DIGITAL ECONOMY
, CHAPTER 2
BUSINESS AND INNOVATION IN THE DIGITAL
, Business Model
• A business model explains how a company creates, delivers, and earns v
(profit).
• Helps a company understand its key operations and revenue sources.
• Used to analyze the current state of the business.
• Helps companies plan strategic actions for future growth.
, Types of Business Models in E-Commerce
1. Direct-to-Consumer (DTC)
• Companies sell directly to consumers without middlemen.
• Businesses control branding, pricing, and customer experience.
• Examples: Warby Parker, Glossier.
2. Marketplace Platforms
• Online platforms connect buyers and sellers.
• Earn money through commissions or fees.
• Examples: Amazon, eBay, Alibaba.
, CHAPTER 2
BUSINESS AND INNOVATION IN THE DIGITAL
, Business Model
• A business model explains how a company creates, delivers, and earns v
(profit).
• Helps a company understand its key operations and revenue sources.
• Used to analyze the current state of the business.
• Helps companies plan strategic actions for future growth.
, Types of Business Models in E-Commerce
1. Direct-to-Consumer (DTC)
• Companies sell directly to consumers without middlemen.
• Businesses control branding, pricing, and customer experience.
• Examples: Warby Parker, Glossier.
2. Marketplace Platforms
• Online platforms connect buyers and sellers.
• Earn money through commissions or fees.
• Examples: Amazon, eBay, Alibaba.