E-Business

In this chapter, we discussed the evolution of e-marketplaces and examined the four phases of e-business evolution: commodity exchanges, value added services, global knowledge networks, and value trust networks. Then we took a look at the different e-marketplace models which offer support to customers and suppliers. In B2B e-marketplaces, relationships are one-to-one. In consortium e-marketplaces, the relationships are one-to-many since the company establishes contact with multiple customers and suppliers.

Independent e-marketplaces tried to balance both the buy-side and sell-side of the marketplace. Developing an e-marketplace strategy involves the following steps: defining the objectives, identifying and focusing on strengths, analyzing the competitors, developing the e-business landscape matrix, building the e-value chain, defining the value proposition, timing the business case, designing the technology architecture, and developing partnership plans. The chapter then described the various benefits of e-marketplaces and the current trends in e-marketplaces.