Ch 2. E-Commerce Business Models

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Presentation transcript:

Ch 2. E-Commerce Business Models B2C Models B2B Business Models Business Models in Emerging E- Commerce Areas Business concepts and Strategies

Eight Ingredients of a Business Model Value proposition – Why buy from you? Revenue model How money is earned Market Opportunity Target market & size Competition – Who? What unique advantage offered? Market strategy Organizational development Management team

Revenue Model Advertising revenue model (Yahoo) Subscription revenue model (Consumer Reports Online) Transaction Fee – (E Trade) Sales revenue model (Amazon.com Affiliate revenue model (MyPoints.com)

B2C Models Portal – General –Yahoo Specialized - Sailnet E-tailer – Virtual – Amazon Clicks and Bricks – Wal-Mart Catalog Merchant – LL Bean Manufacturer Direct - Dell Content Provider – CNN Transaction Broker – E-Trade Market Creator – Ebay Service Provider – Lawinfo.com Community Provider – About.com

B2B Models Net Market Places Private Industrial Networks E-distributor (Staples) E-Procurement (Ariba.com) Exchanges (IMX.com) Industry Consortia (Covisnint.com) Private Industrial Networks Single-firm networks (Wal-Mart) Industry-wide (Globalnetexchange.com)

E-Commerce Enablers Infrastructure Hardware: Web Servers Software: Operating Systems Payment Systems Databases Hosting Services Players IBM, HP/Compaq, Dell, Sun Microsoft, Linux, Sun, Apache Verisign, PayPal Oracles, IBM, Microsoft, Sybase Interland, IBM, Webintellects