Examples of E-Businesses
The U.S. Census Bureau defines electronic business, or e-business, as any process that a business organization executes over a computer-mediated network. Several companies have flourished by using the Internet to provide goods and services to consumers. Business schools are making it a priority to create e-business programs and curricula to ensure that they can prepare their students for the jobs and companies of the future.
Yahoo!, AltaVista and Lycos were some of the first search engines to connect users to the World Wide Web. Along with search functionality, search engines like Yahoo! offered users services such as websites and email addresses at no cost. Search providers sold advertising and marketing services to businesses that were eager to connect with the millions of users browsing the Web.
Facebook, Twitter, Instagram and YouTube are all examples of social media platforms that allow users to share content over the Internet. These e-businesses normally get their start from venture capitalists who invest in the companies with the anticipation of getting a return. Social media companies have to determine how to monetize their services or seek acquisition from a larger company. Google's acquisition of YouTube in 2006 is an example of how social media e-businesses can continue to grow even when they do not have a defined way of capitalizing on their user base.
Powerhouses like Amazon and PayPal serve millions of customers each year. As of 2012, Amazon was the largest Internet retailer, and PayPal had 117 million active users who received and made payments through its site. The number of individual retailers selling online has been estimated well into the tens of millions. Whether it's shoes, clothes, appliances or insurance, businesses can serve customers worldwide by tapping into the power of the Internet. Virtually every type of product and many types of services can be ordered online, and then physically shipped or electronically delivered to the purchaser.
An e-business can allow you to greatly reduce your business expenses and overhead. Providing services like software or electronic materials will help you to avoid the costs associated with stocking physical products or worrying about implementing a supply chain to control the delivery of goods. You may never get to see your customers face to face, but if you provide exemplary service you're likely to be rewarded with an increase in customers and lots of positive reviews.
- Census.gov: Measuring Electronic Business: Definitions, Underlying Concepts, and Measurement Plans
- The New York Times: Europe Trying to Catch Up in Teaching e-Business
- PCWorld: It's Official: Google Buys YouTube
- Time: Will Amazon Take Over the World?
- The Wall Street Journal: PayPal Works to Take Its Business Offline
- David McNew/Getty Images News/Getty Images