It’s just like you referring this e-article instead of the traditional booklet! To move on, both the existing businesses and potential businesses choose E Business Models.

Let’s have a deep conversation about every E Business Module that exist. Accordingly, this article brings you the following topics.

  1. Difference Between E Business and E Commerce
  2. Definition of E Business Models
  3. The 9 different E Business Modules available

Difference Between E Commerce and E Business

E Commerce uses internet technology to mediate the transaction task only. In fact, with e commerce, the organization uses internet, for the tasks of buying and selling only.  They exchange items with suppliers, intermediaries, or customers.

But E business uses internet technology for all the key business processes. Hence, E business is broader than E commerce. Moreover, it carries the role of E Commerce too.

E commerce vs E business
E commerce vs E business

At present, it is recommended for the businesses to deposit their business processes on online platforms. This is relevant to the transaction task too. E Business Models satisfy this necessity. Hence, it caters both E commerce ends and E Business ends. Therefore, many scholars use terms such as “e-commerce Business Models” , “Business Models for e-commerce” to describe the same.

Definition of E Business Models

The different types of business modules made by using the internet and digital technology. They help the organizations either to support or to improve their existing business procedure.

As per the definition, this module caters a broad area of a business. Following that, different E Business Models bring up different advantages.  Therefore, an organization should wisely decide “which type would suit well for a business of our nature?”

There is an anytime valid major classification for E Business Models. And, it brings 9 different types.  Let’s have a look on them. Come on!

E Business Models list
E Business Models list

1. E – Shop

This module helps you to market your products on online platforms like “web marketing”. Basically, E-Shops provide information to the customers. Also, this serves you a mode of selling over the internet.

Technologically poor organizations use E Shops in one way. On the other hand, technologically rich organizations use it in another way.

To clarify, let’s get a cool example.

Imagine your business is quite new to the technological atmosphere. Hence, you are not strong enough to insist rich technologies. Therefore, it is hard for you to automate the entire set of business activities. But still, you require the online presence to survive. Here, E Shops help you to exhibit your product to the customers online. Consequently, customers reach the basic information you made available there. They will contact you through the telephone number you mentioned. Or, they will reach you through your e mail address available there.
Now imagine, with time, you grew up your business. As a result, you are technologically rich. Hence, it is not wise to use E Business Models only to make the customer awareness. Still, E shops help you to move ahead. Because, E Shops help you to make the purchase option available too. In fact, you can sell your items beyond exhibiting.

Likewise, E Shops allow you to market your products and to sell as well.

2. E-Procurement

Traditionally, the organizations got printouts of tender documents. Then they distributed them among the suppliers to get their purchasing requirements done. But now, E Business models changed this situation. Accordingly, organizations upload the tender documents to their websites. Consequently,  interested suppliers reach and suggest their deals and offers. E-Procurement makes this process easy.

Likewise, E-Procurement systems replace the traditional tender document systems. But not only that. It paves the new trend of online bidding systems as well. As a result, online bidding modules are replacing traditional bidding systems.

3. E- Malls

Just recall how freely you wandered inside those great shopping malls in your hometown. E Malls provide you the same example. But not wandering this time. Instead, you have to scroll down. A shopping mall carries a large number of shops in it. Similarly, E Malls bring you a collection of E Shops. Yes! The E-shops we disused before. An E-mall simply preforms a platform filled with E-shops.

E Mall gives you a number of shops as a number of options. Hence, this is not like you going for a single supplier. E Malls make more choices available. In fact, it lists the relevant suppliers for what you searched.

4. E-Auction Sites

An E Auction Site facilitates the buyers and the sellers to meet each other. Now you might doubt the difference between E Auction Sites and E-shops. Or its difference with E-malls. Other E business models hardly allow a bidding opportunity. But E auction provides it!

Quickly recall how eBay became different with Amazon. Amazon is a retail website. And it doesn’t let you to bid. But eBay is an e auction site. It allows you bidding too. Many scholars define eBay as an online auction site with this regard. 

Moreover, E auctions sites could be performed in either ways of B2B, B2C, or C2C

virtual communities
Virtual Communities

5. Virtual Communities

Basically, “virtual communities” suggests the social networks of individuals with similar interests that interact through social media.

Every business focuses its own target market. And, every target market is one bunch of a community. Previously, geographical boundaries framed these communities. But internet changed that situation.

Further, E business models made these communities go virtual. There, the internet gave the birth to virtual communities. Likewise, it removes the political and geographical barriers to examine similar interests.

6. Value Chain Service Providers

These E business models contribute a specific function of the value chain. Now, what would be that function? Here, the entities smartly pick up the function that brings its competitive advantage.

Imagine an organization could confidently use its technology for money transactions. Therefore, it could perform a Value Chain Service Provider specified for the cash intermediary. PayPal provides us a good example.

Many organizations fear to hold their cash transactions online. Because, they face a high risk of unsafety. On the other hand, internet provides a very limited reliable modules to fulfil this task.  PayPal exploited this opportunity. And, they gained a competitive advantage there. Further, PayPal involved the cash intermediation only. Not to the entire value chain.

Value Chain Service Providers will charge a fee as their revenue. Or, they will charge a percentage from the client’s turnover.

7. Value Chain Integrators

This provides the opposite extreme of the above. These E business models focus to integrate a multiple value inside the value chain. Hence, this focus not only a single activity.

Multiple participants coming under a same industry can perform a Value Chain Integration. In fact, these participants collaboratively regulate either the flow of products. Or they regulate the flow of information. Sometimes they involve the both.

8. 3rd Party Marketplace

3rd party marketplace brings you the new outsource! Businesses require a powerful web marketing mechanism to survive. If your organization is not that talented to implement web marketing techniques, simply don’t worry. Because, these E business models fix your problem.

3rd party marketplace provides the best example. Because, 3rd Part Marketplaces deliver web marketing alternatives. It allows you to outsource your web marketing attempts. So, you outsource your web marketing tasks for them. And, they keep your web marketing strategies evergreen.

9. Collaboration Platforms

These E business models satisfy an extra ordinary purpose!!!

Have you ever thought how do these gigantic automobiles and aero planes are getting designed? A single organization is not capable to fulfil the entire task. Therefore, the pioneer organization gets the help of external experts. Collaboration platforms come here to solve this need gap. 

Accordingly, Collaboration Platforms facilitate the collaboration requirements needed to carry on big projects.


Hope you got a clear idea on this new trend. Finally, this article brings you a little fun activity as the conclusion. Do you have any idea to memorize the classification? This jingle helps you to keep it in mind.

“ E Business Models are 4E|3V|3 & C ”

4EE-Shops,  E-Procurement,  E-Malls,  E-Auction Sites
3VVirtual Communities, Value Chain Service Providers, Value Chain Integrators
33rd Party Marketplaces
CCollaboration Platforms
E Business Models are 4E|3V|3 & C

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