Is e-commerce the same as e-business?

While some use e-commerce and e-business interchangeably, they are distinct concepts.
In e-commerce, information and communications technology (ICT) is used in
inter-business or inter-organizational transactions (transactions between and among
firms/organizations) and in business-to-consumer transactions (transactions between
firms/organizations and individuals).
In e-business, on the other hand, ICT is used to enhance one’s business. It includes
any process that a business organization (either a for-profit, governmental
or non-profit entity) conducts over a computer-mediated network. A more comprehensive
definition of e-business is: “The transformation of an organization’s processes to
deliver additional customer value through the application of technologies, philosophies
and computing paradigm of the new economy.”
Three primary processes are enhanced in e-business:5
1. Production processes, which include procurement, ordering and replenishment
of stocks; processing of payments; electronic links with suppliers; and
production control processes, among others;
2. Customer-focused processes, which include promotional and marketing efforts,
selling over the Internet, processing of customers’ purchase orders and
payments, and customer support, among others; and
3. Internal management processes, which include employee services, training,
internal information-sharing, video-conferencing, and recruiting. Electronic
applications enhance information flow between production and sales forces
to improve sales force productivity. Workgroup communications and electronic
publishing of internal business information are likewise made more
efficient.6