E-commerce and Digital Business

E-commerce (electronic commerce) is the buying and selling of goods, services, and information through electronic networks such as the internet. It is classified into different types on the basis of the parties (transacting entities) involved and their characteristics:

1. B2C (Business-to-Consumer)

• A business sells products or services directly to individual consumers.
• Characteristics: large number of small-value transactions, direct interaction with end customers, online payment and home delivery.
• Examples: Daraz, Amazon, Flipkart, online ticketing and hotel booking sites.

2. B2B (Business-to-Business)

• Transactions take place between two business firms, such as manufacturers, wholesalers and suppliers.
• Characteristics: fewer but high-value transactions, long-term trading relationships, bulk orders, negotiated pricing, often through EDI or dedicated portals.
• Examples: Alibaba.com, IndiaMART, a garment factory buying raw cloth from a mill online.

3. C2C (Consumer-to-Consumer)

• Individual consumers sell goods or services to other consumers, usually through a third-party marketplace.
• Characteristics: peer-to-peer selling of used or new goods, the platform earns commission, low entry barrier, trust depends on ratings and reviews.
• Examples: Hamrobazar, eBay, OLX, Facebook Marketplace.

4. C2B (Consumer-to-Business)

• Individuals offer products, services, ideas or labour to business firms.
• Characteristics: consumers set or quote their price, businesses buy from them; common in freelancing, crowdsourcing and stock photography.
• Examples: Upwork, Fiverr, Shutterstock.

5. G2C / G2B / G2G (Government e-commerce)

• Government delivers services or purchases goods electronically from citizens, businesses or other government bodies.
• Characteristics: citizen-centric public services, online tax payment, licence and passport applications, e-procurement, transparency and reduced paperwork.
• Examples: Nepal's Nagarik App, IRD online tax filing, e-GP (electronic government procurement).

6. M-commerce (Mobile commerce)

• Buying and selling carried out through mobile devices and apps using wireless networks.
• Characteristics: anytime–anywhere transactions, use of mobile wallets and QR payments, location-based services, high convenience.
• Examples: eSewa, Khalti, IME Pay, mobile banking apps.

7. Social commerce

• Buying and selling conducted through social media platforms.
• Characteristics: purchase driven by social interaction, influencer marketing, direct ordering through chat or pages.
• Examples: Instagram and Facebook shops, TikTok shop.

Conclusion: These types differ mainly in who transacts with whom (business, consumer or government), the volume and value of transactions, the degree of personal contact, and the payment and delivery mechanism used. Together they cover the whole spectrum of commercial activity carried out over electronic networks.