The Main Types of E-Commerce
Abstract
The purpose of this paper is to define and describe the main types of e-commerce. Electronic commerce is a process of trading in products or services using various computer networks. This work provides readers with a wise insight into the types of electronic commerce and connects them to examples, which occur every day. The significance of the paper lies inaccessibility of material and its applicability to practical instances.
E-Commerce
Nowadays, many organizations all over the world experience a drastic change in their working experience. Every part of their organizational structure or activity is under a reconstruction. Since the advanced technologies and new ways of sharing information open wide frontiers for both consumers and producers, the emergence of original kind of economic activity. As a result, electronic business occurred. The biggest difference from contemporary way of making business is that the organizations operating in electronic business use global information networks to perform their core tasks and to create profit.
According to Katherine Arline (2015) who is Business News Daily Contributor, the most widespread definition of e-commerce is purchasing or selling goods and services via electronic sources. Every organization or project operating in a field of e-commerce has four main aspects of its activity, including marketing, production, sales and payments. The business is considered electronic by the degree at which utilizes information and communication technologies. The extent at which the telecommunication technologies are used is determined by using the World Wide Web as a tool for unification of information space. This type of business is particularly popular in developed countries. For example, the revenue of e-commerce sector of the United States of America in 2015 accounts more than 347 billion dollars (U.S. retail e-commerce sales 2010-2018).When talking about types of electronic commerce, one should take into account that this is a sterling sphere of the economy, which has gone far beyond the limits of our perception. It is no longer limited by selling and purchasing goods and services, or transferring funds via the Internet.
There are many different types of electronic commerce, however there are only three major categories of them (Ecommerce definition & types of ecommerce).B2B or business to business can be defined as partnership relationships between legal entities, which are aimed at cooperation of the companies and organizations via Web-based technologies. Producers and traditional wholesalers operate in this type of ecommerce (Fernandes, 2014). The relationships between organizations can manifest in all structural elements such as finance, document management, supply management, sales of finished products, etc. If Amazon buys pens and paper for their offices from Office Depot, this type of cooperation is called business to business. Two organizations achieve benefits from their cooperation. Amazon receives first class pens and paper, while Office Depot receives financial assets. If the companies are merged into a single B2B unit, their transactions are delivered using special software.
That is why the Office Depot markets their …
