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Question
State any three differences between e-business and traditional business.
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Solution
| Sr. No. | Basis of difference | Traditional business | E-Business |
| 1. | Ease in formation | Formation is relatively difficult, as there exist numerous formalities that are required to be fulfilled. | Relatively easier to start. |
| 2. | Internal communication | Follows a hierarchical communication structure (from top to bottom). | Follows a non-hierarchical communication structure (no defined structure). |
|
3. |
Start-up cost |
Heavy start-up cost. | Relatively low start-up cost (as physical facilities are not required). |
| 4. | Market access | Access is restricted to the physical domain. | Access is comparatively wide and unlimited. |
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