What is the difference between e-business, e-commerce, and e-government?

1. What are e-business, e-commerce, and e-government?

E- Business: E-business is a term used to describe businesses run on the Internet, or utilizing
Internet technologies to improve the productivity or profitability of a business. In a more
general sense, the term may be used to describe any form of electronic business that is to say,
any business which utilizes a computer. This usage is somewhat archaic, however, and in
most contexts this term refers exclusively to Internet businesses.
The most common implementation of e-business is as an additional, or in some cases
primary, storefront. By selling products and services online, such a business is able to reach a
much wider consumer base than any traditional brick-and-mortar store could ever hope for.
This function is referred to as ecommerce, and the terms are occasionally used
interchangeably.
An online business may also use the Internet to acquire wholesale products or supplies for in-
house production. This facet is sometimes referred to as e-procurement, and may offer
businesses the opportunity to cut their costs dramatically. Even many e-businesses which
operate without an electronic storefront now use e-procurement as a way to better track and
manage their purchasing.
E-commerce: E-commerce (electronic commerce or EC) is the buying and selling of goods
and services, or the transmitting of funds or data, over an electronic network, primarily the
Internet. These business transactions occur either business-to-business, business-to-consumer,
consumer-to-consumer or consumer-to-business. The terms e-commerce and e-business are
often used interchangeably. The term e-tail is also sometimes used in reference to
transactional processes around online retail.
E-commerce is conducted using a variety of applications, such as email, fax, online
catalogues and shopping carts, Electronic Data Interchange (EDI), File Transfer Protocol, and
Web services. Most of this is business-to-business, with some companies attempting to use
email and fax for unsolicited ads (usually viewed as spam) to consumers and other business
prospects, as well as to send out e-newsletters to subscribers.
The benefits of e-commerce include its around-the-clock availability, the speed of access, a
wider selection of goods and services, accessibility, and international reach. Its perceived
downsides include sometimes-limited customer service, not being able to see or touch a
product prior to purchase, and the necessitated wait time for product shipping.
E-Government: E-Government is the use of information and communication technologies
(ICTs) to improve the activities of public sector organisations. Some definitions restrict e-
government to Internet-enabled applications only, or only to interactions between
government and outside groups but in e-government all digital information and
Communication Technologies (ICTs) are included; all public sector activities are included.
E-government services focus on four main customers: citizens, the business community,
government employees, and government agencies. E-government aims to make interaction
with citizens, businesses, government employees, government agencies and other
governments more convenient, friendly, transparent, inexpensive and effective. In an e-
government system, individuals are able to initiate a request for a particular government
service and then receive that government service through the Internet or some computerized
mechanism. In some cases, the government service is delivered through one government
office, instead of many. In other cases, a government transaction is completed without direct
in-person contact with a government employee.

2. What is the difference between e-business, e-commerce, and e-government?
E -business and e-commerce are terms that are sometimes used interchangeably, and
sometimes they're used to differentiate one vendor's product from another. But the terms are
different, and that difference matters to today's companies.
In both cases, the e stands for "electronic networks" and describes the application of
electronic network technology including Internet and electronic data interchange (EDI) to
improve and change business processes.
E-commerce covers outward-facing processes that touch customers, suppliers and external
partners, including sales, marketing, order taking, delivery, customer service, purchasing of
raw materials and supplies for production and procurement of indirect operating-expense
items, such as office supplies. It involves new business models and the potential to gain new
revenue or lose some existing revenue to new competitors.
It's ambitious but relatively easy to implement because it involves only three types of
integration: vertical integration of front-end Web site applications to existing transaction
systems; cross-business integration of a company with Web sites of customers, suppliers or
intermediaries such as Web-based marketplaces; and integration of technology with modestly
redesigned processes for order handling, purchasing or customer service.
E-business includes e-commerce but also covers internal processes such as production,
inventory management, product development, risk management, finance, knowledge
management and human resources. E-business strategy is more complex, more focused on
internal processes, and aimed at cost savings and improvements in efficiency, productivity
and cost savings.
An e-business strategy is also more difficult to execute, with four directions of integration:
vertically, between Web front- and back-end systems; laterally, between a company and its
customers, business partners, suppliers or intermediaries; horizontally, among e-commerce,
enterprise resource planning (ERP), customer relationship management (CRM), knowledge
management and supply-chain management systems; and downward through the enterprise,
for integration of new technologies with radically redesigned business processes. But e-
business has a higher payoff in the form of more efficient processes, lower costs and
potentially greater profits.
E-commerce and e-business both address these processes, as well as a technology
infrastructure of databases, application servers, security tools, systems management and
legacy systems. And both involve the creation of new value chains between a company and
its customers and suppliers, as well as within the company itself.
All companies should have an e-commerce strategy. (Governments should have an e-public
service strategy.) Electronic networks in general and the Internet in particular are too
important for firms to ignore if they want to interact with customers, suppliers or distribution
partners.
But some companies need to move beyond e-commerce and form e-business strategies -
especially large companies that already have links to EDI networks or have completed major
ERP implementations. These companies have already reaped some of the biggest benefits
from e-commerce strategies. They're also likely to experience organizational pain as conflicts
develop among their ERP, EDI, supply-chain management and e-commerce strategies. And
last, they have enough experience and knowledge in electronic-network technologies - and in
process redesign and integration - that they have a chance of being successful in an e-
business strategy.
Still, the coordination and organizational obstacles to developing an e-business strategy are
formidable. It involves major and potentially disruptive organizational change. The risks of
failure and the consequences from limited success are higher in an e-business strategy than in
an e-commerce strategy. Being a leader in e-business can contribute to long-term success, but
the stresses and strains of business transformation can cause near-term damage.
A wise company may decide to consolidate its gains and complete the work involved in its
existing and largely separate e-commerce, ERP, CRM or supply-chain initiatives before
making the big leap to becoming an e-business. Jumping too soon can be as disastrous as
moving too late.