E-BUSINESS and E-commerce what's the difference? ( part I)

E-BUSINESS is about how organizations are using Internet technologies to fundamentally change the way they do business:

How companies use the Internet to run themselves more efficiently.
How companies use the Internet to interact with others (suppliers, customers, and partners) more efficiently.
E-business does not consist of simply creating a corporate website; rather e-business involves using the Internet to:

Attract, retain, and satisfy customers buying your company's products and services.
Streamline your supply chain, manufacturing, and procurement systems to deliver the right products and services to customers more efficiently.

Automate your corporate business processes to reduce cost and improve efficiencies through self-service.
Capture, analyze, and share business intelligence about your customers and your company's operations to make better business decisions.

Further, e-business is not about any one of these things; e-business is about integrating all of these aspects of an organization so that every organization can expand its market opportunities, streamline its corporate business processes, and attract and retain customers.

Expand markets: The Internet offers companies the ability to conduct their existing business using a fundamentally new business model, to expand globally, and to enter completely new markets.
Improve efficiencies: The Internet has eliminated traditional market entry barriers and created efficient markets where prices can be easily compared. Faced with the resulting increase in competitive and margin pressure, e-businesses must leverage Internet technologies to streamline business processes and integrate their suppliers and partners to deliver products and services more efficiently to customers.

Retain Customers: Every e-business has a direct relationship with its customers and can differentiate itself by offering personalized products and distinctive customer service.

Since Internet customers are only a click away from switching, e-businesses that manage customer relationships distinctively have a significant competitive advantage.

The difference

E-commerce is one specific aspect of an e-business focused on either buying or selling products or services over the Internet. E-commerce is typically divided into two parts:

Sell-Side: focused specifically on selling products and services over the Internet typically through an electronic storefront or website.

Buy-Side: focused specifically on consolidating purchasing for manufacturing components and MRO (Maintenance, Repairs & Operations) products over the Internet typically by using a Web-based supply chain and delivery solution.