E-commerce has evolved tremendously over time. Businesses and customers buy and sell products online without going to the store. The advent of technology has made e-commerce more convenient and easy for customers and companies alike.

What is e-commerce?

E-commerce means any online transaction between a consumer and a business. For example, if you buy a product from an online store, this process is called e-commerce, in which you will get the product and pay the store for the product. This transaction falls under e-commerce, also known as electronic commerce.

Types of E-commerce Businesses

There are four types of ecommerce business that covers all kinds of transactions between cunsumers and businesses

1. Business to Business (B2B)

Business to business ecommerce occurs when a business sells its products or services to another businesses.

For instance, a business sells an operating system to another business to use for its needs.

2. Business to Consumer (B2C)

Business-to-consumer (B2C) e-commerce occurs when a business sells a product to an end consumer who will use the product. 

For instance, you buy a book from a shop.

3. Consumer to Consumer (C2C)

A consumer to consumer transations occurs when a consumer sells its produts or services to another consumer. This model of ecommerce business happens when a person sells used products on eBay to another person. Here both seller and buy are consumer and they are doing online transaction. That is why it is called consumer to consumer (C2C) ecommerce business.

4. Consumer to Business (C2B)

This transaction occurs when a consumer sells a product or service to a business. For instance, a photographer sells its photos to a business to use. This transcation happens online and this model is called consumer to business ecommerce.

Examples of E-commerce Businesses

There are several examples 

1. Dropshipping

Dropshipping means that the sale of products or services which are manufactured by a third party. 

2. Retail

Sale of products or services

When a business sells products or services directly to a consumer without any middle person, then it is called retail business.

3. Wholesale

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4. Subscription

A subscription business creates products and sells them to consumers as subscriptions. A subscription can be a one-time payment or a recurring payment that renews over time. 

Companies in the subscription business get paid for the subscriptions they offer to consumers. A common example is paying a software subscription fee, which a customer will pay to use the product.

5. Crowdfunding

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6. Services

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7. Digital Products

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8. Physical Products

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Conclusion

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What is an e-commerce? FAQs

What is an e-commerce website?

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What is an example of e-commerce?

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What are the types of e-commerce?

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What is the difference between e-commerce and e-business?

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Related Posts

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