E-Business Models
A business model is a plan that is a
summary of how a business sells its products or services, who it sells to and
how it operates. E-business models describe these activities centered around
Internet technology. E-businesses often run entirely online, or partly online
and offline. The benefit of a business model is to provide a business with an
overall mission and organization structure in which to operate. Business owners
should determine the appropriate
business model, out of the various e-business
models, based on their product and service, market and methods of reaching
their customers.
Before starting an e-business, it is
advantageous to conduct research and fully understand the appropriate business
model. Ideally this research and evaluation is done before actually writing a
business plan. This initial preparation is essential in getting a clear idea
and footing of how the business can operate successfully.
Existing
E-business Models
Online Business Watch.com examines
nine existing business models. When considering the various e-business models, several
that come to mind are:
Community Based - meaning that the driving force behind how the business
operates is the community itself. That is, the community of users produces the
intellectual content, and this is then sold to the market at large. In this
business model, some communities also handle the administration and management
of the business. Content providers such as Bright Hub use the community-based
model. Etsy.com for example is a company in which users produce the content in
their own online stores, but pay a transaction fee to Etsy.com for each sale.
Infomedia-Based - which means that the business sells an information-based
product, typically an e-book or topic-based videos. The business product is learning
based, and copies of that product are sold to a targeted audience. E-book
publishing companies are a good example of infomedia model businesses. Many
e-book companies also allow users to self-publish within a community setting,
in addition to sharing in the sales of the e-book on the site. These companies
are an example of a hybrid approach - infomedia and community-based model.
Subscription-based - meaning that the business sells products and services by a
term, such as a number of months or annually. Product-based subscription-based
models ,offer customers the opportunity to by a contract to rent the product
for their own use. Service based ones give the customer contracts that will
cover a certain predetermined term. Internet service providers and web hosts
such as GoDaddy.com are examples of e-businesses that use a service-based
subscription model. Netflix.com is an example of a product-based company that
rents DVDs based on various subscription plans, which vary by the number of the
DVDs that can be rented per month.
Affiliate-based - these businesses make money by referring customers to other
products and services. Similar to commission sales, affiliate-based businesses
partner with many other businesses that also share the same customer base.
Through this model, affiliate-based businesses benefit when customers purchase
their products and services but also when customers purchase from their
affiliates. Web-based blogs that use Google Ads to advertise affiliate partner
products are good examples to consider for this model.
Advertising-based Model - this model encompasses businesses that make money from
displaying product and service ads of other companies. Ezines and web blogs
that sponsor advertising from various companies are good examples of this
model.
Points
to Ponder
An e-business model summarizes how a
business will sell its products and services, what customers they will sell to
and how it will operate. Business owners should determine an appropriate
business model before creating and researching a business plan. Out of the
various e-business models, some well-known and researched ones are - community,
infomedia, subscription, affiliate and advertising-based. There have been many
e-business companies that have utilized these models within the past several
decades. E-businesses can be all online or part online, but all can be
identified as one or a hybrid of these models.
List words
1. Utilized :
memanfaatkan
2. Encompasses : mencakup
3. Affiliate : menjadi anggota
4. Force : kekuatan, tenaga
5. Ponder : mempertimbangkan
6. Affiliate : menjadi anggota
7. Hybrid :bastar, cangkokan
8. Product : barang
9. Sell : menjual
10.Commission : jatah
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