E-commerce Analysis: Digital Business & New Technologies BM565

This report examines the pivotal role of e-commerce in modern digital business, highlighting its impact on sales, customer acquisition, and overall organizational success. It traces the development of e-commerce from its origins in electronic data exchange to its current prevalence on mobile platforms, detailing key technologies like ERP, chatbots, and online payment systems. The report also explores various e-commerce platforms and business models, including B2B, B2C, C2B, and C2C, with examples of companies like Paytm, Amazon and eBay. Furthermore, it discusses essential business tools used in e-commerce, such as website platforms, email marketing, and customer service tools. The report also analyses the application of different management theories such as decision-making, quantitative, systems, and contingency theories in the context of digital technology. Finally, the report concludes by emphasizing the transformative power of digital business and e-commerce in enhancing consumer experiences and driving business growth.

DIGITAL BUSINESS
AND NEW
TECHNOLOGY

EXECUTIVE SUMMARY
This study reflect that e -commerce has a important aspect for the organization that helps in
increasing the sales of the company and attract large number of new customers. It has also been
analysed the importance of business tools in E-commerce. Different types of theory has been
explained in this report and different types of business model that a company used to operate their
firm.

Table of Contents
EXECUTIVE SUMMARY..................................................................................................................2
INTRODUCTION................................................................................................................................4
MAIN BODY.......................................................................................................................................4
TASK 1............................................................................................................................................4
TASK 2............................................................................................................................................6
CONCLUSION....................................................................................................................................8
REFERENCES.....................................................................................................................................9

INTRODUCTION
Digital business is the procedure followed by many organizations to connect their business
digitally. It enables the business to pursue with consumers effectively and efficiently. New
technology are used by different firms that help in running and operating the businesses.
Introduction of new technology increases the productivity and enhance customer work. The purpose
of the report is to pivot the e-commerce, why it is important, there uses in the business, history of e-
commerce. In the Task 2, the report includes different business management theories such as
Decision making theory, quantitative theory and contingency theory(Büyüközkan and Göçer, 2018). The
report also contain the types of e-commerce model with the examples of different types of
organization.
MAIN BODY
TASK 1
Importance of E-commerce
E-commerce is a business model adopted by different sectors of business that allow the
firms to trade( buy and sell ) over the internet there goods and services. E-commerce can be
operated through tablets, computers smartphones and other smart devices. The E-commerce is
important to run a firm that operates over the internet. E-commerce is important because it has vast
advantages. E-commerce helps in increasing the sales of the company by reaching to the new
customer base. E-commerce website helps in marketing the business of small as well as large firms.
E-commerce helps in providing the better quality of services and it is available 24*7. and dos not
require any physical establishment of the company. It is favourable because using e-commerce
people can do shopping any time and anywhere through there smartphones, tablets and computers.
Development of E-commerce
The development of E-commerce was to exchange business documents and invoices in
between the organizations and there customers. The E-commerce was first introduced in 1948-1949
and come into adoption after the introduction of electronic data exchange that helps in transferring
data from computer to computer in 1975. Michael Aldrich is considered as the founder of e-
commerce. When the world wide web(WWW) introduced and accepted in 1991, and the first
browser for approach was developed in 1993. After that e-commerce shifted to the internet. In
present every person have smartphones and computers and \availability of fast internet, most of the
e-commerce moved to mobiles and computers(Weill and Woerner, 2018).

Technology used in the E-commerce and its purpose
E-commerce technology helps in gaining the new competitors and it introduces the
innovative way of interacting with the retailers. There are different types of technologies used in the
E-commerce to attract the new customers such as Enterprises resource planning(ERP),chatbots,
smart search, retention pop ups, pricing tools, filtration, social media monitoring,payment
integration system, block chains and many more. The customer can use these technologies from
there smartphones, tablets, computer as well as through smart watches. The purpose of using e-
commerce technologies is to increase sales in the online store through mechanization,
customization, streaming and optimization of process and many more. E-commerce technology are
undertaken to work effectively and as to give a different experience to the customers(Kovynyov and
Mikut, 2019).
E-commerce platforms,apps, software version
An E-commerce platform is a software that helps the customer to purchase the goods and
services on the internet. It is a commercial process. It requires platform as a base through which
many organization operate there businesses over the internet. Almost many retail businesses comes
in the existence to take the process of selecting as their business base. Now a days , it is not difficult
for the organization to build there E-commerce website. But choosing the wrong E-commerce
platform can affect the business as well. there are different business sectors that operates there
business on different e commerce platforms. There are more than 12 million E-commerce websites
estimated all around the world. Some of the most popular e-commerce platform around the world
are named as Shopify, magneto commerce, 3D cart, Big commerce, Woo commerce and many
more.
Types of business and organization that uses the E-commerce
Different sectors of businesses uses different types of E-commerce platforms. Such as
Paytm, it is an Indian non government E-commerce private limited company. Paytm is operated as
the mobile payment as well as e-commerce platform known as Paytm mall.. The business offers
different types of facilities to their customers in the categories of payment and shopping. Paytm
offers to their customer an online shopping portal where customers can purchase different types of
goods and services that falls in the categories of electronic, clothing, house wares, furniture,
accessories and many more. The another feature of paytm e-commerce is to book the tickets of
buses, trains, flights, movies shows, concerts, etc.
E-commerce as a business tool
The organization can be fully success in the space of e-commerce by using the different
business tools such as -
 Website platform- it is a tool where organization develop there e-commerce website in

order to sale their goods and services. That helps a firm in attracting large number of new
customers and increase the sales of the company.
 E- mail marketing tool- it is the one of the oldest as well as one of the best tool used by
the businesses to inform their customers about the offers on the goods and the services.
 Customer service tools- it includes the feature like automation, chatbot, live call and support
for the customers to clear there queries related to their topics(Jain, 2022). By using these
feature in there sites the organization provides best experience to their customer and satisfy
them.
 Online payment tool- almost all the e-commerce business uses this tool which is attached
to their E-commerce website where customer can directly pay online for there purchases.
some of the payment platform named as pay pal, google pay and stripe(Mubarak and Petraite,
2020).
 Delivery service tool- This is one of the best tool provided by the organization to there
customers where the customer can track there order and it helps the organization to reach
customers and remove the work load of shipping the product. ShippyPro and shiptheory are
the examples of the shipping service tool.
TASK 2
Different types of business and managing theories in relation with digital technology
 Decision making theory- it is a thought process that determine the logical choice that
allows to choose from the available options. This theory tells the situation of risk and
uncertainty to which how the the person act. The main standing of this theory is to form an
impressive use of attempts at investigation of quality that usually develop due to uncertain
events. It also helps in making an administration intentional, profound decisions. It helps in
making decisions of the best digital business with relation to the new technology.
 Quantitative theory- quantitative theories compiles about solving the problems of
organization management related by the use of computers and mathematics techniques that
assist in the managerial decision making theory. Its formulation includes the statistical
application, models of improvement, information model and computer technology to assist
in the managerial decision making process. Quantitative approach has 3 main division which
is given as management science, operations management and management information
system(Ho and Hsu, 2022). It main advantage is to create mentally the relation between the
quantitative variables of decision making ascertain and assist controlled thinking.

 System theory- it is considered as the one of the important theory of the management. The
theory was proposed by Ludwig von Bertalanffy in 1940. it provide different approaches to
understand, think and analyse about the company. The believes of this theory are that the
organization success depends upon the interconnection within the organization and between
the company and the environment. It is descriptive management theory and emphasizes on
the communication.
 Contingency theory- contingency theory suggest that no action in an organization is better
than another. It states that powerfulness of leadership has a relation with the group power. It
has two component which are following as task motivation and relation motivation. Every
action has an clear reaction which can be applied in different situation in the managerial
organization. There are internal as well as external consequences while making the
decisions(Sousa and Rocha, 2019).
Different types of business E-commerce model
An e-commerce model allow an organization in capturing and delivering the values to its
customers. Strategies, processes, technology are some elements of the business model. There are
different types of E-commerce model which is based on segmentation of market that is used to
operate the business online. These are following as-
 Businesses to businesses model- Business to business model compiles the selling of goods
and services from one firm to another firm. It is shortly known as B2B. It has higher order
value with long sales cycle(Gräßler and Pottebaum, 2022). For example- Walmart is the
multinational retail brand that sell its products to the retailers. another example of business
to business model is amazon , where different businesses sell its products to the different
companies through online.
 Businesses to consumers model- in this model the organization directly sell there products
to its consumers. The goods and services that customer buy online is falls under the B2C
model. As compared to B2B,B2c has the shorter process of decision making particularly for
those items that have low valuation. It has shorter sale cycle . The organization that
undergoes in B2C businesses are Amazon, flip kart and many more. Amazon directly sell
there products to its end consumer. It also falls in the categories of B2B but on a large scale
it operates business to consumer model.
 Consumer to business model- it allows the person to sell there goods and service to an
organization. Freelancers are the one of the categories that falls under the consumer to
business categories. Freelancer are those individuals who perform task or provide services to
the organization for the income generation. Another example of this model is individual

service providers who work online like brand manager, social media manager, content writer
and many more(Vidmar and Pucihar, 2019).
 Consumer to consumer model- customer to customer is a type of business model that
provide the facility of trading of goods and services between the customers. It undergoes
between private individuals. eBay is an online auction site that perform both business to
consumer as well consumer to consumer model. In eBay any individual can join and can sell
its service to the other customers.
 Businesses to administration- it is also called the business to government model because it
allows all the transaction of goods and services between the company and the government
agencies or public administration. Central website is used by the government agencies in
order to trade goods and services and exchange information with the companies. One of the
famous example of this model is Accela. it is a software company that give advices on the
software of the government. It also provide public access to system services for planning,
licensing, public health and many more.
 Consumer to administration- it cover all the electronic transactions held between the
consumer and government agencies or public administration. It includes education, social
security, taxes (like filing tax returns, payments)and healths. It is highly associated with the
services provided by individual to the government(Van Esch and Black, 2019).
CONCLUSION
From the above text , it has been concluded that digital business is the process through
which different organization introduce new technology to reinvent business models that helps the
company in enhancing the products and experience of the consumers. E-commerce is used sale the
products and services to the new users. It helps in fast trading of goods and services. various
business tools is used in e-commerce such as Contingency theory Website platform, E- mail
marketing tool, Online payment tool, Delivery service tool. It also been conclude that different
business theory help the business in growing by developing both internal as well as external
environment of the organization. These theories are decision making theory, quantitative theory,
system theory and contingency theory. And different business models are used by different
organization to establish there business in e-commerce.

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