E-BUSINESS TRANSFORMATION IN BANKING INDUSTRY: OPPORTUNITIES AND VALUE ASSESSMENT.

While E-commerce has often been associated with ?dot coms,? a major transformation is under way in many traditional organizations that are investing heavily in Internet technologies in order to improve financial performance. One such sectorbeing thebankingsector. The introduction of E-Commerce in the Banking Industry has had a significant impact on its operation both in physical branches and virtual transactions.Banks have made significant investment to transform their traditional businesses into e-businesses in the past decade to capitalize on the opportunities of business efficiencies. These banks adopted the Business to Consumer (B2C) e-business model to increase market share, offer better customer service and to reach out to customers at greater geographic distances. This paper is focusing on the role of e-commerce in improving banking services. The study objectives are to identify how developments in E-commerce are affecting the structure and dynamics of banks with specific emphasis on electronic business readiness of customers and suppliers, operational efficiency and financial parameters.