E-Commerce business models

To start any business online one must learn the different e-commerce models. There are 4 Major e-commerce business models which are as follows:

• B2C Model
• B2B Model
• C2C Model
• C2B Model

B2C Model:

The B2C sector is what most people think of when they imagine an ecommerce business. This is the deepest ecommerce market, and many of the names you’ll see here are known quantities offline, too. B2C sales are the traditional retail model, where a business sells to individuals, but business is conducted online as opposed to in a physical store.

B2B Model:

B2B, or Business to Business, is the largest e-commerce model. In this model, both the sellers and buyers are business entities. This model describes the transactions between a retailer or a wholesaler, or a wholesaler and manufacturer. A B2B ecommerce business typically requires more startup cash.

C2C Model:

The C2C or consumer to consumer business model involves a transaction between two consumers. It is also known as a citizen to citizen. A common example of this model would be an online auction, where a customer or visitor posts an item for sale and other customer bids to purchase it. However, the third party generally charges a commission.

C2B Model:

Customer to business, known as C2B, involves customers selling their services or products to business. It is roughly the same as a sole proprietorship serving a larger business.The one thing that differentiates C2B from other business models is that the consumers create the value for the products. Also, the model caters to the need of freelancers, who work on tasks given by the clients.