Wednesday, December 29, 2010

Ecommerce and Ebusiness: Are They Same?

Commerce and business have almost similar meaning in English and people do tend to make a mistake of thinking ecommerce as similar to ebusiness. They might occur similar to common Internet surfers but they are significantly different from each other. Let us first examine the meaning of both these terms.

Ebusiness: This involves carrying out each and every business activity including marketing, procurement, customers support, and monetary transaction through the internet.

Ecommerce: This involves selling and purchasing of products or services through the Internet.

So, it can be seen that ecommerce is a part of the broader term of ebusiness. The difference can be easily understood through the examples of Dell and Amazon. Dell is a perfect example of e business wherein it sells computers worth $15 million every day. And it is not only about receiving the payments online but an entire value chain is created through the systematic integration of critical business aspects through the perfectly woven assortment of various components like intranets, extranets, ecommerce technologies, collaborative applications, and the Internet environment.

On the contrary, Amazon (one of the largest and most successful online ecommerce portal) completely relies on using the Internet platform to provide a common platform to the buyers and sellers. Thus it can be easily seen that ecommerce has an independent existence though it is an integral part of e-business.

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