Electronic retailing, commonly known as e tailing, is one of the most significant subsets of the global e commerce industry. Business models for e commerce a companys business model is the way in which it conducts business in order to generate revenue. Business to consumers btoc or b2c is the second largest and the earliest form of e business, the origin of which can be traced to e tailing or online retailing. Etailing business models in order to better understand etailing, lets.
Etailing in india need for a critical mass growth in e commerce will come not from welldesigned websites or webmarketing but from deeper penetration of the internet. Etailing market industry analysis, share, size, trends. In general, etailing industry, from a business perspective offers an opportunity to cater to consumers across geographies, no operational timings, unlimited shelf space and all. The name is a derived from thetraditional building materials associated with physical buildings bricks andmortar.
Etailing business models archives superb essay writers. Definition etailing or electronic retailing may be defined as use of internet to sell goods and services online. Business to business a website following the b2b business model sells its products to an intermediate buyer who then sells the product to the final customer. Discuss the online employment market, including its participants, benefits, and limitations. Retail management i about the tutorial retail management is an activity of selling products or services to their endusers. E retailing can be achieved with the help of the following two types of systems gilbert, 2003. Discuss the advantages of established clickandmortar companies such as walmart over pureplay e tailers such as. This particular report focuses on trends and metrics in the following areas. E tailing market is primarily driven by increasing consumer spending over internet to purchase the products or services. Thursday week 4, by 4pm description of the task you are required to prepare an issues paper a discussion of views of 20002500 words in length relating to some current aspect of ecommerce. The bcg matrix classifies a company according to three primary business interests or units bcg matrix, 2012, net mba. Etailing is the practice of selling retail goods on the internet. E tailing business models direct sales by manufacturers virtual pureplay e tailers firms that sell directly to consumers over the internet without maintaining a physical sales channel clickandmortar retailers brickandmortar retailers that offer a transactional website from which to conduct business brickandmortar retailers. In the indian fmcg business, margins are as low as 10 per cent.
Bus 352 week 2 dq 1 etailing business models etailing business models etailing business models. According to all available data, ecommerce sales continued to grow in the next few years and, by the end of 2007, ecommerce sales accounted for 3. The internet economy is a broader concept than e commerce and e business. The term brick and mortar business is used to refer to a company thatpossesses a building or store for operations. Etailing or electronic retailing may be defined as use of internet to sell goods and services online etailing is the practice of selling retail goods on the internet. It includes the purpose and goals of your company and how it intends to achieve them. The automotive e tailing includes both business to business and business toconsumer sales.
The internet is used to process all electronic transactions. Define and describe the primary e tailing business models. Innovative business models, for example fastfashion e. It also introduces you to visual merchandising, retail marketing mix, and e tailing. In the dynamics of e tailing s evolutionary change, a fourphase.
Digital business models, through their effects on market outcomes, may have both a direct and indirect effect on business performance. This group of retailers includes companies selling finished goods or products to. The key difference between e tailing and e commerce is that e tailing is the activity of selling of retail goods on the internet whereas e commerce is the commercial transactions conducted by electronic means on the internet. The global etailing market accounts for a significant revenue share of the global e commerce market, owing to its dominance in online business and trade operations. It 6062 teaching scheme credits and hours teaching scheme total credit evaluation scheme l t p total theory mid sem exam cia pract. Today, modernization is the catch phrase and the key to understanding retail in the next decade. Retailers who ignore e commerce may see their trade lessening as customers continue to shift to ordering products online. The internet economy is a broader concept than e commerce and ebusiness. The evolutionary perspective is applied to e tailing in an attempt to capture and assess its past and projected future evolution. In this amazon pestle analysis we will discuss the opportunities and threats of external environment of this e retail business. This group of retailers includes companies selling finished goods or products to consumers online directly through their websites. E tailing will emerge as a viable third alternative by which corporatized retail can expand its share of the total retail pie. In the new economy, companies are creating new business models and reinventing old models.
Ijcsitperformance evaluation of ecommerce web sites in. Request pdf strategies and business models in electronic retailing. The matrix is represented in the form of four quadrants. Iot business model e tailing market e tailing business. While this simple phrase seems to have been forgotten in the world of cyberspace, it holds true as much today as it. As an example, a wholesaler places an order from a companys website and after receiving the consignment, sells the endproduct to the final customer who comes to buy the product at one of its retail outlets. Thecrec centerfor researchin electronic commerce at the universityof texashas developed a conceptual framework for how the internet economy works. Organisation and environmental analysis 20% of assignment marks for your chosen organisationoffering, present swot and the 7cs framework, to identify relevant business and ecommerce issues facing the organisation. Businesstoconsumer retailing is the most common of all ecommerce companies and the most familiar to most internet users. Electronic business is a broader term that encompasses other common terms such as e commerce and e tailing. Jul 01, 2000 though each company offers a slightly different business proposition, all offer the convenience of online ordering and sameday delivery, thus addressing the timelag problem encountered in the categorykiller e tailing model pioneered by. In our thesis, we apply the definition of ecommerce from the widely accepted. Automotive etailing market size, share and forecast to 2023.
The course will also examine e business strategies and implementation issues faced by new internet ventures as well as established firms. E commerce websites use different tools to avert security threats. Critique the organisations existing value proposition. Pestle analysis of amazon the largest ecommerce comany. Total hrs hrs hrs hrs hrs marks marks marks marks marks 03 00 04 07 5 3 70 30 20 30 150 learning objectives. This chart shows market size of different verticals of ecommerce industry since 2007 to 2011. Abstract every firm has a business model, which is the collection of strategic decisions that determine how the firm generates a sustainable enterprise through the creation of enough value its supply model and the extraction of a sufficient portion of that value its revenue model. Strategies and business models in electronic retailing. Integrated versus specialist business models anticipating cycles in. We then comment on the impacts of the internet environment and strategies on e tailing performance and identify the various longterm impacts of e tailing on the retail environment. As the number of clients on the internet grows rapidly the computation also grows and efficient techniques are required to respond to clients requests within a short time. This is still an experimental area with a range of different click and collect models being developed, including the one described above. Models and methods of epayments debit card, credit card, smart cards, emoney, digital signatures procedure.
But most known approaches are focused on ecommerce in general and do not reflect characteristics of etailing. According to the inventory management and sourcing of the products, the ecommerce business models are classified into. Included in the top 25 list is the share of ecommerce sales to total sales. Current issues surrounding e business practices such as the role of intranets and extranets, electronic. Sometimes the buyer is the end user, but often the buyer resells to the consumer. Short for electronic retailing, and used in internet discussions as early as 1995, the term seems an almost inevitable addition to e mail, e business, and e commerce.
Project report on scope of eretailing in india submitted in partial fulfillment of the degree of masters of business administration session 20162017 submitted to. E tailing and e commerce have become powerful substitutes for conducting physical sales and transactions. E business is e tailing or virtual storefronts on web sites, online business to business, transactions and electronic data interchange edi, the business to business exchange of data using compatible software. As such, e business and e commerce impact on many areas of business and disciplines of business management studies. It is about a new business concept that incorporates all previous business management and economic concepts. Some entrepreneurs sell their products over the internet by means of e commerce sites based on the auction site model. Electronic retailing etailing definition investopedia.
Direct marketing, pureplay etailers and clickandmortar retailers. In section 3, we offer an evaluation of the broader strategies pursued by e tailers, including the various business models that are being utilized. Its origins can be traced to online retailing or e tailing. Business computer software industry customer relations customer service decision making decisionmaking e commerce electronic commerce retail industry retail trade software industry. B2a or business to administration also referred as the business to government b2g commerce, it is a derivative of b2b e commerce model. Very short type questions 6 x 5 marks each a how ebusiness is different from ecommerce. Solved assignment 1 ecommerce issues paper available. Since very few suppliers sell direct in any industry, there is inevitably mark.
Eretailing selling of retail goods and services over the internet. Electronic commerce is generally considered to be the sales aspect of e business. Pdf the evolutionary perspective is applied to etailing in an attempt. E tailing or virtual storefronts on web sites with online catalogs, sometimes gathered into a virtual mall. Philadelphia university faculty of administrative and. Project report on scope of e retailing in india submitted in partial fulfillment of the degree of masters of business administration session 20162017 submitted to. Sara lee sells frozen and packaged foods, including baked goods, beverages and meat, along with household products such as body care. The models can be classified into three categories.
Advantages and disadvantages of online retailing online retailing is growing at an astonishing rate, with online sales now accounting for around one quarter of the total retail market. In india, ecommerce survey is done by iamai report11 which shows following results figure iii indian total ecommerce sales the ecommerce market was rs 46520 crore turnover marks in 2011. Different types of ecommerce business models explained. Bureau imrb, the ecommerce market in india has garnered rs. Custom writing service classifying etailing business. Learning objectives describe electronic commerce, its scope, benefits, limitations, and types. Eretailing business models brickandmortar retailers retailers who do business in the noninternet, physical world in traditional brickandmortar stores multichannel business model a business model where a company sells in multiple marketing channels simultaneously e. The rapid developments of online computing technology, some especially targeted at smes asian business 2000, make it inevitable for. E commerce security is protecting business websites and customers from unauthorized access, use, alteration, or destruction. Bureau imrb, the e commerce market in india has garnered rs. But, there is no single, comprehensive and cogent taxonomy of web business models one can point to. E commerce and e business are not solely the internet, websites or dot com companies.
Started as bookstore and diversified its business model to everything you can imagine. According to turban 2006, e tailing is defined as retailing conducted online, over the internet. Flipkart, tata consumer products partners to supply essential products. It is the abbreviated version of electronic retailing which essentially constitutes business to. Etailing market global industry analysis, size and. E business revenue models ecommerce computer science e. Internet marketing and electronic retailing the case. Zeithaml 2002 has defined that the success of e tailing depends on the efficient web.
This tutorial introduces you to various concerns of retail business such as retail marketing, space management, and retail operations. These local deliverers hope that gaining control of the last mile will ensure success. Business to consumer b2c is business or transactions conducted directly between a company and consumers who are the endusers of its products or services. It also consists of the exchange of data to facilitate the financing and payment aspects of business transactions. Introduction ecommerce business models are using computing and communication technologies to make transactions between a business and its customers online. Order and fulfillment management is a crucial part of the e commerce business.
Conversely, what are the disadvantages of clickandbrick retailers as read more. Sep 23, 2015 the use of e commerce allows retailers and consumerservice providers to establish national and international supply chains and customer bases much more quickly and cheaply than traditional business models, with much less need for investment in tangible assets such as stores, leisure facilities, warehousing and transportation. Describe how online travel and tourism services operate and their impact on the industry. Is the internet economy synonymous with e commerce and e business. A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive financial times articles, profiledata. What are the relevant components of an e business model.
Feb 10, 2009 if you have an individual subscription to this content, or if you have purchased this content through pay per article within the past 24 hours, you can gain access by logging in with your username and password here. Companies like amazon and dell created the online retail industry by putting the entire customer experience from browsing products to placing orders to paying for. In ecommerce a large variety of business models for selling goods online has emerged. In general, e tailing industry, from a business perspective offers an opportunity to cater to consumers across geographies, no. The e commerce business model is the conceptual structure of your b2b, b2c, c2c, or c2b business strategy. Strategy for information marketsecommerce wikibooks, open. Though the goal of an e business can be to reduce cost or improve customer service, however, the primary aim of most e commerce sites is to generate revenue. There are several models of e retailing that a business can select from to suit its needs botha, bothma and geldenhuys, 2008. The b2b model generally means a longer sales cycle, but higher order value and more recurring purchases. In a b2b business model, a business sells its product or service to another business. Digital business models may also induce illegal behavior, such as piracy and purchasing counterfeits from online retailers in, for example, china e. A web site gives direct contact between the organization and the consumer. Electronic retailing etailing is a buzzword for any business toconsumer b2c transactions that take place over the internet.
Wang 2002 has provided a broad definition of e tailing by defining it as the selling of goods and services to the consumer market via the internet. Issues and prospects 21 what are the existing practices in developing countries with respect to buying and paying online. Catalog and direct marketing consumer durables consumer electronics consumer services e tailing footwear, apparel, and accessories franchise platforms home furnishings household goods infant and juvenile products. The number of websites also is growing, jumping from 255 million in december 2010 to 582 million a year later. Retailers are not cannibalizing their own custom, virtual merchants do not dominate the market place, and the high street has not been put out of business. Amazon, walmart lead top 25 ecommerce retail list wwd. On line purchase and collection of goods purchased from the same retailer e. Organized retail markets after 50 years of unorganized retailing and fragmented kirana stores, the indian retail industry has finally begun to move towards modernization, systematization and consolidation.
Etailing a benchmark in modern marketing iosr journal. How should a firm design their business model and evaluate it. Difference between e tailing and e commerce compare the. Our smallbiz technology expert interviewed lynnette a mcintire of ups logistics group to provide you with advice and insight into the logistics part of doing business online. Etailing requires companies to tailor their business models to capture internet sales, which can include building out distribution channels such. The crec center for research in electronic commerce at the university of texas has developed a conceptual framework for how the internet economy works. Electronic commerce encompasses all online marketplaces that connect buyers and sellers. B2c e commerce is often used for purchasing products and information, mainly personal finances and investments, with the use of online banking and investment tools. Get latest retail news from the top sources for the indian retail industry. Describe the major applications of businesstoconsumer commerce, including service industries, and major issues faced by etailers. The objective of this paper is the development of a research framework and an empirical evaluation in order to analyze etail business models on behalf of retail functions.
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