Compared with traditional commerce, ecommerce has tremendous advantages. A seller can easily access worldwide markets despite geographic distance at lower costs, compete with larges companies because of the low barrier to entry, know customers well and then sell more products through tracking purchases and make use of data of customers. According to the different parties in ecommerce activities, ecommerce is divided into three types: B2B (business-to-business), B2C (business-to-customer) and C2C (customer-to-customer). In a complete market, B2B, B2C and C2C shouldn't be treated discriminately. However, in an incomplete and undeveloped environment, such as China, there exist a lot of bottlenecks related to information and cost. With the analysis in the information-and-cost view, it is found out that those obstacles affect B2B, B2C and C2C quite differently and B2B should be given the first rank to develop. Accordingly, policy suggestions are represented
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Shi et al. (2006) studied this question.
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