E-business or e-technology?

• Published in: Inžinerinė ekonomika 2009-01, Vol.1 (61), p.83-89
• Main Authors: Jovarauskiene, D, Pilinkiene, V
• Format: Article
• Language: English
• Subjects: Business management; Competitive advantage; Corporate planning; Electronic commerce; Globalization; Information and communication technologies
• ISSN: 1392-2785

Nowadays prosperous conditions for electronic business development have been formed due to intensive processes of globalization and increasing extents of competition. Development of traditional business processes is not sufficient in order to reach long-lasting effect and wishes to survive in competitive surrounding determine use of electronic business potential, which can help to get a competitive advantage. The basis of electronic business is application of information and communication technologies having changed the usual conception of business and having formed the conditions for business development worldwide. The extents of business partners' cooperation determine improving of electronic business models. The term 'business model' is used in the context of traditional and Internet business. In a general sense business model is a method of business organization in a company and its major aim is profit. As the processes of globalization have been taking place, development of information technologies determines the changes in the processes of business organization and in the conception of traditional business models. The importance of Electronic business models increases due to constant broadening of extents of corporations' activity. The analysis of the conception of Electronic business models working and the problem aspects is presented in the article. With the reference to the analysis of academic works the conceptions of traditional business and Internet business are summarized, the structure of electronic business model is described. The classification of electronic business models according to the consumer's type is offered. Considering Electronic business models, which are used in usual practice, the analysis of four business models, their characteristics, advantages and disadvantages is presented. The greatest attention in the article is focused on the models business-to-business, business-to-consumer, government-to-business, government-to-consumer. Use of electronic business models gives companies possibility to survive under the conditions of competition, to reach greater markets, educate loyal consumers. However, it is impossible to single out one concrete electronic business model in most companies' activity as in practice several Electronic business models are combined in order to get the greatest efficiency. So the backgrounds of interaction between Electronic business models are emphasized in the article. Considering to the analysis of ac