Digital Business Report: E-commerce Models, Theories and Technologies

This report provides a comprehensive analysis of digital business, focusing on e-commerce models and the impact of digital technologies. It explores the evolution of e-commerce, highlighting key milestones and the increasing importance of technology in enhancing business operations. The report discusses various e-commerce business models, such as B2C, C2B, B2B, and C2C, and examines relevant business and management theories, including decision-making, quantitative, systems, and contingency theories, in the context of e-commerce. The study also uses Amazon as an example to illustrate the practical application of these models and theories. The report concludes by emphasizing the critical role of e-commerce in modern economies and the need for businesses to adopt strategic frameworks for competitive advantage.

Digital business(E-
commerce)

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................3
INTRODUCTION ..........................................................................................................................4
TASK 1............................................................................................................................................5
The importance of technological topic........................................................................................5
The technological topic developed(past to present)....................................................................5
Brief description of technology and what it is used for..............................................................5
Technological platform, Applications, Software version...........................................................6
What type of business and organisations uses the technology....................................................6
How is it used as a business tool and this effective (Comparison from the past).......................7
TASK 2............................................................................................................................................7
How does this relate to course content and discussion on the nature of the relationship
.....................................................................................................................................................7
between digital technologies and both old and newly emerging theories on business and
.....................................................................................................................................................7
management structures and practices..........................................................................................7
Examples of model such as e-commerce business model...........................................................8
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................10

EXECUTIVE SUMMARY
The Digital technology is rising day be day in the contemporary business environment
and main purpose of digital technology is to facilitate business development. In this project there
is a brief description of digital technology and its tools which are helpful in increasing potential
of a business. In this project there is an explanation of key tools and techniques of information
and technology which is used by a business entity to support focus on key operations. In this
report various digital technological models and theories are also explained which are important
in business growth.

INTRODUCTION
Digital business is a modern type of business which helps and supports a business to
perform quick and accurate operations (BRENTEL, 2021). The application of digital business
tools is also helpful in encouraging business development and profitability. E-commerce
business is a major type of business which includes the application of information and
technology to perform online business operations. Online selling of products is the major aim of
a e-commerce business which helps in development of a company. In this project example of
Amazon company is taken into consideration for better understanding the e-commerce business
and its dimensions. Amazon is a multinational e-commerce company which was founded in the
year 1994 and is based in United States of America. This project includes description of e-
commerce and its evolution since long time. This report will also cover focus on information and
technology's role in increasing potential of an e-commerce company. This report also covers
digital technology based models and theories which are important for expansion of a business at
the marketplace.

TASK 1
The importance of technological topic
E-commerce industry includes development of major framework which is important for
whole economy. It helps in generation of employment opportunities for the people, e-commerce
industry plays a key role. Most of the successful e-commerce companies at the international and
national marketplace focus on satisfying wants and needs of customers which is very much
necessary. The e-commerce companies also contributes to increase the gross domestic product
and national income of a country. E-commerce are important for every country as they also
provide effective services to different customers by quick delivery of products. The after sales
services which are provided by e-commerce companies also helps customer to maintain effective
relationship with them. In the era of stiff competition between different companies, it is crucial
for a business to take support of e-commerce theories and models. All major companies which
are performing traditional operations are shifting to e-commerce approach for effective
operations. E-commerce companies should also focus on encouraging seller's participation to
increase overall sales. There are various companies which perform key operations with help of
professional management based approach in order to develop whole economy of a country.
The technological topic developed(past to present)
The e-commerce industry came into existence in the year 1969, when CompuServe
company was founded. Thereafter, in the year 1979, Michael Aldrich invented concept of
electronic shopping by connecting a modified Television with a transaction processing computer
with the help of telephone line. The year 1982 was a main year in the field of e-commerce
industry as it led to the opening of world's first e-commerce company which was named as
Boston computer exchange (Chaffey, Edmundson-Bird, and Hemphill, 2019). The main work
of this company was to sell used computers to general public. In the year 1994, Netscape and
Amazon company launched which are counted in major e-commerce companies. Nowadays,
various companies are coming in market in the field of e-commerce which are creating a key
impact on whole economy by providing major services.
Brief description of technology and what it is used for
The e-commerce company use web, software and application designing which are
essential for creating a online selling platform. It is major function of a business to focus on

development of technological tools and techniques in order to perform key and accurate
operations. The e-commerce companies like Amazon hires professionally trained IT experts to
facilitate web development. In the recent times, it is also one of the major role of management of
e-commerce company to use advance computer system and software to perform key operations.
The e-commerce companies also use customer relationship management software in order to
manage healthy relationship with customers and increase their satisfaction.
Technological platform, Applications, Software version
The google play store and IOS platform are the major technological platforms which are
used by e-commerce companies to gain effectiveness in key operations. Amazon has developed
its application and made it available free for all the target audience in order to facilitate shopping
operations. Amazon company also use key operations and functions related to software
development in order to provide world class experience to major customers. The company use
software development programmes in order to bring continuous improvements in its application
and website. Amazon also takes feedback from its customers and employees in order to develop
a focused approach in management of business (Witkowski, et. al. 2022). The software should be
designed by a company with taking into consideration cybersecurity issues and challenges. It is
important for a business to focus on cybersecurity issues and follow all major guidelines issued
by government (Jeong, and Kim, 2022). The different business organisations at the marketplace
focus on development of software and applications which are relevant and easy to use for the
target audience.
What type of business and organisations uses the technology
The e-commerce companies which are present in the global and domestic marketplace
use technology in order to satisfy needs and wants of customers. The software development
technology is mainly used by major e-commerce companies like e-bay, Ali Express and Flipkart.
The different companies which are present at the marketplace focus on taking assistance of key
development based approach. The technological tools which are helpful in increasing company's
strength which are helpful in enhancement. This is a major tool which is important for the
company to gain market growth and expansion within a set period of time. In the recent times,
due to increased competition in e-commerce industry is demanding for key factor based change
opportunities (Kumar,et. al. 2020). All major companies focus on models and theories which
are important for overall growth and approaches for development.

How is it used as a business tool and this effective (Comparison from the past)
In the past times, there were many drawbacks in information and technology which
created a major impact on e-commerce companies and their functioning. Nowadays, due to
emergence of various modern technological tools it is crucial role of a business to gain
effectiveness with key operations. This is one of the key role of a business to focus on strategic
and planning framework development to gain competency edge. In past, there was absence of
software, computer systems and IT experts which created a major impact on functioning of e-
commerce companies. It is essential for a business entity to include digital technology which is
feasible and reliable (Luz Martín‐Peña, et. al. 2018). The e-commerce should focus on
development of a major planning framework which is important for systematic development of
the business. The e-commerce is an effective approach because it helps a business to establish
key competitive advantage. It also helps in reaching large number of customers at the
marketplace and helps in retaining market area. E-commerce business is a major approach which
is helpful for increasing the marketplace potential of a company. In the recent times, it is
important for a company to adopt a key approach which is beneficial for increasing the
competitive strength.
TASK 2
How does this relate to course content and discussion on the nature of the relationship
between digital technologies and both old and newly emerging theories on business and
management structures and practices
The old and new emerging theories on business and management helps Amazon to
present best business functions. Major theories are explained below:
Decision Making Theory
- The decision making theory is a key approach which is used by many organisations to perform
systematic operations. The theory states that how rational individuals should behave in
uncertainty and risk (Li, et. al. 2021). The decision making theory is widely used by many

business organisations in order to facilitate all major decisions and minimise risk associated with
the operations.
Quantitative theory
- It is considered as key approach which is beneficial in increasing overall capabilities of an e-
commerce company like Amazon. In this approach, the tools developed by the researcher to be
deductively checked with the help of graphical and statistical methods. The depiction of data on
graphs helps the researcher to easily understand data.
System theory
- In the functioning of an e-commerce company, the systems theory is considered as
interdisciplinary study of systems. In this approach, cohesive groups which are interlinked or
interdependent can be made by human or can be natural (Rozaq, et. al. 2020). The systems
theory is important for the business to establish a key approach in recent times. It will help
business organisation to develop focused approach in dealing with key issues and challenges at
the marketplace.
Contingency theory- The contingency theory is considered as key approach which is beneficial
for a manager who is facing a situation in which employee who regularly coming late for the
work. Working of a business should be based on contingency theory to gain key approach at the
marketplace.
Examples of model such as e-commerce business model
Business-to-Consumer (B2C)- The business to consumer e-commerce companies are the
organisations in which transaction are made between business and a consumer. In the e-
commerce industry, this is one of the most widely used topic.
Consumer-to-Business (C2B)- Consumer to business model is a major type of e-commerce
model in which a customer directly trades with business. The example is I Stock Photo for this
model in which stock photos are purchased online by key business organisations.
Business-to-Business (B2B)- In this e-commerce model, the sales and transactions happens
between business organisations. In this approach generally, a wholesaler or retailer directly
trades with manufacturer.
Consumer-to-Consumer (C2C)- This e-commerce model is one of the most earliest approach in
the field and area of e-commerce industry (Wan, and Chen, 2019). In this framework, customer
directly trades with another customer and is one of the finest models.

Business-to-Administration (B2A)- This is also one of the finest and major type of e-commerce
model in which the business transaction are performed between administration and online
businesses.
Consumer-to-Administration (C2A)- Te consumer to administration model is very much
similar to business to administration. The customer to administration model includes online
consulting for education, online tax preparation etc.
CONCLUSION
From the above stated report it can be concluded that e-commerce companies are
backbone for the economy which helps in satisfaction of wants and needs of customers. The e-
commerce companies also play a key role in developing various opportunities for business sector
growth. This report concludes the importance of digital business models which are important for
developing competitive advantage for a business. This project also concludes that in the recent
times many e-commerce companies focus on formulating key planning and strategic framework
which is helpful in increasing business strength and capabilities.

REFERENCES
Books and Journals
BRENTEL, A., 2021. Il ruolo dell'e-commerce nell'industria farmaceutica italiana: uno studio
esplorativo.
Chaffey, D., Edmundson-Bird, D. and Hemphill, T., 2019. Digital business and e-commerce
management. Pearson UK.
Jeong, H., Yi, Y. and Kim, D., 2022. An innovative e-commerce platform incorporating
metaverse to live commerce. International Journal of Innovative Computing,
Information and Control, 18(1), pp.221-229.
Kumar, B., Sharma, A., Vatavwala, S. and Kumar, P., 2020. Digital mediation in business-to-
business marketing: A bibliometric analysis. Industrial Marketing Management, 85,
pp.126-140.
Li, H., Hu, Q., Zhao, G. and Li, B., 2021. The co-evolution of knowledge management and
business model transformation in the post-COVID-19 era: insights based on Chinese e-
commerce companies. Journal of Knowledge Management.
Luz Martín‐Peña, M., Díaz‐Garrido, E. and Sánchez‐López, J.M., 2018. The digitalization and
servitization of manufacturing: A review on digital business models. Strategic Change,
27(2), pp.91-99.
Rozaq, M.K.A., Riani, A.L., Harsono, M. and Setiawan, A.I., 2020. Exploring digital competing
capability in the intention to adopt e-commerce (toward a conceptual model).
International Journal of Trade and Global Markets, 13(2), pp.199-219.
Wan, X. and Chen, J., 2019. The relationship between platform choice and supplier’s efficiency-
evidence from China’s online to offline (O2O) e-commerce platforms. Electronic
Markets, 29(2), pp.153-166.
Witkowski, K., Koralewska, M. and Huk, K., 2020. Logistics models in E-commerce. Vedecké
Práce Materiálovotechnologickej Fakulty Slovenskej Technickej Univerzity v Bratislave
so Sídlom v Trnave, 28(46), pp.90-97.
Zhang, M., Zhou, Y., Li, L. and Gong, B., 2022. Manufacturing firms’ E-commerce adoption
and performance: evidence from a large survey in Jiaxing, China. Information
Technology and Management, pp.1-23.