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E-Business

Meaning

E-business (electronic business), derived from such terms as "e-mail" and "e-commerce,"

is the conduct of business on the Internet, not only buying and selling but also servicing

customers and collaborating with business partners.Electronic business, commonly referred to as "eBusiness" or "e-business", or an internet

business, may be defined as the application of information and communication technologies

(ICT) in support of all the activities of business. Commerce constitutes the exchange of productsand services between businesses, groups and individuals and can be seen as one of the essential

activities of any business. Electronic commerce focuses on the use of ICT to enable the external

activities and relationships of the business with individuals, groups and other businesses.

Electronic business methods enable companies to link their internal and external data processingsystems more efficiently and flexibly, to work more closely with suppliers and partners, and to

better satisfy the needs and expectations of their customers.

In practice, e-business is more than juste-commerce. While e-business refers to more strategic

focus with an emphasis on the functions that occur using electronic capabilities, e-commerce is asubset of an overall e-business strategy. E-commerce seeks to add revenue streams using the

World Wide Webor the Internetto build and enhance relationships with clients and partners and

to improve efficiency using the Empty Vessel strategy

ften, e-commerce involves the application ofknowledge management systems.

E-business involves business processes spanning the entirevalue chain: electronic purchasing

andsupply chain management, processing orders electronically, handling customer service, and

cooperating with business partners. Special technical standards for e-business facilitate theexchange of data between companies. E-business software solutions allow the integration of intra

and inter firm business processes. E-business can be conducted using theWeb, the Internet,

intranets,extranets, or some combination of these.

Basically, electronic commerce (EC) is the process of buying, transferring, or exchangingproducts, services, and/or information via computer networks, including the internet. EC can also

be beneficial from many perspectives including business process, service, learning, collaborative,

community. EC is often confused with e-business.

E-business Benefits

http://en.wikipedia.org/wiki/Information_and_communication_technologieshttp://en.wikipedia.org/wiki/E-commercehttp://en.wikipedia.org/wiki/E-commercehttp://en.wikipedia.org/wiki/E-commercehttp://en.wikipedia.org/wiki/World_Wide_Webhttp://en.wikipedia.org/wiki/World_Wide_Webhttp://en.wikipedia.org/wiki/Internethttp://en.wikipedia.org/wiki/Internethttp://en.wikipedia.org/wiki/Empty_Vesselhttp://en.wikipedia.org/wiki/Knowledge_managementhttp://en.wikipedia.org/wiki/Knowledge_managementhttp://en.wikipedia.org/wiki/Value_chainhttp://en.wikipedia.org/wiki/Value_chainhttp://en.wikipedia.org/wiki/Supply_chain_managementhttp://en.wikipedia.org/wiki/Supply_chain_managementhttp://en.wikipedia.org/wiki/World_Wide_Webhttp://en.wikipedia.org/wiki/World_Wide_Webhttp://en.wikipedia.org/wiki/World_Wide_Webhttp://en.wikipedia.org/wiki/Intranethttp://en.wikipedia.org/wiki/Intranethttp://en.wikipedia.org/wiki/Extranethttp://en.wikipedia.org/wiki/Information_and_communication_technologieshttp://en.wikipedia.org/wiki/E-commercehttp://en.wikipedia.org/wiki/E-commercehttp://en.wikipedia.org/wiki/World_Wide_Webhttp://en.wikipedia.org/wiki/Internethttp://en.wikipedia.org/wiki/Empty_Vesselhttp://en.wikipedia.org/wiki/Knowledge_managementhttp://en.wikipedia.org/wiki/Value_chainhttp://en.wikipedia.org/wiki/Supply_chain_managementhttp://en.wikipedia.org/wiki/World_Wide_Webhttp://en.wikipedia.org/wiki/Intranethttp://en.wikipedia.org/wiki/Extranet

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Top concerns for CEO's in today's business environment are:

the threat posed by competitors;

controlling costs;

finding new opportunities; and

improving responsiveness;

better customer focus and service.

E-business is capable of delivering these benefits.

Business of all sizes in all sectors are using the Internet in many different ways - to workwith partners and suppliers, for procurement, for internal activities such as knowledge

sharing and new product development, and much more.

Companies such as United Technologies, J. Sainsbury, General Electric and many others are

reporting benefits from the use of the Internet. These benefits include:

improved speed of response; cost savings;

improved communications, information and knowledge sharing;

reductions in inventory;

improved efficiency and productivity;

harmonisation and standardisation of procedures;

better transfer of best practices;

acquisition of new customers and increased sales; improved customer service.

However the benefits are achieved not by technology (which is an enabler) but by

addressing strategy, technology, organisation, people and business processes as anintegrated whole and making changes in all these dimensions. The Internet is just like other

information technologies - change management, good implementation practices and clearbusiness objectives are required in order to reap the full benefits.