A type of business model, or segment of a larger business model,
that enables a firm or individual to
conduct business over an electronic network, typically the internet. Electronic commerce operates in all four of the
major market segments:
1. Business to Business.
2. Business to Consumer.
3. Consumer to Consumer.
4. Consumer to Business.
It can be thought of as a more advanced form of mail-order purchasing through a catalog. Almost any product or service can be offered via ecommerce, from books and music to financial services and plane tickets.
Ecommerce has allowed firms to establish a market presence, or to enhance an existing market position, by providing a cheaper and more efficient distribution chain for their products or services.