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What is Business-to-Consumer (B2C) Electronic Commerce?
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B2B EC is much larger than B2C EC by volume, but B2C EC is more complex. The reason is that B2C involves a large number of buyers making millions of diverse transactions per day with a relatively small number of sellers.

As an illustration, consider Amazon, an online retailer that offers thousands of products to its customers. Each customer purchase is relatively small, but Amazon must manage every transaction as if that customer were its most important one.

The company needs to process each order quickly and efficiently, and ship the products to the customer in a timely manner. In addition, it has to manage returns. Multiply this simple example by millions, and you get an idea of how complex B2C EC can be.

Overall, B2B complexities tend to be more business related, whereas B2C complexities tend to be more technical and volume related.

There are two basic mechanisms that customers utilize to access companies on the Web: electronic storefronts and electronic malls.

In addition to purchasing products over the Web, customers also access online services. The complexity of B2C EC creates two major challenges for sellers: channel conflict and order fulfillment.

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