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The literature in e marketing is constantly changing and being updated. There are many different definitions and terms used when discussing e-commerce. Therefore we have answered the question based on the definitions that we found where most appropriate for the task.

This paper is divided up in three sections, one section for each question that we have been asked to answer. The first section describes a new service that does not exist in real life. This service is the merger of to existing companies that are operating within the telecom and music industry.

The second part discusses the theory and technology that makes it possible to personalise services for each individual. It also describes the ups and down with the use of the technology.

The third part discusses several business model used by Internet based companies. Description of the most frequently used models with in B2C-marked are described and also what differences it is between C2C and P2P in Internet trading.

Question 1

New technology has been developed and it has been adapted too society fairly quickly in today's world. This has lead to a change in people's habits and patterns of purchasing products and services.

Today companies sell their products through Internet based stores, which often are cheaper than traditional stores. The reason why companies can offer lower price is that Internet is very cost effective for them. is a result of two industry branches coming together. Branches in telecom and music, have realized that their customer has common interests and have together started a company that will satisfy their customers music needs in a new way. is a made up company that illustrates that companies like Telenor and can use their competence and take advantage of the standardized technology to offer a...