E corporation and their busine
E-corporation and their busineE-Corporation and their Business Model
Selling businesses, products or services has become much more complex through the Internet. As Hugh Patission mentioned, “The E-Corporation - Competition today is not between products, it's between business models”. This explains the complexity of the whole marketing of a product or service via net. Which way is more efficient, cheaper, updated, or which model to use for a specific product? Should companies go directly to consumers via the Web or protect their traditional channels? These are the daily questions of many corporations selling on the net.
The World Wide Web is a large environment progressing and changing at a very erratic pace, and only companies quick in trying, learning and adapting will survive and win this new battle. A thing that has changed in fact, is the approach of product/service towards consumer. Off-line the consumer is told to “check out” the new store next door, but online the consumer checks out what he wants. The consumer is able to travel through 50 different stores in different countries in one afternoon whilst it would probably take him weeks or months to do the same off-line. One of the features about surfing on the net is that one normally surfs on the page he or she wants, therefore the consumer almost gathers the total control of what to buy, choose, compare with, or how much information to retrieve. This change brings the first difficulty for companies, the bargain of a product. Obviously one of the major new facilities for consumers with the advantage of being able to compare prices much easier, efficient and less expensive, consumers become more picky and more specific in what they want or need. It is not a situation anymore in which the consumer has to satisfy its need with a similar object, or has to wait for a specific order or is even a victim of lack of information (e.g. pays more for a product than he should). Corporations are offering the consumer any possible variation on their products, e.g. consumer can order a digital camera in green not having to wait and fill-out a specific order in a store.
This enlarges the information or the access to available information giving the consumer the possibility to compare features, price and performance of the desired product and make a better choice. In other words companies battle fields have shifted towards space to put information, and ways and tricks to gain new passing eyes, potential new customers.
A number of different models used to approach the consumer on the net are as follow:
The Business Models of Lawrence Et.
The Business Models of Timmers
Real Time Business Model
They have been created with the aim to increase or maintain their market share in this new battle-field, the Cyberspace. Each product may apply a different strategy of models or combinations of models due to its shape, weight, time...
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