TYPES OF E-COMMERCE

National University of Modern

Languages, Islamabad

Aliha Tariq 10/18/2022

 Different Types of E-commerce

Ecommerce mainly consists of distribution, purchase, sale, marketing and provision for
supplementary information of products or services via the Internet. E-commerce also includes
the transfer of information between enterprises. In late 70S, Ecommerce started as a process of
sending and receiving electronic documents such as invoices. As the process evolved, it
included activities such as purchase of goods an services via Internet by using different types of
purchase cards i.e. credit and debit cards. Today, Ecommerce is spearheading a all new way of
buying and selling online. Ecommerce activities fall into identifiable categories and can be
classified as business to business (B2B), business to customer (B2C) and many they are as
follow:

→ Business to Consumer (B2C)

→ Business to Business (B2B)
→ Consumer to Business (C2B)
→ Consumer to Consumer (C2C)

A. BUSINESS TO CONSUMER (B2C)

B2C stands for Business to Consumer as the name suggests, it is the model taking businesses
and consumers interaction. Online business sells to individual. The basic concept of this model
is to sell the product online to the consumers.

Definition. B2C is the indirect trade between the company and consumers. It provides direct
selling through online. For example: if you want to sell goods and services to customer so that
anybody can purchase any products directly from supplier’s website.

Directly interact with the customers is the main difference with other business model. As B2B it
manages directly relationship with consumers, B2C supply chains normally deal with business
that are related to the customer.

B. BUSINESS TO BUSINESS (B2B):

B2B stands for Business to business. It consists of largest form of Ecommerce. This model defines
that Buyer and seller are two different entities. It is similar to manufacturer issuing goods to the
retailer or wholesaler.
Dell deals computers and other associated accessories online but it is does not make up all those
products. So, in govern to deal those products, first step is to purchases them from unlike
business i.e. the producers of those products.

“It is one of the cost effective way to sell out product throughout the world”.

Benefits
• Encourage your businesses online
• Products import and export
• Determine buyers and suppliers
• Position trade guides

C. CONSUMER TO BUSINESS (C2B):

Consumer to business, or C2B, differs from other e-commerce models because it's the
consumers who create value for a product or business. In the traditional business-to-consumer
e-commerce model, businesses sell products or services directly to consumers. With C2B,
consumers offer products or services to businesses in exchange for payment or other benefits.

D. CONSUMER TO CONSUMER (C2C):

Usually, this type of Ecommerce works as Consumer to Business to Consumer (C2B2C). It

essentially means that a consumer would contact a business in search for a suitable customer.
Most of the auction websites (like eBay) and matrimonial websites are working on this
methodology.

Apart from the types of Ecommerce mentioned above, there are various other hybrid forms of
Ecommerce being practiced in today’s globalize world. Choosing the appropriate model is crucial
and vital for your business and I would leave it to your best judgment.