Blog title: What is e-commerce?
After the Internet bubble at the beginning of the century, e-commerce has finally turned over after many hardships and difficulties. The so-called "bubble" has gradually become a new economic model for changing the real economy.
Although e-commerce is booming both abroad and in China, the concept of e-commerce needs to be further clarified because of its expanding coverage and increasing business models.
To understand the concept of e-commerce, we will analyze it from the following two aspects: first, literally. "E-commerce" is a business form different from traditional media (such as shops, department stores, supermarkets, and fairs). E-commerce migrates goods trading places to virtual networks, people can purchase goods through personal computers, mobile phones, and other terminals. Second, let's look at "business". Commerce generally includes commodities, sellers, buyers, intermediaries, and other participants. The basic process is that sellers produce and sell goods. After buyers select and pay for the goods, the seller delivers the goods to the buyer (or by means of Logistics) and transfers ownership through exchange. Then, we can see that the key elements of business are goods, buyers and sellers, capital payments, and logistics distribution (of course, there will be intermediary participation in complicated cases ).
Internet-based e-commerce can connect business-related elements with the help of information flow, effectively matching user needs and commodity supply, making users' shopping more convenient (without leaving home, any time and place), so that sellers can grasp the customer's needs in a timely manner, reduce commodity inventory and backlog waste. Therefore, the economy in the form of e-commerce is also called the non-friction economy. Because the Internet-oriented e-commerce has a low entry threshold and the Customer Transfer cost is low, it is also called the eye-catching economy.
Of course, the above mainly refers to the business model (usually referred to as the B2C model) for sellers and the Business Model (usually referred to as the B2B model) for sellers ), there are more e-commerce models (C2B, c2g, b2b2c, etc ). Regardless of the business model, the basic principles are the same.
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