Working of E Commerce explained in simple words
It's not difficult to explain how e commerce works. E commerce is nothing but the exchange of goods and / or services electronically.
If you have bought remote controlled cars from eBay, Amazon.com or any online store, then you have participated in e commerce. Downloading music from sites such as Napster or iTunes is also included under the purview of e commerce. Knowledge of the different types of e commerce from the start will facilitate better understanding.
B2B: B2B or business-to-business is by-and-large regarded as the foremost form of e commerce. The 1960s marked the beginning of electronic transfer and sharing of files and information by banks and other businesses. However, there wasn't one standard way of conducting this business, as a result of which many businesses could not successfully transfer between each other. This limited the sharing of files and information between businesses. B2B e commerce really got going in the 80s with the application of reliable standardization that was universally accepted facilitating easy exchange of files.
C2C: Consumer-to-consumer or C2C has gained popularity with the masses and is widely used by many today. If you purchase anything online by responding to an ad posting on an electronic board or an online auction you are considered to be a participant of consumer to consumer e commerce. The only criteria is that the purchase must be made from another person, not business. Auction sites like eBay which allow users to put their goods online and sell to the highest bidder characterize online auctions which are the most popular form of consumer-to-consumer e commerce.
P2P: P2P or peer-to-peer e commerce came into existence with the use of Napster which allowed users to share files for free. Don't be surprised if you see several such websites and file-sharing programs and systems online.
B2C: Majority of e commerce transactions take place from business-to-consumer without the mention of which, the working of e commerce cannot be explained. When anyone purchases anything, whether it's a download of something electronic or any item that must be shipped to the buyer, at an online store or website, that's e commerce. Following are a few tips that will aid you in the explanation of the working of e commerce.
The definition of e commerce includes the online exchange of at least one of the following: Information, Money, Goods / Services. While explaining how e commerce works in one's favor, use concepts that are easy to understand. For instance, if you wish to purchase a book, there are several online bookstores which you can use to compare the prices of that book and find the lowest one. The cost of shipping the book and the shipping time are some of the factors that you should consider before selecting a store which can send you the book in the shortest possible time and at the lowest price.
You can cut the effort of standing in queues, fighting crowds and save the money spent on transportation or gas rc cars by doing this. It is not difficult to see the advantages offered by e commerce when you consider the opportunity to compare and shop for both small and large items. Though we can explain how e commerce works in your favor, once you've purchased an item this way, it's easy to see the advantages yourself.
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Working of E Commerce explained in simple words