1.

Distinguish between Traditional Business and e‐business.ORExplain the difference between the traditional and online buying and selling process.  

Answer»
Sr. No.Traditional Businesse‐business
Concept
1.In traditional business, an organizational entity (mostly thought of as a store, restaurant or agency) is designed to offer consumer goods or services.Any business conducted using electronic media is called e‐business.
Access to Goods/Services
2.Consumers can visit only a few traditional outlets per day. Consumers have access to countless Web retailers at the same time.
Access to Information
3.In this form of business, consumers can get limited product information.Consumers have access to an unprecedented amount of product information, not just from manufacturers’ websites but also from online reviews written by previous consumers, employees, and organizations.
Price Comparison
4.Price comparison can be done for limited products in the traditional form of business.It is possible to check the price offered by hundreds of online merchants.
Skills required
5.In traditional form of retailing, salesmanship and negotiation skills are of utmost importance.Online retailers rely on different skill sets to effectively market their products such as Internet pop‐ups, email blast (e‐mail to large groups of people), google adwords, etc..
Face‐to‐Face Interaction
6.It is possible to have face‐to‐face interaction in this form of business.There is a very low possibility of face‐to‐face interaction in this form of business.
Area Covered
7.Role of middlemen is indispensable in traditional business. There is direct communication between the buyer and the seller on the internet which eliminates the role of the middlemen in e‐ business. 
Space
8.Physical space required in traditional business is more as compared to online business. Online Business does not require too much physical space.


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