2 Four Categories of eCommerce Four distinct categories of e-commerce can be defined, based on the business origination and the customer typeBusiness originating from...BusinessConsumersBusinessB2BC2Be.g., Freemarket, Covisinte.g., Mercata, mobshopAnd selling to...ConsumersB2CC2Ce.g., Amazon, Staples.com, Yahooe.g., e-Bay
3 B2B: Buyer-CentricMany suppliers seeking to meet the requirements of a single large industry leading buyerCan create animosity over severe price competition and time to market requirementSite managed by the large buyerOften uses EDI
4 B2B: Supplier-CentricCentered around single, large manufacturers that serve many buyers.Designed to lower costs for buyers by allowing them to purchase online.Suppliers must make sure that they carry and adequate number of choices.
5 B2B: Distribution Portal Onlines brokerages that channel goods from several large suppliers to many buyers.Revenues generated from mark-upsCyberspace middleman - reintermediation
6 B2B: Procurement Portal Bid-ask system where multiple buyers can purchase from multiple sellersGenerates revenues via transaction feesCovisint lowers transaction costs
7 B2B or B2C: Independent Marketplace Concentrates information about products and services from multiple providers at one central pointGenerates revenues via listing fees, links (B2C) or industry fees (B2B)
8 B2C: Virtual Storefront E-tailer; sells physical products or services on-line instead of through a physical retail outlet.Generates revenues via margins, handling fees and links
9 B2C: Information Broker Provides product, pricing and availability information.Generates revenues via transaction fees (commissions)
10 B2C: Content ProviderProvides content of interest (e.g., news, sports, political, entertainment).Generates revenues via subscription by readers or advertisements (banners or links).
11 B2C: Virtual CommunityProvides on-line meeting where people with similar interests can communicate and find useful information. Supports heavy repeat usage.Generates revenues via advertisements, especially links.
12 B2C: PortalProvides initial point of entry to the Web along with specialized content and other services.Generates revenues via advertisements and search engine fees.
13 C2B: AggregatorMainly B2B, brings small companies together to facilitate purchasing as one large buyer - economies of scale.Generates revenues by selling the software and/or subscription fee.
14 C2B: Reverse AuctionConsumers submit bid to multiple sellers to buy goods and servicesAuctioneer creates a margin
15 C2C: AuctionProvides electronic clearinghouse for products where price and availability are constantly changing.Auctioneer receives a fee or commission.