Distinguish between traditional business and e-business.
ANSWER:
Basis of Difference
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Traditional Business
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E-Business
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1. Ease in formation
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Formation is relatively difficult, as there are numerous formalities required to be fulfilled.
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It is relatively easier to start.
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2. Internal communication
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It follows a hierarchical communication structure (from top to bottom).
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It follows a non-hierarchical communication structure (no defined structure).
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3. Start-up cost
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It has a heavy start-up cost.
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It has a relatively low start-up cost, as physical facilities are not required.
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4. Market access
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Access is restricted to the physical domain.
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Access is comparatively wide and unlimited.
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