serve many customers (Businesses) Revenue model: Sales of goods, Advertisement Example: tradekey.com.pk, Grainger.com, Cisco, Dell.inc, BestBuy.com, pakbiz.com, pakimpex.com Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall

Private Industrial Networks As the name suggests, private industrial networks are web-enabled networks that coordinate transactions between specific companies — in all aspects and all divisions: suppliers, distributors, retail, procurement, delivery and so on. Such systems are also called collaborative, as they facilitate efficiencies throughout the network. Many large companies (Wal-mart, Agentrics, Coca-Cola, Nike, Hewlett-Packard, IBM, Microsoft, Cisco Systems, Dell and General Electric) operate private industrial networks, which indeed form the largest part of B2B ecommerce today. Copyright © 2010 Pearson Education, Inc.

Specific objectives include: More efficient buying and selling throughout an industry. Resource planning on an enterprise- and industry-wide scale. Increased supply chain visibility to all interested parties, i.e. inventory levels of buyers and suppliers can be monitored and kept to efficient levels. Closer relationships between buyers and suppliers, improving demand forecasting, communications and conflict resolution. Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall

Private Industrial Networks Copyright © 2010 Pearson Education, Inc.

Example : Ace Hardware Ace Hardware, a cooperative of 5,100 retail stores employs a private industrial network to manage inventory levels and link with suppliers. Previously, some 30 procurement managers were employed and some 7-10 days were required to process an order. These have been replaced with 14 Ace distribution centers and 9 key suppliers. And whereas suppliers previously had no access to Ace inventory levels, they can now forecast demand with some accuracy. Manco, one supplier of 200 products, has been able to reduce distribution costs by 28% and freight costs by 18%. Copyright © 2014 Pearson Education, Inc. Publishing as Prentice Hall

Business Models in Emerging E-commerce Areas Consumer-to-consumer (C2C) Examples: eBay, olx, Half.com, pakwheels.com etc. Copyright © 2010 Pearson Education, Inc.

Business Models in Emerging E-commerce Areas M-commerce: Mobile e-commerce (m-commerce) is a term that describes online sales transactions that use wireless electronic devices such as hand-held computers, mobile phones or laptops. E-commerce models using wireless technologies (2G EDGE, 3G, 4G & LTE) 3G, 4G, and LTE refers to the generation of network technology. Technology platform continues to CHANGE, The basic difference between them is the speed of the network. the older models may not support the newer data network technology.  iPhone 6 Plus, iPhone 6, iPhone 5S, and the iPhone 5c. All these models support LTE. In the PAKISTAN, demand highest for digital content such as email, maps, ecommerce, social media and Internet browsing. So Mobile Companies continue to upgrade their Networks for 3G, 4G & LTE technology. Copyright © 2010 Pearson Education, Inc.