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Evaluation of different e-business Models Essay

Electronic business, abbreviated “e-business”, is the utilization and implementation of information and communication technologies (ICT) and related technologies in management and control of business processes and activities. Business model is the strategic organization of business components for the benefit of all stakeholders; e-business model is defined as the approach an organization acquires to attain profitability on the Internet, Currie, (2004).

There have been several models adopted by companies, these includes e-shops, e-marketing and collaboration platform, however, E-business models adopted have varied, as the classification of the models show a discrepancy, other researchers such as Sweeney,(2001) have suggested models such as electronic order taking, electronic payment only, online catalog and electronic payment, and a fully integrated e-business however the strategies and models have varied where some models have resulted to success and profitability, while other models have resulted to challenges, where the adopting organizations have had to close shop or changed to a different model. Collaboration platform models and marketing and e-auctions portal shall be considered in the research Collaboration platforms have been adopted by some companies, these involve offering communication platform to clients; companies that have adopted such models have gained relative achievements. Exemplars are intralinks. com, twitter. com and facebook.

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com, collaboration platform model has therefore been successful.

Some companies have adopted marketing and e-auctions portal, which in some cases has resulted to failure and collapse of the firms, this can be highlighted by the ceased operations of Priceline. com’s WebHouse Club Greenwich, Conn. -based WebHouse Group licensee and Perfect YardSale which offered customers preowned products. Successful components In e-commerce business, collaborative environment models are virtual workplaces which involve several components for information exchange, communication and working by different members or teams of an organization. The environment utilises and coalesce technological advances in videoconferencing, internet based conferencing and collaboration, online chats, archived and real time streaming, and instant messaging to a user friendly workspace.

Examples of open source based collaboration functionality are Bricolage which is a Content management system, EtherPad which is a Collaborative drafting with chat , Wiggio system which is focused on simplicity – group communication and content management toolkit , phpGroupWare which includes a project collaboration module and Plone which is a powerful, flexible Content Management that is Enterprise and web 2. 0 tools, these are geared towards achieving effective communication in order to attain strategic competitive advantage by enhancing organizational knowledge availability and informed decision making, companies which have adopted collaboration platform model have attained profitability, due to the influence of social computing while transacting business online. Several successful components are incorporated in collaboration model, these includes social computing. Social computing has been successful since it has impacted on business decision making, risks, opportunities and projections in order to gain strategic advantage.

Among the impacts is the augmentation of shadow Information Communication Technology and grassroots social tools, where employees, have access to Software-as-a-Service (SaaS) via the Web opt to work without being physically present in their offices, furthermore cloud computing has impacted on the altering the field of Information technology, this has assisted organizations attain strategic competitive advantages via functional agility, cost reduction and innovation utilization. Social computing has also impacted on enterprise software vendors integrating social functionalities in their applications. More so, social computing has impacted on mobile devices being utilised by organizations for business purposes, by additional application advances such as instant messaging, e-mail and short message service.

The objectives of collaboration framework model are to generate profits for organizations by offering payable services such as adverts and links to other websites, while the users utilise the collaboration platform provided, they also access the links provided hence providing revenue to the site owners. Collaboration platform model has been utilized by organizations to gain competitive advantage, in terms of increased potential client reach. Social computing such as Enterprise 2. 0, has assisted in achieving organizational objectives by fostering communication with all stakeholders. They have also impacted on improving the work environment, advanced customer satisfaction, personalised communication and enhanced collaboration hence improving profitability of the companies. Some companies have adopted e-shop model.

The adoption of e-shop portal model has been growing speedily as attested by the number of portal products offered. However, the marketplace has been saturated, especially when the client base is limited and the portal company fails to be dynamic to the changing business environment, hence resulting to failures of the companies. Whereas e-shop model has at times failed, there have been successful components and least successful components. Successful components include the presentation services, user services, publishing services and subscription and notification services. However security services, content management services and dynamic components have been less successful.

The presentation components have been successful as a link between the user and the portal itself, the user components have also been successful in provision of user interface, customized customer personalization services. Publishing services have been successful in offering clients with required information with the assistance of Subscription and notification components. The security components have however, been less successful, where client information such as personal information and financial data have at times been compromised, content management components have at times failed to be successful where clients have been offered content, not relevant with their needs, such as bombarding customers too much adverts, Similarities and differences

Similarities exists between collaborative platform model based www. intralinks. com and e-shop model based Priceline. com’s WebHouse Club. Both e-businesses are web based, and offer clients solutions through the internet. However several contrasts exists, whereas collaborative platform model based intralinks. com, concentrates on offering a communication platform to clients to enable them communicate, Priceline. com’s WebHouse Club e-shop model deals with internet grocery and gasoline service, therefore intralinks. com is more service oriented while priceline. com’s WebHouse Club is oriented more towards selling tangible goods. Recommendation

Collaboration platform model has played a role in enabling business achieve strategic objectives, it can furthermore be integrated with service orientation to propel the organization to be strategically ahead of the competition, by meeting client needs, while reducing costs hence gaining competitive advantage. E-shop model also play a crucial role in meeting client needs, however when saturation level is reached, the businesses can fail, therefore the model should be dynamic to meet changing needs of the business environment. References Currie, Wendy (2004). Value creation from e-business models. London: Butterworth-Heinemann. Sweeney, Susan. (2001). The e-business formula for success: how to select the right e-business model, Web site design, and online promotion strategy for your business. New York: Maximum Press.

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