E Business Strategy Paper

907 words - 4 pages

PAGE PAGE 1 E-Business Strategy Paper
E-Business Strategy PaperSherry CarpenterUniversity of PhoenixEBUS410Shoumen BardhanSeptember 23, 2006The Four Models of E-BusinessAll of the four models of eBusiness have one thing in common; each describes a transaction occurring between two or more persons and can occur anytime, or anywhere. These transactions typically occur between at least one of the four models of eBusiness. These models include: business to business, business to consumer, peer to peer or consumer to consumer. Knowing which eBusiness model best fits the company's strategy and trends associated with the model will determine a company's successThe Business-to-Business ModelThe Business-to-Business or B2B model consists of activities or transactions that mostly occur between two different organizations. "Business-to-business (B2B) stands for relations between enterprises, contrary to relations between enterprises and other groups (e.g. consumers, public administration). The term is today used in marketing however it was established to describe the electronic communication relations between enterprises in order to distinguish it from the communication between enterprises and consumers B2C." (Wikipedia) In other words, a company's strategy or target market audience includes other businesses, rather than marketing their products or services to the individual or end user. When it comes to eBusiness, it involves not only company's buying or selling to and from each other; it can involve purchasing, inventory management, supply chain management, accounts receivables and payables, channel management, sales, customer service and support.Let us take Dell for example; they are one of the industry's largest eBusiness suppliers. Although Dell sells computers, hardware and other accessories to the public, they also sell in bulk to other businesses as well as offer other solutions to making businesses run its operations easier. "Dell delivers business to business (B2B) transactions that allow your organization to lower their procurement costs……….Dell defines B2B Integration as server-to-server communication over the Internet integrating both systems and business processes to dramatically transform the way we conduct business with our partners, suppliers, and customers." (Dell)More and more businesses have begun their conversion from brick and mortar to an eBusiness. Ebusinesses allow companies to market their products or services to anyone that has a computer and an Internet service provider. In the beginning, the cost of owning a computer was costly, especially for businesses that tend to have several computers. With the increase in competition and technology, the prices have dropped tremendously as well as software, hardware and internet fees making some of the cost of doing business, much lower than in the past. As more and more companies take their businesses online, less staffing is required because this opens the doors to...

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