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Contents:-

Introduction of E-Business Models


Reasons of using E-Business Models
Different types of E-Business Models
Advantages of E-Business Models
Disadvantages of E-Business models
 A business model is a company's
plan for how it will generate
revenues and make a profit. It
explains what products or services
the business plans to manufacture
and market, and how it plans to do
so, including what expenses it will
incur.
 1. Reduce cost :-first reason might be that e
Business will reduce costs. It is clear that costs
are incurred to design, implement, and
maintain an e Business solution. So there must
be significant cost savings elsewhere for this
reason to be valid.
2. Increase customer base :-The second reason
to adopt e Business might be to increase the
customer base.
 3.Match the established competition :- The
third reason to adopt e Business might be that
established competitors are doing it. Although
this is difficult for any enterprise to ignore,
there are still reasons to be cautious. Just
because a competitor is doing it does not
necessarily mean it is the right thing to do.
Again, much will depend on your objectives .
 4. A formalised e- business model can help
identifying the relevant measures to follow in
an e-business .
 At the heart of this model are third parties known
as brokers, who bring sellers and buyers of
products and services together to engage in
transactions.
 Characteristic of Brokerage Model:-
 The price discovery mechanism is its key-
principle
 It is meeting point for seller and buyers
 It is free market
 It consists of global network of buyers and sellers
 The web-advertising model is an extension of the
traditional media broadcast model. The
broadcaster, in this case, a web site, provides
content (usually, but not necessarily, for free) and
services (like e-mail, chat, forums) mixed with
advertising messages in the form of banner ads.

Portal -- is a point of entry to the web, usually a


search engine that includes diversified content or
services. The high volume makes advertising
profitable and permits further diversification of
site services.
Classifieds -- list items for sale or wanted for purchase. Listing fees are common,
But there is also may be a membership fee

Contextual Advertising – sells favorable link positioning


to particular search terms in uses query.
 Electronic commerce business model where a
firm (that does not produce or warehouses any
item) collects (aggregates) information on
goods and/or services from several competing
sources at its website. The firm's strength lies in
its ability to create an 'environment' which
draws visitors to its website, and in designing a
system which allows easy matching of prices
and specifications. See also affiliate model.
 The infomediary business model recognizes
that there is value in this personal data and the
infomediary seeks to act as a trusted agent,
providing the opportunity and means for
clients to monetize and profit from their own
information profiles.
 A organizer of virtual community is
called an information mediary
 COMMUNITY MODEL. The community
model is a method of developing an online
presence in which several individuals or
groups are encouraged to join and participate
in ongoing interaction designed around a
common purpose.
 The idea of the value chain is based on the
process view of organizations, the idea of
seeing a manufacturing (or service)
organization as a system, made up of
subsystems each with inputs, transformation
processes and outputs. Inputs, transformation
processes, and outputs involve the acquisition
and consumption of resources – money,
,materials, equipment, buildings, land.
The subscription business
model is a business model
where a customer must pay a
subscription price to have access
to a product or service. The
model was pioneered by
magazines and newspapers, but
is now used by many businesses
and websites.
 A model predicated on the power of the web to
allow a manufacturer (i.e., a company that
creates a product or service) to reach buyers
directly and thereby compress the distribution
channel. The manufacturer model can be based
on efficiency, improved customer service, or a
better understanding of customer preferences.
 The affiliate model of business, in which a
business pays commissions to sellers for
performing an action, is one seen largely
online. That action is usually securing a sale,
but there are other payment methods, such as
getting a customer to fill out a form, click an
ad, or just visit the company's website. The
affiliate model requires an advertiser — the
business with the product — and a publisher,
the person bringing in sales. In this business
model, both partners are making money, but in
different ways.
Advantages of E-Business Model

1. Save Money
2. Better communication
3. Cheaper Marketing
4. Less restrictive hours
Disadvantages of E-Business

1.Sectoral limitations
2.System up gradation
3.Security
Thanking you
Presented by :-Martina
Ankita ,Nishi

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