E-business and M-business

E-business is any business transaction that takes place using the internet.

Using the internet and e-business is becoming essential for businesses that want to expand, such as small businesses. This is because the internet and e-business provide easy ways for businesses to gain access to a much wider range of potential customers.

For example, a small clothes shop in Belfast could decide to set up a website and start selling clothes through e-business. The owner might also decide to create websites in different languages, to allow overseas customers to understand the information and purchase the shop’s clothes.

Advantages of e-business for a growing business include:

• open 24/7

• cheap to operate compared to physical stores

• gives access to a huge range of potential customers

• easy to sell to overseas customers

• provides access to cost-effective promotional methods, such as social media and email advertisements

Disadvantages of e-business for a growing business include:

• start up costs

• issues with access

• not suitable for all products

• increased competition

Advantages to customers of Northern Irish firms of using E-Business

• increased convenience

• increased choice

• improved product information

• lower prices

Disadvantages to customers of Northern Irish firms of using E-Business

• concerns about security

• lack of instant gratification

• lacks the social aspect of shopping

• inconsistent return policies

M-business is like E-business, except focused on mobile technology (mainly smartphones but also other handheld devices such as tablets).

So M-business is the use of mobile devices such as smartphones to carry out a range of day to day business activities such as:

• buying and selling products (e-commerce)

• communicating with suppliers and customers

• recording and analysing the performance of the business

M-business is all business activities which take place using mobile technology, not just using computers.

Mobile technology is exactly what the name implies - technology that is portable. Examples of mobile IT devices include:

• laptop, tablets and netbook computers

• smart phones

• global positioning system (GPS) devices

• wireless debit/credit card payment terminals

Advantages to Northern Irish firms of using M-Business

Market research

• instant results

Marketing

• direct marketing

• tracking user response

• huge viral potential

• mass communication made easy

• niche not highly concentrated

• microblogging benefits

Customer service

Mobile computing can improve the service you offer your customers. For example:

• when meeting with customers, you could access your customer relationship management system - over the internet - allowing you to update customer details whilst away from the office

• you can enable customers to pay for services or goods without having to go to the till, eg by using a wireless payment terminal diners can pay for their meal without leaving their table

Ease of access for employees and for customers:

For example, you could remotely:

• set up a new customer's account

• check prices and stock availability

• place an order online

Disadvantages to Northern Irish firms of using M-Business

Costs

There are costs involved in setting up the equipment and training required to make use of mobile devices.

Security / fraud concerns

Mobile IT devices can expose valuable data to unauthorised people if the proper precautions are not taken to ensure that the devices, and the data they can access, are kept safe.

Final checks