'The Real Value of “E-Business Models”\r'

' abridgment Note: The real value of â€Å"e- employment feignings” Research Questions Asked * What is the heart of e-business nonplus? * Do the e-Business pattern really bailiwick to create a thriving e- besotted? * Can altogether a good e-business model will sink the strength to company to get advantage? * What are the real discover factors determining the survival or failure of e- profligate? The e-business model is a model apply by the e-commerce company to better be unionised for providing a product or service, generating revenues and, especially, creating and adapting to the new food market and technologies.Summary This term suggests in a critical trend how this important model could be applied to diverse types of company, distinguishing the model by categories. It pays attention how the helpingicular model is not the only victoryful key of the company, yet it will an important tool if the company understands the gene linkage between it, its core busi ness and the marketplace environment. The article presents some cases of failure and success, and how it creates a thriving for the firm. allow chain model Direct sales: the firm provides a product or services trailly to a customer ( Dell, Cisco, Aol) * Intermediary: the firm sells goods from a third party (Amazon) * Electronic marketplace: top easier the necessitate communication between buyers and sellers (Autobytel) Revenue model * Income is generated directly from the customer transaction * â€Å" throw in sires where the income is generated finished advertising or sponsorship (Napster) Internet business shadow also be distinguished according to the markets they see * B2B business to business * B2C business to consumer Click and trench mortar: relies on offline asset * Pure play model: purely net based Failure and key of success Odds of survival of different business models compared| E-tail vs direct sales | 0. 93:1| entrance vs direct sales| 0. 97:1| Marktplace vs dir ect sales| 1. 30:1| Pay vs justify| 0. 80:1| Clicks/mortar vs pure discharge | 11:01| * E-tail and portal sites are slightly flyspeck presumable to survive than direct sales sites * food market model are likely to survive that direct sales sites * Free sites are a little more likely to survive than pay sites * Clicks and mortar are 11 times more likely than pure Internet sites.Observation : * Firm that are part of classify have a strategic advantages as brands, customers and suppliers relationship and cash * E-models are flexible and they modify rapid growth. Why some company in the same market will get success and some are not? * Logistic strategies †end of eVineyards and Wine. com: the first decides to set up own retails transshipment center in each location generating a quick and more reliable service. The second decided to outsource by relying on retail partners in motley location, but it generated longer delivery times and out-of-stock problems communication c hannel conflict: some firms have to cease transaction via the Net owing to conflicts with existing channel partners (Starbucks, Levi Strauss, Reebok) * Free and pay web sites: the mass of users is attracted when the service is allow * Lack of customer benefits is a common construct for the failure of the company * Network externalities: some firms reduce on creating an high numbers of user, reeling in a large enough user base to make it attractive for the other users to join (eBay) * Level of proceeds and value added: to achieve a high nates market penetration it may be inevitable to be innovative (Priceline)What to take from it? * Each model raises particular proposition issues * There is not a â€Å" spotless model” * Key factor is understanding and managing the particular problem inherent in their model * The chances to be successful are much higher when the firm is a part of a larger group Critique * Its a bit old. * It does not see to it us , how is perfect busi ness model side like? Questions for class * Is necessary to have a business model? * What are the key drivers of success in the business model? * How will these change in the future?\r\n'