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Through enabling the connection in networks of the economic agents (companies, suppliers, partners and customers), the internet led to important changes in the business environment. Vertical production arrangements are increasingly being replaced by network arrangements, facilitated by the practice of business transactions through the internet, also known as e-business. Social media, based on the concepts of collaboration and participation, has been forcing the companies to review their marketing and customer relationship strategies; the new scenario requires more frequent and deeper interaction with customers, which have been significantly empowered. Information technology (IT) has an important role in supporting this transformation process. The article explores how companies deal with e-business and social media technologies, with focus in their relationship with customers, and how IT has been involved. Initiatives from a manufacturing and services company in e-business and social media are discussed in a case study

internet; e-business; web 2.0; social media; customer relationship.