E-Commerce Business Models (Timmers, 1998)

Question 1

What is a business model?

Answer 1

An architecture for product, service, and information flows that describes roles of various business actors, their potential benefits, and revenue sources.

Question 2

How does a marketing model differ from a business model?

Answer 2

A marketing model includes a company’s strategy to achieve competitive advantage.

Question 3

What is an E-Shop?

Answer 3

Online storefronts for businesses to promote and sell products or services.

Question 4

What are the benefits of an E-Shop?

Answer 4

• Cost savings
• Global reach
• 24-hour availability

Question 5

Give an example of an E-Shop.

Answer 5

Zalando

Question 6

What is E-Procurement?

Answer 6

Web-based tendering and procurement systems used by large companies or public authorities.

Question 7

What are the benefits of E-Procurement?

Answer 7

• Wider supplier choice
• Reduced procurement costs
• Enhanced collaboration

Question 8

Give an example of E-Procurement.

Answer 8

SAP Ariba

Question 9

What is an E-Auction?

Answer 9

Online bidding platforms for goods and services.

Question 10

What are the benefits of E-Auction?

Answer 10

• Global sourcing
• Time efficiency
• Handling small, surplus goods

Question 11

Give an example of an E-Auction.

Answer 11

Vakantieveilingen

Question 12

What is an E-Mall?

Answer 12

A collection of e-shops under one umbrella, often with common branding or payment systems.

Question 13

What are the benefits of an E-Mall?

Answer 13

• Convenience
• Trust
• Lower costs for hosted shops

Question 14

Give an example of an E-Mall.

Answer 14

Etsy

Question 15

What are Third-Party marketplaces?

Answer 15

Platforms for businesses to outsource web marketing and transactions to a third-party.

Question 16

What are the benefits of Third-Party marketplaces?

Answer 16

• Revenue from membership fees
• Transaction commissions
• Advertising

Question 17

Give an example of a Third-Party marketplace.

Answer 17

Alibaba

Question 18

What are Virtual Communities?

Answer 18

Online spaces where members contribute information and build customer loyalty.

Question 19

What is the revenue model for Virtual Communities?

Answer 19

• Membership fees
• Advertising

Question 20

Give an example of a Virtual Community.

Answer 20

Reddit

Question 21

What are Value Chain Service Providers?

Answer 21

Businesses that specialize in specific value chain functions (logistics, payment).

Question 22

What is the revenue model for Value Chain Service Providers?

Answer 22

Fees/percentages on transactions.

Question 23

Give examples of Value Chain Service Providers.

Answer 23

• FedEx
• Adyen

Question 24

What are Value Chain Integrators?

Answer 24

Businesses that integrate multiple steps of a value chain for added efficiency.

Question 25

What are Collaboration Platforms?

Answer 25

Tools and environments for enterprise collaboration, often in design or project management.

Question 26

Give an example of a Collaboration Platform.

Answer 26

Slack

Question 27

What are Information Brokerage and Trust Services?

Answer 27

Services that add value to vast online data, such as search engines or certification authorities.

Question 28

Give an example of Information Brokerage and Trust Services.

Answer 28

Google

Question 29

What is Innovative Functional Integration?

Answer 29

Models that combine single and multiple functions for innovative new services.