E-Business vs E-Commerce: Differences and Importance

Some people may use the terms interchangeably. But they are not the same thing. They are a completely different thing. E-commerce refers to buying and selling online, whereas e-business refers to all businesses conducted online. And this day, everything is online. Suppose you are also one of them who wants to start their business online. You need to understand the insights clearly. You need to strive to understand all the ways of these concepts.

While e‐business is often blended with e‐commerce, they are completely different concepts in actuality. E‐business encircles e‐commerce as well as many other applications. There are more advantages to be derived from e‐business than from e‐commerce. Electronic business (e‐business) is transforming the means of communication between internal and external stakeholders within an organization. Linking multiple information systems and combining data streams can greatly improve the firm’s functional efficiency. E‐business can conduct to the competitive edge as well as profitability. (Rodgers, J.A., Yen, D.C. and Chou, D.C., 2002).


e-commerce, also known as electronic commerce, is an approach to buying and selling goods through the internet. In e-commerce, the buyer can communicate and do business with the seller with any face-to-face interaction.

Want to be a part of e-commerce? What is the most important thing you need? A website. Yes, the basic requirement for e-commerce is a website. Marketing, selling, money transactions, dealing Everything is done through your website. Take some piece of information on types of e-commerce.

1.   Business To Business

Business-to-business e-commerce includes goods and electronic transactions between two companies or any business.

2.   Business To Consumer

This is assumably the most typical form of business. Business to consumer refers to the dealing between business to the final customer. This B2C is easier to do and is dynamic. Due to Everything coming online, B2C has also become way more convenient online. You can find many online stores to sell every kind of product and service to the customers. Even the students can get the best assignment help online in no time, helping them in their studies. What is even there that is not available on the internet now?

4.   Consumer To Business

C2b is the model where customers sell their services or products to businesses. The customer creates or sells its services for their competitive advantages and promotes their business. The best example nowadays for C2B can be freelancers who sell their services, and the respective website takes share from their services.

5.   Business To Administration

This refers to any processing held between business and government with the internet as their medium. It may include a wide variety of services such as employment, fiscal, legal documents, social security Etc.

6.   Consumer To Administration

C2A refers to all types of services held from customer to government. For example, taxes, health, education, and social security.


E-business is the online existence of a business. It can also be defined as a business done with the help of the internet or electronic data interchange. At the same time, E-commerce can be one of the important components of E-business but not an essential part of it.

E-business refers to the selling and buying goods and any service that forms part of business-like customer communicating with employees. Business partners can contact the company if they want to have any terms with the company. Or they have any problem regarding the goods or services. All the basic operations are done based on electronic media. One of the encounters in designing and maintaining e-business websites is to safeguard their scalability as the workload rises. E-business can be divided into two types. (Menasce, 2000).


This refers to any business or company that deals in a single kind of services and goods rather than opting for variations.


This refers to any business that runs online and offline in both ways. This means that they are selling goods and services at any online store. At the same time, they would also give similar services at their physical stores.


  Buying and selling goods via the internet  Not only buying and selling. Every business that runs through the internet will be called an E-business.
  Is a part of E-business  Refers to a wide range
  Providing online services along with physical offices  It is not essential to have a physical presence in the market
  Any kind of business transactions related to money  Includes monetary and allied activities.
  Needs the internet to get connected with the world.  Other than that, it can also advantage of intranet and extranet to be able to connect to people.


  • E-business and E-commerce have changed the way businesses are to a great extent. As a customer, you can only see some of their benefits, but what advantages can be taken as owners? Let’s have a look.
  • Reduce financial costs and requires less time. Having physical will cost you many things like rent, electric bills, etc., but many costs are reduced when you do online business. Turning your businesses into e-businesses can make your tasks simpler. 
  • The services you provide can be extended to a wide range. Students can get a lot of advantages even for the tiniest of tasks. They can get the best assignment experts to complete their tasks quickly.  
  • You can get unlimited flexible hours. You can run your business 24 hours a day. You can get an order all day long. You can actually make money when you are sleeping.
  • There are no geographical boundaries for your business. You can reach customers from all over the world at any time of the day. In physical stores, people only prefer a store near their homes. Online businesses are accessible from different countries as well. 
  • You can easily track your business growth and sales. 


E-commerce is an essential part of E-business. It won’t be incorrect that E-commerce is E-business but not every e-business is e-commerce. Now the world has turned its ways to online business. People are converting their business online to get more and more profit. 


D. A. Menasce, “Scaling for e-business,” Proceedings 8th International Symposium on Modeling, Analysis and Simulation of Computer and Telecommunication Systems (Cat. No.PR00728), 2000, pp. 511-513.