They will integrate business that site's buying and selling processes into the company's back office, customer and marketing systems. Many companies have already done this or are doing so. Then they will extend the web site's capabilities by connecting it to supply chains, eliminating paperwork and cost. Many motor manufacturers have reached this stage and established electronic supply chains. After that, they will form alliances that transform the way their industry operates.
Electronic share dealing on the internet is a pioneering example.
Finally, there will be industrial convergence, when e-business makes it possible for industries to combine expertise and provide packaged services. The first indication of this in the real world is the merger of television, computing, telephony and entertainment industries to provide one consumer communications package. Companies will move naturally from stage to stage as they appreciate the benefits of e-business. E-business also creates new competition by removing barriers between industries. For example, UK supermarket chains Tesco and Sainsbury are using e-business to extend their brands into banking services.