E-business: Definition, classification and some examples
Posted: Mon Dec 23, 2024 5:31 am
This is a strategy that serves to establish marketing processes virtually. It does not mean merely selling or buying, but rather creating the entire environment necessary to have a presence on the Internet and be able to satisfy the customer.
Today, technology has served to make decisive changes in organizations, including their business models. We hear a lot about the need for companies to have marketing processes that are globally interconnected, expanding sales possibilities. Therefore, it is necessary to understand what the concept of e-business is about and other aspects.
What is e-business ?
It is the contraction of electronic business , which in Spanish means electronic business, and refers to a new way in which business is conducted through the Internet . It seeks to increase consumption and the possibilities of commercial transactions with private buyers. It is not about buying or selling online, but rather the redefinition of the processes for making transactions with the support of technology and improving the consumer experience .
American entrepreneur, technologist and author Thomas M. Siebel explains in his book Principles of E-Business (2001) that this concept “incorporates the strategic use of information and communication technologies, including the Internet, to interact with clients, projects and partners, through multiple communication and distribution channels”. This allows companies to increase their profitability and continuously improve the quality of customer service.
An e-business uses technology to create new business procedures at all stages of the sale , which serves to improve efficiency when marketing their goods or services. In this way, companies use this strategy to strengthen their competitiveness by focusing on the customer, making a significant difference in facilitating the way of doing business and ensuring their satisfaction.
Essential principles
For a company to transcend the e-business field , or if it wants to start from scratch in this modality, it needs to respond to the eight basic principles, which establish a framework that tells cpa b2b list management how to propose the best strategies. Therefore, it is necessary to understand the following principles:
1. Know the client in detail.
2. Use various channels to establish interactions with the client.
3. Personalize the customer experience.
4. Optimize the value of each customer.
5. Satisfy the customer 100%.
6. Develop and maintain a customer-centric e-business.
7. Analyze and extend the e-business ecosystem.
8. Promote a corporate culture based on excellence and innovation.
Find out about: What is a franchise? An option for entrepreneurship .
E-business classification
Since e-business is a business process as a whole, it allows for the maintenance of a chain of activities from various aspects of organizations, and is therefore applied in different ways. In this sense, Juan Carrión Maroto presents several types of e-business that serve as a classification, through his book Strategy. From Vision to Action (2007), as explained below:
Intercompany e-business
It is used to create value with other entities outside the company. This is how it includes supply chain management or SCM ( Supply Chain Management ), to coordinate processes and the exchange of information between companies within a value system. In addition, it contemplates partner relationship management or PRM (Partners Relationship Management ), which is used to exchange information, but this time with partner companies.
E-business with the government (e-government)
It allows companies to establish relationships with the public administration, in order to increase efficiency and transparency. In this case, it is based on the business-to-government strategy or B2G ( Business to Government ), which is used to sell products or services to government entities. Also, the government-to-business strategy or G2B (Government to Business ) is contemplated, which is when the administration provides information to the company.
Intra-company e-business
It is used for value creation within companies, for which it applies knowledge management technology, sharing and distributing information throughout the business. It implements enterprise resource management or ERP (for Enterprise Resource Planning ), to automate internal and external processes. It also uses the employee portal or B2E (for Business to Employee ), so that workers can carry out some procedures online.
Today, technology has served to make decisive changes in organizations, including their business models. We hear a lot about the need for companies to have marketing processes that are globally interconnected, expanding sales possibilities. Therefore, it is necessary to understand what the concept of e-business is about and other aspects.
What is e-business ?
It is the contraction of electronic business , which in Spanish means electronic business, and refers to a new way in which business is conducted through the Internet . It seeks to increase consumption and the possibilities of commercial transactions with private buyers. It is not about buying or selling online, but rather the redefinition of the processes for making transactions with the support of technology and improving the consumer experience .
American entrepreneur, technologist and author Thomas M. Siebel explains in his book Principles of E-Business (2001) that this concept “incorporates the strategic use of information and communication technologies, including the Internet, to interact with clients, projects and partners, through multiple communication and distribution channels”. This allows companies to increase their profitability and continuously improve the quality of customer service.
An e-business uses technology to create new business procedures at all stages of the sale , which serves to improve efficiency when marketing their goods or services. In this way, companies use this strategy to strengthen their competitiveness by focusing on the customer, making a significant difference in facilitating the way of doing business and ensuring their satisfaction.
Essential principles
For a company to transcend the e-business field , or if it wants to start from scratch in this modality, it needs to respond to the eight basic principles, which establish a framework that tells cpa b2b list management how to propose the best strategies. Therefore, it is necessary to understand the following principles:
1. Know the client in detail.
2. Use various channels to establish interactions with the client.
3. Personalize the customer experience.
4. Optimize the value of each customer.
5. Satisfy the customer 100%.
6. Develop and maintain a customer-centric e-business.
7. Analyze and extend the e-business ecosystem.
8. Promote a corporate culture based on excellence and innovation.
Find out about: What is a franchise? An option for entrepreneurship .
E-business classification
Since e-business is a business process as a whole, it allows for the maintenance of a chain of activities from various aspects of organizations, and is therefore applied in different ways. In this sense, Juan Carrión Maroto presents several types of e-business that serve as a classification, through his book Strategy. From Vision to Action (2007), as explained below:
Intercompany e-business
It is used to create value with other entities outside the company. This is how it includes supply chain management or SCM ( Supply Chain Management ), to coordinate processes and the exchange of information between companies within a value system. In addition, it contemplates partner relationship management or PRM (Partners Relationship Management ), which is used to exchange information, but this time with partner companies.
E-business with the government (e-government)
It allows companies to establish relationships with the public administration, in order to increase efficiency and transparency. In this case, it is based on the business-to-government strategy or B2G ( Business to Government ), which is used to sell products or services to government entities. Also, the government-to-business strategy or G2B (Government to Business ) is contemplated, which is when the administration provides information to the company.
Intra-company e-business
It is used for value creation within companies, for which it applies knowledge management technology, sharing and distributing information throughout the business. It implements enterprise resource management or ERP (for Enterprise Resource Planning ), to automate internal and external processes. It also uses the employee portal or B2E (for Business to Employee ), so that workers can carry out some procedures online.